Proactive Investors - Wise PLC (LON:WISEa), the foreign exchange company, is continuing to benefit from interest rate hikes as its gross interest income yield increased quarter-on-quarter to 3.4% from 2.8%.
Customer returns also increased, with the London-listed firm paying back accounts 0.9% in the first quarter of financial year 2024, up from 0.6% in the quarter before.
Kristo Kaarmann, chief executive officer and co-founder of Wise, said the platform has been growing in terms of new customers largely because of word of mouth.
The fintech boss said in a company statement: “As our customer proposition continues to improve, more people and businesses are choosing Wise, and it is this growth in customer adoption that will underpin our long-term success.
“This quarter, we served 6.7 million active customers, an increase of 33% year-on-year, leading to 66% annual growth in income."
Total income during the period came in at £311mln, while revenue jumped 29% to £240mln.
The group – as of the first quarter – now holds account balances totalling £11.5bn.
Going forward, Wise expects total income to jump by around 28%-33% and EBITDA margin to remain “elevated” in comparison to its medium-term guidance of nearly 20%.
Additionally, the finance platform has been improving its service in countries like Brazil, Australia and several places in Asia, increasing the number of customers who can now send payments in under 20 seconds.
UK customers can benefit from the group’s ‘Assets’ section by opting in to earn 4.22% interest on these funds.
Wise opened just over 1% higher on Tuesday, having begun trading at around 655p.