EasyEquities-owner riding high

Purple Group has bounced back from its dismal 2023 results with significant profit and revenue growth, which saw the share price increase by 59% in 2024.

Purple Group, which owns brands like EasyEquities, EasyProperties, RISE, and EasyCrypto, released its results for the year through August 2024 on Tuesday.

The company’s revenue grew by over 45% to R400.43 million and swung from a R35.20 million loss to R35.58 million profit.

The company’s basic earnings are also in the black, having gone from a loss of 1.90 cents per share to earnings of 1.77 cents.

Most of the company’s revenue was derived from retail revenue of R241 million, followed by non-activity-based revenue of R206 million.

Non-activity-based revenue includes revenue more closely linked to the value of client assets and the number of clients on the platform.

This type of revenue primarily includes asset management fees, administration revenue, cash management fees, Thrive fees and other asset-based fees.

Therefore, the company benefitted significantly from its client growth over the past year, with active clients growing by 10.4% to 991,320.

Client assets also saw significant growth of 24.8% to R58.2 billion. Registered clients grew by 11% to R2.29 million.

“Reflecting on this past year fills me with immense pride and an enhanced sense of excitement,” CEO Charles Savage said. 

“Purple Group has spent a decade breaking down barriers, opening doors, and reimagining what’s possible for all investors.”

“In 2024, Purple Group didn’t just sustain growth; we unlocked new realms of opportunity, setting records and scaling the impact of our platform”

“Over the past 10 years, our annual growth rates have consistently defied expectations, and these figures testify to the value we bring to our clients and shareholders alike.”

Savage specifically highlighted deposits as a powerful indicator of platform health, and this year, Purple Group saw record-breaking numbers as deposits grew by over 25% year-on-year.

From February to August this year, every month, a new record is set relative to the same month in previous years. 

“This momentum has continued post-year-end, with August achieving an all-time record deposit level of over R1.3 billion,” he said. 

“These deposits reflect the resilience of our client community and set us up for even more robust performance as interest rates begin to ease.” 

“We are committed to nurturing this growth by continuously optimizing the client experience and delivering value in every interaction.”