Plus500 Ltd, an online service provider for CFD trading, has released trading updates and reported a sustained increase in market volatility and customer trading activity in Q2 2020.
08 June, 2020 | AtoZ Markets – Plus500 Ltd is a global service provider that offers contracts for difference (CFDs) trading platform. The company allows CFD trading of over 2,200 different financial instruments including stocks, indices, commodities, options, ETFs, cryptocurrencies and forex. The company was founded in Israel in 2008 and is listed on the London Stock Exchange.
Plus500 Customer Income Revenue Remains at Record Levels
Plus500 Ltd continues to publish positive updates on its recent performance. It reported record levels of customer trading activity in fluctuating markets.
Plus500 has added 100,574 new customers since the start of the Q2 2020. It has already exceeded the forecast for the entire quarter. 82,951 new customers added in Q1 2020. The company said financial, and operational KPIs remain strong. Its operation has turned positive, as interest in the trading market has risen sharply, and a wave of new traders entering the trading market for the first time. David Zruia, Interim Chief Executive Officer, said:
"We are pleased the business has continued to generate record levels of Customer Income, added over 100,000 new customers so far in Q2 and has materially grown the net client deposits balance to almost half a billion dollars.
Customer revenues have reached $249 million in Q2. So far, total revenue for Q2 until 05 June was $122.5 million. It significantly increases the net customer deposits, currently around $488.4 million. It is triple the level of 31 December 2019. However, its revenues dropped almost 65% in Q1 2019. David Zruia also said:
"We have consistently stated that Customer Trading Performance2 is subject to significant market movements and is therefore likely to fluctuate. This is magnified during periods of heightened market volatility such as those we are currently experiencing and given the growing scale of the business. Nonetheless, we continue to expect this performance to revert to a medium-term historic level of near-zero and our outlook for the year remains unchanged."
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