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Atom Bank pulls in first ever monthly profit

Atom Bank has reported a monthly report for the first time in the company's eight-year history, with all aspects of the business showing steady growth.

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Atom Bank pulls in first ever monthly profit

Editorial

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The new milestone was revealed in the bank's quarterly interim results to end-June. The figures show Atom exceeding £3 billion in residential mortgage completions and attracting £1bn in deposits into its recently-launched Instant Saver accounts, raising the total depoit base to £2.5 billion.

The Government's Coronavirus support scheme for business also provided a boost to interest income, with £9.8 million generated from a £759 million loan book.

“It’s been an outstanding quarter for Atom,” says CEO Mark Mullen. “Atom achieved a monthly operating profit for the first time in the company’s history and we’re determined to accelerate further and faster both this year and next as we continue our journey towards sustainable profitability and IPO."

He says the bank expects to deliver month-on-month profit later this year as it bids for longer-term earnings ahead of possible future listing sometime in 2022/23.

The results represent something of a turanaround for the Durham-based digital lender, which in April confirmed a steeply discounted £40 million fund raise at 60p-a-share, just under half the price at which it raised equity in 2019.

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Comments: (1)

Andrew Smith

Andrew Smith Founding CTO at RTGS & ClearBank

This is great news. In a time when banks are struggling, great to see a challenger turning a profit. Valuation must be dramatically up, since turning a profit atm is a rare thing....

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