TransferWise becomes profitable on operational basis

The Estonian-founded, London-based money transfer service, TransferWise, has announced it has for the first time become profitable on operational basis.

That does not necessarily mean the company is going to make a profit in the fiscal year of 2017-2018, and is certainly going to make a loss in the fiscal year 2016-2017 (that ended in March), but reaching operational profitability six years after it was founded is a massive milestone for the company.

TransferWise is expected to make a loss of about £2.6 million (US$3.4 million) in the last fiscal year, but has reached profitability in the calendar year 2017.

The company also said in a business update it’s currently doing £8 million (US$10.4 million) a month in revenue, and is on track to make £100 million (US$129.5 million) revenue this year.

According to the company, its revenues grew by 150% last year. Its customers are transferring over a billion pound sterlings every month, and the company has 700 staff.

TransferWise recently opened a hub for the Asia-Pacific region in Singapore.

Estonians Taavet Hinrikus and Kristo Käärmann launched the peer-to-peer money transfer service TransferWise in London in 2011.

I

Cover: The founders of TransferWise, Taavet Hinrikus and Kristo Käärmann.

Enjoyed the article?
Please consider becoming a supporter.

Become a Patron!

About the author: Sten Hankewitz

Sten Hankewitz is a lifelong journalist and Deputy Editor of Estonian World. Having lived in Estonia, Spain and the UK, he now resides in the United States. He loves to write and besides contributing to Estonian World and some occasional blogging, he writes for other media outlets in Estonia, Israel and elsewhere. He has strong convictions and he shows them unashamedly. You can follow him on Twitter, friend him on Facebook or check out his personal blog. You can write to Sten at sten@estonianworld.com.