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Revolut reports first full year of profit

The all-in-one fintech app Revolut has released its annual report for 2021. While 2021 ended more than a year ago, this report includes some significant figures as the company nearly tripled its revenue between 2020 and 2021. Because of this explosive growth trajectory, the company reached profitability for the first time.

Revolut’s financial success starts at the top of the funnel. At the end of 2021, Revolut had more than 16 million customers, representing a 46% increase compared to 2020.

Revolut’s core product is an account to send, hold and receive money combined with a payment card. While Revolut has yet to obtain a banking license in the U.K. (its home country), the company now has a full banking license in Lithuania.

It can use this license across the European Economic Area through passporting rules, which means that Revolut could be considered as a bank in Europe. In addition to these basic banking features, the company offers a ton of fintech products — but more on that later.

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First, let’s look at the big figures and convert them to dollars using today’s exchange rate:

  • In 2021, Revolut generated $769 million (£636 million) in revenue versus $266 million (£220 million) in 2020.

  • In 2021, Revolut reported a net income of $31 million (£26 million) versus a net loss of $270 million (£223 million) in 2020.

  • Gross margin also jumped from 33% to 70% between 2020 and 2021.

“We have achieved our first full year of profit and shown that we can accelerate customer growth, at scale, and grow revenue across all of our product lines,” Revolut co-founder and CEO Nik Storonsky said in the release. “In 2021 we were granted a full banking licence from the European Central Bank and welcomed millions of new customers. We also launched several new products and saw more activity from our customer base.”

Everything is moving up and to the right. In other words, things are looking great at Revolut right now. That’s why the company managed to raise an $800 million funding round at a $33 billion valuation in the middle of 2021.

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