XTB’s weakest quarter since 2021. Results below expectations

Dom Maklerski XTB initially estimates that it recorded PLN 50 million in net profit in the fourth quarter, which means a decrease by 27.1 percent. rdr, the company said in a statement. Analysts polled by PAP Biznes expected PLN 136.7 million net profit.

Operating profit in the fourth quarter of 2022 decreased by 29.4 percent. yoy to PLN 58.5 million. The market expected PLN 175.7 million of operating profit. The net profit of PLN 50 million turned out to be the weakest since Q2 2021, when the company recorded a loss.

Operating income in the fourth quarter increased by 18.1 percent. to PLN 216.7 million. The consensus forecasted revenues of PLN 314.6 million.

Throughout 2022, the net result increased by 222 percent. YoY to PLN 765.7 million, and operating profit increased by 219.9 percent. to PLN 885.7 million. Revenue increased by 130.9 percent. to PLN 1,444.2 million.

XTB’s operating costs amounted to PLN 158.2 million in the fourth quarter, compared to PLN 100.7 million a year earlier, and increased to PLN 558.6 million from PLN 348.8 million in the entire year.

“Due to the dynamic development of XTB, the management board estimates that in 2023 the total operating costs may even be at a level higher by about a quarter than what we observed in 2022.” – it was written.

The company announced that the management board’s priority is to further increase the customer base and build a global brand. Marketing expenditures may increase by about one-fifth compared to the previous year.

“The final level of operating expenses will depend in particular on the rate of employment growth and the amount of variable remuneration components paid to employees, on the level of marketing expenses, on the pace of geographical expansion to new markets and on the impact of possible new regulations and other external factors on the level of revenues generated by the group ” – it was written.

As reported, the group acquired 51,038 new customers in the fourth quarter, compared to 42,760 a year ago. Throughout 2022, the group acquired 196,864 new customers compared to 189,187 a year earlier (an increase of 4.1% yoy).

In 2022, the number of active customers increased by 35.9 percent. yoy to 258.8 thous. According to the company, this translated into a significant increase in the trading volume of clients on CFD instruments expressed in lots – an increase from 4.1 million to 6.4 million lots, i.e. by 55.1 percent. y/y

“The ambition of the management board in 2023 is to acquire on average at least 40-60 thousand new customers per quarter” – it was written.

As added, in January 2023, the group acquired a total of 42.3 thousand. new customers.

The company informed that taking into account the criteria set out by the Polish Financial Supervision Authority in its position of December 6, 2022, in particular with regard to the level of the total capital ratio and the BION assessment, in 2023 it is possible to pay dividends by XTB in the maximum amount of up to 75%. profit for 2022. (PAP Biznes)

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