LuteCredit, European retail finance company, shares unaudited results for 2021
IuteCredit, a European personal finance company, shared its unaudited results for the first 6 months of 2021.
As the Mintos team noted, luteCredit reported on operational, strategic and financial highlights of its business, as well as comments from its CEO.
Operational highlights for luteCredit are the following:
- Loan payments up over one year with “record months in May and June, with a balance sheet up 6.1% to 123.7 million euros”
- The number of loans taken out YoY 47.9% to 137,367 (6M / 2020: 92.880) “steadily increasing from June”
- The principal amount of loans issued “increased by 49.7% to 74,723 million euros (6M / 2020: 49.914 million euros)”
- Gross loan portfolio up 8.7% to EUR 103.3 million (December 31, 2020: EUR 95.0 million)
- Reimbursement discipline (Customer performance index, CPI30) further improves to 86.9%
- Net loan portfolio “up 11.3% to EUR 88.1 million (December 31, 2020: EUR 79.2 million)”
- Cash inflow of 3.0 million euros “from the liquidator appointed by the court for commercial activities in Kosovo”
- Increase geographic and product diversification
- Successful next steps for âan extraordinary customer experience in an IuteCredit ecosystem with additional services, such as insurance brokerage, certain data certificates, etc.
- Strong growth in the “digitalization of IuteCredit countries towards a fully digital customer journey and the imminent breakthrough of online shopping”
- Interest and commission income âup 3.0% to 23.4 million euros (6M / 2020: 22.7 million euros) affected by constantly increasing payments compared to the increase in 13.9% of the average net loan portfolio â
- Net interest and commission income “down 1.1% to 17.0 million EUR (6M / 2020: 17.1 million EUR) in connection with the bond issue linked to the expected growth of the activity”
- Total revenue “” up 1.1% to EUR 29.2 million (6M / 2020: EUR 28.9 million) “
- Cost / income ratio at 36.0% (6M / 2020: 27.1%) “due to the resumption of activity and the associated cost normalization”
- EBITDA “up 13.9% to 11.3 million EUR (6M / 2020: 9.9 million EUR)”
- Net profit “more than doubled to 3.0 million euros (6M / 2020: 1.3 million euros)”
- Strong capitalization and profitability exceeding Eurobond covenants
Tarmo Sild, the CEO of the IuteCredit group said:
âQ2 / 2021 is the first quarter of real growth we’ve been looking forward to since last fall. Exceeding 29 million euros for all of the Group’s financial services in the first half of 2021, we even reached a new record for total turnover. The trend towards irreversible and ever-accelerating digitization is also reflected in the flourishing business of IuteCredit. “
âIn the first six months of 2021, we generated over 6% of total revenue from various services related to payments, cards and cash transactions through IuteCredit’s exclusive ATMs, easily and quickly accessible. with a smartphone. All without the need for a debit or credit card. And what’s more, more than 20% of all customer signatures in the second quarter of 2021 were smartphone-based, using either one-time passwords or biometrics. “
IuteCredit – founded in 2008 – is a well established European personal finance company. The Group specializes in consumer credit through its subsidiaries, which are 100% equity and loan capital.
IuteCredit currently serves clients based in Moldova, Albania, North Macedonia, Bulgaria and Bosnia and Herzegovina. IuteCredit’s loan products are unsecured consumer loans with maturities âbetween 1 month and 36 months and auto guaranteed loans with maturities of up to 60 monthsâ.
IuteCredit’s mission is to “create an extraordinary personal finance experience by exceeding customer expectations”.
Note: For more details on this update, including additional CEO comments, click here.