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Revolut greater than doubled its income to £1bn final yr, as Europe’s most precious start-up surpassed 50mn prospects and benefited from a surge in cryptocurrency buying and selling.
In an annual report printed on Thursday, Revolut mentioned its pre-tax income had elevated from £438mn a yr earlier. Revenues rose to £3.1bn, from £1.8bn.
Revolut’s report income had been underpinned by development in buyer numbers, which boosted its two largest sources of income: the charges it makes from card funds and the curiosity it earns on deposit. It mentioned it added nearly 15mn new prospects final yr.
Founder and chief govt Nik Storonsky mentioned “2024 was a landmark yr for Revolut” throughout which the London-based firm secured a banking licence in its residence market and a $45bn valuation.
“However we’re simply getting began,” he mentioned, including that the corporate was now focusing on 100mn each day lively prospects throughout 100 international locations.
A surge in crypto buying and selling additionally helped the fintech final yr. Revolut’s wealth enterprise, which includes inventory and digital asset buying and selling, introduced in £506mn in revenues — a virtually fourfold improve on 2023.
The division lifted Revolut to its first annual revenue in 2021 when retail merchants had been dashing to get a slice of a crypto increase. Nevertheless, the corporate’s revenues from crypto deflated the next yr.
Though Revolut has attracted hundreds of thousands of shoppers to its smooth cell app, the fintech nonetheless faces a big problem in convincing them to make use of it for his or her main checking account. Gathering a crucial mass of deposits is a vital a part of the corporate’s plan to unlock funding for loans and compete with the biggest retail banks.
Revolut’s complete buyer balances rose from £18bn to £30bn throughout the yr. The corporate — which reported a £979mn mortgage guide that features bank cards and purchase now, pay later merchandise — secured a UK banking licence with restrictions in July final yr.
The licence, obtained after a protracted three-year course of with UK regulators, represented a milestone that can allow Revolut to roll out lending merchandise in its residence market. Revolut has mentioned it’s testing mortgages internally.
The corporate can also be looking for to develop its ranks of paying subscribers. Income from charges on premium subscription plans, which provide a spread of perks, rose 74 per cent yr on yr to £423mn. It has additionally focused company prospects, with its enterprise providing now accounting for about 15 per cent of revenues.
