PensionBee: Fintech ‘well on track’ to hit profit as losses narrow by almost half
PensionBee’s CEO said the the company was “well on track” to achieving its first profit, as a jump in invested customers helped it narrow losses.
The London-listed fintechs’ pre-tax losses shrunk by nearly half in the first six months of the year, from £16.9m in 2022 to £9.2m.
Assets under management shot up 38 per cent year-on-year to £3.7bn, up from £2.7bn, while turnover jumped 39 per cent.
PensionBee has been eyeing up a return to adjusted profitability this year and looks well on the way to achieving that, with adjusted EBITDA losses narrowing to £7.9m down from £14.9m.
Romi Savova, chief executive officer of PensionBee, said a “strong” set of results were indicative if its “ongoing growth” and had position the firm well to deliver that adjusted EBITDA profit by the close of 2023.
“The scalability of our technology platform drives margin improvement, and we are looking forward to further innovating and evolving with our customers as we champion their voices in the industry.
“We are confident that our focus on serving and delighting customers will allow us to continue to grow and capture market share.”
PensionBee provides customers with the ability to move their old pension plans to its digital platform and reinvest them.
It has been looking to tap in on a rising number of Brits keen on taking greater control over their pension pots in recent years, in order to hit profitability for the first time.
The Fintech said it had spent £6.8m on marketing in the first half, taking its cumulative marketing expenditure to more than £50m and helping build its brand.
That strategy includes partnerships with Brentford Football Club, for which it hold the mens first teams’ left sleeve sponsor, as well as using podcasts and media channels such as TikTok.
The number of invested customers using PensionBee rose 33 per cent in the first half to 211,000, up from 159,000 last year.
Its shares are up 37 per cent this year already.