|mogo AS (213800DOKX626GYVOI32)
|2.2. Iekšējā informācija
Record profitability driven by the historically highest loan issuances and consistent financial performance
OPERATIONAL AND STRATEGIC HIGHLIGHTS
FINANCIAL HIGHLIGHTS AND PROGRESS
Modestas Sudnius, CEO of Eleving Group, commented: “Eleving Group has produced sturdy performance in the first half of 2021, boosted by the Group`s strategic focus on its existing markets and leaner organizational structure. The strong performance of the Group was driven by a record-high consolidated loan issuance volume, in particular, by record-high numbers of disbursed vehicle loans in Romania, Uganda, and Kenya and consumer loans in North-Macedonia.
The used car market became increasingly active during the pandemic, and our industry know-how allowed us to react swiftly to the growing demand for safer, more cost-efficient personal mobility. The growing demand for personal vehicle across all of the Group’s markets increased both the average size of a Mogo loan (up by 4% q-o-q) and the number of applications for car loans (up by nearly 13% q-o-q).
During the first six months of 2021, we also focused on our corporate identity and took steps to boost the Group’s new brand awareness across the international business community — we launched our new website and strengthened our ESG approach. To pursue our ESG goals, we published the first group-wide non-financial statements and launched several social initiatives, for example, an e-signature solution in Romania and a motorcycle riding school for women in Kenya.
To encourage strong employee engagement in building business resilience and innovation culture, we have launched a vaccination motivation program and hybrid work model in the Group`s headquarters, including flexible working mode and engagement culture.
While headed towards the best financial year in the Group’s history, Eleving Group will pursue gradual growth in the next quarters, maintaining a keen focus on sustainable business development. “
Maris Kreics, CFO of Mogo Finance: “The record profitability achieved in the first half of 2021 provides conclusive proof that the revised strategy has largely been implemented as intended and is bearing fruit. The core profitability evidenced by the highest ever quarterly EBITDA with more than a 50% year-over-year increase and record-high portfolio of EUR 211.5 million, contribution to which was made by both of our business lines — vehicle and consumer financing.
The Group’s consistent financial performance is reflected in the strongest equity position in the Group’s history — total equity in the first six months of 2021 grew by 39.1%, reaching total equity of EUR 48 million at the end of the first half of 2021.
Also, our funding position has remained strong, with continuously decreasing costs of capital on the Mintos peer-to-peer marketplace (weighted average funding rate for the whole portfolio funded through Mintos is below 10%) and our Eurobond and Latvian bond secondary market prices are trading comfortably above par.
The Group`s bonds will mature in the second half of 2022, and we plan to evaluate a range of refinancing options during the second half of 2021. “
The full unaudited report for the six months ended 30 June 2021 is available under: https://eleving.com/investors/
A conference call in English with the Group's management team to discuss the results is scheduled for 10 August 2021 at 15:00 CET.
Please register: http://emea.directeventreg.com/registration/2934356
Maris Kreics, Chief Financial Officer (CFO)
About Eleving Group
Eleving Group comprises a number of financial technology companies with a global presence. The Group operates in the vehicle and consumer finance segments in 3 continents, providing financial inclusion and disruptively changing financial services industries in its countries of operation. Founded in 2012 as Mogo in Latvia, the Group has revolutionized the way people purchase cars. Having expanded all across the Baltics within its first year in business, the Group continued expansion in the following years, servicing a total of 14 active markets.
With its headquarters in Latvia, the Group operates in the Baltics, Central, Eastern, and South-Eastern Europe, Caucasus, Central Asia, and Eastern Africa.
For two consecutive years since 2020, the Group has appeared on the Financial Times list of Europe’s 1000 fastest growing companies.
Read more: www.eleving.com
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PROFESSIONAL INVESTORS ONLY – Manufacturer target market (MIFID II product governance) is eligible counterparties and professional clients only (all distribution channels). No PRIIPs key information document (KID) has been prepared as the bonds do not constitute packaged products and will be offered to eligible counterparties and professional clients only.
 Latvia, Lithuania, Estonia, Georgia, Armenia, Moldova, Romania, Belarus, Uzbekistan, Kenya, Uganda.
 A Premium car financing solution created through a strategic partnership with a local bank, which allows to achieve a combination of bank-level product pricing with FinTech speed, exceptional customer service, automation, and flexibility. Primero Finance is bridging the gap between conventional banking/leasing sector and subprime consumer financing.
 North Macedonia, Albania, Moldova, Ukraine.
 Adjusted with amortization of fair value gain EUR 1.8 mln and Albania write-off EUR 1.1 mln.