Eleving Group 3M results ended on March 31, 2026

Well-balanced growth delivering strong financial results
Operational and strategic highlights

Profitability
 

• Eleving Group reported a record-high revenue of EUR 77.8 million in the first quarter of 2026, marking a 32.8% increase compared to the corresponding reporting period a year ago.
• The Group maintained a diversified business operations portfolio, generating a well-balanced revenue stream from all the core product segments:
  • Traditional vehicle financing products contributed EUR 19.6 million to the revenue (stable compared to the first 3 months of 2025).
  • Flexible vehicle financing products contributed EUR 18.3 million to the revenue (a 34.6% increase compared to the first 3 months of 2025).
  • Device financing products contributed EUR 9.0 million to the revenue (product launched in Q2 2025).
  • Consumer lending products contributed EUR 30.9 million to the revenue (a 21.7% increase compared to the first 3 months of 2025).

• The Group’s adjusted EBITDA reached a three-month record high of EUR 29.1 million, representing an increase of 30.4% compared to the corresponding reporting period a year ago.
• The net portfolio at the end of the first quarter of 2026 reached EUR 477.8 million, up by 7.1% compared to the EUR 446.3 million at year-end 2025.
• The net profit before FX and discontinued operations reached EUR 10.2 million, representing an increase of 17.2% compared to the corresponding reporting period a year ago.
• The total net profit for the first three months of 2026 amounted to EUR 5.9 million.

Growth
 

• During the first three months of 2026, Eleving Group once again achieved a record-high loan issuance volume, issuing EUR 136.3 million worth of loans to its new and existing clients—a 41.8% increase compared to the EUR 96.1 million in the corresponding period of 2025. Of this amount, EUR 67.4 million accounted for the vehicle and device finance products, while EUR 68.9 million—for consumer finance.
• The Group’s vehicle finance business line delivered solid results, with more than 170 thousand verified loan applications received, representing a 23.9% increase compared to the corresponding period in 2025. With a conversion rate of 21.4%, approximately 37 thousand loans were issued, marking a 76.6% increase in sales compared to the same period last year, primarily driven by the African motorcycle financing product. Device financing statistics are excluded due to the product’s early stage of development.
• At the end of March 2026, the device financing product portfolio had amounted to EUR 16.5 million, representing a 22.2% increase quarter-over-quarter. The growth was driven by EUR 8.9 million in issuances during the first quarter of 2026, reflecting a sustained customer demand. The product has reached a stable operating phase in Kenya and Uganda, with an ongoing focus on portfolio optimization and further enhancement of underwriting policies to support scalable and sustainable growth.
• Eleving Group saw a significant rise in customer activity in the consumer finance business line. In the first quarter of 2026, almost 360 thousand verified loan applications were received, representing a 40.5% increase compared to the corresponding period in 2025. The increase in loan applications was driven by a strong market demand, as well as the launch of installment products in several European markets and improved client retention processes. The average conversion rate for this business line stood at 36.9%. In total, in the first quarter of 2026, 132 thousand loans were issued in this segment.
• On 31 March 2026, the total net loan portfolio stood at EUR 477.8 million. The countries representing the largest share in the portfolio were Kenya (15.8%), Romania (13.0%), Albania (7.6%), Moldova (7.3%), and Latvia (13.6%, including the Primero product portfolio in the total portfolio balance).

Operational milestones
 

• In the first quarter of the year, the installment product was launched in Lithuania. The product features a fully digital customer journey, supported by risk-based pricing and advanced scoring models, with the majority of loan issuances completed automatically. Since the launch, the product has demonstrated a strong initial demand, exceeding expectations. As part of its product development strategy, the Group plans to expand its consumer finance offering with the refinancing-focused installment loan products across the European markets during the year.
• Launched in the fourth quarter of 2025, the Tanzanian operations have got off to a solid start, with almost EUR 1.5 million in loans issued during the first three months of 2026. The market is currently being actively scaled, with the continued development of the branch network and expansion of the customer base, progressing in line with the Group’s overall strategy. In April 2026, the Group further strengthened its presence in Tanzania by launching a smartphone financing product, supporting the expansion of its market footprint.
• As part of its expansion strategy, Eleving Group is currently in the process of obtaining licenses in two new markets in Europe and Africa. The Group plans to commence operations and issue its first loans in both markets by the end of the year.
• In line with its ongoing efforts to optimize costs, Eleving Group has initiated a review of its operational structure, focusing on process automation and efficiency improvements. As a result, certain functions were optimized and headcount was reduced across all operational markets and the Group’s headquarters, with most of the related one-off costs incurred in March–April 2026. These measures are part of the broader operational optimization initiatives aimed at enhancing efficiency while maintaining the stability and continuity of the Group’s operations. The Group expects these actions to contribute to a reduction in administrative expenses starting from the third quarter of 2026.
• Eleving Group continues to advance its AI transformation, driving process enhancements and automation across the key areas, including customer support, debt collection, market research, and other operational functions. Several in-house AI solutions have been developed, strengthening risk assessment and fraud detection capabilities. The Group is focused on scaling the implementation of AI across all levels of the organization and is currently refining its execution strategy.

Financial highlights and progress
 

• Consistent financial performance and steady profitability, driven by strong underlying results:
  • Total net loan portfolio of EUR 477.8 million (31 December 2025: EUR 446.3 million)
  • Adjusted EBITDA of EUR 29.1 million (3M 2025: EUR 22.3  million).
  • Total net profit excluding FX and discontinued operations— EUR 10.2 million (3M 2025: EUR 8.7 million).
  • Net profit from continued operations—EUR 5.9 million (3M 2025: EUR 6.4 million).

• On 31 March 2026, the capitalization ratio stood at 23.0% (31 December 2025: 23.7%), the interest coverage ratio at 2.3 (31 December 2025: 2.3), and net leverage at 3.8 (31 December 2025: 3.8).
• Eleving Group continued to strengthen its funding structure by securing additional debt facilities in local currencies, thereby reducing foreign exchange risk and supporting sustainable growth across its markets. During the first quarter of 2026, the Group raised EUR 10 million in Kenya through its newly established 2-year medium-term note programme to expand financing of motorcycles, vehicles, and smartphones. At the end of March, outstanding Kenyan local bonds and banking facilities had amounted to EUR 45.5 million, with the local currency denominated debt comprising over 85% of the total borrowings. The Group continues to advance discussions with investors in other target geographies, with additional facilities expected to be secured during the year.

• In accordance with Eleving Group’s dividend policy, the next dividend payment is expected to take place in June 2026, based on the profits generated during the second half of 2025. Eleving Group plans to distribute EUR 4.295 million in dividends, representing 40% of the total net profit attributable to the equity holders.

Comments from Eleving Group CEO and CFO

Modestas Sudnius, CEO of Eleving Group

For several years, Eleving Group has consistently reported strong year-on-year growth. Our targets for 2026 exceed the growth achieved in the previous years, and this year we aim to grow by at least 20% across the key financial indicators. 

Our first-quarter results confirm that we are on track to meet our full-year objectives. In the first quarter of 2026, the demand for our products remained strong. Our net loan portfolio expanded by 28.8%, while the Group’s revenue increased by 32.8% compared to the corresponding period in 2025. In total, slightly more than 170,000 new clients were onboarded in the first quarter of 2026.

Eleving Group’s product diversification strategy is bearing fruit. Our African markets continue to demonstrate steady growth across multiple products—the mobile phone portfolio continues to develop, and motorcycle financing also had a strong quarter, especially in Kenya. Tanzania, which we launched at the end of 2025, has also got off to a good start. By the end of the first quarter of 2026, our loan portfolio in this country had already reached EUR 1.6 million. To support further growth in this market, we introduced smartphone financing in April alongside our vehicle financing offering.

In our European markets, we continued to keep up with the demand and broadened our product offering by providing consumer loans to both the existing vehicle financing clients and gradually to new clients. As part of this strategy, we supplemented our product portfolio in Lithuania with instalment loans in the first quarter of 2026, which has already generated positive client interest. To date, we have introduced consumer loans as an addition to our product portfolio already in five European markets.

Māris Kreics, CFO of Eleving Group

In the first quarter of 2026, Eleving Group showed a significant increase in the revenue, which went up by one-third compared to the corresponding period in 2025. Despite the strong revenue growth, profitability remained broadly unchanged. This happened because of several factors, which included increased impairment costs, particularly following the post-holiday season, and sustained portfolio expansion, which led to higher upfront provisioning, reflecting our conservative approach towards recognizing expected loan losses. The administrative expenses also increased during the period, in line with the overall business growth. To address this, we implemented a series of group-wide cost optimization measures in March and April, focused on streamlining the processes and increasing automation. As part of these initiatives, certain functions were consolidated, including headcount optimizations. We expect these actions to make a tangible impact starting from the third quarter of 2026. Our objective remains unchanged—to grow our business with a clear focus on profitable growth.

During the reporting period, we further strengthened our funding base, with the total borrowings increasing to EUR 453.6 million as at 31 March 2026. This increase was driven by the local notes and bonds, as well as a strong rise in the Mintos marketplace funding, which more than doubled, reaching EUR 20.0 million. At the Mintos marketplace, the weighted average annual interest rate on our euro-denominated loans declined to 7.1%, leading us to resume leveraging this funding source.
 
In the first quarter of 2026, the forex costs were significantly higher compared to the previous periods, primarily because of the increased instability in the global macroeconomic conditions, resulting in the USD volatility against other currencies. At the same time, our portfolio has grown and is now largely hedged, meaning we are managing a larger exposure and, consequently, incurring higher hedging costs in absolute terms. Despite this, our profit before forex increased by 17% year-on-year. We continue to actively reduce our unhedged positions through the use of local funding and various hedging solutions.

In line with Eleving Group’s dividend policy, the management board has proposed distributing approximately EUR 4.3 million in dividends, or EUR 0.037 per share, to shareholders from the profits generated in the second half of 2025. Together with the EUR 4.9 million dividend paid in November 2025, this results in the total dividends of EUR 9.2 million from the full-year profit of 2025. We remain committed to semi-annual dividend distributions, with the dividend for the first six months of 2026 expected to be paid in November 2026.
Full unaudited consolidated report on the 3M period ended on 31 March: https://www.eleving.com/investors/reports
 
Conference Call: the Group's management team will hold a conference call in English on 12 May 2026 at 15:00 CET to present the results.

Conference call registration link here.

Additional information:
Elīna Dobulāne
Group’s Chief Corporate Affairs Officer, Eleving Group
elina.dobulane@eleving.com | +371 25959447

About Eleving Group

Eleving Group is a publicly listed international financial technology company founded in 2012. Today, the group operates in 17 countries across three continents, providing vehicle, smartphone and consumer financing services. Since its founding, Eleving Group has served more than 2.0 million registered users. The group employs 4,500 people across its operations. The company’s headquarters are located in Riga, Latvia.

Since October 16, 2024, the Eleving Group shares have been listed on both the Nasdaq Baltic Official List and the Frankfurt Stock Exchange Prime Standard.

IMPORTANT INFORMATION

The financial information presented in this announcement is unaudited. This announcement may contain forward-looking statements. Actual results may differ materially from those expressed or implied.