NEO Finance, AB Interim financial information for 2024 Q3

This report presents the Q3 2024 operational data of NEO Finance, AB (hereinafter – the Company) – sales results and unaudited financial indicators. Key results include: 

  • The Company’s revenue in Q3 of 2024, compared to Q3 of 2023, increased by 26% and reached EUR 1 483 thousand. 
  • The cost of sales rose by 20% from EUR 552 thousand to EUR 664 thousand. 
  • Operating expenses increased by 17% from EUR 516 thousand to EUR 605 thousand. 
  • EBITDA grew by 59% from EUR 219 thousand to EUR 347 thousand. 
  • Profit before taxes was EUR 213 thousand, compared to a pre-tax profit of EUR 112 thousand in Q3 2023. 

 

   2024 Q3  2023 Q3           2024 Q3 / 
         2023 Q3 Δ, % 
2022 Q3           2024 Q3 / 
2022 Q3 Δ, % 
Revenue, EUR     1 483 116        1 181 551   26%  933 392   59% 
Income from P2P lending, EUR     880 640        751 592   17%  634 157   39% 
Income from e-money issuance and management, EUR      447 377         344 292   30%  256 994   74% 
Income from investment activity, EUR      155 101          85 667   81%     

42 241  

267% 
Cost of sales, EUR   
   
  (664 652)         (552 881)  20%  (431 325)  54% 
Gross profit, EUR   
   
   818 464           628 670   30%  502 067   63% 
General and administrative, other operating and interest expenses (depreciation excluded), EUR      (605 302)         (516 483)  17%    (408 734)  48% 
EBITDA, EUR   
   
   347 310            219 031   59%      137 319   153% 
EBITDA Margin, %   
   
   23,4%          18,54%         14,71%    
Pre-tax profit (loss), EUR   
   
    213 162            112 187   90%        94 943     125%

  

Results of Businesses for Q3 2024. 

 Paskolų Klubas 

In the third quarter, our peer-to-peer lending platform generated revenues of EUR 880 thousand, reflecting a 17% increase compared to the same period last year. 

However, in Q3 2024, EUR 10.4 million worth of loans were granted through the Paskolų klubas platform, marking a slight decrease of 0.95% compared to the EUR 10.5 million of consumer loans granted in Q3 2023. The primary reason for not achieving the expected results was the lack of stable loan funding. 

This quarter, we faced a dynamic market situation where our current funding sources were unable to meet the full loan demand. As a result, we fell short of the desired outcomes. Nevertheless, we remain optimistic that the last quarter of the year will bring more stable funding and better loan issuance results. 

We are pleased to have maintained stable growth in our loan portfolio. The consumer loan portfolio administered by the Company at the end of Q3 2024 amounted to EUR 78.8 million, growing by 18.89% compared to Q3 2023. We expect this growth to continue into the upcoming quarter. 

Jolanta Rudė 

Head of Peer-to-peer Lending 

 
Neopay 

Over the past year, we’ve been deeply focused on optimizing our payment solutions to better meet the evolving needs of our corporate clients. Our goal has always been to ensure that our platform not only supports their daily operations but also empowers them to deliver exceptional experiences to their customers.By actively listening to client feedback and understanding their pain points, we’ve fine-tuned our offerings to exceed expectations, resulting in more streamlined, efficient processes that drive meaningful results. 

One of our key priorities has been to simplify complex, outdated payment systems and offer customized solutions that reduce manual work, improve accuracy, and deliver cost savings. This has enabled our clients to focus more on growth and less on operational challenges. Looking ahead, our vision is clear. We are committed to leading the charge in modernizing financial operations for businesses around the world. With continuous innovation at the core of our strategy, we plan to explore emerging technologies and expand our global footprint. Our longterm goal is to become the preferred partner for enterprises seeking cutting-edge payment solutions that drive efficiency and growth. 

Viktoras Ivanovas 

Head of Neopay 

 

FinoMark 

As the CEO of FinoMark, I am proud of the advancements we made in Q3 2024. During this period, we issued over €1.18 million in loans. Our commitment to responsible growth is reflected in an average loan term of 26.94 months, an interest rate of 11.55%, and a reduced default rate indicates our focus on effective risk management. We also prioritized both team expansion and platform improvements. 

Notably, we launched OAuth technology in collaboration with Paskolų klubas, allowing seamless migration between platforms. In July, we strengthened data protection measures and initiated the development of a secondary market feature, offering investors more options for portfolio diversification. To provide greater precision in assessments, we optimized our credit assessment algorithms. 
  

Gražvydas Balčas 

Head of FinoMark

The full interim report of NEO Finance AB (legal entity code: 303225546; registered address: Ukmergės g. 126, Vilnius, Lithuania) for the Q3 of 2024, with confirmation by the responsible persons, are available for review in the attached document.

 


Q3_report_Neofinance_ENG.pdf