Published: 2021-04-26 20:21:19 CEST
DelfinGroup
Annual Financial Report

In 2020 the total revenue of DelfinGroup increased by 9% and the loan portfolio grew by 10%

Riga, 2021-04-26 20:21 CEST -- In 2020, the consolidated audited total revenue of the Latvian financial service company AS DelfinGroup increased by 9% compared to the previous year, amounting to EUR 23.7 million. The loan portfolio increased by 10% last year, reaching EUR 34.7 million. EBITDA amounted to EUR 9.3 million, and consolidated net profit reached EUR 3.9 million. Meanwhile, profit before taxes increased by 9.1% last year and reached EUR 4.6 million

Chairman of the Board of AS DelfinGroup Didzis Ādmīdiņš: “2020 was a year of changes for the company. DelfinGroup was not only affected by the Covid-19 pandemic and its respective constraints imposed by the government, but also by the major restructuring process within the company itself, starting to prepare for an initial public offering (IPO) on the Nasdaq Riga stock exchange in the second half of 2021. To prepare for the listing, both the company's corporate identity and brand name were changed last year. As of February 2020, the company’s name is DelfinGroup. A closer consolidation of the companies belonging to the group was also initiated: all the core functions were transferred to the parent company of the group and the company's share capital was increased to EUR 4 million. During the previous year, preparations were also launched to change the legal form of the core company from a limited liability to a joint-stock company; this process concluded in early 2021. Along with the reorganisation, the company formed its first environmental, social, and corporate governance (ESG) report for 2020.” 

In 2020, the expansion of the Banknote pawnshop network continued. Opening of the new branches and shops, as well as development of the online presence, is a strategic activity of DelfinGroup to improve the accessibility of financial services for people throughout Latvia (especially – in rural areas), and to create a more financially inclusive society. Modern financial services should be available not only in Riga, but also in other regions of Latvia, as well as online. Another strategic decision of DelfinGroup initiated and implemented in 2020 was to raise awareness of the circular economy. Resource planning and renewal, as well as the reusability of goods, are the cornerstones of the green agenda aimed to reduce the carbon footprint and consumption of the limited resources of the Earth. Banknote pawnshops are providing a variety of exchangeable used goods throughout Latvia, contributing to the environmental efforts. Used goods that are no longer needed for existing users can be tested, repaired and sold to further owners in any Banknote shop throughout Latvia. All the pre-owned goods available for sale on the Banknote network can be easily selected and purchased in the Banknote.lv online store.  

In 2020, significant changes were also initiated to the corporate governance of the company by forming a professional supervisory board with independent board members. The public selection and nomination process was closed in March 2021, and the new members of the supervisory board - Gatis Kokins, Dr Edgars Voļskis, Mārtiņš Bičevskis and Jānis Pizičs - were appointed by the shareholders for the next 5 years as supervisory board members, contributing to the DelfinGroup strategic management as financial, corporate governance and fintech experts. Agris Evertovskis, chairman of the supervisory board, continues to lead the supervisory board. 

In 2020, DelfinGroup completed raising the bond financing of EUR 5 million started in the previous year, which was included for trade on the Nasdaq Riga First North list in Q3. In addition, the company acquired EUR 3.5 million in a closed, unsecured bond offering. In Q4 2020, the company made the full repayment of the principal amount of EUR 3.5 million for the bonds issued in 2013. The Company paid quarterly dividends totalling EUR 3 million in accordance with the approved dividend policy in 2020. 

On 23 March, AS DelfinGroup announced plans for the initial public offering (IPO) of shares in the Nasdaq Riga stock exchange in 2021. To find out more about this event, those who are interested are welcome to sign-up for news on the company's website: https://www.delfingroup.lv/invest 

Implementing the business strategy and planned measures, the following financial indicators of the Group were achieved in 2020 compared to 2019:  

Item  EUR (In Millions)  Changes,% 
Net loan portfolio  34.67  + 9.9% 
Assets   45.95  + 20.0% 
Profit before tax  4.65  + 9.1% 
Net profit  3.89   - 0.4% 


AS DelfinGroup submits an audited consolidated and parent company annual report for 2020. 

AS DelfinGroup submits the Corporate management report for 2020. 

AS DelfinGroup submits an ESG report for 2020. 

The quarterly, half-yearly and annual data of AS DelfinGroup are easily accessible on the website: www.delfingroup.lv

About DelfinGroup 

AS DelfinGroup is a licensed financial industry company founded in 2009 and representing the brands Banknote, VIZIA and Rīgas pilsētas lombards (Riga City Pawnshop). The company employs 270 professionals across 92 branches in 38 cities across Latvia. AS DelfinGroup is a member of the Alternative Financial Services Association of Latvia, a member of the Chamber of Commerce and Industry of Latvia and has earned the State Revenue Service Cooperation Programme’s Gold status. The group’s core services are the sale of used goods through its branches as well as online, alongside pawn loans, consumer loans, and loans specifically tailored for people at retirement age. DelfinGroup bonds are quoted on the Nasdaq Riga First North Bond List.  

 

         Additional information:
         
         Kristaps Bergmanis,
         Member of the Management Board of AS DelfinGroup
         Phone: +371 29144168
         E-mail: kristaps.bergmanis@delfingroup.lv


DelfinGroup_ESG_report_ENG.pdf
DelfinGroup_FS_2020_EN_with_audit_report.pdf
DelfinGroup_corporate_governance_report_2020_ENG.pdf