DGAP-News: flatexDEGIRO AG
/ Key word(s): Preliminary Results
flatexDEGIRO with record year 2021 and strong financial performance in the fourth quarter
- Full year revenues increased by 60% to 418m EUR (2020: EUR 261 m)
- Revenues in Q4 2021 grew by 17% to EUR 103 m, compared to Q3 2021 (EUR 88 m)
- Increasing monetization with revenues per trade of 5.22 Euro in Q4 2021 (Q3 2021: EUR 4.83)
- Adj. EBITDA margin before marketing expenses increased to 53.4% (2020: 52.9%)
- Assets under Custody increased by EUR 12.1 bn to EUR 43.9 bn (2020: EUR 31.8 bn)
At the end of 2021, the number of flatexDEGIRO customer accounts amounted to 2.06 million, an increase of 55 percent compared to the 1.33 million customer accounts reported in the previous year. Last year, flatexDEGIRO settled 91 million transactions for its customers (2020, pro forma: 75 million), more than any other European online broker. Assets under Custody at the end of 2021 amounted to EUR 43.9 billion, an increase of EUR 12.1 billion or 38 percent over the course of twelve months (31 Dec 2020: EUR 31.8 billion). Revenues increased in 2021 by 60 percent to EUR 418 million (2020: EUR 261 million). Due to the strong operating leverage of the online brokerage business, Adj. EBITDA before marketing expenses increased by EUR 85 million to EUR 223 million (2020: EUR 138 million), leading to an increase of our margin to 53.4 percent (2020: 52.9 percent).
Frank Niehage, CEO of flatexDEGIRO: "We have once more proven our ability to combine growth with profitability. We won a record number of over 730,000 new customer accounts in 2021. This brings us close to the growth all our major listed peers in Europe have shown combined! At the same time, we have steadily increased the monetization of trades every quarter this year, leading to a margin increase as well. This success also demonstrates the maintained high quality of our customer base throughout this tremendous phase of growth. The optimization of our pricing structure at DEGIRO, the international roll-out of our ETP partnerships with BNP Paribas and Société Générale and the introduction of early & late trading across Europe via Tradegate; all this should lead to a very visible further improvement of our performance in 2022."
Muhamad Chahrour, CFO of flatexDEGIRO and CEO of DEGIRO: "A transformational year with the merger and integration synergies came to an end - and while many companies see a performance dip during such a year, we delivered with our teams one record after another. Our customers entrust us with financial assets of almost EUR 44 billion. On the EUR 41 billion of securities included herein, we generated 96 basis points of revenues from commissions. On the deposits of EUR 3 billion, we generated 242 basis points of interest, without deviating at all from our commitment to the highest standards of security and collateralization for any form of credit and treasury investment. We are confident that the price and product measures as well as leveraging the synergies will provide a significant uptick in profitability. On top, potential positive interest rates should provide us with additional tailwind to further improve ARPUs and margins."
To drive the acceleration of current and future customer growth, flatexDEGIRO has almost doubled its marketing efforts in 2021, investing a total of EUR 46 million (2020: EUR 24 million). With efficient and focused spending the company nevertheless kept relative customer acquisition costs at a low EUR 58 per new customer account (gross) in 2021 (2020: EUR 50). Furthermore, these marketing investments already include expenses for flatexDEGIRO's documentary "True Stories of Investing", which premiered end of January 2022, as well as for related marketing campaigns during the first half of 2022.
 Combined customer growth in 2021 of Avanza, Fineco, Hargreaves Lansdown, Nordnet and Swissquote (LTM to June 2021) amounted to 1.098 k new customers
For more information please contact:
About flatexDEGIRO AG
flatexDEGIRO AG (WKN: FTG111, ISIN: DE000FTG1111, Ticker: FTK.GR) operates a leading and fastest growing online brokerage platforms in Europe. Based on modern, in-house state-of-the-art technology customers of the flatex and DEGIRO brands are offered a wide range of independent products with execution at top TIER 1 exchanges. Its technological edge as well as high levels of efficiency and strong economies of scale allows flatexDEGIRO to continuously improve its value proposition to clients, including commission-free brokerage.
With more than 2 million customer accounts and over 91 million securities transactions settled in 2021, flatexDEGIRO is the largest retail online broker in Europe. In a time of bank consolidation, low interest rates and digitalization, flatexDEGIRO is ideally positioned for further growth. Within the next five years, flatexDEGIRO aims to grow its customer base to 7-8 million customer accounts, settling 250-350 million transactions per year - even in years with low volatility.
More information via https://www.flatexdegiro.com/en
28.02.2022 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
|60327 Frankfurt / Main|
|Phone:||+49 (0) 69 450001 0|
|Listed:||Regulated Market in Berlin, Dusseldorf, Frankfurt (Prime Standard), Hamburg, Munich, Stuttgart, Tradegate Exchange|
|EQS News ID:||1290379|
|End of News||DGAP News Service|