Plus500 Ltd has shared good news about its profitability and user growth. In the third quarter of 2024, the company’s income went up by 11 percent to $187.3 million, and the number of new customers grew by 21 percent compared to last year.

The company’s EBITDA also grew to $82.2 million, a 2 percent rise from last year. However, the EBITDA margin fell slightly from 48 percent to 44 percent as the company focused on new markets and products.

David Zruia, the Chief Executive Officer of Plus500, stated that revenue and EBITDA went up this quarter, with an 11 percent increase in revenue and a 2 percent rise in EBITDA. This reflects the firm’s efforts to attract new customers, which resulted in a 21 percent jump in new customer numbers compared to the same time last year.

Customer Trading Activity Increased To 14.5 Million Trades

Customer trading went up as well, with total trades hitting 14.5 million, an increase from 10.1 million trades in the third quarter of 2023. The company’s active customer count grew to 120,968, a 2 percent rise. Average deposits for each active customer increased by 17 percent to $6,150.

The Average Revenue Per User (ARPU) also improved, growing by 9 percent to $1,548 in the third quarter of 2024, while the Average User Acquisition Cost (AUAC) rose to $1,527. Currently, CMC Markets ranks high in these numbers.

Zruia noted that the Group is set to benefit from both short-term and long-term market trends, as shown by the strong performance in 2024 so far.

Plus500 kept a strong financial position with cash reserves of over $950 million, even after giving out about $75 million in dividends and spending $53 million on share buybacks.

In the UAE market, where Plus500 got a license in 2023, the company is focusing on growth. Plans are also in place to expand product offerings in Japan with new asset types and trading products.

The company expects that its performance for the full year 2024 will meet recently raised market forecasts.

The company Rolled Out A New $110 Million Share Buyback Program In August

In August, Plus500 launched a new share buyback program worth up to $110 million, following a $100 million buyback completed in February. This is part of a larger $185.5 million return plan for shareholders.

The company regularly buys back shares to boost shareholder value and manage extra cash efficiently. For public companies, share buybacks can have tax advantages, improve financial ratios, and help manage ownership.

The firm said the new share buyback shows its strong finances, cash-generating ability, and aim to keep returning value to shareholders.

The program allows Plus500 to buy up to 5,694,522 shares on the open market, managed by Panmure Liberum Limited under set rules, without Plus500’s or its board’s discretion.

The buyback will run until March 31, 2025, allowing the company to buy shares during certain closed periods if needed.