XETR:OT8 ESEF Annual Report

ELEVING GRP DEM. EO -,01 (XETR:OT8)

ESEF Annual Report 2025-05-21 For: 2024-12-31

View Original

Added on September 22, 2026


	Major shareholders	31.12.2024
	SIA ALPPES Capital (Latvia)	37.31%
	AS Novo Holdings (Latvia)	12.44%
	SIA EMK Ventures (Latvia)	12.44%
	AS Obelo Capital (Latvia)	12.44%
	Lock-up shareholders each below 5%	6.19%
	Eleving Group S.A.	0.58%
	Other shareholders	18.60%
	TOTAL	100.00%


	Māris Kreics (type A)	from 25.07.2018
	Modestas Sudnius (type A)	from 09.03.2019
	Sébastien Jean-Jacques J. François (type B)	from 01.11.2022
	Delphine Glessinger (type B)	from 15.10.2023


	Mārcis Grīnis (chairman)	from 06.06.2024
	Lev Dolgatšjov	from 06.06.2024
	Derek Bryce Urben	from 06.06.2024


	Notes	2024 EUR	2023 EUR
Continuing operations
Interest revenue	4	203,749,375	176,297,775
Interest expense	5	(41,520,275)	(37,499,444)
Net interest income		162,229,100	138,798,331
Fee and commission income related to finance lease activities	6	10,076,029	8,968,142
Impairment expense	7	(42,102,621)	(39,846,624)
Net gain/(loss) from de-recognition of financial assets measured at amortized cost	8	1,759,100	1,159,323
Expenses related to peer-to-peer platform services	9	(895,450)	(987,970)
Revenue from leases	10	2,748,356	4,067,111
Revenue from car sales and other goods	11	7,074,452	1,936,451
Expenses from car sales and other goods	11	(6,559,224)	(1,789,166)
Selling expense	12	(7,203,030)	(6,426,852)
Administrative expense	13	(74,700,997)	(63,246,010)
Other operating income	14	2,859,320	2,368,739
Other operating expense	15	(13,834,721)	(10,133,640)
Net foreign exchange result	16	(3,709,849)	(6,385,833)
Profit before tax		37,740,465	28,482,002
Corporate income tax	17	(8,203,820)	(8,324,461)
Deferred corporate income tax	18	(732,929)	1,758,559
Profit from continuing operations		28,803,716	21,916,100

Discontinued operations
Profit from discontinued operation, net of tax	19	768,112	2,538,954
Profit for the period		29,571,828	24,455,054

Other comprehensive income/(loss):
Items that may be reclassified subsequently to profit or loss:
Translation of financial information of foreign operations to presentation currency		1,977,649	(4,582,333)
Other comprehensive income/(loss)		1,977,649	(4,582,333)
Total profit and loss for the year		31,549,477	19,872,721

Profit is attributable to:
Equity holders of the Parent Company		23,502,987	20,098,665
Non-controlling interests		6,068,841	4,356,389
Net profit for the year		29,571,828	24,455,054

Other comprehensive income/(loss) is attributable to:
Equity holders of the Parent Company		1,836,593	(4,355,896)
Non-controlling interests		141,056	(226,437)
Other comprehensive income/(loss) for the year		1,977,649	(4,582,333)


NON-CURRENT ASSETS	Notes	31.12.2024	31.12.2023
NON-CURRENT ASSETS	Notes	EUR	EUR
			(restated)

Intangible assets
Goodwill	20	6,807,055	6,807,055
Internally generated intangible assets	20	11,784,864	10,263,919
Other intangible assets	20	5,319,515	5,393,463
Total intangible assets		23,911,434	22,464,437

Tangible assets
Right-of-use assets	21, 22	10,779,098	10,559,286
Rental fleet	21	2,037,986	7,085,928
Property, plant and equipment	21	2,594,569	2,089,283
Leasehold improvements	21	869,889	782,859
Advance payments for assets	21	663	-
Total tangible assets		16,282,205	20,517,356

Non-current financial assets
Loans and advances to customers	23	189,649,583	154,854,453
Loans to affiliated companies	24, 41	3,253,724	-
Equity‑accounted investees	25	1,238,003	580,714
Other loans and receivables		145,344	175,783
Deferred tax asset	18	9,193,592	8,877,839
Total non-current financial assets		203,480,246	164,488,789
TOTAL NON-CURRENT ASSETS		243,673,885	207,470,582

CURRENT ASSETS
Inventories
Finished goods and goods for resale	26	2,452,606	4,818,099
Total inventories		2,452,606	4,818,099

Receivables and other current assets
Loans and advances to customers	23	179,516,427	158,349,702
Loans to affiliated companies	24, 41	54,455	-
Other loans and receivables		9,964	198,574
Prepaid expense	27	4,353,931	3,124,744
Trade receivables	28	2,164,840	1,606,770
Other receivables	29	8,740,369	8,267,676
Cash and cash equivalents	30	34,461,093	27,470,468
Total receivables and other current assets		229,301,079	199,017,934

Assets of subsidiary held for sale or under liquidation	31	-	9,556,863
Assets held for sale	32	861,195	452,055
Total assets held for sale		861,195	10,008,918

TOTAL CURRENT ASSETS		232,614,880	213,844,951
TOTAL ASSETS		476,288,765	421,315,533


	Unified registration number, place and date of registration	B 174.457, Luxembourg, 18 December 2012


EQUITY	Notes	31.12.2024	31.12.2023
EQUITY	Notes	EUR	EUR
Share capital	33	1,171,088	1,000,500
Treasury shares	33	(1,146,772)	-
Share premium	33	25,467,034	-
Reserve	33	4,691,940	4,287,631
Share-based payments	45	40,654	-
Foreign currency translation reserve		2,369,355	532,762
Retained earnings		60,110,305	47,773,110
brought forward		36,607,318	27,674,445
for the period		23,502,987	20,098,665
Total equity attributable to equity holders of the Parent Company		92,703,604	53,594,003
Non-controlling interests		15,413,373	11,841,222
TOTAL EQUITY		108,116,977	65,435,225

LIABILITIES
Non-current liabilities
Borrowings	35	267,562,839	225,944,140
Subordinated borrowings	35	-	16,462,354
Total non-current liabilities		267,562,839	242,406,494

Provisions	34	174,780	157,316
Total provisions for liabilities and charges		174,780	157,316


Current liabilities
Borrowings	35	72,015,592	96,180,026
Liabilities associated with the assets held for sale or under liquidation	31	-	2,045,004
Prepayments and other payments received from customers	36	902,053	1,083,554
Trade and other payables		1,980,625	2,224,874
Current corporate income tax payable	17	3,591,081	729,149
Taxes payable	37	6,919,797	3,374,002
Derivative financial liabilities	38	5,317,084	-
Other liabilities	39	2,367,886	1,902,392
Accrued liabilities	40	7,340,051	5,777,497
Total current liabilities		100,434,169	113,316,498

TOTAL LIABILITIES		368,171,788	355,880,308
TOTAL EQUITY AND LIABILITIES		476,288,765	421,315,533


Balance at 01.01.2024	1,000,500	-	-	532,762	47,773,110	4,287,631	-	53,594,003	11,841,222	65,435,225

Profit for the financial year	-	-	-	-	23,502,987	-	-	23,502,987	6,068,841	29,571,828

Other comprehensive income	-	-	-	1,836,593	-	-	-	1,836,593	141,056	1,977,649

Total comprehensive income	-	-	-	1,836,593	23,502,987	-	-	25,339,580	6,209,897	31,549,477

Change in share capital	170,588	-	-	-	-	(100,000)	-	70,588	388	70,976

Sale of subsidiary	-	-	-	-	-	(2,842)	-	(2,842)	-	(2,842)

Change in NCI without change in control	-	-	-	-	(1,597,725)	-	-	(1,597,725)	649,750	(947,975)

Share premium increase	-	-	25,467,034	-	-	-	-	25,467,034	-	25,467,034

Purchase of treasury shares	-	(1,146,772)	-	-	-	-	-	(1,146,772)	-	(1,146,772)

Interim dividends	-	-	-	-	(9,020,262)	-	-	(9,020,262)	(3,287,884)	(12,308,146)

Share-based payments	-	-	-	-	(40,654)	-	40,654	(40,654)	-	(40,654)

Reserve (Note 33)	-	-	-	-	(507,151)	507,151	-	-	-	-

Balance at 31.12.2024	1,171,088	(1,146,772)	25,467,034	2,369,355	60,110,305	4,691,940	40,654	92,703,604	15,413,373	108,116,977


Cash flows to/from operating activities	Notes	2024	2023
Cash flows to/from operating activities	Notes	EUR	EUR
Profit before tax from continuing operations		37,740,465	28,482,002
Profit from discontinued operation, net of tax		768,112	2,538,954
Adjustments for:
Amortization and depreciation	20, 21	9,854,800	9,442,554
Interest expense	5	41,520,275	37,499,444
Interest income	4	(203,749,375)	(176,297,775)
Loss from disposal of property, plant and equipment	13	802,362	3,374,819
Impairment expense	7	42,102,621	39,846,624
(Gain)/loss from fluctuations of currency exchange rates		1,732,200	10,968,166
Cash flow (to)/from operating activities before working capital changes		(69,228,540)	(44,145,212)
Decrease/(increase) in inventories		2,365,493	(2,332,279)
Increase in finance lease receivables, loans and advances to customers		(82,737,115)	(69,245,456)
and other current assets
(Decrease)/increase in accrued liabilities		1,580,018	(318,380)
Increase in trade payable, taxes payable and other liabilities		6,857,619	705,706
Cash generated to/from operations		(141,162,525)	(115,335,621)
Interest received		203,694,920	176,297,775
Interest paid	35	(37,484,963)	(33,269,320)
Corporate income tax paid		(6,635,098)	(10,545,511)
Net cash flows to/from operating activities		18,412,334	17,147,323

Cash flows to/from investing activities
Purchase of property, plant and equipment and intangible assets	20, 21	(7,888,229)	(7,956,761)
Purchase of rental fleet	21	(421,846)	(1,108,735)
Disposal of discontinued operation, net of cash disposed of	19	-	(104,578)
Received payments for sale of shares in subsidiaries		-	7,601
Made payments for acquisition of minority interest shares		(947,975)	(290,485)
Cash acquired from integration of EC Finance		-	4,379,262
Loan repayments received		368,831	4,857,599
Loans issued		(3,403,364)	(11,714)
Net cash flows to/from investing activities		(12,292,583)	(227,811)

Cash flows to/from financing activities
Repayments of share capital to minority interest		27,753,617	(147,239)
Fees paid to service providers during IPO process		(3,362,379)	-
Proceeds from borrowings	35	199,164,638	288,281,493
Repayments for borrowings	35	(205,400,158)	(275,592,907)
Payments made for acquisition costs of borrowings	35	(1,984,721)	(2,915,882)
Dividends paid		(12,308,146)	(10,007,731)
Repayment of liabilities for right-of-use assets	35	(3,119,372)	(2,855,262)
Net cash flows to/from financing activities		743,479	(3,237,528)
Effect of exchange rates on cash and cash equivalents		127,395	(46,353)
Change in cash		6,990,625	13,635,631

Cash at the beginning of the year		27,470,468	13,834,837

Cash at the end of the year	30	34,461,093	27,470,468


Subsidiary name	Country of incorporation	Registration number	Principal activities	% equity interest
Subsidiary name	Country of incorporation	Registration number	Principal activities	2024	2023


Eleving Vehicle Finance AS	Latvia	42103088260	Management services	98.85%	98.86%
Mogo Peru S.A.C.	Peru	20609973618	Financing	98.85%	98.86%
Mogo UCO LLC	Armenia	42	Financing	98.85%	98.86%
Eleving Finance AS	Latvia	40203150030	Management services	98.70%	98.70%
SIA EC Finance Group	Latvia	40203082656	Management services	98.70%	87.00%
EC finance branch in Botswana	Botswana	BW00004103567	Management services	98.70%	87.00%
AS ExpressCredit Holding	Latvia	40203169911	Management services	98.70%	87.00%
YesCash Group Ltd	Mauritius	137426 C1/GBL	Financing	98.70%	87.00%
ExpressCredit Ltd	Lesotho	TRMBS:68483	Financing	98.70%	87.00%
ExpressCredit Proprietary Ltd	Botswana	BW00000115487	Financing	98.70%	87.00%
YesCash Zambia LTD	Zambia	120180003452	Financing	98.70%	43.50%
Primero Finance OU	Estonia	12401448	Financing	88.32%	91.19%
Mogo LLC	Georgia	404468688	Financing	88.32%	91.19%
Eleving Georgia LLC	Georgia	402095166	Retail of motor vehicles	88.32%	91.19%
Eleving AM LLC (Longo LLC)	Armenia	286.110.1015848	Retail of motor vehicles	88.32%	91.19%
Mogo OY	Finland	3263702-2	Financing	88.32%	91.19%
Mogo IFN SA	Romania	35917970	Financing	88.32%	91.19%
Eleving Stella AS	Latvia	40103964830	Management services	88.32%	91.19%
Eleving Stella LT UAB	Lithuania	305018069	Management services	88.32%	91.19%
Renti AS	Latvia	40203174147	Rent services	88.32%	89.37%
Mogo AS	Latvia	50103541751	Financing	88.32%	89.37%
MOGO FINANCE LLC JE	Uzbekistan	310380440	Financing	86.55%	89.37%
Mogo Loans SRL	Moldova	10086000260223	Financing	85.23%	88.40%
Mogo LT UAB	Lithuania	302943102	Financing	88.32%	88.28%
Renti UAB	Lithuania	305653232	Financing	88.32%	88.28%
Eleving Solis AS	Latvia	40203182962	Management services	85.72%	84.84%
Eleving Solis UAB	Lithuania	304991028	Management services	85.72%	84.84%
MOGO LOANS SMC LIMITED	Uganda	80020001522601	Financing	85.23%	84.84%
Mogo Auto Ltd	Kenya	PVT-AJUR7BX	Financing	85.72%	84.84%
Green Power Trading LTD (Mogo Kenya Ltd)	Kenya	PVT-BEU3ZKD	Financing	85.72%	84.84%
Mogo Lend LTD	Uzbekistan	305723654	Financing	83.24%	82.38%
Eleving Consumer Finance Holding, AS	Latvia	40203249386	Management services	81.75%	81.74%
ExpressCredit Cash Advance Ltd	Namibia	2016/0767	Financing	78.66%	42.63%
Eleving Consumer Finance AS	Latvia	54103145421	Management services	78.13%	78.12%
Insta Finance LLC	Ukraine	43449827	Financing	78.13%	78.12%
Kredo Finance SHPK	Albania	L71610009A	Financing	78.02%	78.16%
OCN SE Finance SRL	Moldova	1020600028773	Financing	77.55%	77.54%
FINTEK DOO Skopje (TIGO Finance DOOEL)	North Macedonia	7229712	Financing	77.38%	79.41%
OCN Sebo Credit SRL	Moldova	1017600000371	Financing	77.12%	77.30%
Mogo Balkans and Central Asia AS (liquidated on 06.11.2024.)	Latvia	40203150045	Management services	0.00%	100.00%
Mogo Leasing d.o.o. (liquidated on 04.07.2024.)	Bosnia	4202540500009	Financing	0.00%	100.00%
Rocket Leasing OOO (liquidated on 19.12.2024.)	Belarus	193553071	Financing	0.00%	91.19%
ExpressCredit Ltd (liquidated on 31.01.2024.)	Eswatini	R7/55063	Financing	0.00%	87.00%
Autotrade OOO (sold on 07.05.2024.)	Belarus	192846476	Other services	0.00%	87.18%
MOGO Kredit LLC (sold on 07.05.2024.)	Belarus	192981714	Financing	0.00%	87.18%
Next Fin LLC (sold on 23.09.2024.)	Ukraine	42273138	Financing	0.00%	78.12%
SIA Spaceship (reorganized on 07.10.2024.)*	Latvia	40203300224	Car sharing services	0.00%	59.16%


	Balance at 31.12.2023 in annual report for 2023	Restatements	Balance at 31.12.2023 after restatement
Statement of financial position - Assets
Statement of financial position - Assets


NON-CURRENT ASSETS
Finance lease receivables		59,798,508	(59,798,508)	-
Loans and advances to customers		95,055,945	59,798,508	154,854,453

CURRENT ASSETS
Finance lease receivables		52,204,095	(52,204,095)	-
Loans and advances to customers		106,145,607	52,204,095	158,349,702
	TOTAL:	313,204,155	-	313,204,155


31.12.2024	31.12.2023	2024 average	2023 average
1 EUR	1 EUR	1 EUR	1 EUR


GEL	2.9306	2.9753	2.9455	2.8436
RON	4.9741	4.9746	4.9746	4.9464
ALL	98.15	103.88	100.70	108.75
MDL	19.3106	19.3574	19.2533	19.6431
BYR	3.4864	3.5363	3.3131	3.2544
UAH	43.9266	42.2079	43.4749	39.5619
UZS	13,436.01	13,731.82	13,694.50	12,694.06
AMD	413.89	447.90	424.88	424.59
MKD	61.4950	61.495	61.5728	61.5570
BAM	1.95583	1.9558	1.95583	1.95583
KEL	134.2900	173.78	145.8864	151.3074
UGX	3,822.52	4,172.28	4,064.98	4,029.01
BWP	14.5138	14.8588	14.6712	14.4545
ZMW	28.9679	28.3798	28.2497	21.8612
LSL	19.5710	20.2064	19.8347	19.9753
SZL	19.5710	20.2064	19.8261	19.9753
NAD	19.5710	20.2064	19.8339	19.9807


	Legal status of the Parent Company	Société Anonyme


	Registered office	8-10, Avenue de la Gare, L-1610 Luxembourg


	Consolidated Financial Statements


	IT systems					- over 7 years.


	Concessions, patents, licences and similar rights					- over 1 year;
	Internally developed intangible assets					- over 7 years;
	Other intangible assets					- over 2 to 7 years.


	Computers					- over 3 years;
	Furniture					- over 5 years;
	Vehicles					- over 5 years;
	Leasehold improvements					- over lease term;
	Other equipment					- over 2 years.


Country	Tax rate	Country	Tax rate
Estonia*	20%	Moldova	12%
Latvia*	20%	Albania	15%
Lithuania	15%	Ukraine	18%
Georgia*	20%	Uzbekistan	7.5%
Romania	16%	North Macedonia	10%
Kenya	30%	Lesotho	25%
Uganda	30%	Namibia	32%
Botswana	22%	Mauritius	15%
Zambia	30%


	Forward-looking macroeconomic indicators model for portfolio
	Guided by IFRS 9, the Group assesses forward looking information and incorporates it into impairment model. Impairment change is modelled given expected future changes of macroeconomic factors’ (hereinafter macro model). In 2021 the Group changed Hierarchical Bayes model approach to simplified approached based on relation analysis between changes in input variables and changes in PD and the Group expert’s opinion. Macro model uses several assumptions which were agreed by group of experts. Model assumptions and historical periods for macroeconomic factors are reviewed and analyzed once per year considering available macroeconomic outlooks.




	General description of the model
	Macro model uses expected changes in macroeconomic indicators and assumes the same or similar change to Stage 1 PD. Model incorporates three macro indicators - unemployment rate, inflation rate and GDP annual growth rate, as more relevant for private individuals’ financial stability evaluation. The model is based on actual and forecasted data points. Recalculated in December 2024 model includes macroeconomic indicators as of 2024 Q4 and average of all four 2025 quarter forecasts to predict the effect on Stage 1 PD. Data points average is taken to avoid significant indicator fluctuations due to forecast volatility. The Group built macroeconomic models for each country and business (vehicle/consumer) individually - LV, LT, EE, GE, AM, UZ, KE, UG, MD, RO, MK, AL, LES, ZM, NM, BOT. Data for all cases is taken from the source: https://tradingeconomics.com/indicators. Forecasts are validated by National Banks forecasts.




	For each macro indicator three scenarios are obtained - base, best and worse. Base scenario is based on actual data and forecasts. Worse and best scenario is obtained from base scenario increasing or decreasing base scenario by confidence interval of given macro indicator forecast. For each scenario is applied probability of occurring. The impact on PD from each macro indicator is calculated as weighted output across all three scenarios. As for all input macro indicators are applied weights according to their significance to the default rates of the Group customers then the final model output is obtained as sum of weighted output across all macro indicators.




	Model’s variables and assumptions

	The model includes indicators which, based on the Group experts’ opinion and used practice in industry, might have a significant impact on finance products default rates. Such indicators are also widely used by banking and non-banking industry across the world:

	1. GDP growth
	2. unemployment rate (UR) change
	3. inflation rate (IR) change.

	There are several assumptions made in the model to accommodate the Group customer specifics.

	Assumption 1. UR is one of the main variables in the model, and it significantly affects Stage 1 PD.
	Assumption 2. Okun’s law holds in macro environment affected by macro-economic shocks.
	Assumption 3. Typically, reasonably increasing inflation rate positively affects consumption and economy in general, and therefore reduces PD. However, the Groups customers rather suffers from increase in prices than benefit from income increase. Thus, the Group arrived at the assumption 3: increase in inflation in will affect customers negatively.


	Determination of impact on PD based on macro indicator change

	The model assumes relation between changes in macro indicators and Stage 1 PD change. If there is strong correlation between Stage 1 PD and macro indicator change then used linear regression equation to determine the impact on PD due to macro indicator changes. If there is no visible correlation between Stage 1 PD and macro indicators change then impact on PD is evaluated based on qualitative analysis of available data and reasonable experts’ assumptions:


	1. For each macro indicator chosen 25 data points, one 0 point and another 24 points that reflects indicator change - 12 points with negative change and 12 data points with positive change. The distance between 2 adjacent points is the same for all 24 points and is evaluated considering historical changes in macro indicators.

	2. For PD impact determination relational table is built that describes linear or piecewise smooth function and its direction changes at 0 point. At 0 point assumed 0 PD impact. For other macro indicator change points impact on PD is evaluated individually based on historical PD rates and PD change in time, as well taking into account each country and product specifics. Then evaluated PD impacts on each macro indicator change point are summarized in table. This table remains fixed until the next year when impact on PD will be reviewed.


Weighted scenarios approach

To take into account possible economic fluctuations and uncertainty, three scenarios are considered and used for final calculation to arrive at weighted average probability:
1. base case scenario - based on actual data and forecasts by external source.
2. worst case scenario - based on expert judgement of potential worsening of macroeconomic indicators.
3. best case scenario - based on expert judgement of potential improvement of macroeconomic indicators.

Worse and best scenario is obtained from base scenario increasing or decreasing base scenario by confidence interval of given historical macro indicators. Confidence intervals are calculated based on last 24 or more macro indicator data points applying confidence level of 99%. How long period is taken is indicated for each country and indicator separately.

Each scenario also has a specific probability of occurring, which is configurable for each country separately to account for potential differences in macroeconomic outlooks. Recent global macroeconomic trends in the regions where the company operates suggest a challenging environment for the businesses which specialize in financing solutions. The pandemic's disruptions, supply chain pressures, and energy crises in recent years have fuelled inflation and led to tighter monetary policies, reducing credit affordability and loan demand. In emerging markets, high debt levels and exchange rate volatility continue to pose risks, particularly in regions with weak fiscal positions. In such circumstances a significant risk lies in debtors' growing challenges to repay loans, increasing default risks. In order to mitigate that, lending companies must adapt by focusing on risk management, leveraging fintech innovations, and targeting resilient sectors to navigate the economic uncertainty effectively. Considering mentioned information, the Group applies at least 15% probability for worst-case scenario and only 5% for best-case. Last updated forecasts for macroeconomic indicators already reflect actual trends, for example - increase in inflation rate. At this stage base-case scenario is considered as a most possible. Sensitivity test was done to evaluate impact from scenarios probability change. Changing worst-case scenario probability till 50%, no major effect on macro coefficient noticed. But, considering uncertainty in projections, macro coefficient was increased by 1-2pp for Eurozone countries.









Macro model results

To obtain final effect on PD from macro indicator change, applied weights for each macro indicator and the final result is taken as a weighted average of macro indicator PD effect. Weights are changed based on their significance in affecting default rate overall. Considering model main assumptions, the Group’s experts evaluate historical relationship and chooses weights for each country individually. In most of the countries UR (unemployment rate) and IR (inflation rate) chosen as main macro indicators and higher weights are applied for them.


To account for future uncertainty in case the model yields positive PD correction, the Group decided to be prudent and not to apply improving PD effect for impairment correction.

Illustration of example: UR impact evaluation on PD:

Scenarios	Current rate	2Y forecast	Difference (p.p.)	Likelihood of the scenario	Impact on PD
Scenarios	Current rate	2Y forecast	Difference (p.p.)	Likelihood of the scenario	Impact on PD
Worst case scenario	7.400%	8.50%	1.1pp	15%	109.6%
Base case scenario	7.400%	7.40%	0pp	80%	100.0%
Best case scenario	7.400%	6.30%	-1.1pp	5%	93.7%
Final macroeconomic correction				100%	101.1%


Loss Given Default

Group closely following recoveries from defaulted financing receivables and revises LGD rates every month for portfolios based on actual recoveries received.
- The sample used for LGD calculation consists of all the financing receivables that have been defaulted historically. If termination of the contract happens before default state is reached, then loan is considered defaulted (early default) and it is considered in LGD sample. Subsequent recoveries on such loans are monitored on a monthly basis. Recoveries from regular collections process, car sales, cessions and legal process are followed.


- Renewed loans (restored payments capacity after termination) also affect the LGD rate by incorporating recovered cash after renewal of the agreement and comparing it to the exposure at default of the agreements subsequently renewed, implying the cure rate. Cure rate from renewals is calculated over a three-year period. For the 31 December 2024 impairment purposes recovery rate for renewed cases were applied in range of 55% to 96% depending on the market. Above described LGD rate is used for all portfolio groups except for unsecured portfolio part. For unsecured portfolio part LGD is estimated using triangular recovery matrix on all unsecured cases. Received recovery is discounted with effective interest rate depending on the number of months between the date account got unsecured status and the date when recovery was received. Given that majority of the car sales happen before unsecured status, the LGD for unsecured portfolio is higher than for other buckets - as of 31 December 2024 Group average LGD unsecured for portfolios with DPD less than 360 DPD was 75%, respective LGD for portfolio older than 360 DPD was 94%.







Loans and advances to customers (unsecured loans, car loans)
For unsecured loans LGD is determined based on debt sales market activity and offered prices or based on historical recoveries. For the later stages (DPD 360) LGD is set to 100%.

Loans and advances to customers (unsecured loan, businesses acquired in 2020 and 2023)
LGD is calculated using triangle recovery matrix built on all defaulted loans. Received recovery is discounted with effective interest rate depending on the number of months between the date account got into default and the date when recovery was received. For later stages (DPD 360) LGD is set to 100%.


	Exposure at default (EAD ) modelling

	Exposure at default is modelled by adjusting the unpaid balance of loan receivables as at the reporting date by expected future repayments during the next 12 months. As of 31 December 2024, it is applied for Stage 1 exposures only. This is performed based on contractual repayment schedules, adjusted for historical prepayment rate observed.

	Historical prepayment patterns are assumed to be a reliable estimate for future prepayment activity.

	Loans and advances to customers (unsecured loan, businesses acquired in 2020 and 2023)
	EAD is calculated using the sample of defaulted loans. Outstanding balance of defaulted loans is divided by outstanding balance of the same accounts 12 months ago. Observation window can be shortened; however, it cannot exceed 12 months to avoid overestimation of EAD which may lead to underestimation of ECL. As of 31 December 2024, EAD is applied for Stage 1 and Stage 2.



	Impairment for loans to and receivables from related parties
	Receivables from related parties inherently are subject to the Group’s credit risk. Therefore, a benchmarked PD and LGD rate - based on Standard & Poor's corporate statistics studies has been applied in determining the ECLs.

	Significant increase in credit risk for related party transactions is determined based on information available in the Group about the financial performance of the related parties. Financial position of related parties as at impairment assessment date is compared to that when the exposure was originated. Further 30 days past due back stop indicator is utilized to transfer exposures to Stage 2.


Interest income from secured receivables according to effective interest rate method	97,959,131	98,735,235
Interest income from unsecured receivables according to effective interest rate method	105,173,029	76,785,582
Other interest income according to effective interest rate method	617,215	776,958
TOTAL:	203,749,375	176,297,775


Gross and net earned interest are as follows:	2024	2023
Gross and net earned interest are as follows:	EUR	EUR


Gross interest income	203,749,375	176,298,402
Interest derecognized due to derecognition of portfolio from Group's assets	-	(627)
TOTAL NET INTEREST:	203,749,375	176,297,775


Interest expenses on financial liabilities measured at amortised cost:
Interest expense on issued bonds	27,825,505	23,807,651
Interest expenses for loans from P2P platform investors	6,707,269	9,399,425
Interest expenses for bank liabilities and related parties	4,912,231	2,952,186
Interest expenses for lease liabilities	825,878	727,919
Interest expenses for other borrowings	1,249,392	612,263
TOTAL:	41,520,275	37,499,444


Revenue from contracts with customers recognized point in time:	2024	2023
	EUR	EUR


Income from penalties received	9,331,627	7,754,726
Income from commissions	4,113,572	3,663,653
TOTAL:	13,445,199	11,418,379

Gain/(loss) from contracts with customers recognized point in time related to debt collection activities:	2024	2023
	EUR	EUR
Gross income from debt collection activities	2,034,840	2,423,808
Gross expenses from debt collection activities	(5,404,010)	(4,874,045)
TOTAL:	(3,369,170)	(2,450,237)
Total fees and commissions income:	10,076,029	8,968,142


Change in impairment of intangible assets (Notes 20)	-	65,640
Change in impairment in rental fleet (Note 21)	(27,303)	(61,895)
Change in impairment in loans and advances to customers (Note 23)*	(347,044)	7,479,821
Change in impairment in loans to related parties (Note 24)	-	(49,727)
Change in impairment of finished goods and goods for resale (Notes 26)	427,961	297,207
Change in impairment in trade receivables (Note 28)	(332,150)	381,300
Change in impairment in other receivables (Note 29)	3,796	(612,092)
Change in impairment in assets held for sale (Note 32)	132,938	241,165
Disposal of impairment after sale of the respective receivables*	17,336,331	9,030,123
Written off debts	24,908,092	23,075,082
TOTAL:	42,102,621	39,846,624


Loans and advances to customers
Income arising from cession of loans and advances to customers receivables to non related parties	3,700,998	5,778,683
Loss arising from cession of loans and advances to customers receivables to non related parties	(1,995,005)	(4,626,282)
TOTAL:	1,705,993	1,152,401

Receivables from rent contracts
Income arising from cession of customers receivables to non related parties	432,044	54,653
Loss arising from cession of customers receivables to non related parties	(378,937)	(47,731)
TOTAL:	53,107	6,922

Net gain/(loss) arising from cession of loans and advances to customers and rent contracts	1,759,100	1,159,323


Service fee for using P2P platform	895,450	987,970
TOTAL:	895,450	987,970


Revenue from operating lease	2,748,356	4,067,111
TOTAL:	2,748,356	4,067,111


Income from sale of vehicles and other goods	7,074,452	1,936,451
TOTAL:	7,074,452	1,936,451



Expenses from contracts with customers recognized point in time:	2024	2023
	EUR	EUR


Expenses from sale of vehicles and other goods	(6,559,224)	(1,789,166)
TOTAL:	(6,559,224)	(1,789,166)

Total Net revenue from contracts with customers recognized point in time	515,228	147,285


Online marketing expenses	1,700,614	1,342,637
Radio advertising	551,230	215,735
TV advertising	484,711	582,692
Affiliate fees	6,463	26,671
Other marketing expenses	1,816,998	1,286,993
Total marketing expenses	4,560,016	3,454,728
Customer insurance expenses	2,021,612	2,172,727
Other selling expenses	621,402	799,397
TOTAL:	7,203,030	6,426,852