|
Plus500 Ltd on Tuesday said it performed in line with expectations in 2022, despite seeing lower levels of trading activity across financial markets as the year drew to a close.
The London-based multi-asset fintech group, which operates proprietary trading platforms, said trading volumes were hurt by the FIFA World Cup, consistent with previous World Cup tournaments.
Still, annual revenue grew 16% to about $832 million from $718.7 million in 2021. Customer income, a key tracker of Plus500’s underlying performance, fell 9.1% to $639 million in 2022, from $702.8 million in 2021.
But punters lost more money last year. Customer trading performance contributed $193 million in revenue to Plus500, surging from just $15.9 million in 2021. Over time, the company expects money from betting to contribute in a ‘broadly neutral’ way. Plus500 took on 106,000 new customers during 2022, a slowed growth from 196,336 in 2021.
Earnings before interest, tax, depreciation and amortisation rose 17% to $454 million from $387.1 million. This was despite active customers falling to 280,000 from 407,374.
‘Plus500 further deployed its strategic roadmap in financial year 2022, and executed against its global expansion plans, by completing the acquisition of a regulated entity in Japan, for which integration plans are progressing well. Over time, this will enable the group to access the substantial Japanese trading market, where Plus500 will apply its considerable technological capabilities and financial strength to build its market position,’ the company said.
It added that it continues to invest in product development, such as ongoing recruitment at its research & development centres in Israel.
Meanwhile, the company reported cash of $900 million at the end of 2022, up 20% from $749.5 million a year earlier.
Looking ahead, Chief Executive Officer David Zruia said: ‘We continue to diversify and develop our business as a global multi-asset fintech group, supported by on-going growth investments in a number of areas, ensuring Plus500 remains well-positioned to deliver sustainable growth over the medium to long-term.’
Plus500 will release its 2022 results on February 14.
Plus500 shares were 2.1% higher at 1,746.00 pence each in London on Tuesday morning.
By Tom Budszus, Alliance News reporter
Comments and questions to newsroom@alliancenews.com
Copyright 2023 Alliance News Ltd. All Rights Reserved.
|
