|Emitents||mogo AS (213800DOKX626GYVOI32)|
|Veids||2.2. Iekšējā informācija|
Sustained growth while maintaining exceptional profitability
CORRECTION: correction of a typo on page 4 in CEO’s position, and minor changes on page 6 in section “Outlook - Products & Strategy”.
Financial Highlights and Progress
Modestas Sudnius, CEO of Eleving Group, commented:
While there is a lot of uncertainty in the world and capital markets, Eleving Group continues to demonstrate stable performance. The Group’s portfolio and revenue continued to grow in the first half of this year while the company carried on executing its strategy. That has produced strong financial results with the best 6M profitability.
Keeping that in mind, we are cautious about various signals of an economic slowdown initiated by the geopolitical and economic situation in Europe, such as inflation, rising costs of energy resources, and the overall sentiment in the economy.
In the upcoming six months, Eleving group will maintain its growth and development strategy but will take a more conservative approach in its underwriting policies, will seek for further improvements in operational efficiency, and focus on existing products and geographies with cautious tests of new concepts.
Maris Kreics, CFO of Eleving Group, commented:
The first six months have further strengthened the company’s financial standing in the face of any potential external challenges; hence, considering all known unknowns, we are becoming more cautious in our decision-making, especially regarding our countries and product portfolio.
As we have successfully raised the latest Eurobond (EUR 150 mln, listed in Frankfurt) in 2021 and refinanced our outstanding bond in Latvia (EUR 30 mln, listed in Baltics) during the same year, we have secured significantly more favorable funding conditions than those currently available in the capital markets. Additionally, our borrowings maturity profile has now been extended beyond next year, with Latvian unsecured bonds repayable in 2024 and Eurobonds repayable in 2026. Moreover, during the last days of 2021, we have also issued our inaugural subordinated bond in the total amount of EUR 25 mln maturing in 2031, which is currently listed on both Frankfurt’s and Baltic Stock Exchanges.
To better prepare the Group for any possible turbulences in the future, we are slightly adjusting our strategy—slowing down the pace of new products and market launches. Our primary focus lies on products with the best return characteristics. We believe that the efficiency of the portfolio and our operations in the following months will be crucial.
Full unaudited consolidated report on 6M period ended on 30 June: https://eleving.com/investors/
A conference call in English with the Group's management team to discuss the results is scheduled for 17 August 2022 at 15:00 CET.
Participant access information: https://bit.ly/3pclFac
Toms Vecvagars, Investor Relations Manager
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 on three continents, providing financial inclusion and disruptively changing financial services industries in its countries of operation. Founded in 2012 in Latvia, the Group has revolutionized how people purchase cars. Having expanded across the Baltics within its first year in business, the Group continued expanding in the following years, servicing 13 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.
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