12th Jul 2021 10:11
(Alliance News) - Plus500 Ltd on Monday said first half revenue and new customer numbers were down year-on-year, but remained substantially above pre-pandemic levels.
The Haifa, Israel-based online trading platform said revenue in the six months to the end of June was USD346.2 million, down from USD564.2 million posted for the first half of 2020, though up from USD148.0 million in the same period of 2019.
The FTSE 250-listed firm said marketing investment helped to onboard 136,980 new customers during the recent half year, down from 198,176 a year before but up from 47,540 two years before.
Customer income, a key underlying growth metric for Plus500, reached USD379.2 million, lower than USD556.9 million a year earlier but up from USD175.0 million in 2019.
Plus500 noted that its results reflect regulatory changes implemented in Australia during the period, the impact of which it is still assessing.
Overall, the company said it was in a "robust" financial position at the half-year point, with healthy cash balances based on strong earnings.
Chief Executive David Zruia said: "Plus500's excellent performance so far in 2021 was driven by the strength and agility of our technology and its ability to respond rapidly to market developments, news events and customer requirements."
In April, the company announced the acquisition of futures commission merchant Cunningham Commodities LLC, allowing for further expansion into the US market.
Following the year-end, the broker said it has launched its new share dealing platform, Plus500 Invest, with plans to expand the platform to a wider range of locations in coming months.
Plus500 said it remains confident about its performance during the remainder of 2021 and beyond.
Zruia added: "Supported by our continued success in accessing such growth opportunities in the future, through further investment in organic growth and additional bolt-on acquisitions to diversify our product portfolio and geographic mix, we aim to deliver growth and consistent levels of cash generation over the medium to long term."
Shares in Plus500 were trading down 0.3% at 1,363.50 pence each in London on Monday morning.
By Scarlett Butler; [email protected]
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