XTB Posts 121.3% QoQ Gain in Profits, Client Figures Hit Record

Poland-based Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term and CFDs broker, XTB has published its preliminary financial results for the first quarter of 2021, from January to March, showing a massive jump in income and profits over the previous quarter.

The broker generated a total income of PLN 186.7 million (around $49.45 million) in the first three months of the year, 33.4 percent up from Q4 of 2020 that brought PLN 139.9 million ($37.05 million). After expenses, the EBIT of the company stood at 77.1 percent higher at PLN 99.8 million ($26.43 million).

The most significant quarterly jump was recorded by the broker in net profits, which came in at PLN 89.1 million ($23.6 million), 121.3 percent higher than the previous quarter.

However, when compared to the first quarter of 2020, the latest numbers look grim. XTB recorded operating income for the Q1 of 2020 at PLN 306.6 million and net profits at PLN 175.9 million, making the latest figures lower by 39 percent and 49 percent, respectively.

Reporting Solid Growth for Many Quarters Now

XTB, like most of the other broker-dealers, gained a windfall in March 2020 that pushed its numbers astronomically higher for the quarter. The figures of the latest quarter show a solid growth trajectory in the business of the Polish broker when its performance is compared against the last few quarters.

Additionally, the preliminary results show that CFDs trading volume on the platform jumped by 39.3 percent quarter-over-quarter, while it added 67,231 new traders, which is 75 percent higher than Q4. Moreover, the average number of active clients on XTB increased by 43 percent.

The net client deposits with the broker remained at PLN 951.2 million for the quarter, which is much higher than Q4 of 2020 with PLN 619.7 million and Q1 of 2020 with PLN 454.3 million.

“The priority of the Management Board is to further increase the client base, leading to strengthen the market position of XTB in the world,” the broker stated in the report. Furthermore, XTB is expanding aggressively in non-European markets and is now focused on starting operations in the United Arab Emirates and South Africa.