XTB's Revenue for Q3 2023 Sees 29% YoY Decrease

XTB has released its preliminary financial and operational results for the third quarter of 2023 (Q3 2023), showing a decline in revenue and net profit due to lower market volatility. The company's consolidated revenues were also affected, falling 29.5% year-on-year (YoY) from PLN391.3m to PLN275.7m.

The main reason for this decline was lower profitability per lot, which fell from PLN 245 to PLN 137. However, this was offset by a surge in active client numbers (up 47.1% YoY). As a result, the trading volume of XTB's CFD instruments soared from 1,594,600 lots in Q3 2022 to 2,011,500 lots.

Commodity-based CFDs played a dominant role in Q3 2023, accounting for 47.7% of total revenues from financial instruments. XTB explained that these CFDs were particularly lucrative as they were based on commodities such as oil, gold, and wheat.

This was closely followed by indices-based CFD instruments, which contributed 25.4% of total revenues, with US equity indices including the US 100 and US 500 leading the category. CFDs based on currency pairs accounted for 22.2% of total revenues, with the most profitable pairs being EUR/USD, USD/JPY, and GBP/USD.

In addition, XTB's customer base witnessed growth. Since the beginning of the year, the online investment platform has gained 234,704 new customers. This is a 60% increase from last year's 145,826 new customers.

(Source: Finance Magnates)