UK-based financial services company Cornerstone FS plc (LSE: CSFS) announced significant growth in its 2023 financial results, showing 100% revenue increase to £9.6 million. The company provides foreign exchange and payment solutions to businesses and individuals.

Cornerstone Reports Strong Growth in 2023

Cornerstone reported that its full-year revenue in 2023 nearly doubled to around £9.6 million from £4.8 million in 2022. The company said the strong growth was driven by increases in its active customer base and higher average transaction values.

“It has been an excellent year for Cornerstone as we made substantial strategic progress culminating in a set of strong financial results which significantly exceeded the Board’s expectations this time last year,” James Hickman, the CEO of Cornerstone, said.

The financial results further showed Cornerstone had improved its gross profit margin to about 63% in 2023 from 61% in 2022. It generated positive adjusted EBITDA of at least £1.4 million compared to an adjusted EBITDA loss of £0.9 million in 2022.

Additionally, Cornerstone generated positive cash flow from operations of approximately £1.4 million in 2023 versus a cash outflow in 2022. It ended 2023 with around £2.3 million in cash and cash equivalents.

“We have enhanced our sales team and expanded our offering, which has resulted in us executing higher value transactions and with a greater number of active customers,” Hickman added. “With a highly scalable platform, along with careful management of our cost base, we are also benefitting from the operating leverage within our business.”

Cornerstone Shares Double in Value

The latest results confirm the report that Cornerstone published over a month ago, stating that revenues for 2023 will be "materially above current market expectations."

Although the company did not provide details at the time, this led to a significant jump in the value of its shares on the London Stock Exchange. This additionally initiated a rally, which has since led to an increase of more than 100% in the company's share price.

Previously, in October, the company had informed that its revenues for the last fiscal year would be at least £8 million. In September, results for the first six months of 2023 were released, showing a surge of 90% in revenues to £3.6 million.

This marks another consecutive year of growth for the foreign exchange and payments company. From data in May, when Cornerstone published a full report for 2022, we know that revenues during this period grew dynamically, increasing by 110%.