CORRECTION: NEO Finance AB Interim report and unaudited financial statements for the 12 months of 2022

NEO Finance AB
Interim information

By 2023 February 15 “NEO Finance”, AB 2022 Q4 and all of 2022 interim information and the unaudited financial report make the following corrections: The information on page 16 is corrected: From EUR 3 528 460 Sales revenue is adjusted to EUR 3 530 460. From EUR 1 032 614 Revenue related to the issuance and processing of electronic money is corrected to EUR 1 032 988. From EUR 2 353 379 Revenue related to peer-to-peer lending is adjusted to EUR 2 352 114. From EUR 142 467 Investment income is adjusted to EUR 145 358.

Please find attached company performance information of the 2022 of NEO Finance AB (hereafter – the Company) – Interim report and unaudited financial statements for the 12 months of 2022.

Q4 2022 was a successful quarter for the company on all indicators. Compared to Q4 2021, the amount of loans granted grew by 55% and revenue by 11%. The company’s profitability indicators, EBITDA and profit before tax, grew respectively: EBITDA from a negative amount of EUR -12 291 to EUR 162 817 and profit from a negative amount of EUR -79 076 to EUR 75 951. As the recognition of the company’s income is delayed compared to the period of the loans granted, the rapid growth of the loan volumes allows for a faster growth of income in the future. Revenue related to the issuance and management of electronic money grew by 23% in the quarter compared to the same quarter in 2021.  Q4 growth outpaced that of 2022 as a whole. This was mainly driven by increased volumes of payment initiation services.

2022 Q4 2021 Q4 ∆, %
Loans issued, EUR 10 634 980 6 866 829 55%
Revenue, EUR 1 052 097 946 289 11%
Income from P2P lending, EUR 715 798 636 452 12%
Income from e-money issuance and management, EUR 296 273 240 239 23%
Income from investment activity, EUR 40 025 69 598 -42%
Sales expenses, EUR (445 185) (587 142) -24%
Gross profit/loss, EUR 606 912 359 147 69%
General and administrative expenses, EUR (530 961) (438 223) 21%
EBITDA, EUR 162 817 (12 291)
Profit/loss before tax, EUR 75 951 (79 076)  –
Income tax, EUR 15% -1%
Net profit/loss, EUR 3% -4%

According to unaudited data, company’s revenue in 2022 was EUR 3 530 460 and increased by 3% compared to 2021. Cost of sales decreased by 7%, from EUR 1 769 674 in 2021 to EUR 1 650 676 while operating costs increased from EUR 1 250 886 to EUR 1 721 176 in 2022 resulting in 38% increase. EBITDA increased by 9.5% from EUR 422 522 to EUR 462 603 and profit before taxes for 2022 was EUR 158 608 while pre-tax profit in 2021 was EUR 179 054. Net profit for the reporting period has decreased by 12 % from EUR 117 739 in 2021 to EUR 103 895 in 2022.

After the end of the reporting period, 9th of February 2023, NEO Finance, AB was awarded the prize for the best performance in capital market development in Lithuania at Nasdaq Baltic Awards 2023. This is a significant recognition, which shows that the company played an important role in the local capital market in 2022 by consistently developing investment products and by striving to provide investors with the most complete and transparent information possible.

In order to implement the company’s strategy, the focus will continue to be on growing both Neopay’s business and lending platforms: Paskolų klubas and Finomark. The company has focused a significant part of its human and financial resources on product development and expansion, as well as on increasing business volumes, and it is expected to see faster revenue growth in 2023 than in 2022.

Tomas Savickas

Financial analyst

Email: tomas.savickas@neofinance.com

The full interim report of NEO Finance AB (legal entity code: 303225546; registered address: Vivulskio g. 7, Vilnius, Lithuania) for the 12 months of 2022, with confirmation by the responsible persons, are available for review in the attached document.


NEO Finance 2022 Financial statements.pdf