Plus 500 2015 interim results

DividendMax Ltd.

Plus 500 2015 interim results

Financial Highlights:

Revenues up 20% to $127 million (H1 2014: $106.2 million)

EBITDA1 down 23% to $55.5 million (H1 2014: $72.0 million)

EBITDA margin down 35% to 44% (H1 2014: 68%)

Net profit down 25% to $40.6 million (H1 2014: $53.8 million)

Earnings per share decreased 26% to $0.35 (H1 2014: $0.47)

ARPU down 14% to $1,362 (H1 2014: $1,580)

Operating cash flow down 58% to $26.2 million (H1 2014: $62.9 million)

Total dividend pay-out of $65 million (H1 2014: $33m)

Net cash down 17% to $95.5 million (H1 2014: $115.2 million)  

Operational Highlights:

Notwithstanding the impact of UK regulatory matters, the Group has performed well over the period, following a record performance in 2014

o Continued growth in Active Customers2 - increased 39% to 93,267 (H1 2014: 67,232)

o Continued growth in New Customers3 - increased 60% to 52,217 (H1 2014: 32,673)

 The Group has become the subject of increased scrutiny from regulators in the jurisdictions in which it is licensed and has received various requests for information

Mobile and tablet adoption have continued to grow and now represent 65% of all subscribers 

Gal Haber, Chief Executive Officer of Plus500, commented:

"Despite the disappointing regulatory setback in the second quarter, the Group was profitable in every month in the first half and our business model continued to be cash generative. Our easy to use and robust platform continued to attract new customers and encourage active customers.

"Whilst the Group has been the subject of a high level of regulatory scrutiny, we have made significant progress in enhancing our compliance and onboarding processes in line with the recommendations of our regulatory advisors. 

Looking ahead, Q3 has started strongly, and as a result the Board now expects revenues to be ahead of 2014 and previous market expectations.

"In June we announced that we had reached a merger agreement with Playtech; this has now been approved by both sets of shareholders. The transaction is expected to complete by the end of September, subject to certain conditions being satisfied."

Companies mentioned