Monzo Hits 10 Million UK Customers as Kuda's Revenue Triples

Hey FinTech Fanatic!

Monzo has reached a significant milestone, surpassing 10 million personal customers in the UK. This achievement comes after Monzo's first full year of profitability, a major funding round, and several new product launches.

With this growth, Monzo now serves 1 in 5 UK adults and over 450,000 business customers.

In Africa, Kuda, a neobank focused on Nigeria and backed by Target Global, has also made significant strides.

Kuda's revenue tripled, growing by 190% to $22 million in 2022. The user base doubled from 2.4 million to 4.9 million. Based in the UK, Kuda operates primarily in Nigeria through Kuda MFB, a microfinance banking subsidiary.

Kuda has launched new products like international remittances and is expanding into markets such as the UK, Canada, Ghana, Tanzania, and Uganda.

By January, Kuda had reached 7 million users. Total deposits surged from $41 million in 2021 to $100 million in 2022, with business deposits increasing dramatically.

Kuda's total assets grew by 30% to $154 million, with most assets tied to its Nigerian operations. The company is diversifying its revenue streams, earning $3.5 million from treasury investments in Nigeria. Kuda's focus on treasury investments grew as the Central Bank of Nigeria raised interest rates.

Despite this growth, Kuda’s losses have increased, posting a net loss of $32 million in 2022, doubling from the previous year due to higher staffing and operating costs.

Kuda has reduced its marketing spend to manage its financial resources better.

The neobank, last valued at $500 million, has raised $74 million and had $33 million in cash at the start of last year.

Although Kuda's losses are significant, CFO Frederic Bidet stated that the company is making progress towards breakeven and does not need immediate fundraising.

Cheers,

Marcel

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