Wise Stocks Surge Following Income Guidance Upgrade for FY24

Shares in global money transfer giant, Wise, have seen a significant rise following an announcement of an income guidance upgrade for FY24.

A Rise in Income and Active Customers

Wise reported a substantial growth in income, noting a 51% increase year on year. The company also saw a boost in its active customer base with numbers escalating by 32% to reach 7.2 million. The firm’s financial position has been further strengthened by the rise in interest rates, which has allowed it to earn a 3.8% yield on the £12.3 billion in account balances it holds for its customers.

Profit Guidance Increases

In light of these positive developments, Wise is increasing its profit guidance to 33-38%, a significant jump from the previous guidance of 28-33%.

Predictions for the Future

Harsh Sinha, the interim CEO and chief technology officer of Wise, is optimistic about the company’s future. Sinha noted the recent launch of a new service in China which enables expatriates to send their salaries back home. Wise has also resumed onboarding new business customers in 13 European countries after a pause to upgrade their servicing and operational capacity. Furthermore, the firm launched Correspondent Services in collaboration with Swift, providing a new solution for banks and other financial institutions to route their Swift messages to Wise and send payments through their fast and low-cost payments network.

Wise Shares Leap

Following the announcement, shares in Wise jumped over two percent at market opening and continued to climb throughout the morning. However, the firm has warned that macroeconomic conditions continue to be uncertain, which is reflected in slower volume growth among high value customers.