XTB Posts Q1 Results, Revenues Decline Despite Growing Account Numbers

Polish publicly listed 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 brokerage XTB announced its preliminary results for the first three months of 2017. The company marked a decline in revenues in profits, but managed to onboard a much larger number of new clients and retained a higher number of active accounts when compared to a year ago.

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For the first three months of 2017, XTB posted a total of $15.1 million (PLN 58.7 million) worth of revenues. The figure is lower by 29 percent when compared to the same period of last year on a constant currency basis.

Although XTB posted lower revenues, the company also managed to cut operational costs to $9.43 million (PLN 36.6 million). The number declined when compared to last year by about 10 percent.

XTB’s operational profit amounted to $5.7 million (PLN 22.2 million), with the net figure reaching $2.74 million (PLN 10.6 million). The bottom line of the forex and CFDs brokerage was lower by over 66 percent when compared to the first three months of 2016.

Growing Account Numbers

On a positive note, the number of active and new clients of XTB increased materially in the first quarter of 2017 when compared to a year ago. While risk appetite declined and the higher number of customers did not result in higher client deposits, the prospects are here for an increase01 down the line, assuming that more volatile times return to the FX and CFDs markets.

The number of new accounts opened at XTB during the quarter was 13,280 which is more than double the amount registered during the first quarter of last year at 6,438. The average number of active accounts increased to 20,408 from 16,087 a year ago.

The amount of net deposits into trading accounts throughout the quarter was about $27.8 million (PLN 107.8 million). The figure is more or less flat when compared to the previous year.

Total trading volumes were a notch higher when compared to last year, marking a total of 540,082 lots versus 533,201 lots a year ago. The lot value used for Forex Trading Forex Trading Forex trading is the buying and selling of foreign currencies with the aim of generating a profit. The value of currencies, especially floating currencies, fluctuate to varying degrees. This constant volatility of exchange rates opens the door for speculators to invest in a certain currency against another. The Forex market is the world’s biggest and most liquid market, with over $5 billion turnover every single day, with the market being open 24 hours a day, 5 days a week.It goes without saying Forex trading is the buying and selling of foreign currencies with the aim of generating a profit. The value of currencies, especially floating currencies, fluctuate to varying degrees. This constant volatility of exchange rates opens the door for speculators to invest in a certain currency against another. The Forex market is the world’s biggest and most liquid market, with over $5 billion turnover every single day, with the market being open 24 hours a day, 5 days a week.It goes without saying Read this Term transactions is 100,000, while for other instruments the size varies.