By Daniel Lanyon on Monday 22 August 2022
The ambitious target comes off the back of a year in which the company has recorded its first annual profit.
Within one or two years Starling Bank will be generating a return on equity of more than 30 per cent, according to the company’s founder and CEO Anne Boden.
Speaking to the Financial Times, Boden said Starling’s low-cost base puts it ahead of other larger banks in terms of its operational efficiency.
Boden, who founded the neobank in 2014, also dismissed concerns over an imminent recession’s effect on Starling's loan book as well as reaffirmed the bank’s ambition to be publicly listed next year but also said “I’m in no hurry.”
London, too, she confirmed would be the default option for Syarling's IPO but that a US listing on the Nasdaq was an option too.
Starling posted a pre-tax profit of £32.1m on revenues of £188m, in its latest annual report, a marked improvement on a pre-tax loss of £31.5m in last 2021’s annual report.
It’s seen its deposit base swell 55 per cent, now up to £9bn, from £5.8bn in 2021.Its overall volume of lending also rose substantially during the period, up 45 per cent to £3.3bn.
21 March 2023
Daniel Lanyon