After hefty net losses in its first year of operations in 2023, Gokongwei-backed GoTyme believes it can become profitable as early as Q4 2025
Not even two years since it began operations, GoTyme has branded itself as the fastest-growing bank in the Philippines.
That means that at its core, the fast-growing Philippine digital bank traces its roots to South Africa, where Tyme Bank first established itself. There, Tyme built a “phygital” model using supermarkets, which were the dominant local remittance players in the country.
Albert Tinio, GoTyme’s co-CEO and chief commercial officer, also called the timing and result a “match made in heaven” as the Gokongwei Group was just embarking on its digital transformation initiative when Tyme Group approached them about the joint venture.“We did due diligence online. We met online. We applied for our license online – everything. We even built the whole team online,” Tinio told Rappler.
Based on the latest financial statements filed by Robinsons Retail Holdings, GoTyme finished 2023 with net losses of P2.47 billion. At first glance, this might look like the company was bleeding out, but it’s actually planned. It takes time for digital banks to turn a profit, especially with expensive infrastructure set up and marketing costs in the first few years.
“We’re spending close to $1,500,000 a month just getting new customers. So that’s productive money spent. Almost a third of our total expense is actually onboarding,” Clarke added.
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