- British fintech firm Revolut reports over $1 billion in annual profit for the first time.
- The company’s net profit for 2024 increased by 149% year over year, with revenues up by 72%.
What happened: Revolut achieves significant profit growth
British fintech firm Revolut has announced that it achieved over $1 billion in annual profit for the first time, marking a significant milestone for the company. Revolut, which offers a range of banking and financial services via an app, reported a net profit of £1.1 billion ($1.5 billion) for the year ending December 31, 2024, representing a 149% increase year over year. The company’s revenues also saw substantial growth, rising by 72% to £3.1 billion. This growth was driven by increases across various revenue streams, including its wealth unit, which saw revenue surge by 298% to £506 million. Subscriptions turnover also jumped by 74% to £423 million.
Revolut’s financial success comes at a crucial time as the company prepares to launch its UK bank later this year. The firm secured a restricted banking license from the UK’s Prudential Regulation Authority in July 2024, marking the end of a lengthy application process that began in 2021. Currently in the “mobilization” stage, Revolut is focusing on building out its banking operations and infrastructure in preparation for a full launch. The company is awaiting regulatory approval to transfer its 11 million UK users to the new banking entity. Once fully operational, Revolut will be able to offer loans, overdrafts, and mortgages, opening up new income streams.
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Why it is important
Revolut’s achievement of over $1 billion in profit highlights its rapid growth and financial success in the fintech sector. The company’s significant increase in net profit and revenues underscores its ability to expand and diversify its services. As Revolut prepares to launch its UK bank, the financial milestone provides a strong foundation for its future operations. The ability to offer a broader range of financial services, including loans and mortgages, will further enhance Revolut’s position in the market. This development is crucial for Revolut’s global expansion and eventual IPO, as it aims to become a primary banking provider in the UK.
