Yes 100% and likely also the reason we will never see Revolut Ltd fully wound down for multiple reasons including situations like they lose or have a big issue with their UK license that they have to revert back to an e-money license but also because some customers will remain stuck on their old entity because either an account is locked, inactive e.t.c.
I wouldn’t doubt there are at least a couple hundred thousand if not million customer in their figures who fall into one of the above scenarios that prevent Revolut from moving them.
Don’t think I’ve seen Revolut mention a specific number on their website which tells me they don’t want to give one because they know it will put them under scrutiny for the exact reasons you’ve mentioned.
As a fully licensed bank I doubt there’s any way they’d be able to legally fudge their numbers to keep the 13m figure unless they were able to port over each and every one or they were to expressley say it includes both banking customer and old e-money customers
Yes it may seem large to someone only used to traditional banks and Monzo but you have to understand to get that £70 refferal you have to do a number of things (order a card, add money and make a number of purchases).
In doing that they effectively earned you, a fully KYC’d active customer. You’ve now become more than just a figure you’ve become someone Revolut can now successfully start to upsell into the ecosystem and reffer other people in.
Between subscriptions and their multitude of other product lines we can see Revolut is highly diverse in their revenue streams as seen in their most recent financial reports where they reported $2.5bn in profit (£1.85bn) for 2025.
The reality is, Revolut have moved beyond being like traditional banks and even Monzo who rely on traditional interest income and actually having to hold people’s money to patch most of their profits (traditional interest income only accounted for 21% of Revoluts revenue where for traditional banks and Monzo that figures much higher) Thus why Monzo has been unable to ultimately imo shrug off the nickname of “a good UK bank” whilst Revolut holds nicknames like “global super app” because let’s be honest Monzo aren’t trying to be anything more than another UK high street with more traditional clothes.
Fair, that’s one argument that can be had that Revolut aren’t the most competitive for FX but they’re up there. If you’re someone scouting for interbank rates then yeah Revolut won’t be for you but if you just want everything all in one and don’t mind a slight mark up then that’s where people already in the Revolut ecosystem may just use it.
Love them or hate them you have to admit their 2025 report is impressive and shows their refferal system is working clearly with that level of growth
Leaving every single european tech to bite the dust
I don’t have any issue with their referral prog.
And for the size of this beast, even if they get 2 millions new users through it, that’s just 140 Millions before they claw some back via fees and other services.(so a tiny cost).
And full disclosure, when they came to crowdcube, I was away and chose the wrong time to take a few days mobile free I’m sure the founder knew that and decided to go live that week.
My point was that I don’t use them that much.
But they can’t be where they are if others don’t find value.
Don’t think a global app is a tribe compared to a UK only app like Monzo that is the definition of a tribe but anyway. I don’t think you’re seeing the bigger picture and it sounds like you’re maybe looking at this from the wrong angle due to your investment choices so let’s leave this conversation here as I don’t think it’s going to be constructive
I really don’t see why you just pick this comment I made and keep insinuating I have an issue with Revolut. I can struggle to see the basis for excitment around a brand without having an issue with the brand. Great option to leave there as this conversation didn’t have to happen.
Yeah, because that’s really how folk tell their friends about Revolut.
”You must try this global super app Revolut”
That’s marketing nonsense they hyped up.
Revolut is just a banking app for a non-bank. I have two accounts that I don’t use, so I assume I’m in that, so-called, 70m users they have twice!
Their revenue for 70m users is poor, likely only 2-2.5x Monzo’s despite 5x the “users” - likely because tens of millions of its “users” are effectively worthless customers.
Key inputs from FY25: revenue hit £1.2bn (up 48% YoY), deposits rose 48% to £16.6bn, and ARPU grew 15-16% across personal and business accounts (FinTech Global) . Customer base has grown ~25% from 12m to 15m over the year, and around 70% of customers are active monthly, with over a million on paid plans (Finextra) .
Assuming ARPU growth moderates slightly to ~12-15% and you layer on the 25% customer growth, I’d estimate FY26 revenue lands around £1.6-1.8bn (~35-45% growth). The expansion into investments (500k+ customers), pensions, insurance, and the Habito acquisition all add new revenue lines that should support the upper end.
Profitability: Adjusted PBT should scale nicely from £153m given operating leverage. I’d estimate £250-350m adjusted PBT.
Valuation
The last priced round was £4.5bn back in late 2021 — massively stale now. For an IPO-ready neobank doing £1.7bn revenue with 35%+ growth and proven profitability, comparable multiples (Nubank trades ~6-8x revenue) suggest:
Conservative (6x): ~£10bn
Base (8x): ~£13-14bn
Bull (10x+): £17bn+
A premium is justified given UK market dominance, NPS of +70, and the super-app trajectory. I’d put fair value at £10-15bn, with IPO pricing likely targeting the upper half if market conditions cooperate.”
if they show proper customer growth in Europe from their new Banking license and wait another year before floating, we may even get to see a £20B-£25B valuation.
But that is only if they keep the numbers up in the UK and rack, let’s say, 1m-2m EU customers.
I mght be a bit too optimistic on this one
But 10B is fair game for where they are at the moment.
I think we will likely see a steady or a small rise in 3 months time, even looking at a jump from the current £4.5bn valuation to say a £6.5bn valuation would take Monzo to a over 100x P/E (based on their previous £94.5m post tax profit, yes we can argue we haven’t seen this year’s figures but they’d have to double their post tax profit to make even a £6.5bn valuation realistic pay they had the FCA fine), well above what traditional UK banks like NatWest or Barclays trade at around 8x - 10x.
A 100x P/E jump is way too large even for a good UK bank that’s still predominantly UK only, that’s only just broken out and is very much still in its infancy in Europe. I would think it will take a good few years before we see any meaningful valuation change as a result of expanding into Europe.
Revolut for comparison who have been operating at a global scale for a long time so have a proven long standing record at their current £75bn valuation have a P/E of 44x due to their massive profits and global scale, if Revolut jumped to a $100bn valuation their P/E would only jump to 59x.
Let’s not conflait Monzo and Revolut when making valuation assessments they’re two very different beasts in very different ways with heir own success stories. Same with Nu bank they have less global presence but still a lot more customers and revenue than Monzo.
We’re comparing behemoths to Monzo and trying to put them on the same pedestal
Your maths is wrong. A £6.5bn valuation wouldn’t put Monzo at “over 100x P/E” based on £94.5m net profit. More like 69x.
Trailing P/E is the wrong metric for a hypergrowth company. Revenue grew 48% to £1.2bn in FY2025, while adjusted pre-tax profit surged 8x to £113.9m… What matters is forward P/E or PEG ratio and if Monzo’s profits continue growing at anything close to this pace, a £6.5bn valuation could look very reasonable by the time an IPO actually happens.
Traditional UK banks trade at 8-10x P/E because they’re mature, low-growth businesses in saturated markets. Monzo is growing revenue, products and custmoer base. That’s a completely different type of asset. It’s like arguing Amazon was overvalued in 2005 because Tesco traded at a lower multiple.
At a £4.5bn valuation on £1.2bn revenue, Monzo trades at roughly 3.75x revenue. For a fintech growing this fast with improving margins, that’s modest. Revolut at $75bn on ~$6bn revenue trades at about 12.5x revenue - significantly richer than Monzo.
Don’t think the maths is completely wrong, you’re using adjusted pre-tax figure which are wrong for P/E calculations.
Even if it was somehow a 69x that’s still a massive push for a mostly UK only bank, Ireland is still very much in its infancy not fully launched and still very much early access so there’s no way of knowing what will happen there.
As for hypergrowth I would argue Monzo hasn’t yet shown any proven signs of “hypergrowth” remaining firmly in 7th place customer numbers wise behind every single high street bank unable to overtake even one in 10 years. Shocking!!!
Once Monzo starts overtaking traditional banks customer numbers wise then yes maybe you could begin to argue some form of “growth” but certainly not “hypergrowth” unless you’re making massive assumptions on growth both here and in Ireland.
As for the saturated market argument you do realize Monzo are working in that same saturated market you’re claiming so they’re affected in all the same ways.
Until figures actually come out I don’t see your argument of hypergrowth we can all close our eyes and pretend Monzo will onboard 20m customers tomorrow, whether it’s realistic is another question.
Even assuming a generous 40% growth in profit (not revenue) come June a £6.5bn valuation is still highly unreasonable and puts their P/E well above any traditional UK bank. Monzo’s profit growth hasn’t been astronomical in any sense if anything pretty tame.
Also with the way the country is going as soon as the rates drop Monzo’s profits will drop because of their heavy reliance on deposit interest so as soon as things go to pot there’s no guarantees profit will keep growing.
Let’s see where we are come June but I don’t think I’m far off the mark
Profit will grow multiples not 40%. Revenue might grow 40%. Monzo will hopefully be lending more as they continue to fine tune their lending models which should support bottom line.
£6.5bn would be very low assuming further progress. My bet is the £10-15bn range, maybe more recognising the dominant position they are building in the UK.
if they start demonstrating stellar metrics in other countries that will be the big driver of valuation increases.
Not really. People are very reluctant to shift banks historically so it may take another 10 years or so for Monzo to have similar customers and deposits/revenue per user of the big banks. But it will happen. Nobody would have through they would have reached 15 million customers when they were a little prepaid card.
Lots of younger people use Monzo and as they grow older they will put their salaries and savings into them. That’s why the average deposits are growing far faster than for the legacy banks.
The only real differential is how many countries both Monzo and Revolut become major players in. Revolut seems to have more of a maximalist strategy, trying to get everywhere all at once whilst Monzo has been much more conservative. But I see them both encroaching on both the products the other offers and to some extent competing in the same markets over time.
Monzo annual results to March ‘26 expected Monday 1st June (50 days from now).
Crystal ball time… I could be wrong and other opinions are out there, but personally I am expecting £100m+ profit (the closer towards £200m the more muscle they will have to win the £10bn valuation they seek).
Layfield introduces her safe pair of hands, thanks TS and puts the ‘feuds’ to rest, shows how they are making smart strategic moves choosing Europe over US and making their first acquisition that could have serious benefits down the line. Raises head above the parapet on IPO plans without giving too many details to protect options.
I believe TS was keen on an IPO (probably so he can sell up) but the board appeared not in a rush, so I can’t see it happening for at least another 2+ years unfortunately.
I’m hoping for closer to £300m+, not sure on the acquisitions, don’t know who they would need to buy in the UK or Europe - would rather they spent that money on marketing and getting the product into as many EU hands as possible as quickly as possible.
Seems like they’re back at the Golden Ticket marketing trick in Ireland. This is the strategy that helped them skyrocket in the early days. Let’s hope it works this time around again.
Except this time they’re not just giving out expedited access they’re also giving out free money. Let’s see how well it works but the fact they’re giving out money makes me think they could get a good handful of people signing up purely for the reward and then either never use the account again or who then close it. Let’s see how many they retain and how many they show in their marketing figure. Let’s pray they do a better job and learned something from the UK run they can bring to Ireland
I’m sure the founder knew that and decided to go live that week.
