Plus500 report 25% drop in EBITDA

Plus500 saw its share price increase 0.4% to 1,473p in early morning trading on Monday, despite a reported 18% decline in revenue to $718.7 million against $872.5 million in 2020 and a 25% fall in EBITDA from $515.9 million to $387.1 million in 2021.

The company also saw a 33% loss in new customers with 196,336 new clients in 2021 compared to 294,728 in 2020.

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Plus500’s active customers fell 6% to 407,374 against 434,296 in 2020.

However, the FinTech group hit the milestone of 22 million registered customers in 2021, alongside a series of new acquisitions, including futures commission merchant Cunningham Commodities and technology trading platform provider Cunningham Trading Systems.

The company further announced the acquisition of Japanese firm EZ Invest Securities on 21 March in its slate of news this week, which sets Plus500 up for entry into the Japanese financial instruments market.

The firm announced a $120 million dividend, representing a total dividend of $1.1 scheduled for distribution on 22 July 2022.

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Plus500 noted the launch of proprietary share dealing platform ‘Plus500 Invest’ among its operational highlights, reporting a further roll-out for the project in 2022.

Plus500 said it currently expects sustainable medium to long term growth driven by the continued momentum of its underlying customer income.

“Plus500 delivered another excellent operational and financial performance in 2021 and we made significant progress with our strategic roadmap to develop our position as a leading global multi-asset fintech group,” said Plus500 CEO David Zruia.

“Our future growth will be delivered through continued development of our technology, particularly in relation to driving customer retention, successfully obtaining new operating licenses and launching new products.”

“These growth opportunities will be achieved by continued organic investments in our business and through additional acquisitions.”

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