By Yamini Kalia (Reuters) -Online trading platform Plus500 forecast full-year revenue ahead of market consensus on Monday, helped by a significant expansion of its client base and financial market
Plus500 Predicts Revenue Growth in 2024 Amid Client Surge
By Yamini Kalia
(Reuters) -Online trading platform Plus500 forecast full-year revenue ahead of market consensus on Monday, helped by a significant expansion of its client base and financial market volatility.
Israel-based Plus500 offers equity, commodity and options trading services and is active in more than 60 countries. It has invested heavily in new products and geographies, while Middle East geopolitics, U.S. elections in November and Federal Reserve interest rate cuts have added to market volatility.
CEO David Zruia told Reuters that there had been a peak in trading activity during the U.S. elections with Trump's presidency expected to lead to increased research volumes, market traffic and trading activity.
CFO Elad Even-Chen said the company was also looking at new target markets, pointing to Asia. It has already received licences this month to trade additional products in the United States and the United Arab Emirates.
Shares of the FTSE 250 company hit a record high of 2750 pence in early trading before reversing course to stand 1% lower at 1100 GMT.
"The shares have had a very strong run over the last 12 months, so I suspect...there is a small amount of profit taking," said Panmure Liberum analyst James Allen.
More than 36,000 new members signed up in the fourth quarter of 2024 - a 45% increase over the previous quarter and the highest addition since the second quarter of 2021.
Revenue for the year ended Dec. 31 is seen at around $768 million, against a company-compiled consensus of $724.5 million.
(Reporting by Yamini Kalia in Bengaluru; Editing by Sumana Nandy, Kirsten Donovan)
