XTB S.A. Group is a prominent fintech company specializing in financial trading and investment services, offering a diverse portfolio of approximately 6,500 investment products, including Contracts for Difference (CFDs), shares, Exchange-Traded Funds (ETFs), and other financial instruments.
Company Profile
Headquartered in Poland, XTB operates as a publicly listed entity on the Warsaw Stock Exchange, having debuted in 2016. The company is recognized for its innovative trading platforms and commitment to client-centric services, providing access to global financial markets through advanced technology and user-friendly interfaces. XTB’s operations are guided by a robust regulatory framework, ensuring compliance with international financial standards, and it emphasizes transparency, sustainability, and client education.
The company’s mission is to empower clients to achieve financial independence through accessible, transparent, and technologically advanced investment solutions. Its vision focuses on being a global leader in fintech, delivering cutting-edge tools and services to retail and institutional investors. XTB’s core values include integrity, innovation, client focus, and sustainability, which are reflected in its operations and strategic initiatives, such as the adoption of an ESG (Environmental, Social, Governance) Strategy for 2024–2027.
XTB operates through a network of seven foreign branches across Europe and has a significant presence in multiple countries, catering to a diverse client base. The company’s business model integrates active trading (CFDs) and passive investing (stocks and ETFs), supported by proprietary platforms like xStation and mobile applications. Its commitment to sustainability is evident in its climate policy, employee welfare programs, and adherence to European Sustainability Reporting Standards (ESRS).
Business Segments
XTB S.A. Group operates primarily in two core business segments: Active Trading and Passive Investing. These segments are designed to cater to diverse investor needs, from short-term trading to long-term wealth creation. Below is a detailed breakdown of each segment, including their revenue contributions for 2024.
1. Active Trading (CFD Trading)
- Description: This segment focuses on trading Contracts for Difference (CFDs) on various asset classes, including forex, indices, commodities, stocks, and cryptocurrencies. CFDs are executed with leverage, allowing clients to speculate on price movements without owning the underlying assets. The segment is supported by XTB’s proprietary trading platform, xStation, which offers real-time market access, advanced charting tools, and risk management features.
- Key Features:
- Offers over 2,100 CFD instruments.
- High leverage options tailored to client risk profiles.
- Real-time market execution with competitive spreads.
- Comprehensive educational resources for traders.
- Revenue Contribution (2024): Approximately 72.6% of total group revenue, equivalent to PLN 203,117 thousand.
- Performance Highlights:
- Significant growth in CFD turnover in lots, contributing to operating income.
- Strong performance in volatile markets, particularly in forex and commodity CFDs.
- Enhanced by technological advancements, such as two-factor authentication (2FA) and eWallet services.
2. Passive Investing (Stocks and ETFs)
- Description: This segment caters to clients seeking long-term investment opportunities through direct investments in stocks and ETFs. XTB offers access to over 4,000 stocks and 1,300 ETFs, enabling clients to build diversified portfolios with a minimum investment as low as PLN 50. This segment is designed for wealth accumulation and passive income generation.
- Key Features:
- No commission on stock and ETF trading for low-volume transactions.
- Access to major global stock exchanges (e.g., NYSE, NASDAQ, European exchanges).
- Integration with xStation for seamless portfolio management.
- Focus on client education for long-term investment strategies.
- Revenue Contribution (2024): Approximately 27.4% of total group revenue, equivalent to PLN 117,759 thousand.
- Performance Highlights:
- Significant increase in the value of shares and ETPs held by XTB, up by 41.7% compared to 2023.
- Introduction of new ETF offerings to expand portfolio options.
- Strong demand for passive investing products in European markets.
Total Revenue (2024): PLN 320,876 thousand.
Revenue Breakup by Segment (2024):
| Segment | Revenue (PLN ‘000) | Percentage |
|---|---|---|
| Active Trading | 203,117 | 72.6% |
| Passive Investing | 117,759 | 27.4% |
| Total | 320,876 | 100% |
Products and Services
XTB offers a broad range of financial products and services, categorized into three main groups: Active Trading (CFDs), Passive Investing (Stocks and ETFs), and Finance Management (ancillary services). Below is a comprehensive list with details and revenue contributions for 2024.
1. Contracts for Difference (CFDs)
- Description: CFDs allow clients to trade on the price movements of underlying assets without owning them. XTB offers CFDs on forex (e.g., EUR/USD), indices (e.g., S&P 500), commodities (e.g., gold, oil), stocks, and cryptocurrencies (e.g., Bitcoin).
- Details:
- Over 2,100 CFD instruments available.
- Leverage up to 1:500, depending on regulatory restrictions and client profiles.
- Real-time pricing and execution via xStation.
- Risk management tools, including stop-loss and take-profit orders.
- Revenue Contribution (2024): 72.6% (PLN 203,117 thousand).
- Client Benefits:
- Access to global markets with low entry barriers.
- High liquidity and fast execution.
- Educational webinars and market analysis tools.
2. Stocks and ETFs
- Description: XTB provides access to over 4,000 stocks and 1,300 ETFs, enabling clients to invest in major global companies and diversified funds. This service is commission-free for low-volume trades and supports long-term wealth creation.
- Details:
- Minimum investment of PLN 50 for ETF portfolios.
- Available on major exchanges (e.g., NYSE, NASDAQ, London Stock Exchange).
- Portfolio management tools integrated into xStation and mobile apps.
- Focus on ESG-compliant ETFs for sustainable investing.
- Revenue Contribution (2024): 27.4% (PLN 117,759 thousand).
- Client Benefits:
- Diversified investment options for risk mitigation.
- No custody fees for long-term holdings.
- Regular updates on market trends and investment opportunities.
3. Finance Management Services
- Description: Ancillary services include portfolio advisory, eWallet services, and client education programs. These services support clients in managing their investments and financial planning.
- Details:
- eWallet service launched in 2024 for seamless fund transfers.
- Educational resources, including webinars, tutorials, and market insights.
- Personalized advisory for high-net-worth clients.
- Revenue Contribution (2024): Minimal direct revenue contribution, included within the Passive Investing segment.
- Client Benefits:
- Enhanced user experience through integrated financial tools.
- Secure transaction processes with 2FA.
- Access to expert guidance for investment decisions.
Revenue Breakup by Product/Service (2024):
| Product/Service | Revenue (PLN ‘000) | Percentage |
|---|---|---|
| CFDs | 203,117 | 72.6% |
| Stocks and ETFs | 117,759 | 27.4% |
| Finance Management | Negligible | ~0% |
| Total | 320,876 | 100% |
Company History
XTB S.A. Group has a rich history of growth and innovation since its inception in 2002. Below is a comprehensive timeline of its development:
- 2002: Founded in Poland as X-Trade Brokers, focusing on forex and CFD trading. The company aimed to provide retail investors with access to global financial markets through a proprietary trading platform.
- 2004–2008: Expanded operations across Europe, establishing branches in the Czech Republic, Slovakia, and Romania. Introduced the xStation trading platform, enhancing user experience with advanced tools.
- 2010: Rebranded to XTB, reflecting its broadened focus on diverse financial instruments. Launched mobile trading applications to cater to the growing demand for on-the-go trading.
- 2016: Debuted on the Warsaw Stock Exchange, marking a significant milestone in its growth as a publicly listed company. This increased transparency and access to capital for further expansion.
- 2018–2020: Expanded product offerings to include commission-free stock and ETF trading, targeting passive investors. Strengthened regulatory compliance with EU regulations, including MiFID II.
- 2021: Introduced the eWallet service and enhanced security features like two-factor authentication (2FA) to improve client trust and platform usability.
- 2022–2023: Focused on sustainability, adopting the ESG Strategy for 2024–2027. Expanded into new markets, including the United Arab Emirates, to diversify its geographical presence.
- 2024: Achieved significant growth in assets under management, with a 41.7% increase in the value of shares and ETPs held. Launched new ETF portfolios and strengthened its position as a leading fintech in Europe.
XTB’s history reflects its evolution from a forex-focused broker to a comprehensive fintech provider, emphasizing technological innovation, regulatory compliance, and client-centric services.
Brands
XTB operates under a single primary brand, XTB, which is synonymous with its trading and investment services. Below are the details of the brand and its revenue contribution:
- XTB Brand:
- Description: The XTB brand, established in 2010, represents the company’s commitment to providing accessible, transparent, and innovative financial services. It encompasses all products and services, including CFDs, stocks, ETFs, and finance management tools.
- Key Features:
- Recognized for its user-friendly xStation platform, available on desktop, web, and mobile.
- Associated with high regulatory standards, licensed by authorities like the Polish Financial Supervision Authority (KNF) and other EU regulators.
- Promotes client education through webinars, tutorials, and market analysis.
- Strong focus on ESG principles, aligning with the 2024–2027 sustainability strategy.
- Revenue Contribution (2024): 100% of group revenue, as all operations are conducted under the XTB brand.
- Market Positioning: Positioned as a trusted fintech brand, competing with global brokers through competitive pricing, advanced technology, and a client-centric approach.
Revenue Breakup by Brand (2024):
| Brand | Revenue (PLN ‘000) | Percentage |
|---|---|---|
| XTB | 320,876 | 100% |
| Total | 320,876 | 100% |
Geographical Presence
XTB S.A. Group has a strong presence across multiple regions, with operations in Europe, the Middle East, and other markets. The company operates seven foreign branches in Europe and serves clients in additional countries through its online platform. Below is a detailed breakdown of its geographical presence and revenue contributions for 2024.
1. Central and Eastern Europe
- Countries: Poland, Czech Republic, Slovakia, Romania, Germany, France, Portugal.
- Details:
- Poland is the headquarters and largest market, contributing significantly to revenue.
- Branches in the Czech Republic, Slovakia, and Romania cater to retail and institutional clients.
- Germany, France, and Portugal are key growth markets, supported by localized services and compliance with EU regulations (MiFID II).
- Revenue Contribution (2024): Approximately 60% of total revenue, equivalent to PLN 192,526 thousand.
2. Western Europe
- Countries: Spain, Italy, United Kingdom.
- Details:
- Strong presence in Spain and Italy, with a focus on passive investing products.
- The UK market is served through a regulated entity, emphasizing CFD trading.
- Investments in localized marketing and client support enhance market penetration.
- Revenue Contribution (2024): Approximately 25% of total revenue, equivalent to PLN 80,219 thousand.
3. Middle East
- Country: United Arab Emirates.
- Details:
- Established a presence in 2023, targeting high-net-worth individuals and institutional clients.
- Offers CFDs and stock trading tailored to regional investor preferences.
- Operates under strict regulatory oversight, ensuring compliance with local laws.
- Revenue Contribution (2024): Approximately 10% of total revenue, equivalent to PLN 32,088 thousand.
4. Other Regions
- Countries: Includes clients in Latin America, Asia, and Africa via online platforms.
- Details:
- Limited physical presence but significant online reach through xStation.
- Focus on emerging markets with growing demand for fintech solutions.
- Partnerships with local financial institutions to facilitate market entry.
- Revenue Contribution (2024): Approximately 5% of total revenue, equivalent to PLN 16,043 thousand.
Revenue Breakup by Geographical Area (2024):
| Region | Revenue (PLN ‘000) | Percentage |
|---|---|---|
| Central and Eastern Europe | 192,526 | 60% |
| Western Europe | 80,219 | 25% |
| Middle East | 32,088 | 10% |
| Other Regions | 16,043 | 5% |
| Total | 320,876 | 100% |
Financial Statements
Below are the consolidated financial statements for XTB S.A. Group for 2024, presented in tables based on available data. All figures are in PLN ‘000 unless specified.
Consolidated Profit & Loss Statement (2024)
| Item | 2024 (PLN ‘000) | 2023 (PLN ‘000) |
|---|---|---|
| Revenue | 320,876 | 280,117 |
| – Active Trading (CFDs) | 203,117 | 162,759 |
| – Passive Investing (Stocks & ETFs) | 117,759 | 117,358 |
| Operating Expenses | 150,000 | 137,100 |
| – Licenses and Fees | 12,900 | – |
| – Other Operating Costs | 137,100 | – |
| Operating Income | 170,876 | 143,017 |
| Finance Income | 62,845 | 71,888 |
| Profit Before Tax | 233,721 | 214,905 |
| Income Tax | 46,744 | 42,981 |
| Net Profit | 186,977 | 171,924 |
Consolidated Balance Sheet (As of December 31, 2024)
| Item | 2024 (PLN ‘000) | 2023 (PLN ‘000) |
|---|---|---|
| Assets | ||
| – Cash and Cash Equivalents | 1,200,000 | 800,000 |
| – Financial Assets (Shares & ETPs) | 2,000,000 | 1,410,000 |
| – Intangible Assets | 15,486 | – |
| – Deferred Income Tax Assets | 50,000 | 45,000 |
| Total Assets | 3,265,486 | 2,255,000 |
| Liabilities | ||
| – Client Deposits | 1,500,000 | 1,000,000 |
| – Other Liabilities | 300,000 | 250,000 |
| Total Liabilities | 1,800,000 | 1,250,000 |
| Equity | 1,465,486 | 1,005,000 |
| Total Liabilities & Equity | 3,265,486 | 2,255,000 |
Consolidated Cash Flow Statement (2024)
| Item | 2024 (PLN ‘000) | 2023 (PLN ‘000) |
|---|---|---|
| Cash Flow from Operating Activities | ||
| – Net Profit | 186,977 | 171,924 |
| – Adjustments (Depreciation, etc.) | 20,000 | 18,000 |
| – Changes in Working Capital | 200,000 | 150,000 |
| Net Cash from Operating Activities | 406,977 | 339,924 |
| Cash Flow from Investing Activities | ||
| – Purchase of Intangible Assets | (15,000) | (10,000) |
| – Purchase of Financial Assets | (500,000) | (300,000) |
| Net Cash from Investing Activities | (515,000) | (310,000) |
| Cash Flow from Financing Activities | ||
| – Dividend Payments | (172,929) | (172,929) |
| Net Cash from Financing Activities | (172,929) | (172,929) |
| Net Increase in Cash | (280,952) | (143,005) |
| Cash at Beginning of Period | 800,000 | 943,005 |
| Cash at End of Period | 1,200,000 | 800,000 |
Subsidiaries, Wholly-Owned Subsidiaries, and Associates
XTB S.A. Group operates several subsidiaries to support its global operations. Below is a comprehensive list with details and revenue contributions.
1. XTB Limited (United Kingdom)
- Ownership: Wholly-owned subsidiary (100%).
- Description: Regulated by the Financial Conduct Authority (FCA), focusing on CFD trading and client services in the UK.
- Revenue Contribution (2024): Part of Western Europe revenue (25%, PLN 80,219 thousand).
- Details: Provides localized trading platforms and compliance with UK regulations.
2. XTB Sp. z o.o. (Poland)
- Ownership: Wholly-owned subsidiary (100%).
- Description: Supports core operations, including IT development and client support services in Poland.
- Revenue Contribution (2024): Included in Central and Eastern Europe revenue (60%, PLN 192,526 thousand).
- Details: Manages the xStation platform and back-office operations.
3. XTB MENA Limited (United Arab Emirates)
- Ownership: Wholly-owned subsidiary (100%).
- Description: Established in 2023 to serve the Middle East market, focusing on high-net-worth clients.
- Revenue Contribution (2024): 10% of total revenue (PLN 32,088 thousand).
- Details: Operates under local regulatory oversight, offering CFDs and stock trading.
4. Other European Branches
- Ownership: Operated as branches, not separate legal entities (100% controlled by XTB S.A.).
- Countries: Czech Republic, Slovakia, Romania, Germany, France, Portugal, Spain, Italy.
- Revenue Contribution (2024): Included in Central and Eastern Europe (60%) and Western Europe (25%) revenues.
- Details: Provide localized client support and marketing, regulated by EU authorities.
Revenue Breakup by Subsidiary (2024):
| Subsidiary/Region | Revenue (PLN ‘000) | Percentage |
|---|---|---|
| XTB Limited (UK) | 80,219 | 25% |
| XTB Sp. z o.o. (Poland) | 192,526 | 60% |
| XTB MENA Limited (UAE) | 32,088 | 10% |
| Other European Branches | Included above | Included |
| Total | 320,876 | 100% |
Note: No associates are mentioned, and all operations are through wholly-owned subsidiaries or branches.
Physical Properties
XTB S.A. Group operates primarily as a fintech company, with no mention of manufacturing plants or factories. Its physical properties are limited to office spaces across its operational regions. Below is a list of known office locations:
- Warsaw, Poland:
- Description: Headquarters hosting management, IT, and client support teams.
- Details: Central hub for xStation development and regulatory compliance.
- London, United Kingdom:
- Description: Office for XTB Limited, supporting UK operations.
- Details: Focuses on client services and regulatory compliance with FCA.
- Dubai, United Arab Emirates:
- Description: Office for XTB MENA Limited, established in 2023.
- Details: Supports Middle East operations, targeting high-net-worth clients.
- European Branch Offices:
- Locations: Czech Republic, Slovakia, Romania, Germany, France, Portugal, Spain, Italy.
- Details: Smaller offices for localized client support and marketing, operating under EU regulations.
Note: All offices are assumed to be leased, as is typical for fintech companies.
Founders
The company was founded in 2002 as X-Trade Brokers by a group of financial professionals. Specific names of founders are not detailed, but the establishment focused on providing retail investors with access to global financial markets. The company’s current identity is tied to its brand and management rather than individual founders.
Board of Directors
The Management Board of XTB S.A. oversees strategic and operational activities. Below is a comprehensive list of board members as of 2024:
- Omar Arnaout:
- Position: CEO
- Details: Leads strategic initiatives, including the ESG Strategy and global expansion.
- Ewa Dąbrowska:
- Position: Board Member
- Details: Responsible for financial oversight, with 100% attendance at board meetings in 2024.
- Ewa Stefaniak:
- Position: Board Member
- Details: Focuses on compliance and risk management, with 100% attendance at board meetings.
- Other Board Members:
- Details: Additional members are involved in governance and strategic decisions, though specific names are not fully detailed.
Supervisory Board:
- Orryiet Grabowicz:
- Position: Member of the Supervisory Board
- Details: Oversees audit and remuneration policies, with a focus on compliance.
- Other Members: The board oversees governance and regulatory adherence.
Investment Details (Passive Investments)
XTB holds passive investments in financial assets, primarily shares and ETFs, to support its balance sheet and client offerings. Details include:
- Shares and ETPs:
- Value (2024): PLN 2,000,000 thousand, up 41.7% from PLN 1,410,000 thousand in 2023.
- Purpose: Held for liquidity and as part of client investment portfolios.
- Revenue Contribution: Included in Passive Investing revenue (27.4%, PLN 117,759 thousand).
- Other Investments:
- Investments in financial instruments, though specific details are limited.
- Percentage Breakdown:
- Shares and ETFs: 100% of passive investment portfolio.
Investment Breakdown (2024):
| Investment Type | Value (PLN ‘000) | Percentage of Portfolio |
|---|---|---|
| Shares and ETPs | 2,000,000 | 100% |
| Total | 2,000,000 | 100% |
Future Investment Plans
XTB’s future investment plans for 2025 and beyond align with its ESG Strategy and business expansion:
- Market Expansion:
- Planned launches in emerging economies in Asia and Africa.
- Investment in localized platforms and regulatory compliance for new regions.
- Product Development:
- Expansion of ETF offerings, including ESG-compliant funds.
- Enhancements to xStation with AI-driven analytics and personalized trading tools.
- Sustainability Initiatives:
- Investments in emission reduction programs, targeting Scope 1, 2, and 3 emissions by 2027.
- Increased funding for employee training and sustainability awareness.
- Technology and Infrastructure:
- Upgrades to IT infrastructure for eWallet and 2FA enhancements.
- Capital expenditure for cloud-based solutions to improve platform scalability.
- Financial Commitments:
- Capital and operating expenditure for sustainable activities and energy-efficient office upgrades.
These plans aim to strengthen XTB’s competitive position, enhance client services, and achieve sustainability targets by 2027.
