eToro released its financial results for the year
2023, highlighting a mixed performance during this period. Net income dropped by a double-digit following a decline in trading commission, which forms a larger part of the company’s revenues.
“2023 saw a gradual thawing of financial markets
following almost a year of bear territory, allowing many retail investors to
reverse losses from 2022 and get their portfolios back on track,” eToro highlighted
in the financial report filed with Companies House Services.
Economic Headwinds
“However, whilst last year was a big improvement on
its predecessor, aside from the gargantuan AI-fuelled performance of bug US
tech stocks, particularly the so-called “Magnificent 7”, it was a case of slow
and steady for markets grappling with higher interest rates and other economic
headwinds.”
eToro’s net income dropped 14% year over year to $125,736,161,
following a 19% decline in trading commissions to $106,021,023. Although the trading
costs nearly doubled in the period, the company managed to reduce by 10%. Overall,
the total comprehensive income decreased by 28% to $2,471,265.
eToro generated total commissions of nearly $630
million in 2023 and more than $100 million in EBITDA. The group also expanded its offerings, including launching ISA products in the UK, proxy voting, and extended-hours trading products. Additionally, the company reportedly enabled
UK clients to trade assets from GBP eToro Money account.
Total Assets
Notable, eToro increased its total assets by 41% year over year, from $42,439,176 to $67,346,461, and ended the year with more than 35 million registered users globally and 3 million funded accounts (which increased by 5%).
“Towards the end of the year, we also saw bitcoin
start to rally ahead of January’s approval of a spot Bitcoin ETF, the company
noted. “This momentum has continued into 2024 as a multi-asset investing platform; eToro has been well positioned for the crypto comeback, providing users with straightforward access to crypto alongside a wide range of other asset classes.
Last month, eToro acquired the Australian investing app Spaceship for $55 million. This move aims to boost the Israel-based company’s position in the savings sector and focus on more passive, long-term investments. Spaceship has more than 200,000 clients and manages more than $1 billion worth of assets.
eToro released its financial results for the year
2023, highlighting a mixed performance during this period. Net income dropped by a double-digit following a decline in trading commission, which forms a larger part of the company’s revenues.
“2023 saw a gradual thawing of financial markets
following almost a year of bear territory, allowing many retail investors to
reverse losses from 2022 and get their portfolios back on track,” eToro highlighted
in the financial report filed with Companies House Services.
Economic Headwinds
“However, whilst last year was a big improvement on
its predecessor, aside from the gargantuan AI-fuelled performance of bug US
tech stocks, particularly the so-called “Magnificent 7”, it was a case of slow
and steady for markets grappling with higher interest rates and other economic
headwinds.”
eToro’s net income dropped 14% year over year to $125,736,161,
following a 19% decline in trading commissions to $106,021,023. Although the trading
costs nearly doubled in the period, the company managed to reduce by 10%. Overall,
the total comprehensive income decreased by 28% to $2,471,265.
eToro generated total commissions of nearly $630
million in 2023 and more than $100 million in EBITDA. The group also expanded its offerings, including launching ISA products in the UK, proxy voting, and extended-hours trading products. Additionally, the company reportedly enabled
UK clients to trade assets from GBP eToro Money account.
Total Assets
Notable, eToro increased its total assets by 41% year over year, from $42,439,176 to $67,346,461, and ended the year with more than 35 million registered users globally and 3 million funded accounts (which increased by 5%).
“Towards the end of the year, we also saw bitcoin
start to rally ahead of January’s approval of a spot Bitcoin ETF, the company
noted. “This momentum has continued into 2024 as a multi-asset investing platform; eToro has been well positioned for the crypto comeback, providing users with straightforward access to crypto alongside a wide range of other asset classes.
Last month, eToro acquired the Australian investing app Spaceship for $55 million. This move aims to boost the Israel-based company’s position in the savings sector and focus on more passive, long-term investments. Spaceship has more than 200,000 clients and manages more than $1 billion worth of assets.
This post is originally published on FINANCEMAGNATES.
