On-line pension consolidator PensionBee doubled its revenues final yr as older prospects with giant financial savings used its platform to switch, merge and handle their pensions.
The corporate’s property beneath administration rose to £2.6billion in 2021, from £1.4billion in 2020, as present and new prospects handed over extra of their financial savings.
It had some 172,000 energetic prospects on the finish of final yr – round 53,000 greater than in 2020 – of which 117,000 have been already invested, which marks a 70 per cent rise.
Chief government Romi Savova stated 2021 had been ‘a milestone yr’ for PensionBee (Pictured: Savova and co-founder Jonathan Lister Parsons on the inventory market float final yr)
PensionBee benefited from a rise in revenue-generating older prospects with greater pension pots, with the common pot measurement rising from £19,700 to £22,000.
In the meantime, present prospects introduced in additional of their pension plans to consolidate and made new contributions, whereas making a ‘comparatively low’ volumes of withdrawals.
Group revenues, that are largely derived from the annual charges charged to prospects for managing their property, greater than doubled to £12.8million.
However the wider buyer attain has come at a price – PensionBee pre-tax losses have practically doubled to £25million, from £13.5million the earlier yr, because it ramped up promoting.
The corporate spent £12.9million on advertising, whereas additionally directing ‘appreciable’ assets in direction of the event of its platform.
Nevertheless, it reiterated that elevated funding in automation will go away the corporate effectively positioned to develop into worthwhile ‘by the top of 2023’.
PensionBee benefited from a rise in older prospects with greater pension pots
Chief government Romi Savova stated 2021 had been ‘by many measures a milestone yr’ for PensionBee, which floated on the London Inventory Change virtually a yr in the past.
She added the £55million raised throughout the IPO enabled the corporate to maintain investing in its expertise and develop the enterprise.
‘We’re delighted to see the constructive affect of product improvements together with our 60-second ‘simple financial institution switch’ contribution characteristic, personalised tax codes for withdrawing prospects, a extremely detailed switch tracker and transactional push notifications to maintain our prospects knowledgeable of key transactions of their BeeHive,’ Savova stated.
‘Looking forward to 2022, we’ll proceed to implement our formidable progress plan to accumulate extra prospects and to make use of our distinctive expertise and progressive product providing to assist them handle their pensions all through their lifetime.’
The corporate additionally introduced it had moved to the premium section of the London Inventory Change’s principal market.
PensionBee shares rose 2.8 per cent to 138p in afternoon buying and selling on Thursday, however are nonetheless beneath their IPO itemizing value of 165p.