Wise has recorded a 25% year-on-year revenue increase in Q1, reaching $714m.

The British financial technology firm reported that in the quarter ended 30 June, its active customers jumped by 21% to 11.9 million, while its customer holdings increased by 31% to $41.2bn.

Furthermore, the firm saw its transaction revenue jump by 27% to $540.9m, although its cross-border take rate dropped by two bps to 50 bps, as it “created capacity within the business to proactively invest” part of its operating leverage to further strengthen its advantage of lower prices for customers.

As a result, Wise reiterated its FY27 guidance, with net revenue growth set to fall in the middle of its 15% to 20% medium-term target range, while its income before tax margin is expected to be at the top of its 20% to 25% range.

Despite the results, shares in Wise dropped by over 4%

Co-founder and CEO at Wise, Kristo Käärmann, concluded: "This quarter almost 12 million people and businesses used Wise to move $69.3bn across the world. These customers paid an average fee of just 50bps - the lowest it has ever been on Wise. In 77% of the transactions, their money arrived instantly on the other side of the world. More customers are trusting Wise for their everyday money - their holdings grew 31% to $41.2bn.

"We recently expanded our product offering in Latin America, so that customers in Chile can now send money cheap and fast across borders and top up their multi-currency accounts with local, instant pay-ins.

"We continue building 'the' network for the world's money."

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