PARIS, March 24 (Reuters) - British finance app Revolut said its pre-tax profit hit a record 1.7 billion pounds ($2.3 billion) in 2025, up 57% from the year before, in its annual result report
Revolut profit soars to record $2.3 billion in 2025, plans UK lending
Revolut's Financial Performance and Strategic Expansion
By Elizabeth Howcroft
March 24 (Reuters) - Revolut's pretax profit hit a record 1.7 billion pounds ($2.3 billion) in 2025, the British fintech firm said on Tuesday, as it plans to compete more directly with mainstream banks by launching credit cards, loans and overdrafts in the UK.
Revenue Growth and Profit Surge
Its revenue rose 4.5 billion pounds from 3.1 billion in 2024, driven by income from fees charged to its 68.3 million customers. Its profit surged 57%, a smaller gain than the previous year's nearly 150% jump.
UK Banking Launch and Lending Plans
Revolut, cleared by regulators to launch its UK bank on March 11 after a multi-year wait, said it was transferring existing UK customers to its banking entity, and plans to offer a credit card, unsecured personal loans and overdrafts.
Shifting Focus to Lending
Profit in recent years has been driven by interest income and crypto, but the company is looking to increase its credit book and lending business as it encroaches on the territory of mainstream banks.
Company Background and Valuation
Founded in 2015, Revolut is one of the most successful European fintech companies, with no physical bank branches. It hit a $75 billion valuation in a private secondary share sale in November last year.
Lending Portfolio and Mortgage Business
Revolut said it more than doubled its loans to customers last year, with its lending portfolio - which is mostly consumer loans - growing 120% to 2.2 billion pounds.
Mortgage Expansion Plans
Still, it described its mortgage business, launched in Lithuania, as "nascent". CFO Victor Stinga told journalists that although Revolut plans to offer mortgages in other countries, "it's probably not a matter of months, but rather the next several years".
Global Expansion and IPO Prospects
Customer Strategy and Main Account Usage
Revolut's strategy has been to attract customers who use it as a secondary bank account for services such as payments and foreign exchange, then offer them perks like subscriptions, Revolut's outgoing U.S. CEO told Reuters earlier this month.
Increasing Main Account Adoption
The company is trying to have more customers use it as their main account. Stinga declined to comment on how many Revolut customers did so in 2025, although the annual report said this number was up 45% from a year ago.
International Licensing and Future Focus
The company is seeking a banking licence in France, although it offers banking services in the European Union by "passporting" a licence from Lithuania, and has applied for a bank charter in the United States.
Geographic Expansion and IPO Timeline
"Geographic expansion beyond Europe becomes the next frontier of focus for us once we've finalized the UK bank," Stinga said. On IPO plans, Stinga said the company does not have a timeline "set in stone".
($1 = 0.7465 pounds)
(Reporting by Elizabeth Howcroft; Editing by Gianluca Lo Nostro, Inti Landauro, Louise Heavens and Arun Koyyur)
