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Chronicles

The story behind the story

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Revolut publishes delayed 2022 accounts, removing a hurdle in its UK banking license bid, reporting revenue up 45% YoY to £922.5M and a £25.4M pretax loss

- Auditors at BDO say issues for 2021 data have been resolved  — Fintech reports pretax loss; sees $2 billion revenue this year

Bloomberg Aisha S Gani

Context & Ripple Effects

Revolut’s earlier filings paired rapid customer and revenue expansion with widening losses, including a 2019 filing that showed revenue growth alongside a larger loss and a 2020 update that cited rising staff costs. The delayed 2022 filing therefore matters as much for the company’s reporting credibility as for its operating figures.

BDO’s statement that its concerns over 2021 data were resolved removes a documented reporting overhang while Revolut pursues a UK banking licence. The subsequent clean audit opinion on 2023 accounts suggests this was a consequential step in restoring confidence in its financial reporting.

First-order effects

  • Publishing the accounts clears a procedural obstacle in Revolut’s UK banking-licence application, though it does not itself secure approval.
  • Revolut gives regulators, investors and counterparties a current view of a business that grew revenue 45% year over year but remained loss-making before tax in 2022.

Second-order effects

  • The resolution of BDO’s 2021-data issues shifts attention from missing financial statements to the quality and durability of Revolut’s subsequent reporting and execution.
  • A less encumbered licence process could improve Revolut’s position with partners and customers that value bank-like services, while keeping scrutiny on governance and controls.

Third-order effects

  • If firms seeking banking licences increasingly face accounting and audit delays, financial-reporting readiness will become a more material competitive constraint for fintechs pursuing regulated-bank status.
  • Revolut’s path points to a broader maturation test for large fintechs: growth alone is insufficient when expansion depends on meeting bank-grade disclosure, audit and regulatory expectations.

The trend: Large fintechs are being judged increasingly on whether their governance and reporting can support a transition from fast-growing app businesses to regulated financial institutions.

Discussion

  • @yoramdw Yoram Wijngaarde on x
    Speaking of neo banks: Revolut expects to double its revenues in 2023 to $2B. [image]
  • @ownsomeshares Gordon Gekko on x
    Revolut have just confirmed to the FT revenue for 2023 will actually hit £1.7bn(!). 👀🚀 This represents an 85% increase on the £922.5m figure for 2022 (vs 65% growth in 2022). Revenue growth is accelerating. [image]
  • @sytaylor Simon Taylor on x
    📰 Revolut posted £1.5bn ($1.91bn) of revenue in an unaudited account. Revolut is averaging £125m revenue per month, with “unnamed sources” telling Bloomberg it is adding 300k customers per week and a total of “almost 40m customers globally.” The same reports also put profit at...
  • @ownsomeshares Gordon Gekko on x
    Hats off to the sales person/team at Revolut that has signed up a business with 60,000 employees. 🚀 [image]
  • @revolutapp @revolutapp on x
    Today, we published our 2022 annual report. Want to see what never settling looks like in practice? Here's some of the top highlights. Learn more 👉 https://www.revolut.com/... [video]
  • @ownsomeshares Gordon Gekko on x
    Revolut have just filed their 2022 audited accounts. 🚀 £922.5m revenue 6000 employees £25m loss for the year Growth continues at a fast rate with revenue coming from a plethora of sources - not just interest on cash balances. https://cdn.revolut.com/...