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bunq: €53M Profit UK License Sought. Join the Journey

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TLDR: Bunq, a neobank with 11 million users, has reported a net annual profit of €53.1 million for 2023 and has applied for an E-Money Institution (EMI) license in the UK. The company saw a 20% increase in gross income and a fourfold increase in customer deposits, reaching about €7 billion. This is the first year that Bunq has reached profitability, although it generated a pre-tax profit of €2.3 million in Q4 2022. The neobank previously operated in the UK before Brexit and plans to tap into the market again, targeting the estimated 2.8 million British digital nomads.

Bunq, a neobank with 11 million users, ended 2023 with a net annual profit of €53.1 million, the company announced today. The Netherlands-headquartered neobank is now eying to enter the United Kingdom and has applied for an E-Money Institution (EMI) license in the country.

  • The profitability of the company came as its gross income jumped 20 percent in the last quarter of 2023, while the gross interest increased 488 percent.
  • The customer deposits in the neobank also escalated fourfold, from €1.8 billion in 2022 to about €7 billion at the end of 2023.

Meanwhile, the entrance of the neobank in the UK markets is not the first. It operated in the country before Brexit and continues to serve its existing customers. The EMI license will enable it to onboard new customers again. The company additionally highlighted the estimated 2.8 million British digital nomads to be its potential customer base.

“The UK is home to the second-highest number of digital nomads globally, so naturally, we want to be there,” said Ali Niknam, the Founder and CEO of Bunq. “We want to truly make their life easy, that’s why we’re excited to reintroduce Bunq to the Brits and enable them to bank like a local all across Europe.”

Established in 2012, Bunq is headquartered in The Netherlands and operates across Europe with a banking license obtained from the home country. The neobank further applied for a banking license in the United States last year and is now awaiting approval.

Key Takeaways:

  • Bunq, a neobank with 11 million users, reported a net annual profit of €53.1 million for 2023.
  • The neobank has applied for an E-Money Institution (EMI) license in the UK to tap into the estimated 2.8 million British digital nomads.
  • Gross income increased 20% in Q4 2023, while customer deposits escalated fourfold to about €7 billion.
  • The company previously operated in the UK and plans to serve both existing and new customers with the EMI license.
  • Bunq is headquartered in The Netherlands and has applied for a banking license in the United States.
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