8.6 C
New York
Wednesday, February 21, 2024
Home Challanger banks Revolut losses tripled to £107m in 2019

Revolut losses tripled to £107m in 2019

Revolut reported a pre-tax loss of £107m for the year 2019 to December. This means the company’s losses more than tripled to a £33m pound loss in 2018.

This completes the bigger picture of the state of the market with the annual reports from other challenger banks in the UK.

Starling’s losses doubled to £52 million in 2019, while the company trebled its staff numbers. Monzo bank’s losses jumped from £47.2m to £113.8m amid a hiring spree, marketing, and also its US expansion.

The losses for Revolut came despite Revolut’s revenue jumping by 180% to £163 million. Revolut has also seen a huge surge of retail customers with the total number increasing from 3.5 million to 10 million.

The fintech unicorn said it was reducing discretionary spending and keeping a tight control on costs. However, Revolut’s job cuts did not come without creating a controversy. Some former staff members complained that they were forced to leave their jobs without receiving the full severance.

Read also: Leaked messages from Revolut’s CEO Nikolay Storonsky address the job cut accusations

While Monzo admitted that the bank’s future remains unsure, Starling’s CEO Anne Boden claimed that the company is ‘on track to break even’ despite their losses doubled.

Right after the COVID-19 outbreak, Revolut moved on from travel perks to becoming a trading app. The Revolut’s app is now marketed as a super-app, with even more features to come for Revolut’s customers. Revolut claims that it saw rising income from domestic spending and cryptocurrency trading.

“Despite the current economic challenges, we remain focused on our goal of moving towards profitability,” the company’s CEO and founder Nik Storonsky said.

Jan Cerny
Jan is an innovation enthusiast and Fintech news reporter. He specializes in news distribution, social media, and content analysis.

Recent posts

Payment Technology Trends Shaping 2024 and Beyond

In commerce, staying ahead means understanding and implementing the latest in payment technology trends.  As we edge toward 2024...

The Future of Digital Payments: Exploring PayPal Alternatives

PayPal has been a major force in digital payments since its debut in 1998, leading the charge in online financial interactions. However,...

2024’s Financial Innovators: A New Era of Banking Startups 

In the wake of the COVID-19 pandemic, our world witnessed an unprecedented shift towards digitalization. The banking industry, in particular, has been...

Nubank: Supercharged Banking and Predicted to Soar Beyond $100 Billion

In this blog, we will explore two exciting developments that have everyone talking about Nubank: its potential for exponential growth in share value and its remarkable expansion to serve more than 90 million customers across Latin America.