Plus500 results bolster shares

Shares in FTSE 250 contracts-for-difference specialist Plus500 (LON:PLUS) has seen its share price increase by 1.52% to 1,400p (as of 15:35 GMT) after reporting a 146% rise in total revenues for the year ended 31st December. EBITDA also grew by 168% as the company recorded record levels of platform use.

CEO David Zruia commented: “2020 was an exceptional year for Plus500, in unprecedented market conditions, where we delivered a record performance due to the strength and agility of our technology and its ability to respond rapidly to market developments and news events. Our performance was supported by the commitment of our people who, in challenging circumstances, given the COVID-19 pandemic, ensured that our customers received a consistently high quality experience.

Our vision is to enable simplified, universal access to financial markets, as we start to evolve from a technology company solely focused on CFDs to a multi-asset fintech group over time. We aim to achieve this by accessing multiple growth opportunities, through organic investment in our technology and targeted M&A. Specifically, we aim to expand our CFD offering geographically, launch new trading products, introduce new financial products and deepen our engagement with customers to achieve growth in the coming years.

In addition, we will continue to invest in our business, with approximately $50m to be incrementally invested in R&D over the next three years, designated to develop new products and services, drive innovation and scale our technology, including the establishment of a new R&D centre in Israel.

Plus500 continues to operate in accordance with the applicable laws, global regulatory standards and industry best practices, and we remain very well placed to accommodate future regulatory changes, as and when they are implemented.

In an unprecedented market environment, where circumstances can develop very quickly, the strength of our technology ensures we remain very well prepared for future growth and, consequently, the Board remains confident about the outlook for Plus500“.