XTB Doubles Active Clients Base and Witnesses Revenue Up 10% YoY in 2023

XTB, one of the largest stock exchange-listed FX & CFD brokers, has posted preliminary financial results for 2023, reporting newly added active clients of 311,971, a 51% surge. The company’s net profit increased by 3% year-on-year (YoY) to PLN 791.3 million, despite market volatility and inflationary pressures.

XTB reported a 10% YoY increase in revenues to PLN 1,588.2 million. The driving forces behind this growth were the heightened volatility of the financial and commodity markets as well as a significant increase in the number of clients. XTB’s CFD contracts traded increased by 16.5% YoY, with the volume of trades amounting to 7,416,500 lots. It is worth noting that the profitability per lot was PLN 214, slightly lower than the PLN 227 of the previous year.

The fourth quarter of 2023 was characterized by an outstanding 127.7% YoY growth in revenues to PLN 493.6 million. This growth was driven by improved profitability per lot and increased client turnover, especially in CFD instruments. 

In terms of revenue sources, index-based CFDs led the way, accounting for 47.8% of total revenues. Commodity followed with 39.9% and currency-based CFDs with 10.1%. This shift in revenue distribution reflects the profitability of instruments related to indices such as the US 100, German DAX, and US 500, as well as commodities such as natural gas, gold, and oil.

Operating costs amounted to PLN 693.6 million in 2023, a significant increase of PLN 135.0 million compared to the previous year. This increase was mainly attributable to increases in remuneration, marketing expenses, and external services. Despite the increase in costs, XTB's client base continued to thrive, with a record number of 311,971 new clients, an increase of 58.5% compared to the previous year.

In 2024, XTB's goals include the introduction of social trading, which provides clients with the opportunity to follow and learn from other users' investment strategies. The company's board of directors is aiming to acquire 65,000-90,000 new clients per quarter, with a strong start in January, acquiring 27,300 new clients.

(Source: Finance Magnates)