Zilch achieves profitability and welcomes ex-Aviva CEO ahead of IPO

Zilch, a British fintech firm, achieved its first operating profit in July 2024, marking a significant milestone in its growth trajectory. This accomplishment comes just four years after its founding, positioning Zilch ahead of competitors like Starling and Monzo, which took longer to reach profitability. The company reported an annual revenue run rate exceeding £100 million ($130 million), doubling from the previous year, showcasing its rapid expansion in the buy now, pay later market. CEO Philip Belamant attributed this success to a growth-focused strategy, contrasting with many venture capital-backed fintechs that have resorted to cost-cutting measures to achieve profitability. He emphasized that Zilch's approach involved scaling the business rather than downsizing, which has allowed the company to navigate the challenging high-interest rate environment effectively. In addition to its financial achievements, Zilch announced the appointment of Mark Wilson, former CEO of Aviva, as a non-executive director on its board. Wilson expressed enthusiasm about joining Zilch at a pivotal moment, aiming to guide the firm toward sustainable success as a leader in its category. Looking ahead, Zilch is preparing for an initial public offering (IPO) within the next 12 to 24 months. The company recently secured $125 million in initial debt financing from Deutsche Bank, with plans to leverage this funding to significantly increase sales volumes in the coming years, further solidifying its position in the competitive fintech landscape.