Nium’s latest financial results highlight the difficulty late-stage fintech firms face in converting scale into profitability, even as transaction volumes continue to rise.

The Singapore-based payments company narrowed its net loss marginally to S$88.1 million in 2024, according to regulatory filings reviewed by DealStreetAsia, but remained firmly in the red after absorbing a sharp increase in operating costs.

Total expenses climbed to S$267.8 million, driven largely by higher processing charges, which jumped to S$87.8 million during the year.

The increase reflects the structural cost of running cross-border payment infrastructure as volumes expand across multiple markets.

Revenue grew 13.3% to S$167.2 million, supported by stronger transaction activity as well as incremental gains in interest income and foreign exchange margins.

However, the pace of growth was not sufficient to materially alter the company’s loss profile.

Nium reduced spending in several discretionary areas.

Employee compensation declined to S$97.1 million from S$114.1 million, while advertising and promotion costs fell sharply to S$5.1 million from S$15.6 million.

Travel, commission and administrative expenses also trended lower.

The financial performance follows a valuation reset in June 2024, when Nium raised US$50 million in a Series E round led by Brunei Investment Agency at a valuation of about US$1.4 billion, down from its 2021 fundraising when it raised US$200 million.

The company has also deferred its initial public offering. Reports last year indicated that Nium pushed back its planned US listing to late 2026 from mid-2025 as it focuses on strengthening leadership and expanding revenue scale.

It subsequently appointed former Credit Suisse banker Andre Mancl as Chief Financial Officer.

Nium continued to expand its regulatory footprint in 2024, securing approvals in markets including Japan, India and New Zealand.

It also received authorisation from Brazil’s central bank to operate as a payment institution.

As of end-2024, Nium reported consolidated assets of S$804.5 million, slightly lower than the previous year, while total liabilities rose to S$722.3 million.

Total equity declined to S$82.3 million from S$105.3 million in 2023, reflecting accumulated losses.

Founded in 2014, Nium provides cross-border payments, card issuing and embedded finance services to banks, fintech firms and enterprises globally.

Featured image: Edited by Fintech News Singapore, based on image by thanyakij-12 via Freepik