Freetrade Nov 2024 Performance

Freetrade Chat 🔥
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I lifted this from the Chip forum and cannot certify the details are correct or the source but this is what was written:

BREAKING: Freetrade hits £36m of annualised revenue and is now VERY profitable!

Freetrade, the commission-free trading platform, has just published its latest results and they’re great.

Here are the key facts for the month of November:

:rocket: £3m of monthly revenue
:rocket: £0.7m of monthly profit

Freetrade is now operating on a 23% profit margin which is INSANE.

At this rate they will generate £10m of net profit in a full year!

This is an AMAZING turnaround for a company that was losing close to £40m a year off of £15m of revenue back in 2022.

On top of this retail volumes hit £4.4bn, a 40% YoY increase to 2023.

Freetrade was forced to raise a huge down round after the bubble of 2021 popped, so it’s amazing to see them performing so well again.

Kudos to the team for these results and for this turnaround. It’s great to see.

Freetrade last raised in 2023 when it raised via Crowdcube at a £225m valuation. Could this price start to look to cheap?

@Victor is this accurate?

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All hail Victor and the team!

Do Freetrade currently make any money from treasuries? If not, that is even more promising as thats another quick revenue stream they could open up if needed

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Call me a cynic but it would be interesting to know how much of that revenue for November was from the Black Friday offers, which would then not be realised in future months of the year.

Still an exciting 2025 to look forward to, mutual funds and JISA/ LISA are the next big growth products for me as this really would make us stand out from 212 and their loss-leading platform.

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I saw this, there’s a typo it should say 60% and it’ll be higher for the full year when the rest of December is included. We’re clearly no longer in a depressed trading environment!

The rest is annualising the record monthly numbers shared, which will overstate where it’s at. But from 15m per year to 3m in one month is huge growth!

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Would like to know the revenue split
Fx, interest and subs.

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Hi everyone! Which multiple would you apply to freetrade’s revenue / profit to establish a current valuation? Revolut is currently valued at x13 the revenue / x30 the EBITDA. Are these multiples realistic for Freetrade?

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Cynic

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No.

Revolut is going to trade at a much higher premium.

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Ft told me no Lisa they won’t offer this I think jisa would be on the list after delayed bonds and gilts I’m waiting patiently to invest a huge amount

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Revolut will be lucky to get a bank licence,the way things are going. I wouldn’t compare anything with Revolut, It’s a case of pick a number,any number when doing the yearly numbers!