UK wealth app Chip has recorded its first profitable month since its formation six years ago.
Chip, which provides a one-stop-digital-shop for savings and investments, currently counts 27,000 investors having run the business off the back of successive crwodfund campaings.
In a trading update, the company says it has experienced stand-out growth in 2023, driven primarily by its Instant Access Account, which currently offers interest on deposits of 3.82% AER.
The company reported 171% growth quarter-on-quarter growth in annual recurring revenue and £2 billion in deposits. Recording its first ever profitable month in May, Chip says it hopes to remain in the black on a monthly basis going forward with a prospect of posting its first full year profit in 2024.
Simon Rabin CEO says: “Profitability is a huge moment for any scaleup. It means the business is essentially self-sufficient and can drive profits into faster, more aggressive growth.
“While our incredible savings offering has provided us with a launch-pad, we’re delighted to see many customers begin to diversify their portfolio across our range of products."