Plus500 says total revenue for Q2 to date stands at $102.5m
Plus500 has added 100,574 new customers since the start of the second quarter, which is already ahead of company expectations for the entire quarter.
Online trading company Plus500 Ltd (LON:PLUS) continues to issue positive updates regarding its recent performance, with the latest such update posted today.
The broker reports that heightened levels of market volatility have persisted, and the company has continued to see record levels of customer trading activity. This is in line with previous updates. Performance across Plus500’s financial and operational KPIs remains strong, the broker explains, with the Group continuing to attract significant numbers of new customers.
Plus500 has added 100,574 new customers since the start of the second quarter, which is already ahead of its expectations for the entire quarter, and in excess of the 82,951 new customers added in the first quarter of 2020.
Revenue from Customer Income remains at record levels, with the company generating approximately $249 million in Q2 to date. However, in recent weeks (and more particularly, the week ended June 5, 2020), Plus500’s Customer Trading Performance for the year now represents a gain for customers and consequently total revenue for Q2 to date stands at approximately $102.5 million. The Board continues to expect Customer Trading Performance to be neutral over time, consistent with aggregate Customer Trading Performance representing an insignificant proportion of revenue over many years historically.
This Customer Trading Performance, along with the average deposit per Active Customer remaining strong, has resulted in a significant increase in the level of net client deposits which are currently approximately $488.4 million, three times the level as at December 31, 2019.
Notwithstanding the uncertainty regarding the duration of current levels of volatility or the unquantified potential impact from regulatory changes in Australia and the relatively early stage in Plus500’s financial year, revenue and profitability for the full year is currently expected to be in-line with consensus expectations.