Revolut Aims for 100 Million Customers by 2027, Overtakes Nubank in Valuation
Revolut, the London-based fintech giant, is accelerating its global expansion plans. The company aims to reach 100 million customers by mid-2027 and enter more than 30 new markets by 2030. This ambitious move follows a 149% increase in annual profits to US$1.4 billion in 2024. Meanwhile, Nubank, the world's second most valuable neobank, has applied for a national bank charter in the US.
Revolut's expansion includes launches in Mexico, India, and France, and entries into Colombia, Argentina, Portugal, Belgium, and the UAE. The company plans to invest US$13 billion over the next five years to achieve these goals. Revolut's valuation has soared to US$75 billion, overtaking Nubank, which has a market capitalization of about US$72 billion. Among the top 15 most valuable neobanks, only 11 are profitable, with major names like Chime, Klarna, N26, and Uala still yet to achieve profitability.
Revolut is trading at an enterprise value-to-revenue multiple (EV/R) of 18.3, significantly higher than the industry median of 5.8. The company's valuation increased by two-thirds after an employee secondary share sale, pricing shares at US$1,381.06. Nubank, however, generated US$11.5 billion in revenue and US$1.97 billion in net income in fiscal year 2024, nearly double Revolut's revenue and 41% higher in net income.
Revolut's aggressive expansion plans and impressive profit growth have positioned it as the world's most valuable neobank. Despite Nubank's significant revenue and net income, Revolut's valuation and expansion strategy are turning heads in the fintech industry.
