Plus500 driven by new, active customers in record 2017

Plus500 has cited an increase in new and active customers as the main reason behind a record year of revenue growth in 2017.

Revenue for the 12 months to December 31 came in at $437.2m (€350.5m), up 33% on $327.9m in the previous year.

Earnings before interest, tax, depreciation and amortisation (EBITDA) increased 72% year-on-year to $259.2m, with an improved margin of 59.3%.

Elsewhere, net profit was up 70% from $117.2m in 2016 to $199.7m in the past 12 months, with year-end net cash jumping 77% from $136.5m to $241.8m.

Active customers hiked 103% to 317,175, while the number of new customers at Plus500 was also up 136% to 246,946.

The preliminary results posting comes after Plus500 last month said it expected to post better-than-expected revenue and profit for the past year.

Asaf Elimelech, chief executive of Plus500, said: “We are pleased to announce record annual results which have demonstrated the significant operational leverage inherent in our business model.

“Our continued focus on serving our customers' trading needs through product innovation and technology leadership, combined with our successful marketing activity, has led to strong new customer sign ups, reduced churn in the second half and increased customer activity.

“We are confident we can continue to develop our business and expand into new markets whilst successfully incorporating regulatory changes with minimal disruption.

“Our strong balance sheet, cash generative business model, geographic diversification and competitive market position are expected to enable us to provide strong shareholder returns despite continuing short term regulatory uncertainty.”

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