Oaknorth has reported its eighth consecutive year of profitability as Europe’s neobanks entrench their move into the green.
The UK neobank published its annual results on Thursday, posting pre-tax profits of £214.8m in 2024 — a 15% increase from the year prior, when it reported £187.3m in profit.
Founded in 2015, Oaknorth primarily makes money by providing financing options to small and medium enterprises. In 2024, it provided over £2.1bn of gross new lending, growing its lending books to £12.5bn from £10.2bn in 2023.
“Over the last year, we have continued to invest in and develop our offering for our customers, expanding both our product suite and our geographic footprint,” said CEO Rishi Khosla in a statement.
The neobank used its annual results to trumpet its success stateside. In 2023, Oaknorth began operating in the US and by the end of last year, it had lent $685m to businesses in the country and received authorisation from a New York regulator to establish a representative office in the state.
Oaknorth’s profitability streak comes as Europe’s neobanks continue to report profitability.
Last year, UK digital bank Starling reported its third year of profitability as former rival Monzo reported its first year in the green. Financial super-app Revolut also returned to profitability with record revenues of £1.8bn after reporting a loss of £25m the year before.
Read the orginal article: https://sifted.eu/articles/oaknorth-annual-results-2024-news/
