In the first half of 2025, XTB recorded dynamic growth in its client base and all-time-high revenues. However, behind these strong headline numbers lies a decline in profitability and a noticeable surge in operating costs.
XTB boasts a record influx of clients – over 361.6 thousand new users joined the platform within six months, marking a 56% year-over-year increase. The total number of active clients reached 853.9 thousand, nearly 70% more than in the same period last year.
This translated into a sharp rise in revenues, which hit PLN 1.16 billion, up 23.8% y/y. Still, despite the expanding user base, net profit declined by 11.4% to PLN 410.1 million. It was the first profitability drop since the pandemic and a sign that rapid growth comes at a cost.
Costs Rising Faster than Margins
The company attributes the profit drop to surging operating costs, which totaled PLN 608.7 million – nearly 30% higher than the previous year. The increase was mainly due to heavier spending on both online and offline marketing, growing headcount and employee benefits, and higher payment processing fees.
Although XTB claims its average cost of customer acquisition has remained stable, its expansion model—heavily reliant on aggressive marketing and rising expenditures—raises questions about the sustainability of its competitive edge, particularly in a volatile market environment.
Revenue Breakdown: Less Commodities, More Currencies and Equities
CFDs based on indices remained the dominant revenue driver for XTB, accounting for 46.3% of total income. However, the share of commodity-based CFDs dropped significantly to 33.1% from 48.2% a year ago. Meanwhile, the importance of currency CFDs rose to 15.6%, as did revenues from stocks and ETPs.
Trading volume in equities and ETFs reached USD 8.85 billion (+118.6% y/y), likely supported by aggressive promotion of long-term investment products. These instruments now account for over 5% of XTB’s total revenue.
Growing Deposits, But Are Risks Growing Too?
As of the end of June 2025, client assets surpassed PLN 36 billion, with only PLN 4.6 billion held in cash. A large portion of portfolios is therefore tied up in higher-risk instruments, raising concerns about client base stability should market sentiment deteriorate.
Net deposits grew by 117.6% y/y to PLN 7.2 billion, reflecting the appeal of XTB’s interest-bearing cash offerings. However, this strategy carries long-term margin pressure and balance sheet risks.
Expansion Strategy and Product Push
XTB continues to expand its product suite, recently adding IKZE, IKE, PEA accounts, and planning to introduce options and crypto trading. The company notes that further developments depend on regulatory approvals, particularly concerning the EU’s new MiCA regulation.
Internationally, the firm is leaning heavily on its promotional budget, including campaigns featuring Tyson Fury. However, such reliance on celebrity endorsements and intensive marketing may prove less effective in more mature investor segments.
Final Thoughts: More Hype, Less Profit
XTB has built a reputation as a fast-growing investment platform, but at the expense of declining profitability and mounting cost pressure. In the coming quarters, the key will not only be attracting more clients but retaining their activity and controlling fixed costs.
Whether the current growth model can be sustained without constantly increasing the marketing budget and broadening the product offering remains uncertain. The long-term value of acquired clients and real return on investment are still open questions—especially if market sentiment worsens.
Source: ceo.com.pl
