Plus500 sees sell-off after quarterly update

The price of shares in contracts-for-difference specialist Plus500 (LON:PLUS) has plunged 29.86% to 504.60p (as of 15:05 BST) as revenues for the three months to 31st March were 65% below the prior quarter. Subdued market conditions led to the drop despite the company continuing to add customers.

CEO Asaf Elimelech commented: “Given the level of global political and economic news, financial markets were surprisingly subdued in the period, which reduced the number of trading opportunities for customers. While revenue in the quarter was disappointing, we have much to be encouraged about. Plus500 continued to lead the industry in new customer acquisition, both in absolute numbers and in the efficiency of the marketing spend. Given recent regulatory changes, it is imperative to attract, engage and retain valuable customers and the Company is working on a number of initiatives to extend its reach and further improve the customer experience and the service offered“.