DelfinGroup released its unaudited Q3 2023 financial results, which showed stable growth in all business segments in the third quarter of 2023. The company has provided the following operational and financial information:
DelfinGroup’s revenue reached €36.9 million in the first 9 months of 2023. The company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) increased to €13.1 million, up 41% compared to the first nine months of 2022, while profit before tax increased by 11% to €6 million.
In Q3 2023 alone, DelfinGroup’s revenue increased by 38% year-on-year to €13.3 million, while the company’s EBITDA increased to €4.8 million, up by 32% compared to Q3 2022. The company’s profits before tax increased by 12% to €2.2 million, and the loan portfolio reached a record level of €84.6 million.
“DelfinGroup continues its rapid course of development, which allows it to deliver high and sustainable growth every quarter. We continue to increase our performance both in lending and the sale of pre-owned goods, which is currently experiencing a strong increase in demand due to the mainstreaming of circular economy principles in society. The company’s profits increased by 12% in the third quarter, reflecting an efficient and sound business strategy driven by the improvement of business processes and the development of innovation within the company. Moreover, these results also demonstrate the ability of DelfinGroup to adapt to the changing market conditions, ensuring the sustainable development of the company in the future.”
In the first nine months of 2023, the sales of pre-owned, slightly used, and new goods reached €10.8 million, a 32% increase compared to the same period last year. The loan issuance in the first nine months of 2023 reached €69.2 million, an increase of 20% compared to the same period last year.
DelfinGroup successfully closed a bond issue of €15 million, arranged by Signet Bank. Since 3 October 2023, the bonds have been listed on the First North alternative market of Nasdaq Riga.
"This issue is a testament to investors’ confidence in the company, as the planned funds were raised within one month – faster than we had planned. By refinancing existing liabilities and issuing new bonds, the company has secured its long-term financial stability and future prospects, while gaining confidence from investors. I would like to mention that on 2 November, we registered another private placement of a new unsecured bond issue of €15 million to refinance an existing bond of €10 million that matures in November this year. The coupon rate of the new bonds is 9% + 3M EURIBOR, with a maturity of 3 years."
The company also continues to pay regular quarterly dividends, and the management board plans to pay out up to 50% of the company’s quarterly profits again this quarter.
About DelfinGroup
DelfinGroup was founded in 2009 and is the owner company of the loan originators Banknote and VIZIA. DelfinGroup is the second-largest non-bank consumer lender in Latvia. Since its inception, the company has issued more than €335M of pawn loans and consumer loans, and the client base has reached 400 thousand customers.
Banknote offers personal and secured loans using personal property as collateral (pawnbroking) in its 93 branches across Latvia.
VIZIA specializes in consumer loans, focusing on medium-to-higher income customers and their financial needs in various life situations.
Starting from 06.05.2021 there have been changes in the ownership structure and some equity investors overlap with Mintos.
