XTB Reports Strong 2024 Growth Despite Slower Q4

XTB reports strong 2024 growth despite a slower Q4, with record client acquisition and strategic expansion plans.

Key Points:

• Strong Growth in 2024: XTB saw significant revenue and profit growth despite a slight Q4 decline.
• Record Client Acquisition: The company gained 498,438 new clients in 2024, a 59.8% increase.

Poland-based Retail FX and CFDs broker XTB (WSE:XTB) has released its preliminary financial results for Q4 and the full year 2024. The results reveal a slight slowdown in the fourth quarter but an overall impressive performance. Despite a modest decline in Q4, the company recorded strong revenue growth, net profit, and client acquisition throughout 2024.

XTB Financial Results 2024

In Q4 2024, XTB reported PLN 465 million (USD 116 million) in revenues, marking a slight 1% decrease from Q3’s $118 million. Net profit for the quarter stood at PLN 193 million ($48 million), down 6% from Q3’s $51 million. However, full-year 2024 results showed significant growth, with revenues reaching PLN 1,873 million ($468 million) and net profit climbing to PLN 859 million ($215 million), improving over 2023 figures.

Trading Volumes and Profitability

XTB’s trading volumes averaged $242 billion monthly in Q4-2024, up 4% from $232 billion in Q3. However, profitability per $1 million in transaction volume declined from 174 in Q3 to 157 in Q4. Across 2024, XTB’s average monthly trading volume stood at $219 billion, indicating solid trading activity.

Record-High Client Acquisition

XTB continued to expand its client base, setting new records in 2024. The company acquired 498,438 new clients, a 59.8% increase from 311,971 in 2023. The number of active clients also surged by 61.2% year-over-year, rising from 408,528 to 658,520.

Revenue Breakdown by Asset Class

CFDs based on commodities were the dominant revenue driver, contributing 48.0% of total revenue in 2024 (up from 39.9% in 2023), primarily driven by gold, natural gas, and cocoa trading. CFDs on indices accounted for 33.3% of revenue, down from 47.8% in 2023, influenced by high profitability in trading the US 100, German DAX (DE40), and US 500 indices. Furthermore, CFDs based on currency pairs represented 14.6% of total revenue, up from 10.1%, with Bitcoin and USD/JPY CFDs being the most profitable instruments in this category.

XTB Reports Strong 2024 Growth Despite Slower Q4

Rising Operational Expenses

Operating expenses for 2024 totaled PLN 883.5 million, up PLN 189.3 million from 2023’s PLN 694.2 million. Key cost increases included:

• Marketing: Increased spending on online campaigns raised costs by PLN 78.2 million.
• Salaries and Employee Benefits: The workforce expansion increased costs by PLN 52.4 million.
• Commissions: Higher payment service provider fees increased expenses by PLN 35.5 million.
• IT and External Services: Up PLN 14.7 million, primarily for IT systems and licenses.

Quarter-over-quarter, operating expenses rose by PLN 56.1 million, mainly driven by increased marketing costs (+PLN 42.6 million), salary and benefits (+PLN 5.2 million), and commissions (+PLN 3.9 million). XTB estimates that 2025 operating expenses could rise by up to 40% as the company prioritizes client growth and global brand expansion.

Strategic Plans for 2025

XTB aims to enhance its investment offerings in 2025 by developing a universal application. The firm will introduce long-term investment products, including an IKZE account in Poland and a PEA account in France, enabling tax-efficient investments in European equities and ETFs.

Additionally, XTB is expanding its eWallet service, which provides instant fund access and payment integration. The company plans to extend this service across more European markets, adding new currencies and investor-friendly features such as instant payments and airport lounge access.

XTB is also exploring new product segments, including options and cryptocurrency trading. The company is preparing for Poland’s adaptation of the MiCA regulation and making the necessary technological updates to facilitate crypto asset trading.

Management’s Outlook

XTB’s Management Board reflected on the company’s performance:

“In 2024, XTB successfully implemented its strategic goals, significantly expanding its client base. Nearly 500,000 new clients joined, marking a 59.8% year-over-year increase. Active client numbers also increased 61.2% from 408,500 to 658,500.

“Our growth was driven by increased interest in financial instruments and alternative investments, fueled by low global interest rates and high inflation. By leveraging technological advancements, we provided a modern investment platform that enhanced financial literacy and market participation. This approach contributed to our record financial and operational performance.”

As XTB continues its expansion in 2025, the company remains committed to innovation, client growth, and market leadership in the retail trading sector.

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