Revolut Doubles Profit to £1 Billion ($1.3 Billion) on Crypto Trading Growth

Revolut, a fintech company, has doubled its profit to £1 billion ($1.3 billion) in the fiscal year of 2024. The company reported that this rise in profit was linked to tremendous growth in the crypto trading activities

Fintech company Revolut has doubled its profit to £1 billion ($1.3 billion) in the fiscal year of 2024. The company linked this rise in profit to tremendous growth in the crypto trading activities, an increase in new users, as well as securing the highly anticipated UK regulatory banking approval.

According to its annual report published on April 24, pre-tax profit in the past fiscal year increased from £438 million in 2023 to £1 billion in 2024. Revenue also shot from £1.8 billion in 2023 to £3.1 billion in 2024.

Customer Growth

A major driver behind Revolut’s strong performance was the increase in new clients in the past year. The digital finance company received an influx of 14.5 million new customer accounts. This came from Revolut’s expansion plans into other European markets, apart from their traditional UK and Ireland territories.

According to the end-of-year report, Revolut had 52.5 million active customers. As a result of the expansion, revenue linked to card payment fees and deposits’ interest increased.

Crypto Trading Services

Another contributor to Revolut’s rise in profit is their in-house crypto trading service. The wealth division of the company, which includes crypto and stocks trading services, brought in a revenue of £506 million, which almost quadrupled 2023’s revenue figure.

The company launched a crypto exchange for pro traders, Revolut X, in the past year, which offers advanced trading facilities and has a 0% maker fee and 0.09% taker fees. Apart from expanding its crypto trading facilities, Revolut introduced more traditional investment offers such as bonds, ETFs, commodities, and stocks.

According to the company’s statement, it had 1.7 million crypto traders on its platform at the end of 2024, which is a triple increase from the previous year.

The company’s crypto trading volume reached $233 billion in 2024, which is more than double the volume in 2023.

The company’s stock trading services also saw strong growth, with revenue increasing by 200% to £244 million.

The company also announced that it had secured a banking licence in the UK, which will allow it to offer a wider range of products and services to its customers in the country.

“We are expanding our footprint in Europe and now serve 31 markets in total. In the past year alone, we welcomed 14.5 million new customers to the platform, bringing the total to 52.5 million,” said Nik Storonsky, CEO of Revolut.

“We also continue to innovate with new products and services, such as our cryptocurrency exchange, Revolut X, and our buy now, pay later product, which are proving popular with customers.”

Despite the impressive figures, the company still reported a net loss of £245 million for the year, which is an increase from £142 million in 2023. The company said that the loss was due to a number of factors, including the investment in new products and services, and the expansion into new markets.

However, the company’s adjusted operating profit, which excludes the impact of the net loss, doubled to £1 billion from £438 million in 2023.

“We are pleased with the progress we have made in 2024. We have expanded our customer base, launched new products and services, and secured key regulatory approvals,” said Storonsky.

“We are now focused on continuing to grow our business and offer our customers the best possible experience.”

The company’s performance was praised by industry analysts.

“Revolut has performed exceptionally well in a challenging macroeconomic environment,” said Ben Jackson, an analyst at BrickVest.

“The company’s strong customer growth, excellent product development and expansion plans are to be admired.”