Corporate News / Frankfurt/Main, 9 September 2020
flatex H1 2020 pro-forma figures exceed mid-term planning, targets raised again
- Preliminary record half-year figures confirmed
- H1 2020 pro forma (including DEGIRO): Revenues of EUR 169 million, EBITDA of EUR 75 million and cost-income ratio of 43% underscore impressive scalability of the business model
- FY 2020 pro-forma target raised again: more than 1.2 million customers and 70 million transactions
- 5-year target: over 3 million customers and at least 100 million transactions organically
Frankfurt/Main - flatex AG (WKN: FTG111, ISIN: DE000FTG111111, Ticker: FTK.GR) today published its half-year report and confirmed the preliminary figures with revenues of EUR 100 million and EBITDA of EUR 43 million. On a pro-forma basis, including DEGIRO, this results in revenues of EUR 169 million and EBITDA of EUR 75 million for the first half year. Since 1 August 2020 DEGIRO is being consolidated into the flatex Group.
"In the first half of the year we exceeded our mid-term planning 2022/23. Of course, the market volatility had a positive effect on the trading behavior of our customers, but we were also very well prepared for such a situation and have already been able to acquire more than 350,000 new customers as a group this year. We are therefore raising our targets for 2020 to 1.2 million customers and 70 million executed transactions," says Frank Niehage, CEO of flatex AG, very confidently for 2020. "The acquisition of DEGIRO was absolutely right and marks the beginning of a new era for us. Together, we will continue to attack in the coming years with the clear goal of significantly expanding our pole position in the European brokerage market and attract broader customer groups. Our partnership with Borussia Monchengladbach is a key component of this strategic expansion and will help to increase our customer base organically in our home markets and internationally to at least 3 million by 2025 at the latest ".
Currently, more than 1 million customers in 18 European countries trust the leading product and price offer of flatex and DEGIRO. More than 50 million transactions have already been executed since the beginning of the year. Due to the ongoing volatility in the second half, high trading activities are expected to continue and to have a significant positive effect on the EBITDA margin.
"With each additional trade, we feel and see the operational leverage of our business model. On an annualized basis, our pro-forma results for the first half year correspond to annual revenues of approximately EUR 340 million and an EBITDA of EUR 150 million. We have exceeded our original mid-term planning, even though we will only start to leverage the additional synergies from the DEGIRO transaction in the second half of 2020. As announced, the synergies are expected to contribute more than EUR 30 million to EBITDA in 2021," says Muhamad Chahrour, CFO of flatex AG. "There is this great opportunity to develop something unique in Europe. Therefore, our clear 5-year strategy is to acquire at least 1% of the EU population as flatex/DEGIRO customers. As a European brokerage powerhouse, we would process over 100 million transactions per year, even in years with only average volatility. This is the focus of our entire operational activities".
The uplisting process to the Prime Standard is proceeding according to plan and is scheduled for October. The SDAX listing is expected as part of Deutsche Börse's fast entry process in December 2020.
Muhamad Said Chahrour
Chief Financial Officer (CFO)
Tel. +49 (0) 69 450001 0
About flatex AG
flatex AG (WKN: FTG111, ISIN: DE000FTG1111, Ticker: FTK.GR) operates one of the leading and fastest growing online brokerage businesses in Europe, executing more than 50 million paperless securities transactions per annum. More than 1 million B2C customers are serviced via the flatex and DEGIRO brands and offered a wide range of independent products at competitive pricing, based on a modern, in-house state-of-the-art technology.
With the acquisition of DEGIRO in July 2020 flatex became one of the largest online brokers in Europe with more than 1.2 million customers and 70 million securities transactions estimated for 2020. In a time of bank consolidation, low interest rates and digitalization, the flatex Group is thus ideally positioned for further growth. Until 2025 at the latest, flatex aims to win over 3 million customers and execute at least 100 million transactions per year.
This release may contain forward-looking statements and information, which may be identified by formulations using terms such as "expects", "aims", "anticipates", "intends", "plans", "believes", "seeks", "estimates" or "will". Such forward-looking statements are based on our current expectations and certain assumptions, which may be subject to variety of risks and uncertainties. The results actually achieved by flatex AG may substantially differ from these forward-looking statements. flatex assumes no obligation to update these forward-looking statements or to correct them in case of developments, which differ from those anticipated.
09.09.2020 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de