Global trading and investing platform eToro has reported strong financial performance for the third quarter, driven by robust user engagement, disciplined cost management, and the success of its diversified revenue streams. Net Contribution for the quarter surged 28 per cent year-over-year to $215million, while assets under administration (AUA) grew by 76 per cent year-over-year to a record $20.8billion.
The results reflect sustained momentum across key performance indicators (KPIs), cementing eToro’s multi-asset strategy. The company also announced that its Board of Directors has authorised a $150million share repurchase program, signalling confidence in its long-term strategy and commitment to delivering shareholder value.
Funded accounts and diversified growth
The platform’s user base continued to expand, with funded accounts growing 16 per cent year-over-year to 3.73 million. This growth was fuelled by ongoing user acquisition and retention efforts, as well as the integration of strategic acquisitions like the Australian investing app Spaceship.
Meron Shani, eToro’s chief financial officer, attributed the profitable growth to the company’s broad strategy. “We delivered another strong quarter of profitable growth, with Net Contribution and Adjusted EBITDA increasing year over year by 28% and 43% respectively. Our results reflect the strength of our diversified revenue streams across segments and geographies, robust user engagement, and disciplined cost management,” Shani said.
The strong growth in AUA, up 76 per cent, underscores eToro’s increasing success in attracting new deposits and capturing a larger share of wallet from its existing customer base, with users investing heavily across both crypto and equities.
Signaling confidence with share repurchase
The announcement of the $150million share repurchase program is a notable move for the newly public company. This authorisation reflects the management’s belief that the current share price does not fully reflect eToro’s fundamental value and that repurchasing shares represents a prudent allocation of capital.
Yoni Assia, eToro’s co-founder and CEO, reiterated the focus on long-term strategy. “We remain focused on executing our strategy across our four key pillars of trading, investing, wealth management, and neo-banking, developing new products and services that deliver value to users across every step of their investing journey,” Assia commented. He added that the robust product offering, combined with its unique social experience, creates a powerful flywheel that drives engagement and establishes a durable competitive moat.
The commitment to product innovation was evident across the company’s four strategic pillars, including the expansion of crypto offerings with more utility and staking options in the US, and the acceleration of the eToro Money neo-banking platform through localisation and new card-based stock-back rewards in Europe.
