Financial Success and Leadership Changes at Wise
The annual report of Wise, the London-listed money transfer business, showcases its remarkable financial success. The company witnessed a surge in shares after reporting a tripling of full-year profits. With the introduction of its new bank account offering, Wise received deposits of over £11 billion. The company’s total revenue from transfers and interest reached an impressive £964.2 million, resulting in a profit of £146.5 million, marking a 234% increase from the previous year.
As Wise celebrates its financial accomplishments, it also prepares for leadership changes. Co-founder and CEO Kristo Käärmann, who holds a 19.8% stake in the company, will be stepping down. Käärmann’s overall pay packet in 2023 amounted to £209,000, including a basic salary, taxable benefits, and pension-related benefits. Wise’s outgoing Chief Finance Officer, Matthew Briers, received a total pay packet of £336,000 in the same period. Both Käärmann and Briers will be leaving the company, with Käärmann taking a temporary sabbatical and Briers recovering from a bicycle accident.
Growth and Diversity
Wise’s annual report highlights its significant growth and commitment to diversity. Throughout the year, Wise onboarded over a million new customers each quarter, resulting in 10 million active customers in total. The report also showcases a shift in gender representation, with 51% of the company’s workforce being women. Wise has made strides in improving gender balance within its leadership team, where women make up 40% of members. The report indicates a decrease of 2.9% in the company’s gender pay gap.
Word-of-mouth marketing has played a crucial role in Wise’s success, with 66% of customers being referred through this channel. The report also highlights Wise’s significant market share, with approximately 5% of cross-border money transfers involving the company. In the small business sector, Wise handles nearly 1% of transactions.