Plus500, an online CFDs broker, today released a trading update for the three months ended 31 March 2021. The broker reported $203.2 million in revenue during the first three months of 2021, which is a significant jump of 121% compared to Q4 of 2020.
According to the official announcement, the number of active clients reached 269,743 in Q1 of 2021, compared to 215,305 in Q4 of 2020. The broker also onboarded 89,406 new clients during the last quarter, compared to 50,314 in Q4 of 2020.
The company’s EBITDA reached $121.7 million in Q1 of 2021, compared to $19.9 million during the fourth quarter of 2020. Additionally, Plus500 highlighted the share buyback program during the first three months of 2021.
Commenting on the latest announcement, David Zruia, Chief Executive Officer of Plus500, said: “Plus500 delivered an excellent performance during Q1 2021, building on the positive momentum achieved in 2020. This performance has been driven by the strength and agility of our technology and its ability to respond rapidly to market developments, news events, and customer requirements.”
Plus500 recently proposed the appointment of Professor Jacob A. Frenkel, a well-known global economist, as Chairman of the company’s Board of Directors.
Outlook
Plus500 mentioned that the Board is confident about the company’s performance in FY 2021. The broker is expecting revenue and EBITDA to be moderately ahead of the forecasts. In addition, Plus500 highlighted the newly implemented retail CFD trading regulations in Australia by ASIC. The company’s Board believes that the impact is already incorporated in consensus forecasts.
"Our vision is to enable simplified, universal access to financial markets, as we start to evolve from a technology company solely focused on CFDs to a Multi-Asset Fintech group over time. We aim to achieve this by accessing multiple growth opportunities, through organic investment in our technology and targeted acquisitions. We are already making progress in delivering this vision, as highlighted by Plus500's excellent performance so far this year. With this progress in mind, and with a market environment that continues to provide compelling trading opportunities for our customers, we remain confident about the outlook for the business," Plus500 CEO added in the official announcement.
In December 2020, Plus500 extended sponsorship of Spanish football club Atlético de Madrid for the 2021/2022 season.
