Plus500 reports record March-quarter revenues – up 207%


Increase of 207% in revenues to $60.7m in Q1 2014 up from Q1 2013 at $19.7M

Plus500’s March-quarter revenues were up 207% to $60.7M, while its number of new customers gained 63% to 20,124. Its number of active customers increased 48% to 50,438. March-quarter revenues in 2013 came in at $19.7M, and in 2013 they gained 12,356 new customers. Overall, Plus500 shows very strong growth in Q1 year over year.

Plus500 said as a result of its strong start to the year it expected to exceed current market expectations for both revenue and profit for the year ending 31 December 2014.

Early Wednesday morning, after the 1st quarter numbers were released, shares in Plus500 Ltd (LON:PLUS) were up nicely trading at 638.46 +25.96 (4.24%). Investors should be happy as the company stated: “The Board can look ahead with strengthened confidence and reaffirms its commitment to pursuing a progressive dividend policy.”

Plus500 said it had continued to experience significant growth, as highlighted in its maiden FY results in February. In FY 2013, Plus500 generated $115.1 million in revenue, which represented an increase by almost twofold compared to 2012, when the company generated $56.1 million in revenue. As stated earlier, the company believes with the strong start to 2014, they will exceed FY 2014 revenue and profit expectations.

Plus500 believed this performance was underpinned by a combination of its growing brand awareness in its core markets coupled with the ongoing delivery of successful online marketing and affiliate programs.

“Customer growth continues to increase with more than 50,000 active users trading across our platform,” the company said.

Plus500 continued to see strong growth across Europe, especially in the UK, where it is now amongst the top five online CFD trading providers.

It also continued to make progress in other key growth territories, including Australia, where its brand and profile is strengthening. The Company believes that the ongoing improvement in the brand’s strength is a significant contributor to its continued ability to attract new customers at an attractive cost.

The company also benefited from market volatility and a buoyant Initial Public Offering (‘IPO’) market across Europe and in North America during the period.

To accommodate for these new IPOs, the Company, using its proprietary technology, added a number of new CFD instruments to the platform, which has supported both new customers sign ups and revenue from existing customers.

Key customer and revenues metrics for the three months ended 31 March 2014 were as follows:

500metrics

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Plus500 reports record March-quarter revenues - up 207%

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