Plus500 reports record half year revenues and profits 

Plus500 Ltd has issued today a report to inform in relation to the Interim Results for the six months ended 30 June 2016.

Financial Highlights:

Operational Highlights:

• Record first half results:

– Continued growth in Active Customers4 – increased 12% to 104,119 (H1 2015: 93,267)
– Continued growth in New Customers5 – increased 9% to 56,929 (H1 2015: 52,217)

• Increase in New Customers a record for H1 and substantially ahead of expectations:

– This has temporarily suppressed EBITDA margins and ARPU due to acquisition and onboarding costs being incurred prior to generating revenues from the New Customers
– These additional customers are expected to benefit revenues and margins going forward with an anticipated increase in ARPU from such customers
– Excluding the additional acquisition and onboarding costs, EBITDA margins were over 50%

• UK market share increased as a result of improved brand and product awareness
• Mobile and tablet adoption have continued to grow and now represent 68% of revenue
• The Group has made significant investment in compliance which is reflected in an improved regulatory culture throughout the Group

Current trading:

• Current trading in the third quarter to date has continued to be strong, benefitting from the New Customers delivering revenues, with improving margins

Asaf Elimelech, Chief Executive Officer of Plus500, commented:

“Plus500 achieved record first half results whilst continuing to grow both its Active and New Customers. This performance was driven by continued marketing activity and market volatility; the UK’s Brexit decision boosted customer activity in late Q2 – leading to increased New Customer sign ups, customer re-activations, and customer trading levels.

We have started the second half strongly as these New Customers deliver growth in revenues with an associated bounce back in margins. We are encouraged by the continuing levels of new and existing customer activity resulting from the market volatility and our own actions as we continue to invest in enhancing the business to deliver future growth.

Overall our expectations are unchanged – momentum is expected to continue, resulting in strong growth in 2016.”

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014

1 EBITDA – Earnings before interest, taxes, depreciation and amortisation.
2 ARPU – Average revenue per user.
3 Operating cash conversion – Cash generated from operations / EBITDA.
4 Active Customers – Customers who made at least one real money trade during the period.
5 New Customers – Customers depositing for the first time during the period.

Source: Plus500 – Interim Results for the six months ended 30 June 2016

 

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