Zilch, a London-based ad-subsidised payments network, announced its first month of operating profit in July 2024, surpassing a revenue run rate of over $130 million. The company’s recent success marks a significant milestone in its journey, which has involved doubling revenue year-on-year, expanding its team, and saving customers over half a billion dollars in fees and interest costs. Additionally, the company’s efforts have generated over $3 billion in new sales for its merchant partners, positioning Zilch alongside other European fintech giants like Revolut, Starling Bank, and Monzo.
Comparing the achievements, Revolut, Starling Bank, and Monzo also reported similar revenue milestones within a comparable timeframe of three to five years. However, Zilch has almost doubled its revenues for the year ending March 2024, highlighting its rapid growth and effective business strategy. Unlike some competitors who achieved profitability through cost-cutting, Zilch’s revenue increase reflects a more robust business model and market strategy.
The announcement comes shortly after Zilch secured £100 million in securitised debt financing from Deutsche Bank, further strengthening its financial position. CEO Philip Belamant expressed immense pride in his team’s accomplishments, emphasizing the significance of achieving profitability ahead of schedule.
Regulatory and Market Distinction
Belamant emphasized Zilch’s unique approach in a competitive market, stating that the company has distinguished itself by owning customer relationships and pioneering regulation. He added that Zilch is creating substantial value for its customers by offering real credit profiles and significant savings.
“In a market saturated with competition, we’ve distinguished Zilch from inception by owning the customer relationship, pioneering regulation, and generating real credit profiles, savings, and value for customers where others haven’t. We’re hugely optimistic about the future, all the while recognising that this is our day 1 and it’s all ahead of us,” Belamant said.
Strategic Board Appointments
In addition to its financial achievements, Zilch announced the appointment of Mark Wilson, former CEO of Aviva and AIA, to its Board. Wilson expressed enthusiasm for joining the company, praising its innovative and responsible approach to consumer finance.
“I am excited to join Zilch at this critical juncture. Under Philip’s visionary leadership, Zilch is transforming consumer finance with an innovative and responsible approach that lowers customer finance costs and fills a fast-growing need in society,” Wilson said.
Chairman Serge Belamant welcomed Wilson to the team, highlighting the value his expertise will bring as Zilch continues its growth trajectory.
“As Zilch’s Chair, I am delighted Mark has made this commitment as the value he will add will complement the expertise we currently have and help guide the company in its mission to provide affordable credit and rewarding debit for all as part of its financial inclusion vision,” Belamant stated.
Zilch aims to revolutionize the advertising and payments industries by merging debit, credit, and savings into a seamless experience. With its proprietary ad-subsidised payments network, the company connects retailers with millions of high-intent customers while offering personalized savings and rewards. This innovative model sets Zilch apart from competitors and positions it for sustainable growth and market leadership.
