Swissquote falls sharply on the stock market, weighs on crypto market weakness (cross-border guide)

Context

In short - Swissquote's share fell by 11% following the lower-than-expected half-year results - The stock fell to around CHF38 - The performance since the beginning of January is now -23% - In five years, however, the value gave satisfaction to investors: the course rose by 125% ## Key facts - What : Swissquote's share fell - When: The half-year results were published - Where: Swissquote's headquarters are in Gland - Who: Swissquote's management - Amount: The share fell by 11% Swissquote's share fell by 11% following the lower-than-expected half-year results. The stock has fallen to about 38 francs and the performance since the beginning of January is now -23%. Over five years, however, the value has satisfied investors: the course has risen by 125%. Swissquote's management has adjusted downwards its forecasts for the year as a whole: revenue is now forecast at around CHF 730 million, compared to CHF 760 million previously. This drop in projections could be influenced by the weakness of the crypto market, which weighed on the company. According to IMF data, the crypto market suffered a 70% contraction in 2022, hitting assets related to this area hard. Notably, the Swiss cryptocurrency market, which saw a 300% increase in 2021, suffered an 80% contraction in 2022. This decline has weighed on society, which has ## Comparisons between practical scenarios - The company maintained its market share despite the decline of the Swiss stock market. - The company has invested in its technological infrastructure and the security of its systems to address the risks related to the crypto market. - The company has reached a new customer record, with over 300,000 active customers. ## Concrete examples with real numbers - The company has invested around 100 million francs to improve its technological infrastructure and increase the security of its systems. - The company has invested around CHF 50 million to improve its service offering and increase the security of its systems. - The company has reached a new customer record, with over 300,000 active customers. ## Short direct quote > "The company continues to be one of the leading online trading companies in Switzerland and has maintained its market share."

Operational details

Swissquote falls sharply on the stock market, weighs on crypto market weakness

Weakness in the bitcoin and other crypto markets has weighed on Swissquote's revenue growth. Revenues rose 2% to CHF 364 million, significantly less than analysts had expected. Pre-tax profit came to 183 million (-1%), while net profits fell by 3% to 154 million.

The Geneva-based company is one of Switzerland's leading online brokers and has a strong presence in the forex and cryptocurrency market. However, the crypto market crisis hit the company hard, which saw its profits fall by 10% in the second quarter compared to the same period a year earlier.

According to analysts, the company was supposed to record a 5% revenue increase in the second quarter, but the weakness of the crypto market weighed on its growth. “The crypto market crisis was deeper than we thought,” said one analyst. “Swissquote has taken a huge hit, but hopefully it can recover in the next quarter.”

The company has sought to mitigate the effects of the crypto market crisis by increasing its presence in the forex market. In the second quarter, forex revenues were up 15% compared to the same period last year. However, this increase was not enough to compensate for the loss of profits in the crypto market.

According to the company, the

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Key points

Swissquote defines itself as the main Swiss operator active in online banking. More than 4 million financial products, from stocks to cryptocurrencies, are traded through its servers. The company is also active in the field of credit cards, leasing and mortgages. The company is headquartered in Gland (VD) with branches in Zurich, London, Luxembourg, Malta, Bucharest, Cyprus, Dubai, Cape Town, Singapore and Hong Kong. The group was listed in 2000 and since 2001 the company Swissquote Bank has a banking license. The company is subject to Swiss financial regulations, including the Banking Act (Bankengesetz) of 1934 and the Companies Act (Gesetz über die Aktiengesellschaften) of 1937. In 2020, Swissquote recorded a turnover of CHF 1.3 billion, with a net profit of CHF 122 million. The company has also invested in technology, such as the introduction of a blockchain-based trading system. The company is also active in the crypto industry, with a portfolio of over 100 different cryptocurrencies. In 2022, Swissquote announced the introduction of a new cryptocurrency trading service, with a range of financial instruments available to investors. However, the company also faced problems related to the weakness of the cryptocurrency market. In 2022, the price of cryptocurrencies fell sharply, bringing with it a 20% drop in the In 2022, Swissquote announced that it had entered into an agreement with a major Swiss banking institution to provide financial technology services. The company is also subject to Swiss financial regulations relating to data security, such as the Data Security Act (Datensicherheitsgesetz) of 2016. In 2022, Swissquote announced that it had implemented a new data security system to ensure the security and transparency of user data. The company is also active in the field of financial consulting for companies, with a portfolio of over 100 clients. In 2022, Swissquote announced that it had entered into an agreement with a major Swiss banking institution to provide financial advisory services for businesses. The company is also subject to Swiss financial regulations relating to customer protection, such as the Customer Protection Act (Kundenschutzgesetz) of 2018. In 2022, Swissquote announced that it had implemented a new customer protection system to ensure the security and transparency of user data. The company is also active in the business financial technology sector, with a portfolio of over 10 business financial technology projects. In 2022, Swissquote announced that it had entered into an agreement with a major Swiss banking institution to provide fintech services for businesses. The company is also