After having a record first half of 2018, Plus500 Revenues who are known as a leader in online Contracts For Difference (CFD) and Forex Brokering announced its preliminary unaudited results for last year.
Plus500 have a record first half of 2018 with their performance led to revenues during the year increasing by 65% to reach £540 million. A record for the company and up from £340 million in 2017.
Net profit, which came in at £295 million for 2018, also recorded a significant jump of 90% when comparing with the previous year. EBITDA also jumped by 95%, climbing from £202 million in 2017 to £394 million in 2018.
According to the statement released by Plus500 “the strong results were in part driven by an “exceptional” first quarter, which was largely thanks to an uptick in cryptocurrency trading”. Also during 2018, Plus500 stock was officially listed on the FTSE 250 on 1st September.
Plus500 did see a drop in performance during the third quarter with the new regulation from the European Securities and Markets Authority(ESMA) on 1st August. Plus500 remained confident in its ability to bounce back in the last 3 months of the year.
Plus500 admits that it will not be able to increase their profits at the same rate. In fact Plus500 believes that both revenue and profit for 2019 will be lower than the current market expectations. This is due to the ESMA regulations and Plus500’s commitment with their marketing strategy.
Plus500 intends to offset this by diversifying its global reach that should allow the company to diversify come revenues outside of Europe the statement said.
Plus500 has started off 2019 with good KPIs. The online broker’s new customer and active customer numbers of new trades opened, are ahead of expectation of 2018.
Commenting on the result – Asaf Elimelech the CEO of Plus500 said: “We are pleased to report a year of record numbers and performance, well ahead of our original expectations. These results demonstrate both our strong operational performance and differentiation from our industry peers”.
“Our focus on innovation and technology leadership continues to deliver benefits, through the acquisition of New Customers and the continued activity and increasing loyalty of existing ones, evident in the continued downward trend in customer churn”.
“It was a momentous year as we successfully completed our move up to the premium listing segment of the Official List and to trading on the London Stock Exchange’s Main Market for Listed Companies, with the subsequent inclusion in the FTSE250 – barely five years since our successful AIM IPO. This listing is already increasing interest in Plus500 and we expect it to further improve the trust and confidence of investors.”
According to another source, Plus500 also revealed that it has appointed Steven Baldwin a current non-executive director of the company to Chair the Company’s Nomination Committee. Daniel King who has been the Chair of the Nomination Committee up until now and will remain as a member of the committee. Source: Pete Townsend – Whichbroker.com