Monzo Profit Jumps 44% as Lending and Subscriptions Power Growth

Overview

• Monzo, which reported results Tuesday, posted pre-tax profit of £87.3m, up 44% year on year, with total revenue rising 39% to £1.7bn.
• Lending income rose 39% and 1.6 million customers paid for subscription plans, lifting fee and commission income to £459m.
• The customer base reached 15.2 million and deposits climbed to £25.7bn, placing the bank among the UK’s largest by users.
• Refunds to fraud victims increased 85% to £59.6m after new reimbursement rules, and regulators last year fined Monzo £21m for weak checks that even accepted landmark addresses such as Buckingham Palace and 10 Downing Street.
• Monzo has scaled back its US ambitions and is now growing in Europe, with Ireland launched and Spain named as the next market under new chief Diana Layfield.