Plus500 Expects 74% YoY Jump in Q4 2021 Revenue

Plus500 has issued a trading update on Monday, showcasing its performance expectations for the fourth quarter of 2021 and the overall year. The company is expecting to close the yearly books with approximately $718 million in revenue, out of which around $160 million is expected to be generated in the final quarter.

Though the expected Q4 revenue is 24 percent lower than the actual figures of the previous quarter, it gained by more than 74 percent from the last quarter of the prior year.

Impressive Customer Activity

Additionally, the broker is expecting to generate approximately $166 million from customer income in the last three months of the year. This, according to the company, was driven by a consistently high level of customer trading activity. It added approximately 33,000 new clients in Q4, taking the total active client figure of the quarter to around 171,000.

Moreover, it is expecting the yearly customer trading performance to be around $16 million.

With the strong expected yearly jump in the quarterly revenue, the London-listed broker is expecting the EBITDA to be around $71 million with the yearly figures at $387 million. The basic earnings per share is expected to be around $3.10.

“We are pleased to have delivered another strong year of financial performance, as well as making significant progress with our strategic and operational plans to strengthen our position as a leading global multi-asset fintech group,” said David Zruia, the CEO of Plus500.

“With the Group having further strengthened its positioning during 2021, the Board remains confident about the future for Plus500 and continues to expect that the Group will deliver sustainable growth over the medium to long term.”

Furthermore, the retail broker has been aggressively buying back its ordinary shares from the market since 2017 and has repurchased more than $211 million worth of its own ordinary shares. The ongoing buyback program will end in February, and the board will consider initiating another such program.