This Tuesday Plus500 Ltd has reported a record year, with a sharp rise in profit and revenue ahead of expectations. Also the broker has announced its preliminary unaudited results for the year ended 31 December 2018, stating that the company set a new record in terms of financial performance.
Plus500 was founded in 2008 in Israel and now operates numerous entities around the world through Cyprus, UK, Australia, Singapore and more. Plus500 is a trademark, operated under Plus500 Ltd which comes under the jurisdiction of the several regulators and including Cyprus CySEC, UK’s FCA, Australian ASIC and MAS in Singapore. Hence, the broker is eligible to offer Contracts for Difference (CFDs) and various underlying products through the application of strictest guidelines of trading performance set by various regulatory bodies. You can read our full Plus500 review here.
Among the major achievements Plus500 broker mentiones the record revenues and profits in the year driven by cryptocurrency trading volumes. Also, the revenue was up by 65% to $720.4 million (FY 2017: $437.2 million). Although the company did see a drop in performance during the third quarter, with the implementation of regulation from the European Securities and Markets Authority (ESMA) on August 1, 2018, Plus500 remained confident in its ability to recover in the final quarter of the year. The company also grew its EITDA by 70.2% as compared to 2017s 59.3% growth, which was supported by its revenue numbers. Another major achievement for the company was its positive balance sheet, which carried no debt, and its impressive 98% cash conversion ratio. And the last, but not least, are the decent amounts paid out as cash dividends to shareholders as well as the fact that the company continues to generate free cash flow at a fast rate.
Commenting on the results, the Chief Executive of Plus500, Asaf Elimelech said: “We are pleased to report a year of record numbers and performance, well ahead of our original expectations. These results demonstrate both our strong operational performance and differentiation from our industry peers,”.