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Monzo achieves first full year of profitability

Monzo achieves first full year of profitability

UK digital bank Monzo is preparing to expand into the US and Europe after reporting its first full year of profitability, achieving a pre-tax profit of £15.4m for the financial year ended 31 March 2024.

The move into the black was driven by a 2.5x jump in gross revenues to £880m, across diversified income streams.

Monzo added 2.3m customers in the year, including 200,000 new business customers, and is now the UK’s seventh-largest bank, with 9.7m customers on its books.

Customer deposits grew at a significant rate of 88% to £11.2bn, with deepening engagement across Monzo’s customer base, with more than 500,000 customers now subscribing to Monzo Plus and Monzo Premium accounts.

The fast-growing digital bank recently raised around £500m of new capital, boosting its valuation to $5.2 billion.

Looking beyond the UK, the business has established a leadership team to enter the US market and is about to open a new office in Dublin as it prepares to stage an assault on Europe.

TS Anil, CEO of Monzo, says: “This was a landmark year of record growth for Monzo. We surpassed 9m personal customers and 400,000 business customers, launched game-changing new products, closed a £500m capital raise and, as planned, reported our first year of profitability. We’ve achieved scale, growth and profitability, and we have all the right components to seize the huge opportunity ahead.”

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