One of the world's fastest-growing tech companies Wise PLC is showing huge improvements year-on-year.

Wise PLC is a global technology company developing the best way to move funds around the world. The company has announced that it saw 5.5 million active customers move £27 billion across borders in Q2, a 50% rise on the same period last year.

Wise co-founder and current CEO, Kristo Käärmann, stated “This quarter 5.5mln customers moved £27bn with us, 50% more than in Q2 last year and for the second consecutive quarter, more than half our payments were instant. The Wise Account and Wise Business products continue to see good levels of adoption and this increased engagement with our product, higher volumes and faster speeds are a result of the longer-term investments that we have been making”

The company has seen severe macroeconomic circumstances throughout its second quarter, which led to a slight rise in prices for some of its customers. However, the CEO insists that the group is working hard to limit the increases with the idea to bring them back down.     

The reason for the higher costs was because of forex volatility. The average customer price rose to 0.64% from 0.61% in Q1 of FY23 and 0.62% in Q2 of FY22. Although, it did bring a positive. As a result of forex volatility, Wise was able to lower fees for various currency routes through new licenses and partnerships which reduced the cost of delivery.   

Wise has stated its total cross-border volumes for the second quarter of FY23 were £27 billion, 50% higher year-on-year and 11% high quarter-on-quarter. Business volumes rose 55% year-on-year to £6.9 billion and personal volumes rose 49% year-on-year to £20.1 billion. Revenue for the second quarter was £211.5 million, growing 59% year-on-year and 14% quarter-on-quarter. Wise also added that revenue for the first half of FY23 was £397.4 million, 55% higher than the first six months of FY22.

The company was founded in 2011, back then under a name of ‘TransferWise’. Right now, it is one of the world’s fastest-growing tech firms and manages on average over £9 billion in cross-border transactions every month. Essentially saving customers over £1 billion a year!

On the morning of Tuesday 18^th of October 2022, its shares were up 1.7%.

(sources: proactiveinvestorsuk.co.uk, investing.com)