Strong operational performance despite global economic uncertainty
Operational and Strategic Highlights
Profitability
- Eleving Group ended the first six months of 2025 with stable growth in the revenue. The total revenue for the first six months of 2025 amounted to EUR 117.5 million, representing a 10.8% increase compared to the corresponding reporting period a year ago.
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The Group maintained diversified business operations portfolio, generating a well-balanced revenue stream from all core business lines:
- Traditional vehicle financing contributed EUR 38.2 million to the revenue (a 5.2% increase compared to the first six months of 2024).
- Flexible and subscription-based products contributed EUR 27.5 million to the revenue (a 17.5% increase compared to the first six months of 2024).
- Consumer lending products contributed EUR 51.8 million to the revenue (an 11.9% increase compared to the first six months of 2024).
- The Group’s adjusted EBITDA was EUR 45.3 million, an increase of 3.6% compared to the corresponding reporting period a year ago.
- The net portfolio at the end of the second quarter of 2025 reached EUR 375.3 million, up by 9.3% compared to the EUR 343.5 million at the end of the corresponding reporting period a year ago.
- The net profit before FX and discontinued operations amounted to EUR 20.9 million, up by 22.2% from the EUR 17.1 million in the corresponding reporting period a year ago.
- The total net profit from the core business operations in the first six months of 2025 reached EUR 15.2 million.
Growth
- During the first six months of 2025, Eleving Group issued a record-high volume of loans worth EUR 200.1 million to new and existing clients, representing a 19.8% increase compared to the EUR 167.0 million in the corresponding reporting period of 2024. Of this, EUR 97.1 million were issued through vehicle financing products, while consumer financing generated EUR 103.0 million. Quarter on quarter, the vehicle financing business line showed a 15.0% increase in the issued loan volume, while consumer financing remained stable with a 2.2% increase.
- Eleving Group saw significant customer activity in the vehicle finance segment. In the second quarter of 2025, more than 331 thousand loan applications were received, representing a 13.4% increase compared to the first quarter of the year. The average conversion rate for this business line stood at 8.6%, reflecting the Group's conservative credit assessment policy and strict underwriting standards. In total, 28 615 loans were issued in the second quarter of 2025.
- The Group's consumer finance business line delivered stable and consistent results. During the second quarter of 2025, 192 thousand loan applications were received. With a conversion rate of 32.2%, 118 thousand loans were issued, maintaining sales levels similar to the first quarter of 2025.
- On 30 June 2025, the net loan and vehicle loan portfolio stood at EUR 375.3 million. The countries representing the largest share in the portfolio were Romania (12.9%) with EUR 48.5 million, Kenya (11.7%) with EUR 43.8 million, Albania (10.2%) with EUR 38.3 million, and Lithuania (7.7%) with EUR 28.8 million.
Operational Milestones
- Eleving Group continued to diversify its product offering across the markets. In the first quarter of 2025, the company launched installment loan products in the vehicle finance business line, initially targeting the existing customers in Latvia, Estonia, and Romania. The product delivered strong results, with loan issuances up by 19.1% quarter on quarter, reaching EUR 7.0 million in the second quarter of 2025. Eleving Group plans to continue expanding this offering into more markets in the second half of 2025. To support the company’s efforts to maximize the value of its existing clients across all operating markets, Eleving Group
- launched a customer retention initiative in the second quarter of 2025. It is designed to strengthen customer loyalty, increase engagement, and enhance lifetime value through targeted offers and improved customer experiences.
- Eleving Group’s smartphone financing product in Uganda, launched in the first quarter of 2025, has demonstrated strong positive initial performance in portfolio growth and repayment rates. Leveraging these results, the product will be scaled up with a stronger go-to-market strategy in the second half of 2025 in Uganda. In June, it was also introduced in Kenya in a controlled pilot phase as part of the Group’s broader growth strategy.
- Eleving Group’s plans to enter one to two new markets in 2025 remain unchanged. Progress has been made in establishing legal entities and applying for licenses, with the goal of issuing the first loans before the end of 2025. The exact markets will be announced once operations commence.
Financial Highlights and Progress
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Strong financials maintained despite FX volatility:
- Adjusted EBITDA reached EUR 45.3 million (first six months of 2024: EUR 43.7 million).
- Total net profit excluding FX and discontinued operations amounted to EUR 20.9 million (first six months of 2024: EUR 17.1 million).
- Net profit from core business operations amounted to EUR 15.2 million (first six months of 2024: EUR 14.9 million).
- Total net loan portfolio reached EUR 375.3 million (first six months of 2024: EUR 343.5 million).
- In June 2025, the capitalization ratio stood at 25.9% (December 2024: 29.3%), the interest coverage ratio at 2.3 (December 2024: 2.4), and net leverage at 3.6 (December 2024: 3.3).
- On 10 June 2025, Eleving Group distributed EUR 14.8 million to its shareholders, equivalent to EUR 0.127 per share. This marked the first dividend payment since the company’s IPO and listings on the Nasdaq Baltic Official List and the Frankfurt Stock Exchange Prime Standard in October 2024.
- On 29 May 2025, the international credit rating agency Fitch Ratings improved Eleving Group's Long-Term Issuer Default Rating from “B” with a stable outlook to “B” with a positive outlook. Meanwhile, the rating for Eleving Group’s senior secured debt has been affirmed at “B”. Fitch has noted that upon continuing improvements made in capitalization and corporate governance following Eleving Group’s IPO in 2024, and successful refinancing of its EUR 150 million bond maturing in October 2026, the company’s credit rating could be further upgraded.
- After formally contesting the additional EUR 3.4 million VAT liability reported within the twelve-month period of the 2024 financials, the Romanian Ministry of Finance revoked the conclusion of the country’s tax authority. As a result, the tax authority has commenced a re-examination audit, and the previously paid amount has been returned to Eleving Group’s tax accounts in Romania. The Group continues to work closely with the authorities to reach a resolution.
- Eleving Group has initiated discussions with its institutional investors regarding the refinancing of the company’s bonds maturing on 18 October 2026. The Group is currently evaluating the possibility of completing the refinancing in the second half of 2025, offering the existing bondholders an opportunity to exchange their current holdings and allowing new investors to participate as well.
Modestas Sudnius, the CEO of Eleving Group
“Looking back at the second quarter of 2025, we once again demonstrated strong operational performance and delivered record results for the first half of the year. During the first six months of 2025, we issued a record-high volume of loans worth EUR 200.1 million, representing a 19.8% increase compared to the EUR 167.0 million during the corresponding period in 2024. A healthy growth in the revenue was also recorded across all product groups. However, the Group’s net profitability could have been even better if not for the significant depreciation of the US dollar, which impacted the Group’s overall portfolio development in euro terms.
As part of our growth-oriented strategy, we continued working on new product development in the second quarter of 2025 while actively seeking opportunities to maximize the lifetime value of our existing customer base.
We continue to diversify our product offering across the markets. In the first quarter of 2025, we launched installment loan products in the vehicle finance business line, initially targeting our existing customers in Latvia, Estonia, and Romania. The product delivered strong results, with loan issuances up by 19.1% quarter on quarter, reaching EUR 7.0 million in the second quarter of 2025. In the second half of the year, we plan to continue expanding our offering into other markets. Additionally, to support our efforts to maximize the value of our existing clients across all operating markets, we launched a customer retention initiative in the second quarter of 2025. This initiative is designed to strengthen customer loyalty, increase engagement, and enhance lifetime value through targeted offers and improved customer experiences.
We are also pleased with the results of the smartphone financing product launched in the first quarter of 2025 in Uganda. To capitalize on this performance, the product will be scaled up with a more aggressive go-to-market strategy in the second half of 2025 in Uganda. In June, smartphone financing was also introduced in Kenya in a controlled pilot phase. Overall, we see strong market demand, and the initial results have given us confidence to launch more aggressively.
Looking ahead, our priorities will remain focused on driving revenue growth and maintaining profitability across our existing markets. At the same time, we will continue investing in new market entry initiatives to support long-term expansion.”
Maris Kreics, the CFO of Eleving Group
“Eleving Group delivered a solid performance in the first six months of 2025, continuing to create value for its shareholders and investors. The Group’s adjusted EBITDA reached EUR 45.3 million, marking a 3.6% increase compared to the corresponding reporting period of 2024, while the total net profit amounted to EUR 15.2 million. Yet, due to our operations in emerging markets, the company’s results were considerably impacted by the foreign currency fluctuations, particularly due to the volatility of the US dollar.
In May, we received positive news from the international credit rating agency Fitch Ratings. Our Long-Term Issuer Default Rating was improved from “B” with a stable outlook to “B” with a positive outlook. Meanwhile, the rating for Eleving Group’s senior secured debt was affirmed at “B”. Fitch Ratings noted that if Eleving Group maintains the improvements in capitalization and corporate governance introduced following its IPO in 2024 and successfully refinances its EUR 150 million bond maturing in October 2026, the company’s credit rating could be further upgraded.
In June, we made our first dividend payment since the company’s IPO and listings on the Nasdaq Baltic Official List and the Frankfurt Stock Exchange Prime Standard in October 2024. In total, EUR 14.8 million were distributed to the shareholders, amounting to EUR 0.127 per share. The next payment is expected at the end of this year.
As part of our ongoing capital structure management, we have successfully initiated discussions with the institutional investors regarding the refinancing of bonds maturing on 18 October 2026. We are currently evaluating the feasibility of completing the refinancing in the second half of this year, which would offer the existing bondholders an opportunity to exchange their current holdings and enable participation from new investors too.
Looking ahead to the second half of 2025, we will continue to secure and allocate capital in line with our growth plans, while maximizing the long-term value for our investors and shareholders.”
Full unaudited consolidated report on the 6M period ended on 30 June: https://www.eleving.com/investors/reports
Conference Call:
The Group's management team will hold a conference call in English on 12 August 2025 at 15:00 CET to present the results.
Link to register for a conference call can be found here.
About Eleving Group
Eleving Group is a publicly listed international financial technology company founded in 2012. Today, the Group operates in 16 countries across three continents, providing vehicle and consumer financing services. Since its founding, Eleving Group has served more than 1.4 million registered users. The Group employs over 3,292 people across its operations. The company’s headquarters are located in Riga, Latvia.
Since October 16, 2024, Eleving Group shares have been listed on both the Nasdaq Baltic Official List and the Frankfurt Stock Exchange Prime Standard.
Additional information:
Elīna Dobulāne
Group’s Chief Corporate Affairs Officer, Eleving Group
elina.dobulane@eleving.com | +371 25959447
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