GoTyme, the digital banking arm of the Gokongwei Group of Companies, has cried foul over an online news portal’s report that the two-year-old company had incurred P3 billion in losses in 2023.
The website said the supposed losses occurred even as GoTyme onboarded over two million customers last year.
Chaired by business tycoon Lance Gokongwei, GoTyme said the report, although objective, was incomplete, sensationalized, and misleading.
In a statement on Tuesday, Nate Clarke, president and CEO of GoTyme Bank, said: “The bank has performed extremely well, and our growth is translating to deep adoption.
“We ranked 8th in money sent and 9th in money received in Instapay transactions, as per Bancnet, and we are the third most active finance app in the country, as per data.ai. The GoTyme Bank Visa debit card is the fourth most active among Visa debit cards, as per the Euromonitor,” Clarke said.
He added that it normally takes five to seven years for a digital bank to post a profit, stating that GoTyme Bank will likely make a profit by the end of 2025.
The portal’s report said GoTyme reported a P2.47-billion loss in 2023, its first full year of operations since its launch in October 2022, or 171 percent more than the P910 million it allegedly lost in 2022.
“Profitability will be achieved by GoTyme after about three years of commercial operations,” Clarke said.
For his part, Albert Tinio, GoTyme’s co-CEO, maintained the bank was on track toward profitability in record time due to its prioritization of innovation and customer acquisitions in its first year of operations.
“Our sister company, TymeBank in South Africa, recorded a profit in under five years, and GoTyme is expected to profit even faster,” Tinio told DAILY TRIBUNE.
GoTyme Bank, the venture between the Gokongwei group of companies and multi-country digital banking group Tyme, is among the fastest-growing banks in the country today, with 2.7 million customers due to its gateway to a simple, convenient, and rewarding banking experience.
Taylor Swift’s contribution
As the so-called Swiftonomics swept through Singapore in March after Taylor Swift performed six sold-out shows there as part of her Eras Tour, GoTyme Bank saw a 350-percent month-on-month increase in overseas card transactions as a result of the Swift concert.
“While this dramatic uptick reflects the activity of a significant demographic of GoTyme users in the country — banked millennials that can afford to travel and watch shows abroad — GoTyme has also been attracting a good chunk of older adults and members of the working class, such as delivery personnel and ride-hailing app drivers.”
“Practically everyone is on GoTyme,” said Clarke, citing the bank’s excellent customer experience and better value through lower fees, higher savings rates, and bigger rewards as the main drivers of its remarkable growth.
