Plus500 investors in line for fresh $100m payout as online trading platform unveils bumper 2022 profit
- New $70m share buyback announced alongside final dividend of $30m
- Pre-tax profit surged 23% to $474m, revenues up 16% to $832.6m in 2022
- Active customers fell 31% to 280,769, but deposits grew to $2.3bn from $2.1bn
Plus500 investors are in line for an extra $100million (£82.3million) payout after the online trading platform revealed bumper profits for 2022.
The FTSE 250-listed Israeli firm told investors it would begin a new $70million share buyback programme, in addition to dishing out a final dividend of $20million and a special dividend of $10million.
The extra payouts announced today take total returns to shareholders in 2022 to $270.2million (£222million).
Bumper payouts: Plus500 said it will have handed out a total of $270.2m to investors in 2022
Plus500 reported a 23 per cent rise in pre-tax profit to $474million (£390million) for the last year, as revenues surged 16 per cent to $832.6million (£685million).
The company lets investors trade on complex financial instruments such as contracts for difference (CFDs) through its website and mobile app,
Chief executive David Zruia hailed an ‘excellent’ set of results, which he said were ‘well ahead’ of market expectations.
‘Our performance was again driven by Plus500’s unique proprietary technology stack proposition, which underpins our on-going ability to attract and retain higher value customers over the long term,’ he added.
The meteoric rise in online trading during the pandemic has boosted platforms like Plus500, and while some of these companies have recently seen a slowdown, Plus500 continues to do well, despite a drop in customer numbers.
Active customers fell to 280,769, from 407,374 in 2021, but the company said it was was boosted by ‘higher value, long term customers’, with customer deposits increasing to $2.3billion from $2.1billion.
The average deposit rose to a record high of around $8,000, from $5,000 in the year before.
Customer trading performance – or how much it makes on customers’ trading positions – jumped by a massive 1,110 per cent to $193million, from $16million in 2021
Mr Zruia said the company was now looking at growth opportunities, particularly in the US.
‘We are in an extremely exciting strategic and commercial position, with multiple potential growth opportunities available, particularly in the US futures market, which will continue to drive our growth as a global multi-asset fintech group,’ he told investors.
Plus500 shares surged 1.3 per cent to £19.32 in morning trading on Tuesday. They have risen by more than 26 per cent over the last year.
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