June 1, 2023: On Wednesday, Monzo said it reached heights at the beginning of this year, a significant milestone for one of the U.K.’s most prominent digital banks.

Monzo reported a net operating income of £214.5 million in its yearly information, almost folding every year from £114 million.

Losses at the bank nevertheless came in at a substantial £116.3 million though this was barely lower than the £119 million net loss Monzo reported in 2022.

Still, the group reached profitability in the year’s first two months.

In its annual report, Chief Financial Officer James Davies said Monzo is “now a business with diverse and stabilizing revenue from a large, and growing, personal and business customer base.”

“Profitability was always a choice as we balance continuing to invest in growth with profitability,” Monzo’s CEO, TS Anil, said in an interview. “We could have chosen to be profitable a rare quarters ago.”

Monzo is one of many digital banks to reach profitability. Starling Bank reached that landmark for the first time in 2021. Fellow fintech Allica Bank reached monthly profitability last year.

Monzo’s move into the black was primarily thanks to a substantial increase in income from newer earnings lines, such as lending and subscriptions. We paid accounts a total of 350,000.

Monzo refused to share a figure on how much profit it is currently making. The firm stated that it is on track to achieve full-year profitability by the end of 2024.