Is the hiring strategy of Revolut proving successful?
In a notable development for the fintech sector, Revolut has shown impressive growth in revenue per employee compared to its competitors, according to financial reports released for the years 2023 and 2024.
Revolut, Europe's largest digital bank with over 60 million customers, reported a substantial increase in revenue per employee. In 2023, the company generated approximately £1.8 billion (around $2.2 billion USD) in revenue, with around 10,000 employees by November 2024. This implies an estimated revenue per employee of roughly $220,000 (2.2 billion / 10,000).
By 2024, Revolut reported revenue growth to about $4 billion, with its workforce slightly expanded. Assuming a similar employee base, revenue per employee would rise toward $400,000, reflecting a substantial ramp-up in productivity.
However, comparable detailed workforce efficiency data for other major players in the fintech industry, such as Monzo, PayPal, Remitly, Starling, and Wise, for these years is not readily available, limiting precise direct benchmarking.
Revolut's rapid revenue growth alongside managed workforce scaling indicates strong operational leverage and efficiency compared to general fintech trends. The company's growth in 2023 was driven by a significant increase in interest income.
Monzo, another UK-based neobank, had a higher revenue per employee than Revolut in FY 2024, but specific figures are not available. Monzo changed its financial year to end in March instead of February. By the end of March 2024, Monzo employed 3,736 workers, a 47% increase over a 13-month period.
PayPal, a larger and more established fintech, typically has a lower but very large absolute revenue figure. However, no updated figures for 2023-2024 were found in the search results. Historically, PayPal’s revenue per employee has been at a high but variable level depending on workforce size and segment focus.
Wise (formerly TransferWise) employed more than 5,500 workers by the end of FY 2024, a 25% increase from the previous year. Wise's FY 2024 revenue per employee was lower than Revolut's, but specific figures are not available.
Starling Bank's FY 2024 revenue per employee was also lower than Revolut's, with the bank employing 3,660 workers by the end of FY 2024, a 33% increase from the previous year.
Remitly had a higher revenue per employee than Revolut in FY 2023, although specific figures are not available.
In conclusion, Revolut's estimated revenue per employee grew from ~ $220,000 in 2023 to near $400,000 in 2024, based on reported revenues and employee counts. A more precise comparison would require workforce sizes and revenue of each competitor in 2023-2024 to be sourced from their respective annual or investor reports. Revolut's strong operational efficiency is a significant development in the fintech sector, demonstrating the company's ability to scale effectively while maintaining profitability.
Despite the lack of precise workforce efficiency data for other fintech companies like Monzo, PayPal, Remitly, Starling, and Wise, Revolut's impressive revenue growth and managed workforce scaling suggest a stronger operational leverage and efficiency compared to general fintech trends in the business sector.
