FRANKFURT (dpa-AFX) - The online broker Flatexdegiro aims to achieve a jump in profits in the current year thanks to better general conditions. In contrast to last year, one-off expenses and negative valuation effects are likely to be eliminated. In addition, the management spoke of a good start to the year. Nevertheless, the market was disappointed.

The SDax-listed share fell on Wednesday following gains at the start of trading and then lost more than six percent in the morning. The results of the online broker were not really surprising, as key performance indicators had already been published in advance, noted Martin Comtesse from analysts Jefferies. The main attraction was certainly the new forecast for 2024, which suggests another year of double-digit customer growth and a jump in net profit, even without a revival in trading activity.

However, the market consensus is already at the upper end of the company's sales and profit ranges, the analyst criticized. Comtesse explained that the midpoint of the company's projected net profit range was eleven percent below market expectations. The trading business had been subdued at the end of last year, but had picked up in the new year.

Flatexdegiro announced on Tuesday evening that net profit in 2024 is expected to increase by 25 to 50 percent compared to the previous year's figure of 71.9 million euros. CEO Frank Niehage is hoping for further customer growth and wants to increase turnover by 5 to 15 percent in the current year. The Group CEO said in a telephone conference on Wednesday that the start to the new year had been pleasing, speaking of a "good and strong" start.

Higher commissions and increased interest rates had already given the online broker a successful year-end spurt. Adjusted turnover rose by six percent in 2023 as a whole. At 39.5 percent, the adjusted operating margin (EBITDA margin) remained roughly at the previous year's level. While Flatexdegiro exceeded its own sales target, the company had set itself slightly higher margin targets. In the adjusted key figures, the company deducts the effects of share-based payments for its employees, for which it has to form or release provisions depending on the development of the share price. In future, Flatexdegiro intends to dispense with these adjusted key figures.

As already known, Flatexdegiro gained more customers last year and significantly increased its assets under management. At the end of 2023, the company had around 2.7 million customer accounts, almost 13 percent more than a year earlier. Customer assets under custody rose by 31 percent to 51.7 billion euros. In addition, the payment of a regular annual dividend of 4 cents per share will be proposed at the upcoming Annual General Meeting./nas/ngu/men/mis