GoCardless Hits Profitability
Payments company GoCardless reported its first profitable quarter with 22% revenue growth, citing cost controls and staff optimizations including relocations in Eastern Europe, and said it processes more than $130 billion annually across 30+ countries. (x.com) The company credited margin improvements and operational adjustments for the turnaround. (x.com)
GoCardless said it posted its first profitable quarter in the three months ending June 2025, after revenue rose 22% in its 2025 financial year. (gocardless.com) The London payments company said the profitable quarter was EBITDA-positive on an adjusted basis in the final quarter of fiscal year 2025, which ran from April to June 2025. Its latest Companies House filing showed turnover of £160.9 million for the 12 months ending June 30, 2025, up from £132.3 million a year earlier. (gocardless.com; businesscloud.co.uk) GoCardless said net losses fell 27% in fiscal year 2025, after a 55% reduction in fiscal year 2024. The company told investors it is now on track for its first adjusted full-year profit in fiscal year 2026. (finextra.com; financialit.net) GoCardless collects money directly from bank accounts instead of relying on card networks, a model used for recurring bills, subscriptions, and invoice payments. The company says more than 100,000 businesses use its service and that it processes more than $130 billion a year across more than 30 countries. (gocardless.com; finextra.com) The profit milestone follows a two-year push to cut costs after fintech funding slowed and investors pressed private companies to conserve cash. In February 2025, Chief Executive Hiroki Takeuchi told CNBC the company wanted its first full-year profit within 12 to 18 months. (cnbc.com) That cost push included layoffs and moving some support work east. GoCardless cut 15% of its global workforce in June 2023, and Bloomberg reported in February 2025 that headcount later fell by about 150 to 606 as several support teams moved to Riga, Latvia. (cnbc.com; bloomberg.com) Revenue growth did part of the work too. GoCardless reported £126.8 million in revenue in fiscal year 2024, up 38%, and said Europe and North America each grew by roughly 50% that year before growth slowed to 22% in fiscal year 2025. (gocardless.com; businesscloud.co.uk) The company has also expanded beyond its original direct-debit product. It bought Nuapay in 2024, added payout tools, and has pushed further into open banking, which lets businesses move money and verify bank data through direct bank connections. (gocardless.com; cnbc.com) GoCardless raised money aggressively during the fintech boom and was valued at $2.1 billion in a 2022 funding round led by Permira and BlackRock. Four years later, the company is telling a different story: slower hiring, tighter spending, and a first quarter in the black. (balderton.com; gocardless.com)
