flatexDEGIRO (FTK) Q1 2025 earnings summary

Executive summary

• Q1 2025 marked the strongest quarter to date, with revenues at EUR 146 million (up 19% YoY) and net income at EUR 42 million (up 40% YoY), driven by a 31% increase in commission income to EUR 98 million and heightened market volatility.

• Trading activity surged, with 19.5 million transactions processed (up 21% YoY), and customer additions reached 139,000 (up 15% YoY), bringing total accounts to 3.2 million.

• Assets under custody hit a record EUR 75.8 billion, up 31% year-on-year, reflecting strong net cash inflows and portfolio performance.

• The company completed the full divestment of its real estate loan portfolio, improving the NPL ratio and capital position.

• MiCA license obtained, enabling EU-wide crypto trading expansion, with crypto trading launched in Germany and rollout planned for additional countries.

Financial highlights

• Commission income rose 31% year-on-year to EUR 98 million, while interest income remained stable at EUR 43 million (down 1% YoY), supported by higher cash deposits and margin loan volumes.

• EBITDA reached EUR 69 million (up 29% YoY), with an EBITDA margin of 47% and net income margin of 29%.

• Net cash inflows totaled EUR 3.0 billion, up 69% year-on-year, with 80% from existing customers.

• Average commission per transaction was EUR 5.02, up 8% year-on-year.

• Operating expenses increased 10% to EUR 56 million, mainly due to higher personnel costs.

Outlook and guidance

• Full-year 2025 guidance remains unchanged, with revenue expected between -5% and +5% versus 2024 and net income between -5% and +10%, reflecting anticipated normalization of market volatility and potential ECB rate cuts.

• Management remains cautious, expecting cash levels and commission/interest income to normalize, and plans a €10 million reduction in administrative expenses.