Zopa stated that annual losses in 2015 stood at £8.9m, up from £6.1m in 2014.
Zopa reported that this was in line with expectations after making significant internal investments throughout 2015.
This included more than doubling its staff from 70 to 157, focusing on technological innovation and increasing its marketing activities.
Jaidev Janardana, CEO at Zopa, said 2015 had been a headline year for the lender as it had laid the groundwork for sustainable growth of the business.
“We invested heavily in people, technology and infrastructure to prepare Zopa for the next step in its journey toward profitability.
“We expect Q4 2016 to be EBITDA positive and are on track to be profitable in 2017.”
Despite the losses, Zopa doubled its loan disbursals during 2015, rising from £265m to £532m, while revenue surged to £20.6m, compared to £11.5m in 2014.
In March, Zopa returned £50m in interest to lenders, while in August it became the first peer-to-peer platform to disburse its billionth pound.
Jaidev added: “The directors anticipate the entry of new competitors to, and growth of existing competitors in, our sector but are confident we will continue to show strong growth.
“Following the Financial Conduct Authority taking responsibility for regulating consumer credit in April 2014, Zopa Limited’s application for full permission was submitted within the designated window.”
Leave a comment