Polish broker XTB () has published its preliminary financial results for the third quarter of 2019 this Monday, revealing a solid performance during the period.
It appears the XTB is starting to recover product intervention measures, with the broker reporting a net profit of PLN 15.51 million for the third quarter. This is higher than the net loss of PLN 2.90 million reported in Q3 of 2018.
During the quarter, consolidated revenues came in at PLN 61.0 million. This represents a growth of 28.2 per cent from the PLN 47.6 million consolidated revenues recorded in the third quarter of last year.
XTB sees a record amount of new customers
The solid financial performance was driven by a record number of new customers joining the broker. During the period, 10,042 new customers joined. This is stronger by 105.6 per cent year-on-year and 8.6 per cent on a quarterly comparison.
The average operating income per active client in the third quarter was PLN 22,000. However, when measuring this against the same period of 2018, which had an average operating income per active client of PLN 23,000, Q3 of 2019’s figure has fallen slightly by 4.3 per cent.
Taking a look at contracts-for-difference (CFD) trading, the broker also managed to achieve a year-on-year uptick in the third quarter with total CFD revenue coming in at PLN 59.93 million, which is up 26.76 per cent year-on-year.
Contributing the most to revenues, were currency CFDs, with the instrument class contributing to 51.6 per cent of total CFD revenue, as opposed to a 22.0 per cent contribution in Q3 of 2018.
According to the report, the surge in currency CFD trading was driven by XTB clients’ high interest in trading CFDs on the EUR/USD currency pair. In particular, the revenue generated by currency CFDs was PLN 31.13 million.
Shares spike following prelim results
Following the release of XTB’s preliminary results, the broker’s stock jumped as high as 12.04 per cent. As of the time of publishing, the firm’s stock has increased by 9.57 per cent.
However, despite the broker reporting a solid performance in the third quarter of this year, the Polish firm is currently under investigation by local regulators for the matter of XTB’s ‘asymmetric slippage’. For more on this developing issue, take a look at .
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