- Plus500 reported revenue of $168.1m for the three months ending September
- Online trading platforms have been struggling with quieter activity this year
Plus500 has maintained its full-year turnover and core earnings outlook, following a resilient result in the third quarter.
The financial technology firm reported revenue of $168.1million (£137.6million) for the three months ending September, a 5 per cent increase on the previous quarter, as well as a 10 per cent growth in earnings before nasties.
It said the performance was achieved against a backdrop of weaker trading volumes and volatility across international financial markets.
Expectations: Fintech firm Plus500 said full-year turnover and core earnings will exceed anticipations (Pictured: Young Boys footballer Jean-Pierre Nsame)
Online trading platforms have been struggling with quieter activity this year, having boomed during the pandemic and at the outset of the Russia-Ukraine war.
Plus500 has sought to expand its geographical presence, recently launching new trading platforms in the US and Japan, and winning a regulatory licence in the United Arab Emirates.
However, this has failed to prevent the company from seeing a downturn in business this year, with turnover on a nine-month basis around 24 per cent lower year-on-year at $536.6million.
Meanwhile, the firm’s customer trading performance – gains made on clients’ trading positions – plummeted from $216.7million to $42million, and its number of active customers has also fallen by about 45,000 to 205,343.
For the full year, analysts expect Plus500 to report $645million in revenue and core earnings of $300million, far below 2022 profits but still an upgrade on prior forecasts.
David Zruia, chief executive of Plus500, said: ‘Our consistent good performance is enabled, supported and progressed by our market-leading, proprietary technology, which is developed and maintained entirely by our highly experienced teams.
‘As a diversified, global business with a clear and proven strategy, Plus500 is well positioned to continue delivering strong results and attractive returns to its shareholders.’
Plus500 shares were 6.5 per cent, or 85p, up at £13.99 on Tuesday morning, making them the biggest riser on the FTSE 250 Index, yet they have declined by around 23 per cent over the past 12 months.
