Thought Machine reaches $100 million in revenue, postpones IPO until 2028.

      Many tech founders seek higher valuations, but the head of Thought Machine prefers to focus on revenue—and he has just achieved a noteworthy milestone. According to tech.eu, the London-based core-banking firm has reached $100 million in annual revenue for the first time. Additionally, it has secured a new £30 million ($41 million) investment from a "tier 1" bank, which has postponed any plans for a stock market listing until at least 2028. These figures are part of the company's latest results.

      Emphasizing revenue over valuation

      Thought Machine develops cloud software that manages the essential operations of banks—including accounts, payments, and the underlying ledger. Banks pay a fee based on the number of accounts on its Vault platform. Revenue surged by 57 percent in 2025, with annual recurring revenue surpassing $100 million in mid-2026. The company also achieved positive free cash flow in the latter half of last year.

      Founder Paul Taylor remains notably unconcerned about the company's valuation. “We are trying to place less importance on valuation and more on commercial success,” he stated, opting not to disclose a current figure. Thought Machine was valued at $2.7 billion in 2022 and competes with core-banking rivals such as Starling’s Engine, Mambu, and 10x.

      A modest raise, a substantial client base

      The £30 million raise is relatively small by fintech standards and comes from a bank that is also a client. This pattern continues, as many of Thought Machine's investors—including Lloyds, ING, and Standard Chartered—are also customers. The firm claims to serve 18 of the largest banks worldwide and has signed a total of 68 clients. Investment in banking software continues to grow broadly.

      While the advancement is significant, the journey has not been without challenges. Thought Machine reduced its losses from approximately £70 million to about £12 million during this period. Costs remained stable while revenue increased, aided by larger contracts. The company employs around 530 people and plans to hire over 100 engineers in 2026, expanding in London and setting up a new office in Lisbon.

      Which flag to fly?

      Despite being portrayed as a British success story, Thought Machine's sales are notably international. Only about 15 percent of its revenue comes from the UK; the United States has become its largest market, followed by Australia and Latin America, with offices in New York and Miami.

      This dynamic influences Taylor’s plans for a public listing. He expresses a desire to revive the London stock market but acknowledges that conditions have been "difficult" after five years of stagnation, meaning an IPO is likely pushed to at least 2028, joining many other European fintech firms rumored to be considering going public.

      Others are also choosing to wait. For the time being, Taylor is focused on consistent revenue growth rather than a headline valuation figure, believing that banks will assess suppliers in a similar manner.