$ETOR (-6.42%)
The IPO marks a turning point for the fintech company, which has posted impressive financial results:
- Total revenues of $12.6 billion in 2024, driven by strong activity in the cryptocurrency market.
- Real commissions (without cost of assets) of $931 millionan increase of 46% compared to 2023.
- Net profit of $192 million13 times the previous year's result.
- Adjusted EBITDA of $304 million, reflecting a significant improvement in operating profitability.
- More than 3.5 million funded accounts by the end of 2024, predominantly in Europe and the UK.
CRYPTO AS A GROWTH ENGINE
The major driver of the results was the trading of crypto assetsassets, which accounted for 96% of total revenue in 2024. The resurgence of the market, especially in the last quarter of the year, has caused user activity to soar.
This strong exposure to the crypto sector, however, represents a strategic riskgiven the volatility characteristic of the segment. Even so, the company seems confident in the sustainability of this trend.
Q1 2025: MODERATION WITH A FOCUS ON GROWTH
In the first quarter of 2025, eToro reported a slight drop in profitswith estimated results of between $56 and $60 millioncompared to $64 million in the same period in 2024. This slowdown is due to increased investment in marketing and international expansion, including strengthening its presence in Latin America and Southeast Asia.
Even so, the number of funded accounts rose to 3.58 millionwhich demonstrates the platform's resilience and capacity for growth.
FUTURE PROSPECTS
With its listing on the stock exchange, eToro is positioned to:
However, the next few quarters will be decisive in determining whether the company will be able to maintain profitability and the pace of growth in a more competitive and regulated environment.
- Increase its user base.
- Diversify its revenue sources beyond the crypto universe.
- Strengthen its technological innovation and global presence.
