Flutterwave UK has reported a significant deterioration in its financial health for the fiscal year ending December 31, 2024, despite achieving notable revenue growth. The company recorded a net loss of £2.27 million, a sharp increase from the £485,000 loss reported in 2023. This downturn occurred even as turnover rose by 21%, reaching £6.6 million, indicating that rising costs and one-off events outweighed revenue gains.
Operating profit fell dramatically, declining by nearly 89% to £142,299, down from £1.25 million the previous year. A key driver of this decline was a substantial increase in administrative expenses, which surged from £4.2 million in 2023 to £6.4 million in 2024. This rise is likely linked to expanded staffing, as the company’s headcount grew from 22 to 31 employees, suggesting higher personnel and operational costs.
A major contributor to the widened net loss was a £2.6 million hit from the disposal of an investment. Flutterwave UK did not disclose the nature of the asset sold, but the loss was categorized as a one-off event, significantly impacting the bottom line. The company’s cash reserves dropped precipitously, falling from £14.9 million in 2023 to just £743,000 by the end of 2024.
This steep decline may reflect increased operational spending, investment losses, or broader liquidity challenges within the UK business unit. Additionally, amounts owed to the company, likely receivables, fell from over £4.5 million to just £10,000, suggesting either a change in customer payment behavior, a shift in accounting treatment, or a strategic decision to tighten credit terms.
While short-term liabilities decreased slightly, they remained high at over £12 million, indicating continued pressure on the company’s liquidity. Meanwhile, retained earnings swung from a positive £1 million to a deficit of £1.25 million, further underscoring the financial strain.
In 2023, Flutterwave was reportedly in discussions to acquire Railsr, a UK-based fintech firm. However, that deal appears to have fallen through. Despite this, the company has continued to expand its cross-border payments infrastructure, securing licenses in the US, Canada, and multiple African countries, aiming to strengthen its position in key remittance corridors.
In a statement addressing the 2024 results, Flutterwave emphasized that the operating profit remained positive, and attributed the net loss primarily to the one-off investment disposal. The company pointed to its group-level performance in H1 2025, highlighting doubling of margins, 20% year-over-year growth in enterprise payments, and key regulatory milestones as signs of underlying strength.
CEO Olugbenga Agboola reiterated earlier this year that Flutterwave is targeting profitability in 2025, though he did not rule out the possibility of a strategic sale.
