REG - Wise PLC - Wise plc Q1 FY26 Trading Update

WiseAnnouncement

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RNS Number : 3868R  Wise PLC  17 July 2025

 

Strong start to the year with continued cross-border volume and customer
growth

 

●     Quarterly cross-border volume grew +24% YoY (+27% YoY on a
constant currency basis), to £41.2bn, and Wise customer holdings grew by +31%
to £22.9bn

●     9.8m active customers used Wise in Q1, representing active
customer growth of +17% YoY

●     Cross-border take rate reduced by -1bp in the quarter, or -12 bps
in the year to 30 June 2025,  to 52bps, reflecting a reduction in our average
price together with a continued increase in the proportion of higher volume
customers in the period

●     Underlying income was £362.0m in Q1 FY26, up +11% YoY on a
reported basis  and +14% YoY on a constant currency basis. Continue to expect
strong growth in underlying income in FY26, in line with our medium-term
guidance of 15-20% on a constant currency basis

●     Remain focused on the long-term growth opportunity and becoming
'the' network for the world's money while investing to target an underlying
profit before tax margin of 13-16% in the medium term, with FY26 expected to
be around the top of this range.

 

"We have had a strong start to our financial year, progressing on our journey
to moving trillions with more people and businesses around the world using
Wise. We launched Wise Business in the Philippines, and we continue to add
significant Wise Platform partners. In the first quarter, we announced a
partnership with Raiffeisen Bank, followed by UniCredit in July, to power
instant, low-cost international transfers for their personal and business
customers in Europe.

 

"Last month we also announced our proposal to dual list our shares in the US
and the UK, with the strategic and capital market benefits positively received
by Owners. We believe the addition of a primary US listing will help us
accelerate our journey to becoming 'the' network for the world's money, and
ensure our mission and the interests of our customers and Owners remain deeply
aligned over the long term."

 

-Kristo Käärmann, Co-founder and Chief Executive Officer

 

                                   Q1 FY26  Q1 FY25  YoY Movement  YoY

                                                                   Movement

                                                                   Constant

                                                                   CCY
 Cross-border volume (£ billion)   41.2     33.2     24%           27%
 Underlying income (£ million)     362.0    325.4    11%           14%
 Cross-border take rate (%)        0.52%    0.64%    -12 bps       -

 

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

 

Please see the appendix for further historical financial information.

 

 

 

 

Enquiries

Martin Adams - Investor Relations

owners@wise.com (mailto: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 world's money.

 

With Wise Account and Wise Business, people and businesses can hold 40
currencies, move money between countries and spend money abroad. Large
companies and banks use Wise technology too; an entirely new network for the
world's money. Launched in 2011, Wise is one of the world's fastest growing,
profitable tech companies.

 

In fiscal year 2025, Wise supported around 15.6 million people and businesses,
processing over £145 billion in cross-border transactions and saving
customers around £2 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                           Q1 FY2024  Q2 FY2024  Q3 FY2024  Q4 FY2024  Q1 FY2025  Q2 FY2025  Q3 FY2025  Q4 FY2025  Q1 FY2026  QoQ        Q YoY      QoQ        Q YoY

                                                                                                                                        Movement   Movement   Movement   Movement

                                                                                                                                                              Constant   Constant

                                                                                                                                                              CCY        CCY
 Active Customers (thousand)¹        6,670      7,232      7,512      7,911      8,374      8,892      9,047      9,291      9,797      5%         17%        -          -
 Personal (thousand)                 6,307      6,847      7,120      7,517      7,962      8,469      8,612      8,838      9,321      5%         17%        -          -
 Business (thousand)                 363        385        392        395        412        423        435        453        475        5%         15%        -          -

 Cross-border volume (£ billion)²    28.2       29.2       30.6       30.6       33.2       35.2       37.8       39.1       41.2       5%         24%        7%         27%
 Personal (£ billion)                20.8       21.6       22.3       22.6       24.5       26.1       27.4       28.4       29.7       5%         21%        6%         25%
 Business (£ billion)                7.4        7.6        8.3        8.0        8.7        9.1        10.4       10.7       11.5       7%         32%        9%         35%

 Customer balances (£ billion)³      11.5       12.3       12.9       13.3       14.1       14.7       16.2       17.1       18.1       6%         29%        -          -
 Personal (£ billion)                6.5        7.0        7.5        7.9        8.5        9.0        9.8        10.5       11.3       8%         34%        -          -
 Business (£ billion)                5.0        5.3        5.4        5.4        5.6        5.7        6.4        6.6        6.8        4%         20%        -          -

 Cross-border revenue (£ million)    187.9      196.5      206.2      204.6      211.2      207.9      212.9      208.4      214.8      3%         2%         4%         5%
 Personal (£ million)                149.0      154.7      161.2      161.0      167.1      167.2      169.3      166.0      170.2      3%         2%         4%         5%
 Business (£ million)                38.9       41.8       45.0       43.6       44.1       40.7       43.6       42.4       44.6       5%         1%         7%         4%

 

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

 

¹ Total number of unique customers who have completed at least one
cross-border transaction in the given period.

² Cross-border volume only.

³ Customer balances do not include Assets Under Custody which are not
recognised on the balance sheet.

 

 

Appendix - Historical Financials (continued)

 

 Quarterly                                                   Q1 FY2024  Q2 FY2024  Q3 FY2024  Q4 FY2024  Q1 FY2025  Q2 FY2025  Q3 FY2025  Q4 FY2025  Q1 FY2026  QoQ        Q YoY      QoQ        Q YoY

                                                                                                                                                                Movement   Movement   Movement   Movement

                                                                                                                                                                                      Constant   Constant

                                                                                                                                                                                      CCY        CCY
 Card and other revenue (£ million)                          51.6       62.2       70.4       72.6       80.0       92.8       97.8       100.9      103.3      2%         29%        3%         32%
 Personal (£ million)                                        37.4       46.1       51.9       54.0       59.6       70.5       74.0       75.6       76.7       2%         29%        2%         31%
 Business (£ million)                                        14.2       16.1       18.5       18.6       20.4       22.3       23.8       25.3       26.6       5%         30%        6%         33%

 Underlying interest income (first 1pct yield) (£ million)   27.4       29.7       31.3       32.3       34.2       36.3       38.8       41.1       43.9       7%         28%        8%         31%
 Personal (£ million)                                        15.2       16.9       18.0       19.0       20.4       22.1       23.6       25.1       27.4       9%         34%        10%        37%
 Business (£ million)                                        12.2       12.8       13.3       13.3       13.8       14.2       15.2       16.0       16.5       4%         19%        4%         22%

 Underlying income (£ million)¹                              266.9      288.4      307.9      309.5      325.4      337.0      349.5      350.4      362.0      3%         11%        4%         14%
 Personal (£ million)                                        201.6      217.7      231.1      234.0      247.1      259.8      266.9      266.7      274.3      3%         11%        4%         14%
 Business (£ million)                                        65.3       70.7       76.8       75.5       78.3       77.2       82.6       83.7       87.7       5%         12%        6%         14%

 Interest income (above the first 1pct yield) (£ million)    68.3       85.7       100.9      109.6      114.3      115.9      110.0      103.7      103.2      (0%)       (10%)      1%         (7%)
 Personal (£ million)                                        37.9       48.7       58.0       64.3       68.0       70.4       67.0       63.5       64.4       2%         (5%)       3%         (3%)
 Business (£ million)                                        30.4       37.0       42.9       45.3       46.3       45.5       43.0       40.2       38.8       (4%)       (16%)      (2%)       (14%)

 Benefits paid relating to customer balances (£ million)     (24.3)     (29.0)     (33.7)     (37.9)     (41.3)     (43.5)     (38.2)     (38.2)     (36.0)     (6%)       (13%)      (5%)       (11%)
 Personal (£ million)                                        (14.1)     (16.9)     (19.1)     (22.6)     (24.8)     (26.5)     (24.3)     (23.6)     (22.7)     (4%)       (9%)       (3%)       (6%)
 Business (£ million)                                        (10.2)     (12.1)     (14.6)     (15.3)     (16.5)     (17.0)     (13.9)     (14.6)     (13.3)     (9%)       (19%)      (8%)       (17%)

 Cross-border take rate (%)                                  0.67%      0.67%      0.67%      0.67%      0.64%      0.59%      0.56%      0.53%      0.52%      -1 bps     -12 bps    -          -

 

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

 

¹ Underlying income is an alternative performance measure comprising revenue,
first 1% of gross yield of interest income on customer balances, and any
interest expense on customer balances. It does not include interest income
above the first 1% gross yield or benefits paid on customer balances.

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