Plus500 allocates $100 million for share buyback, reaffirming commitment to shareholders amidst market dynamics.
In recent forex broker news, a London-listed company, Plus500 forex broker, announced a $100 million new repurchase of shares to give money back to the shareholders, the company's efforts to return value to shareholders. The company affirms the same by settling the $75 million dividends with this, which is indicative of the business's dedication towards improving investor returns.
The fact that the UK-based broker group recorded a decrease of 13% in total share income for the fiscal year ending 2023 should not surprise investors because this group is still excited as it aims to reward its shareholders.
With a 25% decline in Plus500 forex broker's EBITDA to $340.5 million, the EBITDA margin went down 15 points, causing it to settle at 47%.
The second year half looks hopeful based on the negative changes of the fiscal years. Revenue would go up 11% to $357.7 million, with EBITDA reaching $166.4 million, a 12% increase year-on-year.
The fact that this fast-execution broker chooses to buy back its shares shows the dedication to this goal. The broker's history corroborates this fact.
This fiscal year has been particularly lucrative for the company; the share repurchase program reached $257.5 million, and the distributed dividends reached $90 million. Since 2017, its shares worth $600 million have been acquired back through repurchases.
Although the drop in the number of new subscribers over the last year is 15%, the decrease in the number of active users has reached 17%, and now only 233,037 people are using it, the founder of Plus500, David Zruia, remains optimistic.