Plus500 Launches Another $60.2 Million Share Repurchase Plan

Plus500 (LON: PLUS) has extended its share repurchase program by an additional $60.2 million. The new stock repurchase program was announced on Tuesday, as its previous programs concluded.

Under its most recent program, the Israeli FX and CFDs broker would buyback up to 9,959,828 ordinary shares.

"The goal of the Share Buyback Program is to demonstrate the Board's sustained confidence in Plus500's future prospects and to reflect the company's solid financial situation. This trust is bolstered by the tremendous operational and financial momentum achieved by Plus500 in recent years, as the Group continues to make additional progress along its strategic roadmap, the broker explained.

The most recent news has not yet had a significant impact on the publicly traded stock price of the broker. As of press time, Plus500 shares are trading 0.78 percent higher after Tuesday's market opening.

Plus500, a leader in retail forex and CFDs trading, has been repurchasing its publicly traded ordinary shares for some time.

The broker began repurchasing its shares in 2022 under two schemes, allocating $55 million to one and $50 million to the other.

It repurchased $88.8 million worth of ordinary shares from the open market in 2020, followed by a $25 million program the following year and an additional $12.5 million the following year.

Under its new five-year plan, the broker also aims to attain an incremental annualized revenue target of around $500 million. It earned $194.5 million in revenue during the third quarter of 2022, representing an annual fall of 8%, although year-to-date results were robust.

In the first six months of this year, Plus500's sales increased by 48 percent to $511.4 million, while earnings per share increased by 52 percent to $2.46.