Jiří Filip Press Release: XTB published its preliminary financial results for the first half of 2022. In this period, XTB achieved a net profit of EUR 103,4 million, which is 623,2% more than in the first half of 2021, but also 56,5% compared to the best result in the company's history in the first half of 2020, when the profit was EUR 66,1 million. Significant factors that affected the level of XTB's results were the persistent high volatility in the financial and commodity markets, caused, among other things, by the constantly tense geopolitical situation, and the systematically growing customer base.
In the first half of 2022, XTB made a net profit of €103,4 million, compared to a profit of €14,3 million in the previous year. Operating income recorded in the first half of 2022 reached EUR 180,1 million, representing an increase of 2021% compared to the first half of 238,4. Operating expenses, on the other hand, reached EUR 57,6 million (in the first half of 2021: EUR 35,9 million).
In the second quarter of 2022, XTB acquired 45,7 thousand clients, which, combined with 55,3 thousand new clients in the first quarter, represents a total of more than 101 thousand new clients as of the end of June. In both quarters, the company fulfilled its commitment to acquire an average of at least 40 new clients per quarter. In the second quarter of 2022, the total number of clients exceeded half a million and reached 525,3 thousand at the end of June. The increase in the average number of active clients is particularly worth mentioning. In the first half of the year, it reached 149,8 thousand compared to 105,0 thousand in the first half of the previous year and 112,0 on average during the whole year 2021. This was reflected in the increase in the volume of trading of CFD instruments expressed in lots - in the first half of the year it was recorded 3,05 million transactions compared to 1,99 million in the same period in 2021 (up 53,6%). The value of net client deposits also increased by 17,5% (from EUR 354,4 million in the first half of 2021 to EUR 416,5 million in the first half of 2022).
"Our half-year results show that we are maintaining the development trend in our business. We constantly reiterate that the basis of our strategy is to build a customer base and provide our customers with the highest quality technology and services. The systematic expansion of the customer base means that we are seeing an increase in the number of transactions and thus an increase in income. Continued market volatility translated into higher profitability in the second quarter,” says Omar Arnaout, CEO of XTB.
In terms of XTB income in terms of the instrument classes responsible for their creation, in the first half of 2022 the most profitable were index CFDs. Their share in the structure of income from financial instruments reached 48,9%. This is due to the high profitability of CFDs based on the US US100 index, the German stock index DAX (DE30) or the US US500 index. The second most profitable asset class was commodity CFDs. Their share in the revenue structure in the first half of 2022 was 34,8%. The most profitable instruments in this class were CFDs based on quotations of energy sources - natural gas or oil - but gold also had its share here. Forex CFD revenues accounted for 13,4% of all revenues, with the most profitable financial instruments in this class being those based on the EURUSD currency pair.
Operating expenses in the first half of 2022 reached EUR 57,6 million and were EUR 21,7 million higher than in the same period of the previous year (EUR 35,9 million in the first half of 2021). The most significant item was marketing expenses resulting from marketing campaigns that began in Q1 and continued in Q2. The development of the company is also related to the increase in employment, which was reflected in the increase in the costs of wages and employee benefits by 7,0 million. EUR
"Our good track record in acquiring new clients, together with expansion in many markets, confirms that XTB is on the right track among global investment companies. However, building a global brand requires intensive activities not only in the area of products and technologies, but also promotion in all markets where we are present. That is why we will continue with marketing campaigns promoting the investment solutions we offer and the tools that make it easier to enter the world of investments: from a platform created based on customer expectations, through daily market analyzes to numerous educational materials. Our activities are complemented by changes in the offer, which are a response to the changing market situation and customer expectations." adds Omar Arnaout.
