Plus500 flags stronger full year after solid first half

Plus500 announced a strong set of interim results on Monday, with significant financial growth, as it lifted its full-year expectations.

The FTSE 250 company reported an 8% increase in revenue year-on-year, reaching $398.2m, up from $368.5m in the first half 2023.

That growth was fuelled by a rise in trading income and customer activity, with customer income climbing 8% to $329.4m.

Group EBITDA grew 6% to $183.9m, maintaining a strong margin of 46%, while basic earnings per share jumped 18% to $1.90, reflecting improved profitability.

Plus500 said its cash reserves surpassed the $1bn mark for the first time, underlining its solid financial position.

The firm announced additional returns totaling $185.5m, comprising $110m in share buybacks and $75.5m in dividends.

Those returns brought the total for 2024 to $360.5m.

Plus500 said it continued to make strategic strides in key markets, particularly in the United States, where both its B2B and B2C operations were performing strongly.

It said it remained confident in the company’s outlook, projecting that full-year 2024 results would surpass current market expectations.

Looking ahead, Plus500 said it was aiming to capitalise on substantial market opportunities, leveraging its strong balance sheet, innovative technology, and expansive customer base of over 27 million registered users worldwide.

The company’s strategic focus included expanding into new markets, launching new products, and enhancing customer engagement, positioning it for sustained growth and value creation.

“Plus500 has delivered strategic, operational and financial progress during the first half of 2024, and I am proud of what we have achieved,” said chief executive officer David Zruia.

“We continue to be guided by our strategic ambitions - to expand into new markets, develop new products and deepen engagement with our customers.

“We delivered growth in revenue and EBITDA, continued to expand our geographic footprint, developed innovative new products and, as a result, saw an increase in new and active customer numbers year-on-year.”

Zruia said Plus500 remained strategically well-positioned to capitalise on both short-term market conditions and the medium-term growth trends in its end markets.

“The proprietary nature of our technology is what differentiates Plus500, creating an exceptional experience for our customers.

“Thanks to our strong fundamentals and highly robust financial position, we are delighted to announce today significant additional shareholder returns of $185.5m and we expect full-year 2024 results to be ahead of current market expectations.”

At 0819 BST, shares in Plus500 were up 3.54% at 2,518p.

Reporting by Josh White for Sharecast.com.