Published: 2021-05-07 07:00:00 CEST
Quarterly report

Inbank Unaudited Financial Results for Q1 2021

In Q1 2021 Inbank earned a net profit of 2.55 million euros increasing 17% year-on-year. For the first time, the bank is consolidating its 53% stake in Mobire AS, which was acquired in January 2021. The return on equity in Q1 was 15.5%.

  • Inbank’s loan portfolio increased by 25% compared to Q1 2020 reaching 433 million euros. The deposit portfolio grew 22% and reached 453 million euros by the end of Q1.
  • Total sales for Q1 was 97 million euros increasing 49% year-on-year. Growth was driven by the Polish business unit that contributed 43 million euros to total sales, 258% more than a year ago.
  • In terms of product segments, sales finance grew 97% year-on-year to 71 million euros, amounting to 73% of total sales. Personal loans decreased by 37% to 9 million euros, while car financing increased in sales volume by 15% to 17 million euros.
  • For the first time, the Polish business unit reached quarterly profitability.
  • By the end of Q1, the number of active contracts reached 718,000 growing 18% year-on-year.

Priit Põldoja, Chairman of the Management Board, comments on the results:

“While in March 2020 as a result of Covid-19 pandemic, Inbank’s sales fell by half, then March this year was Inbank’s best sales month ever. Since the second half of 2020, our growth has been driven by the Polish business unit, and this continued also in the first quarter, as the Polish unit more than tripled its volume and contributed 43 million euros to total sales.

It is gratifying to see that Inbank has successfully consolidated its position in partner-based channels – we sold 71 million euros worth of hire purchase contracts, which is almost twice as much as last year. However, the crisis and continuing uncertainty have clearly left their mark on consumer confidence, and the volume of small loans has not reached the level of the first quarter last year.

We have good reason to be satisfied with the financial results for the beginning of the year. In the first quarter, Inbank sold 97 million euros worth of credit products, which is 49% more than last year. For the first time since the onset of the coronavirus crisis, Inbank's profits have again begun to accelerate and we earned a total of 2.55 million euros in net profit, which is 17% more than a year ago.

As the economy opens, we expect strong growth in retail consumption and a recovery in loan demand in the coming quarters."

Key financial indicators 31.03.2021

Total assets EUR 582.4 million
Loan portfolio EUR 432.7 million
Deposit portfolio EUR 452.6 million
Total equity EUR 66.9 million
Net profit EUR 2.55 million
Return on equity 15.5%

Consolidated income statement (in thousands of euros)
3 months
3 months
Interest income based on EIR11 11610 88711 11610 887
Interest expense-2 143-1 936-2 143-1 936
Net interest income8 9738 9518 9738 951
Fee income449294449294
Fee expense-789-490-789-490
Net fee and commission income-340-196-340-196
Net gains from financial assets measured at fair value00 0
Other operating income3 5221403 522140
Other operating expense-2 7210-2 7210
Total net interest, fee and other income9 4348 8959 4348 895
Personnel expenses-2 751-2 399-2 751-2 399
Marketing expenses-543-507-543-507
Administrative expenses-1 054-1 047-1 054-1 047
Depreciations, amortisation-740-479-740-479
Total operating expenses-5 088-4 432-5 088-4 432
Profit before profit from associates and impairment losses on loans4 3464 4634 3464 463
Share of profit from subsidiaries and associates336416336416
Impairment losses on loans and advances-1 805-2 419-1 805-2 419
Profit before income tax2 8772 4602 8772 460
Income tax-331-279-331-279
Profit for the period2 5462 1812 5462 181
incl. shareholders of parent company2 3872 1812 3872 181
incl. non-controlling interest15901590
Other comprehensive income that may be reclassified subsequently to profit or loss   
Currency translation differences-126-116-126-116
Total comprehensive income for the period2 4202 0652 4202 065
incl. shareholders of parent company2 2612 0652 2612 065
incl. non-controlling interest15901590

Consolidated statement of financial position (in thousands of euros)

Due from central banks50 34927 445
Due from credit institutions19 18519 784
Investments in debt securities15 20513 618
Loans and advances 432 672402 212
Investments in associates4 2384 026
Tangible assets7 837833
Right of use asset29 8091 157
Intangible assets17 24716 139
Other financial assets1 2311 350
Other assets2 3341 297
Deferred tax asset2 2502 170
Total assets582 357490 031
Customer deposits452 592391 341
Other financial liabilities40 81612 218
Current Income tax liability1 096864
Other liabilities3 3432 810
Debt securities issued04 010
Subordinated debt securities17 57317 563
Total liabilities515 420428 806
Share capital961961
Share premium23 86523 865
Statutory reserve capital9690
Other reserves1 3641 438
Retained earnings37 25234 871
Non-controlling interest3 3990
Total equity66 93761 225
Total liabilities and equity582 357490 031

Inbank is a consumer finance focused digital bank active in the Baltics and Poland with additional deposits accepted in Germany, Austria and the Netherlands. Inbank has over 4,000 active partners and 718,000 active contracts. Inbank bonds are listed on the Nasdaq Baltic Stock Exchange.

Additional information:

Merit Arva
Inbank AS
Head of Corporate Communications
+372 553 3550