FinTech Calls for Fuel

The Italian FinTech industry confirms a high dynamism and a positive and promising scenario

For the third consecutive year, PwC Italy has carried out a research on the FinTech universe in Italy.

Three years ago, the initiative was born to fill an analysis gap. In this third edition the objectives of the work have been articulated and the increasingly in-depth and analytical photography of this sector (which in the meantime it is growing and maturing) has become functional in providing value to the various stakeholders: Banks, Insurances, Institutions, FinTech companies.

A total of 364 companies were analyzed, including 278 FinTechs and 86 TechFins.

While the report was being edited the Covid-19 emergency broke out. It is certainly too early to make reliable predictions about the impact of this emergency on the FinTech industry, as well as throughout the economic, productive, social environment in which we live, but this report includes some considerations about possible scenarios.

The Italian FinTech portrait


~ 60% is less than 5 years old


+70% with less than 10 employees


+40% revenues


Increasing n° of Scale-ups (from 28 to 37) and 2 new listed companies

FinTech in depth analysis

Payments area is the star, but margins are still an issue

  • Payments companies amount to 46. The area growth in terms of number of companies amounts to 28% while it represents a share of 17% compared to FinTech total.
  • Remarkable quantity of added companies: +18 new – 8 delisted = 10 (2 of which founded in 2019).
  • Positive revenues growth (+62%): the highest in the FinTech arena (average +40%). Despite the area represents the most developed market in terms of products and revenues (35% of the FinTech total).
  • It has a negative marginality (-9%) caused by the presence of business models that need a consistent customer base in order to generate high volumes. Unfortunately this request bears the weight of a country in which digital Payments are struggling to take off.
  • It is the third cluster for capital raised in 2019, with a total amount of 14,7 million € (10% on total), which is low considering its relative maturity.

Money Management on the right track

  • Average growth of FinTech: 7 new companies and two exclusions, of which one exit (Beesy).
  • Revenues are growing fast (+ 47%), but the area is still small: with 23 million Euros in 2018 is the second smallest area (after Capital Market & Trading).
  • Nevertheless, the area is the second for EBITDA margin, at 18%, again after Capital Market & Trading, and first for investments (mostly thanks to the €55 millions deal of Soldo).
  • The taxonomy is stable with respect to last year, equally divided between retail and SME offering.

Wealth & Asset Management Is Evolving and Attracting Many New Players

  • With around € 23 million in total revenue, it is the second smallest segment. But the turnover of a key player (Moneyfarm) is missing as it is based in the UK.
  • It is the second segment by number of new companies: 15 new entries, 10 of which were born between 2018-2019, with 4 delisted.
  • EBITDA is positive.
  • Real Estate Equity Crowdfunding is a new – and relevant -segment: 7 companies, all founded after 2016.
  • Equity Crowdfunding is a very dynamic segment (9 inputs and 3 outputs) but with little weight in terms of turnover.

Other Crowdfunding: Weak numbers but interesting for social impact

  • The Other Crowdfunding companies amount to 34. The weight of companies on FinTech total number decreases from 17 % to 12 %.
  • Added companies compared to the delisted: +7 new – 9 delisted = -2
  • Negative revenues growth (-39%).
  • Most of the companies in the Other Crowdfunding area are no profit associations, so the share of revenues on FinTechs total is very small and the analysis about EBITDA margin shows a negative trend proven to be not significant. Also, Investments do not have a relavant impact on the Other Crowdfunding area.
  • An interesting insight concerns capital raised by these kinds of platforms for an amount of 57 millions of euros since the beginning of their activity.

Lending is growing and evolving but investors are lacking

  • Many new entry: 17 new companies, 9 of which born between 2018-2019, with only two exclusions.
  • Revenues are growing (+ 26%), but less than the global FinTech industry. With 122 million Euros in 2018 it is the second most important FinTech area (after Payments).
  • Despite many young companies and high levels of risk, the segment has a positive profitability (+6%).
  • Relevant growth of the enabling circuits, which are expanding the offered services.
  • “Real Estate Lending Crowdfunding” is a new segment in the taxonomy.

Capital Market & Trading is growing and profitable Despite lack of funding

  • Capital Market & Trading companies amount to 30. The share of companies on FinTech total number increases from 10 % to 11%.
  • Moderate quantity of added companies, +11 new – 4 delisted = 7 (1 of which founded in 2019), for a total percentage growth of 30%.
  • Positive revenues growth (+57%) and higher compared to the FinTech total percentage (+40%).
  • Although the absolute value of revenue for this cluster is still low (around 23 millions of euros), the area records the highest marginality of FinTech total (19% of EBITDA Margin).
  • Yet despite interesting profitability of the cluster, Capital Market & Trading FinTechs have been attracting low Venture Capital funding (only 3% on total). This shortfall is partly due to the highly specialized and regulated nature of capital markets.

InsurTech is looking for more collaboration

  • There are 36 InsurTech companies. The weight on total number of FinTechs has slightly reduced from 15% (2018) to 13%.
  • Few new companies: + 5 new and - 3 delisted = +2 / only one new born in 2019.
  • Relevant growth of revenues (46%), higher than the Total FinTech.
  • Very low the investments (only 5% on Total 2019 FinTech Investments!).
  • They are very young / boom in 2015-2017
  • EBITDA is low as there are many young companies.
  • Taxonomy is stable (no new segments).

RegTech does not take off but new opportunities may arise with open banking

  • There are 18 RegTechs in Italy. The area growth in terms of number of companies amounts to an average 20%, while in terms of pure number of companies it is the smallest area, representing only 6% of the total FinTech market.
  • The taxonomy is stable, with no new segments.
  • 5 new companies, of which 3 founded in 2018/2019, and 2 companies closed, for a net growth of 3 new RegTechs.
  • Smallest area in terms of total turnover, with a decrease of 30% from the previous year. This decrease is almost completely due to a single company which hasn’t published its revenue yet; all other companies have growth 19%.
  • Second youngest segment (beyond InsurTech), which is probably causing a negative EBITDA (-0.4%).

TechFin, a healthy and growing sector

To complete and enrich the scenario of innovation opportunities in the financial sector, we have included the analysis of some players of interest in the area of Tech Enablers and Cybersecurity.

  • Tech enabler companies amount to 69 and 17 in Cybersecurity.
  • Remarkable quantity of added companies: +20 new – 5 delisted = 15 ( 2 of which founded in 2019)
  • 6 Companies out, of which 3 are exits, involved in big deals
  • Positive revenues growth (+15%) for Tech Enablers and (+32%) for Cybersecurity companies. A relevant number of Scale ups
  • Funds raised  43 Mil Euros, with a strong growth compared to 2017 (but no Capital raised by Cybersecurity companies)
  • Ebitda margin is 11% up from 2017 (8%) for TechEnablers and 3% for Cybersecurity
  • New segments: Open banking –API  (2 new entry in 2019)

Contact us

Fabiano Quadrelli

Partner | Consulting Leader, PwC Italy

Tel: +39 02 66720567

Rodolfo Pesati

Partner, PwC Italy

Tel: +39 02 7785578

Roberto Lorini

FinTech Leader, PwC Italy

Tel: +39 02 667201

Barbara Uttini

Senior Advisor FinTech, PwC Italy

Francesco Simone Farina

Associate, PwC Italy

Tel: +39 340 2140048

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