DGAP-News: Mogo Finance S.A.
/ Key word(s): Half Year Results/Half Year Results
Record profitability driven by the historically highest loan issuances and consistent financial performance OPERATIONAL AND STRATEGIC HIGHLIGHTS
FINANCIAL HIGHLIGHTS AND PROGRESS
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/ Conference Call: 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 Contact: Eleving Group Maris Kreics, Chief Financial Officer (CFO) Email: maris.kreics@eleving.com 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 IMPORTANT INFORMATION The information contained herein is not for release, publication, or distribution, in whole or in part, directly or indirectly, in or into the United States, Australia, Canada, Hong Kong, Japan, New Zealand, South Africa or any other countries or otherwise in such circumstances in which the release, publication or distribution would be unlawful. The information contained herein does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, the bonds in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any such jurisdiction. Persons into whose possession this announcement may come are required to inform themselves of and observe all such restrictions. This announcement does not constitute an offer of securities for sale in the United States. The bonds have not been and will not be registered under the Securities Act or under the applicable securities laws of any state of the United States and may not be offered or sold, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act. This announcement does not constitute a prospectus for the purposes of Directive 2003/71/EC, as amended (the "Prospectus Directive") and does not constitute a public offer of securities in any member state of the European Economic Area (the "EEA"). This announcement does not constitute an offer of bonds to the public in the United Kingdom. No prospectus has been or will be approved in the United Kingdom in respect of the bonds. Accordingly, this announcement is not being distributed to, and must not be passed on to, the general public in the United Kingdom. The communication of this announcement as a financial promotion may only be distributed to and is only directed at (i) persons who are outside the United Kingdom or (ii) investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "Order") or (iii) high net worth companies, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons in (i), (ii) and (iii) above together being referred to as "Relevant Persons"). Any invitation, offer or agreement to subscribe, purchase or otherwise acquire such securities will be engaged in only with, Relevant Persons. Any person who is not a Relevant Person should not act or rely on this announcement or any of its contents. 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. [1] Latvia, Lithuania, Estonia, Georgia, Armenia, Moldova, Romania, Belarus, Uzbekistan, Kenya, Uganda. [2] 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. [3] North Macedonia, Albania, Moldova, Ukraine. [4] Adjusted with amortization of fair value gain EUR 1.8 mln and Albania write-off EUR 1.1 mln. 06.08.2021 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. |
| Language: | English |
| Company: | Mogo Finance S.A. |
| 8-10 avenue de la Gare | |
| 1610 Luxembourg | |
| Luxemburg | |
| Internet: | www.mogofinance.com |
| ISIN: | XS1831877755, LV0000801363 |
| Listed: | Regulated Market in Frankfurt (General Standard) |
| EQS News ID: | 1224692 |
| End of News | DGAP News Service |
1224692 06.08.2021
© 2021 EQS Group
