Q4FY25 Trading Update

Wise

15/04/2025 07:00

RNS Number : 9779E

Wise PLC

15 April 2025

 

 

28% cross-border volume growth as Wise progresses towards moving trillions

 

●     We are progressing on our vision to become the network for the world's money, as quarterly cross-border volumes grew 28% YoY to £39.1bn and Wise customer holdings grew by 33% to £21.5bn

●     9.3m active customers used Wise in Q4, representing active customer growth of 17% YoY

●     The cross-border take rate reduced by 3bps to 53bps, reflecting an increase in the proportion of higher volume customers in the period

●     Underlying income was £350.4m in Q4 FY25, growing 15% YoY on a constant currency basis, and 13% YoY on a reported basis due to the previously flagged FX headwind

●     For FY25, growth in active customers, up 21% to 15.6m, combined with the greater adoption of Wise account features, drove a 23% increase in cross-border volume to £145.2bn1 and underlying income growth of 16% to £1.36bn on a reported basis. On a constant currency basis, underlying income grew 18% to £1.39bn for the year

●     Our FY25 preliminary underlying PBT margin was c.20% and for FY26, we continue to expect this to be around the top of our 13-16% target range.

 

"We ended the financial year taking Wise to even more people and businesses around the world. We launched Wise in Mexico, allowing Mexicans to be able to send money to the rest of the world with Wise. It's exciting that we now benefit from two-way flows with Mexico. In Hong Kong, we rolled out the Wise Business account, enabling businesses to get paid globally. And in Latin America, we announced a new Wise Platform partnership with Itaú Unibanco, one of the region's largest banks, enabling instant cross-border payments directly from the Itaú app.

 

We continue to move closer towards achieving money without borders by investing in our long-term growth: we recently launched our popular Interest feature in Australia, helping more customers earn returns by placing their money in funds backed by government-guaranteed assets. We also announced the opening of a new hub in Hyderabad to drive growth in India, building on recent office expansions in London, Tallinn and Singapore." 

 

-Kristo Käärmann, Co-founder and Chief Executive Officer

 

Q4 FY25
Q4 FY24
YoY Movement
Cross-border volume (£ billion)
39.1
30.6
28%
Underlying income (£ million)
350.4
309.5
13%
Cross-border take rate (%)
0.53%
0.67%
-14 bps
Instant transfers (%)
65%
62%
+3 pps

 

You can read more about our progress in our quarterly Mission Updates on wise.com.

 

Please see the appendix for further historical financial information. 

 

1 At our Owners Day earlier this month, we reported estimates for FY25 active customers of 15.5m and a 22% increase in cross-border volume to £145bn for the year.

Enquiries

Sarah Lewandowski - Investor Relations

owners@wise.com

 

Sana Rahman - Communications

press@wise.com

 

Brunswick Group

Charles Pretzlik / Nick Beswick

Wise@brunswickgroup.com

+44 (0) 20 7404 5959

 

About Wise

Wise is a global technology company, building the best way to move and manage the worldʼs money. With Wise Account and Wise Business, people and businesses can hold over 40 currencies, move money between countries and spend money abroad. Large companies and banks use Wise technology too; an entirely new network for the worldʼs money.

 

One of the world's fastest growing, profitable tech companies, Wise launched in 2011 and is listed on the London Stock Exchange under the ticker, WISE. In fiscal year 2024 Wise supported around 13 million people and businesses, processing approximately £118 billion in cross-border transactions, and saving customers over £1.8 billion.

 

FORWARD LOOKING DISCLOSURE DISCLAIMER

This report may include forward-looking statements, which are based on current expectations and projections about future events. These statements may include, without limitation, any statements preceded by, followed by or including words such as "forward looking", "guidance", "target", "believe", "expect", "intend", "may", "anticipate", "estimate", "forecast," , "project", "will", "can have", "likely", "should", "would", "could" and  any other words and terms of similar meaning or the negative thereof. These forward-looking statements are subject to risks, uncertainties and assumptions about Wise and its subsidiaries. In light of these risks, uncertainties and assumptions, the events in the forward-looking statements may not occur. 

Past performance cannot be relied upon as a guide to future performance and should not be taken as a representation that trends or activities underlying past performance will continue in the future, and the statements in this report speak only as at the date of this report. No representation or warranty is made or will be made that any forward-looking statement will come to pass ​​and there can be no assurance that actual results will not differ materially from those expressed in the forward-looking statements.

Wise expressly disclaims any obligation or undertaking to update, review or revise any forward-looking statements contained in this report and disclaims any obligation to update its view of any risks or uncertainties described herein or to publicly announce the results of any revisions to the forward-looking statements made in this report, whether as a result of new information, future developments or otherwise, except as required by law.

Appendix - Historical Financials

 

 

Quarterly
Q4 FY2023
Q1 FY2024
Q2 FY2024
Q3 FY2024
Q4 FY2024
Q1 FY2025
Q2 FY2025
Q3 FY2025
Q4 FY2025
QoQ
Movement
Q YoY
Movement
QoQ
Movement
Constant
CCY
Q YoY
Movement
Constant
CCY
Active Customers (thousand)
6,125
6,670
7,232
7,512
7,911
8,374
8,892
9,047
9,291
3%
17%
-
-
Personal (thousand)
5,784
6,307
6,847
7,120
7,517
7,962
8,469
8,612
8,838
3%
18%
-
-
Business (thousand)
340
363
385
392
395
412
423
435
453
4%
15%
-
-
Cross-border volume (£ billion)¹
26.7
28.2
29.2
30.6
30.6
33.2
35.2
37.8
39.1
3%
28%
3%
30%
Personal (£ billion)
19.5
20.8
21.6
22.3
22.6
24.5
26.1
27.4
28.4
4%
26%
3%
28%
Business (£ billion)
7.3
7.4
7.6
8.3
8.0
8.7
9.1
10.4
10.7
3%
33%
2%
34%
Customer balances (£ billion)
10.7
11.5
12.3
12.9
13.3
14.1
14.7
16.2
17.1
5%
29%
-
-
Personal (£ billion)
5.8
6.5
7.0
7.5
7.9
8.5
9.0
9.8
10.5
7%
34%
-
-
Business (£ billion)
4.9
5.0
5.3
5.4
5.4
5.6
5.7
6.4
6.6
2%
21%
-
-
Cross-border revenue (£ million)
177.7
187.9
196.5
206.2
204.6
211.2
207.9
212.9
208.4
(2%)
2%
(2%)
4%
Personal (£ million)
139.7
149.0
154.7
161.2
161.0
167.1
167.2
169.3
166.0
(2%)
3%
(2%)
5%
Business (£ million)
38.0
38.9
41.8
45.0
43.6
44.1
40.7
43.6
42.4
(3%)
(3%)
(3%)
(2%)

1.         Cross-border volume only.

 

Note: Differences between 'total' rows and the sum of the constituent components of personal and business are due to rounding.

 

Appendix - Historical Financials (continued)

 

Quarterly
Q4 FY2023
Q1 FY2024
Q2 FY2024
Q3 FY2024
Q4 FY2024
Q1 FY2025
Q2 FY2025
Q3 FY2025
Q4 FY2025
QoQ
Movement
Q YoY
Movement
QoQ
Movement
Constant
CCY
Q YoY
Movement
Constant
CCY
Card and other revenue (£ million)
45.8
51.6
62.2
70.4
72.6
80.0
92.8
97.8
100.9
3%
39%
3%
41%
Personal (£ million)
33.7
37.4
46.1
51.9
54.0
59.6
70.5
74.0
75.6
2%
40%
2%
42%
Business (£ million)
12.1
14.2
16.1
18.5
18.6
20.4
22.3
23.8
25.3
7%
36%
6%
38%
Underlying interest income (first 1pct yield) (£ million)
25.4
27.4
29.7
31.3
32.3
34.2
36.3
38.8
41.1
6%
27%
6%
29%
Personal (£ million)
13.7
15.2
16.9
18.0
19.0
20.4
22.1
23.6
25.1
7%
33%
6%
35%
Business (£ million)
11.7
12.2
12.8
13.3
13.3
13.8
14.2
15.2
16.0
5%
20%
5%
21%
Underlying income (£ million)
248.8
266.9
288.4
307.9
309.5
325.4
337.0
349.5
350.4
0%
13%
0%
15%
Personal (£ million)
187.0
201.6
217.7
231.1
234.0
247.1
259.8
266.9
266.7
(0%)
14%
(0%)
16%
Business (£ million)
61.8
65.3
70.7
76.8
75.5
78.3
77.2
82.6
83.7
1%
11%
1%
12%
Interest income (above the first 1pct yield) (£ million)
46.1
68.3
85.7
100.9
109.6
114.3
115.9
110.0
103.7
(6%)
(5%)
(6%)
(4%)
Personal (£ million)
25.0
37.9
48.7
58.0
64.3
68.0
70.4
67.0
63.5
(5%)
(1%)
(6%)
(0%)
Business (£ million)
21.1
30.4
37.0
42.9
45.3
46.3
45.5
43.0
40.2
(7%)
(11%)
(7%)
(10%)
Benefits paid relating to customer balances (£ million)
(15.5)
(24.3)
(29.0)
(33.7)
(37.9)
(41.3)
(43.5)
(38.2)
(38.2)
(0%)
1%
(1%)
3%
Personal (£ million)
(9.0)
(14.1)
(16.9)
(19.1)
(22.6)
(24.8)
(26.5)
(24.3)
(23.6)
(3%)
4%
(4%)
7%
Business (£ million)
(6.5)
(10.2)
(12.1)
(14.6)
(15.3)
(16.5)
(17.0)
(13.9)
(14.6)
5%
(5%)
4%
(3%)
Cross-border take rate (%)
0.67%
0.67%
0.67%
0.67%
0.67%
0.64%
0.59%
0.56%
0.53%
-3 bps
-14 bps
-
-

 

1.         Comprises interest income on customer balances, interest expense on customer balances and benefits paid relating to customer balances.

2.         Comprises revenue and interest income net of customer benefits.

3.         Revenue as a % of Volume.

 

Note: Differences between 'total' rows and the sum of the constituent components of personal and business are due to rounding

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.

 
  END

 

 
TSTEAKLLFDKSEFA