Revolut, the U.K.-based neobank valued at $45 billion, has temporarily shelved its initial public offering (IPO) aspirations but is celebrating a record-breaking financial performance. According to its latest annual report, the company achieved a remarkable net profit of $1 billion (£790 million) for 2024, marking a notable rise of 72% in revenues to $4 billion (£3.1 billion). The customer base soared by 38%, reaching 52.5 million users.
Continuing its trend of profitability, this marks Revolut’s fourth consecutive year in the black. In 2024, the company’s net profit more than doubled compared to 2023, where it reported $428 million (£345 million). The year was particularly significant as Revolut secured a banking licence in the U.K., its primary market, and saw its valuation increase following a successful secondary share sale. Furthermore, it introduced a new cryptocurrency exchange, Revolut X, which is anticipated to expand into multiple jurisdictions beyond Europe, complicating its setup.
While specific revenue figures for the crypto exchange were not disclosed, it is included in Revolut’s Wealth group, which reported a staggering 298% growth in revenue, reaching $647 million, up from $158 million in 2023. The Wealth segment, which also encompasses savings products, is now the second-largest revenue stream for the company, following a 43% rise in earnings from card payment processing, which totalled $887 million.
CEO and co-founder Nik Storonsky emphasised that 2024 was a milestone year, highlighting the significant increase in customer acquisition and engagement with various services across both personal and business offerings.
Looking forward to 2025, Revolut aims to formally launch banking operations in the U.K. and Mexico and double its user base to 100 million. This growth comes amid other challenges, including a lawsuit from Rippling regarding a controversial employee allegedly hired to monitor internal matters, the “Deel Spy.”
Despite facing hurdles in the U.S. market, new regulatory changes around cryptocurrency could potentially accelerate user growth through its new products, ultimately assisting with future fundraising efforts. Rumours suggest that Revolut might be considering another share sale at a projected $60 billion valuation, possibly alongside the launch of a stablecoin.
Revolut, however, remains cautious about publicly commenting on future funding rounds or IPO prospects. A spokesperson confirmed there are currently no immediate plans or timelines for an IPO, reiterating that the focus is on executing its growth strategy and continuing to innovate for its customers.
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