EQS-News flatexDEGIRO expands Management Board and specifies financial expectations for 2022

• flatexDEGIRO expects full year revenues 2022 to amount to approx. EUR 380 m (+/- 2%) with an Adj. EBITDA margin of approx. 37% (+/- 1%point)
• Corporate Governance strengthened by appointing two additional members to the Management Board of flatexDEGIRO AG
• Current Group CFO, Muhamad Chahrour, to transition to Deputy-CEO and Chief Operating Officer
• Special BaFin audit requires resolution of organizational and procedural shortcomings after rapid growth and temporary capital surcharges

flatexDEGIRO expects robust financial performance in 2022 despite ongoingly muted trading activity of retail investors

High inflation rates, energy prices and geo-political issues continue to negatively influence trading activity of retail investors in Europe. Despite first signs of improvements in the stock market in October, overall retail trading has not yet found back to normal seasonal patterns, which are usually resulting in increased trading activity towards the end of the year. However, positive market movements have led to a significant increase of assets under custody at flatexDEGIRO, growing by over EUR 4 billion since the end of September 2022 to currently approx. EUR 42 billion. Against this background flatexDEGIRO expects full year revenues 2022 to amount to approx. EUR 380 million (+/- 2 percent) with an Adj. EBITDA margin of approx. 37 percent (+/- 1 percentage point).

Frank Niehage, CEO of flatexDEGIRO AG: “External factors have turned trading activity of retail investors from record highs at the beginning of 2021 to record lows in 2022, making it the most challenging year for the online brokerage industry in Europe. However, even in this most unfavorable environment, we expect to deliver in 2022 the highest EBITDA and net income ever, supported by our strong and cost-efficient business model and by optimized monetarization. Rising interest rate levels will contribute strongly to next year’s net income and with further tailwinds from already initiated operational initiatives, we are very confident to continue our profitable growth in 2023 and beyond.”