Challenger bank Revolut broke even in November
Revolut broke even last month in the latest indication that the challenger bank is bouncing back from the worst of the pandemic.
It is an encouraging sign for the digital bank which tripled its losses to £106.5m, in figures released in August.
It came despite a rise in its customer base during the first lockdown and a 180 per cent increase in revenues to £162.7m.
The last time Revolut broke even was in December 2018.
Chief executive and co-founder Nik Storonsky told CNBC the firm took a 40 per cent hit to revenues at the start of the pandemic but business has picked up since.
“In terms of financials we broke even in November… We’re now actually 50 per cent ahead in terms of revenues compared to pre-pandemic levels. Gross margins increased significantly as well,” Storonsky told CNBC.
Revolut is competing against a growing number of disruptor banks, including UK rivals Monzo and Starling.
The youngest of the challengers, Starling Bank recently announced it had generated an operating profit of £800,000 for October.
Revolut has launched a raft of new products in recent weeks as it looks to diversify its revenue streams from interchange, in which it relies heavily on.
The bank is looking to take on the burgeoning digital payments market with a new merchant acquiring platform.
Last week Storonsky announced the new acquiring solution will allow businesses in 13 European countries to accept card payments online directly into their account.
The bank also announced it had partnered with Modulr to allow its UK customers the opportunity to be paid a day early, and launched a web app for its regular users.