28th Apr 2025 09:09
(Alliance News) - Plus500 Ltd on Monday said it had made an "excellent start" to the year despite revenue and earnings falling year-on-year.
The Haifa, Israel-based contracts-for-difference trading platform provider said revenue fell by 4.5% to USD205.8 million in the three months to March 31 from USD215.6 million a year prior. It was 13% higher than USD182.8 million in the prior quarter.
Customer income rose by 4.0% to USD176.3 million from USD169.6 million a year prior, and by 2.6% from USD171.9 million in the previous three months.
Earnings before interest, tax, depreciation and amortisation fell 8.6% to USD93.8 million from USD102.6 million a year ago but rose 23% from USD76.2 million in the prior quarter.
Ebitda margin edged down to 46% in the quarter compared to 48% a year prior.
Chief Executive David Zruia said Plus500 has made a "strong start to the year".
"With the excellent start we have made in 2025, the board anticipates that the [full-year] 2025 results will be ahead of current market expectations."
Plus500 said the strong trading was driven by "recent macroeconomic and financial market conditions among other factors".
In response, shares in Plus500 were down 1.9% at 2,990.00 pence each in early trading on Monday in London.
Plus500 said new customer numbers dropped 16% to 26,897 in the quarter from 31,949 a year ago. Overall active customers are 3.1% lower at 130,514 compared to 134,745 a year ago.
Average revenue per customer was little changed at USD1,577, down 1.4% from USD1,600 a year ago.
Average deposit per active customer more than doubled to USD12,450 in the quarter from USD5,400 a year prior.
Plus500 noted that the contribution of the non-over-the-counter business to total revenue further increased to 12% in the first quarter from 10% in 2024, equating to revenue growth of 18% in the quarter.
The company anticipates that annualised revenue from the non-OTC business will reach USD100 million in 2025.
By Jeremy Cutler, Alliance News reporter
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