It's Fintech Reporting Season!

The last two weeks have seen a huge number UK startups publish their FY2023 results and even more are expected to come in the next week or so.

Lets jump right in!

This newsletter is brought in collaboration with Mercuryo, so please do check them out.

THE RESULTS

TrueLayer

TrueLayer has seen a huge growth in Revenue but it is still miles away from profitability and cash is running out:

• ￡12m of annual revenue (+248% YoY)
• ￡55m of losses before tax (vs ￡40m in 2022)
• ￡50m of cash left

Check out my post here

Yapily

Another leader in the Open Banking space, Yapily is also struggling. It's seen revenue growth and a reduction in net losses but is it enough to guarantee its survival?

• ￡5.0m of annual revenue (+80%)
• ￡11.2m of losses before tax (vs ￡22m in 2022)

• ￡7.5m of cash in the bank

Tide

Interest rates have helped Tide to grow their revenue significantly while net losses have remained flat. Overall a great result but there's always a question of how sustainable interest rate-led growth is and how the company will perform when rates come down.

• ￡114m of revenue (+98% YoY)
• 65% GM
• ￡35m losses before tax (vs ￡36m in 2022)

Check out my post here

Payhawk

Revenue and losses both grew substantially in 2023, with losses far outstripping revenue:

• €32m of losses (+80% YoY)
• €12.6m of revenue (+117% YoY)

Payhawk said the increased expenses were largely down to a higher headcount and “heavy investment in marketing campaigns”.

Crowdcube & Zego

Crowdcube and Zego released the results of its subsidiaries so group accounts will be published ASAP. Stay tuned. It looks like revenue has slowed at Zego and declined at Crowdcube but I will need to wait for the group accounts to confirm.

Codat

Growth has slowed considerably and losses are still a lot higher than revenue. Can it still justify an $800m valuation?

• ￡14m of annual revenue (+23% YoY)
• ￡33m of losses before tax (vs ￡32m in 2022)
• 92% Gross Margin (vs 80% in 2022)

Check out my post here

Wagestream

Wagestream over doubled its revenue while reducing losses. Overall a great set of results but there is still work to be done in achieving profitability:

• ￡22m of annual revenue (+108% YoY)
• 65% of gross margin
• ￡21m of losses before tax (vs ￡23m in 2022)

Check out my post here

Cleo

UK fintech Cleo has surpassed $100m ARR! It's likely that, based on its growth rates, it's even higher than this (possibly up to $130m) but the company confirmed it had surpassed this milestone!

Check out my post here

Runa

Formerly WeGift, Runa saw its total turnover decline but it's gross profit increase:

• ￡29m of revenue (down 15% YoY)
• ￡6.5m of gross profit (+15% YoY)
• ￡11m of losses before tax (vs ￡9m in 2022)

Analysis

• I looked into three leading UK proptechs here.
• I analysed the UK's top seed VCs. Founder of 20VC , Harry Stebbings corrected some of the data to highlight that they have invested in 6 unicorns at seed level, in 5 years. This could make 20VC the most successful Seed VC of all time at this point in their journey. I'm investigating this for another post. Stay tuned.
• I recapped the leading profitable UK Fintechs:

That's it!

THANKS ALL ??

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