Close Menu

    Subscribe to Updates

    Get the latest creative news from FooBar about art, design and business.

    What's Hot

    Walgreens Store Closures: Full List of Locations Shutting Down This Month

    June 4, 2025

    Expert Predicts Summer 2025 Travel Deals: 5 Budget-Friendly Destinations to Book Now

    May 28, 2025

    Walmart Addresses Trump’s Demand to Cover Tariff Costs

    May 25, 2025
    Facebook X (Twitter) Instagram
    Friday, June 6
    X (Twitter) Instagram
    NinepenniesNinepennies
    • Home
    • Featured

      The Highest-Paying Jobs in America—And It’s Not in Finance!

      March 27, 2025

      7 Must-Buy Costco Sale Items Before They’re Gone This February 

      February 10, 2025

      Steel Stocks on the Rise: 3 Winners After Tariff Announcements

      February 4, 2025

      The Best Oil Stocks to Invest $200 in Right Now

      January 28, 2025

      Top 10 Best Jobs of the Year: High Demand, Six-Figure Salaries, and Bright Futures

      January 23, 2025
    • Entrepreneur News

      Walgreens Store Closures: Full List of Locations Shutting Down This Month

      June 4, 2025

      Walmart Addresses Trump’s Demand to Cover Tariff Costs

      May 25, 2025

      Walgreens Expands Use of Prescription-Filling Robots to Reduce Costs and Support Pharmacists During Turnaround

      May 15, 2025

      Hooters Declares Bankruptcy

      April 8, 2025

      Costco to Open 6 New U.S. Stores Next Month and Another in April—See the Locations and Dates

      February 28, 2025
    • Financial Wellness

      Smart and Risky Spots To Store Your Cash, Coins, Crypto, and More

      April 24, 2025

      The Minimum Salary Needed to Be in the Upper-Middle Class in 2025

      March 21, 2025

      Should You Buy, Sell, or Hold Amazon in 2025?

      March 7, 2025

      From Hawaii to West Virginia: The Shocking 77-Year Gap in Retirement Savings Longevity

      February 24, 2025

      Are the 3 Highest-Paying Dividend Stocks in the Dow Jones Worth Buying?

      February 17, 2025
    • Popular Now

      European Markets Climb as Trump Moves to Cut Tariffs on Auto Parts

      May 1, 2025

      Robinhood Expands Trading to Include Bitcoin, Oil, and Gold Futures 

      January 30, 2025

      Powerball Winning Numbers for January 18: Oregon Player Takes Home $328.5 Million Jackpot

      January 21, 2025

      Morgan Stanley Surpasses Estimates With Robust Equities and Fixed Income Trading Revenue

      January 20, 2025

      10-Year Treasury Yield Edges Lower Amid Anticipation of Economic Data, Fed Remarks

      November 21, 2024
    • Wealth

      America’s 10 Wealthiest Self-Made Women, According to Forbes— #1 May Surprise You

      February 5, 2025

      8 Wealthiest Royals in History

      February 4, 2025

      One Powerful ETF That Grew $10,000 to $55,000 in a Decade: Is It Worth Buying in 2025?

      January 28, 2025

      Coinbase CEO Predicts Bitcoin Could Hit Multi-Million Dollar Value

      January 24, 2025

      Dogecoin Surged After Elon Musk’s Appointment: What’s Happening With This Popular Meme Coin?

      November 18, 2024
    NinepenniesNinepennies
    Home » CEO of Revolut Is Optimistic About Getting a UK Bank License as the Fintech Company Reports a Record $545 Million Profit
    Editor's Picks

    CEO of Revolut Is Optimistic About Getting a UK Bank License as the Fintech Company Reports a Record $545 Million Profit

    AramideBy AramideJuly 12, 2024Updated:July 12, 20246 Mins Read
    Share Facebook Twitter Pinterest LinkedIn Tumblr Reddit Telegram Email
    Share
    Facebook Twitter LinkedIn Pinterest Email

    Revolut is a major British financial technology company. In an interview, the CEO of the company said something interesting. He said he is hopeful about the company’s chances of getting a UK banking license. He isn’t just hopeful based on nothing. He is optimistic because of the numbers his company is making. The company experienced a surge in users, leading to record-high pre-tax profits for the year.

    Overcoming Obstacles and Challenges 

    Nikolay Storonsky is the CEO and co-founder of Revolut. In an exclusive interview, he shared the news and his thoughts. Nikolay Storonsky shared that the company is optimistic about getting its UK bank license. He said they have been working on getting this license for over three years.  

    Source: Pinterest

    The company has a few obstacles to overcome before getting the license. However, they have recently overcome several of these critical challenges to move closer to approval from regulators.

    Revolut vs. Smaller Companies 

    “We hope to get it sooner or later,” Nikolay Storonsky said during the interview. The process is still ongoing. According to him, regulators are “still working on it.” However, he is optimistic because they haven’t mentioned any major problems with Revolut. 

    Source: Pinterest

    The CEO of Revolut explained why the process is taking so long. He explained that because Revolut is such a large company, it’s taking longer to get its banking license approved.

    Revolut: Comparing With Smaller Companies 

    Smaller companies get their banking licenses faster compared to Revolut. He pointed out that several small financial institutions with fewer customers have been able to get their banking licenses more quickly. “The reason is because Revolut is larger.”

    Source: Pinterest

    When explaining that the U.K.U.K.roves banking licenses for smaller companies faster, he made a statement. Storonsky said, “The United Kingdom usually approves two companies per year. But since Revolut is much larger, the process is taking more time than usual”.

    ALSO READ: Kevin O’Leary Explains How He Handles Family Members Who Ask for Bailouts 

    Revolut: One Major Problem 

    Revolut is currently allowed to handle electronic money in the UK. However, it can’t provide lending products like credit cards, personal loans, or mortgages. This is why they need a banking license. A bank license would allow the company to offer these loans in the UK. 

    Source: Pinterest

    However, the company has experienced long delays in its application. Revolut applied for the banking license in 2021, and they are still waiting for the approval. One major problem was that Revolut’s share structure didn’t comply with some important rules, including the laws of the Prudential Regulation Authority. The Prudential Regulation Authority is the regulatory body under the Bank of England that oversees the financial services industry.

    Revolut and SoftBank

    Revolut used to have different types of shares, some of which had special privileges. The Bank of England didn’t want that. The bank asked Revolut to simplify its six classes of shares into ordinary shares. This way, Revolut would be able to get the UK bU.K.king license that they want. 

    Source: Pinterest

    Revolut has complied with the rule. The organization made it happen by negotiating with SoftBank, a Japanese tech investor. They agreed to change SoftBank’s shares into a single class and remove the special privileges. Someone familiar with the situation mentioned this. The Financial Times first reported the news of Revolut solving the problem with SoftBank.

    Revolut: Increasing Revenue

    On Tuesday, the fintech giant shared its financial results. It revealed that its pre-tax profit for the entire year increased to £438 million in 2023. This amount is equal to $545 million. This is a significant turnaround from the year before. The company recorded a pre-tax loss of £25.4 million in 2022. 

    Source: Pinterest

    Revolut’s total revenue also grew by 95%. It went up from £920 million, which is $1.1 billion, to  £1.8 billion, which equals $2.2 billion. The company made this increasing revenue in 2022.

    Revolut’s Breakout Year

    Victor Stinga, Revolut’s chief financial officer, explained why the organization made a huge revenue in 2023. He said the company’s growth was due to a considerable increase in users. In 2023, Revolut gained more than 12 million new customers. Victor Stinga also mentioned that the company improved its services. Revolut did well in all its main areas, like card fees, foreign exchange, wealth management, and subscriptions.

    Source: Pinterest

    According to him, the company saw exceptional growth and profitability in 2023. “We consider 2023 to be what we would call a breakout year. This is from the point of view of growth and profitability,” Stinga said in an interview.

    ALSO READ: Denzel Washington’s Mansion is a Luxurious Head-Spinner 

    Major Reasons for Increased Revenue 

    Victor Stinga said there were three primary reasons the company witnessed an increased revenue. “The increase in revenue was mainly because of three things. First, the company got more customers. Second, the company improved and did well in making money from its main sources,” Stinga explained. “Third, there was a big rise in interest income. This increase is about 28% of Revolut’s total earnings.”

    Source: Pinterest

    Revolut’s Chief financial officer also added that in 2023, the company focused on being careful with money. “The company controlled how much they spent and followed a strict rule called “zero-based budgeting.” This means they had to prove that every new expense was necessary before they agreed to pay for it.

    Benefits of Zero-Based Budgeting

    Victor Stinga explained that zero-based budgeting had more benefits. He said that the company’s administrative expenses increased much slower than revenues did. Administrative costs increased by 49%, while revenues almost doubled compared to the previous year.

    Source: Pinterest

    Revolut also carried out other activities that worked in their favor. The company has been spending heavily on advertising and marketing, spending $300 million last year on advertisements and marketing alone. They also focus strongly on business banking solutions. The company is dedicating around 900 employees to business-to-business sales efforts, and this move is proving advantageous for them.

    You Might Also Like:

    How To Reduce Your Mortgage Timeline by Paying Biweekly

    Kevin O’Leary Explains How He Handles Family Members Who Ask for Bailouts

    How Hurricane Beryl and Middle East Unrest Are Driving Up Oil Prices

    Denzel Washington’s Mansion is a Luxurious Head-Spinner

    How Well Are Americans Saving for Retirement?

    Bank of England Revolut Softbank
    Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
    Previous ArticleConstruction Starts on €8 Billion ‘Smart City’
    Next Article Unexpected Increase in Vacancies and New Hires Hints Stability in Labor Data Ahead of Future Jobs

    Related Posts

    General

    Expert Predicts Summer 2025 Travel Deals: 5 Budget-Friendly Destinations to Book Now

    May 28, 2025
    Editor's Picks

    The Highest-Paying Jobs in America—And It’s Not in Finance!

    March 27, 2025
    General

    NYSE Expands: A New Stock Exchange Is Coming to Texas

    February 13, 2025
    Add A Comment

    Comments are closed.

    Top Posts

    How to Delete Credit Karma Account: Step-by-Step Guide

    October 14, 2024

    Home Depot Penny Items: How To Find Them

    October 17, 2024

    Introducing the 2025 Caterpillar Pickup Truck for the U.S. Market

    September 5, 2024
    Stay In Touch
    • Twitter
    • Instagram
    You Might Like

    Subscribe to Updates

    Get the latest tech news from FooBar about tech, design and biz.

    Most Popular

    How to Delete Credit Karma Account: Step-by-Step Guide

    October 14, 2024

    Home Depot Penny Items: How To Find Them

    October 17, 2024

    Introducing the 2025 Caterpillar Pickup Truck for the U.S. Market

    September 5, 2024
    Our Picks

    Walgreens Store Closures: Full List of Locations Shutting Down This Month

    June 4, 2025

    Expert Predicts Summer 2025 Travel Deals: 5 Budget-Friendly Destinations to Book Now

    May 28, 2025

    Walmart Addresses Trump’s Demand to Cover Tariff Costs

    May 25, 2025
    X (Twitter) Instagram
    • Home
    • Editor’s Picks
    • About Us
    • Get In Touch
    • Privacy Policy
    • Terms of Use
    • Editorial Standards
    © 2025 Ninepennies.

    Type above and press Enter to search. Press Esc to cancel.