Plus500 forecasts revenues of $354m for FY19
The brokerage expects to report revenue and EBITDA for the year of approximately $354 million and approximately $190 million, respectively.
Online trading company Plus500 Ltd (LON:PLUS) has earlier today issued a trading update for its financial year to end-December 2019.
The brokerage expects to report revenue and EBITDA for the year of approximately $354 million and approximately $190 million, respectively. The Board notes the improvement in performance in the second half of the year compared to the first half.
Let’s recall that, in the first half of 2019, Plus500 posted net profit of $51.6 million, down 80% from the $261.7 million registered in the equivalent period in 2018. Revenues in the first half of 2019 amounted to $148 million, down 68% from $465.5 million registered in the first half of 2018. The company blamed the drop on the low volatility within the first quarter of 2019.
In the third quarter of 2019, the Group’s revenue was $110.6 million, up 10% from the same period last year when the revenues amounted to $100.1 million. Plus500 attributed the rise to geopolitical events in the quarter, with the heightened activity reflected in trading patterns.
Further detail on Plus500’s performance, and outlook are set to be provided in the Group’s preliminary results for the financial year ended December 31, 2019, which will be issued on February 12, 2020.
Asaf Elimelech, Chief Executive Officer of Plus500, commented:
“We finished the year in good financial and operational shape following a period of change for the industry, which has provided a more certain regulatory outlook for Plus500. I am encouraged by the momentum we have shown in the second half, reflecting continued optimisation of our marketing spend, enhancements to our customer service, and improvements in our proprietary technology platform. Looking to 2020 we are confident of the prospects for the Group as we focus on further strengthening our customer offering and market positions.”