XTB Sees 256% QoQ Revenue Jump in Q3 2021

XTB, one of the largest stock exchange-listed retail FX & CFD brokerage group in the world, has published on Monday its financial results for Q3-2021, revealing an impressive rebound from its disappointing Q2 results. 

XTB announced revenue of PLN 196.6 million (USD $49 million) and a net profit of PLN 101.5 million ($25 million) in Q3, which is a significant improvement from the $14 million in revenue and a loss of $6 million the company has reported in Q2.

Taking a year-over-year perspective, the PLN 101.5 million net profit is much higher than PLN 68.4 million in the same period last year. Furthermore, its operational expenses totaled PLN 84.8 million, up from PLN 60.1 million in the third quarter of 2020. Additionally, XTB recorded over 38 thousand new clients, a huge growth over the 21 thousand reported in the third quarter of 2020, showing an 82.1 percent increase. In terms of the total revenue, it saw a 40.8% increase from last year's PLN 139.6 million to PLN 196.6 million of this year.

XTB said that the significant factor determining the level of revenues was a constantly growing client base combined with their high transaction activity noted in the number of concluded transactions in lots and in the nominal value of the realized turnover. As a consequence, the transaction volume in CFD instruments amounted to 1,044 thousand lots (III quarter 2020: 760 thousand lots), and a profitability per lot amounted to PLN 188 (III quarter 2020: PLN 184).

In terms of the classes of instruments, CFDs based on commodities dominated. "CFDs’ high profitability based on gold, silver, and natural gas drove the major profits, " XTB added. "The second most profitable class were CFD instruments based on indices. Their share in the structure of revenues in Q3-2021 reached 22.9% (2020: 52.0%). Revenues of CFD based on currencies reached 14.4% of all revenues, compared to 20.1% a year earlier, where the most popular financial instruments in this class were based on the EURUSD currency pair."