Atom Bank’s operating profit climbs 600% after “best year yet”
Atom Bank has reported its “strongest ever financial results” with a 600% increase in operating profit and a 39% increase in its loan book securing its first full year of profit both before and after tax.
Atom records “strongest ever” financial results
The UK challenger cites its “efficient, sustainable and scalable business model” as the catalyst for the £27 million operating profit it recorded for 2023.
This was in addition to its expanded loan book of £4.1 billion, which experienced a 55% increase in residential mortgage balances to £3.2 billion and a 19% increase in commercial mortgage balances to over £600 million.
Atom – which recorded its first-ever operating profit last July – hinted at the outcome of its latest balance sheet when it raised over £100 million in equity capital from BBVA, Toscafund and Infinity Investment Partners in November.
It later joined hands with Funding Circle to dedicate £150 million in funding to small businesses in the UK through the country’s Recovery Loan Scheme (RLS), with the partnership set to further elevate its loan book.
“This has been our best year yet at Atom Bank,” comments CEO Mark Mullen.
“We have achieved profitability across all measures, grown our loan book significantly, maintained robust credit quality, avoided fraud losses altogether, kept our costs tightly controlled and enhanced our already industry-leading customer experience metrics.”
He adds that the challenger remains “entirely focused on serving the needs of borrowers and savers, without the soaring costs and operational complexity of transactional banking products like current accounts”.
