Ferratum Oyj : Ferratum Group continues on its profitable growth path in the first nine months of 2015

  • Revenues rise by 60.2% to EUR 79.2 million; Record sales in 2014 exceeded after only nine months
  • Adjusted earnings before interest and taxes (EBIT) increase by 50.0% to EUR 12.7 million; Adjusted EBIT margin of 16.0%
  • Adjusted earnings before taxes (EBT) increase by 70.6% to EUR 9.9 million; Adjusted EBT margin of 12.5%

Helsinki/Berlin, November 12, 2015 - Ferratum Oyj (ISIN: FI4000106299, Securities Identification Number: A1W9NS; together with its consolidated subsidiaries hereinafter "Ferratum Group" or "Ferratum"), a pioneer in the area of financial technology and an international provider of mobile consumer loans and small loans to companies, today announced its financial results for the first nine months of 2015. With significantly higher revenues on a quarterly basis and considerably higher EBIT, Ferratum continued its positive business development. The consistent implementation of the company strategy was responsible for the sustained growth trend. Entry into new markets and the further diversification of its product portfolio were the decisive factors.

Ferratum succeeded in increasing the number of its customers to 1.2 million in the first nine months of 2015, an increase of 29.3% year on year (9M 2014: 0.9 million customers). Ferratum Group's revenues rose by 60.2% from EUR 49.4 million to EUR 79.2 million in the reporting period. On a quarterly basis, Ferratum continued its sales growth in the third quarter and thus for the seventh consecutive quarter. After posting a revenue of EUR 18.6 million in the third quarter of 2014, Ferratum generated EUR 29.4 million in revenue in the third quarter of 2015, a 58.0% increase.

Dr. Clemens Krause, CFO of Ferratum Group, expressed his great satisfaction with the company's development: "We are pleased that we were able to continue the positive trend in the third quarter. With revenues of EUR 79.2 million, we exceeded our record sales in 2014 after only nine months. We were also able to show significant growth rates with respect to earnings. We will continue to stay on this profitable growth path."

Risk provisions increased slightly in relation from EUR 14.2 million in the first nine months of 2014 to EUR 24.8 million in the reporting period with higher customer receivables of EUR 93.6 million in total (12/2014: EUR 61.5 million) due to further optimized risk management. A one-time effect in the amount of EUR 1.4 million that was incurred in this connection also had a positive impact on earnings during the reporting period. In contrast, operating expenses rose significantly to EUR 42.2 million (9M 2014: 26.8 million EUR) due to the many measures aimed at accelerating growth. Besides significantly higher marketing and selling expenses of EUR 11.2 million (9M 2014: EUR 6.2 million), this figure also includes IPO costs of EUR 0.5 million.

Ferratum thus achieved earnings before interest and taxes (EBIT) adjusted for non-recurring IPO expenses of EUR 12.7 million, which equates to an adjusted EBIT margin of 16.0%. Including the IPO costs, EBIT rose by 44.2% to EUR 12.2 million (9M 2014: EUR 8.5 million). This resulted in an EBIT margin of 15.4% (9M 2014: 17.1%). Including the net financial expenses, adjusted earnings (EBT) before taxes increased by 70.6% to EUR 9.9 million - net of IPO costs to EUR 9.4 million (9M 2014: EUR 5.8 million). The adjusted EBT margin amounted to 12.5% (11.9% after IPO costs; 9M 2014: 11.7%). As a result, adjusted net income for the period increased significantly by a total of 90.5% to EUR 8.8 million (EUR 8.3 million after IPO costs) compared to EUR 4.6 million in the first nine months of 2014. With 21,577,750 shares in total (excluding treasury shares), undiluted earnings per share rose to EUR 0.39 at the end of the reporting period (9M 2014: 0.25 EUR).

Considering how positively the company is developing, Jorma Jokela is very confident for the future: "We are ready to take the next step. Our team is working hard every day to bring the Mobile Bank to market. The preparation of the systems is at a very advanced stage. As the next step, we plan to go live with a selected number of customers in Sweden." Soon thereafter the mobile bank will be launched to the public also in other countries. Significant PR work and marketing are scheduled from Q1 2016 on. The marketing and further development of Ferratum's Mobile Bank are the most important strategic targets for 2016.

The full-length report on the first nine months of 2015 is available for downloading in English starting today on the website www.ferratumgroup.com in the "Investor Relations" section.

About Ferratum Group:

The Finnish Ferratum Group, a pioneer for mobile consumer loans in Europe, offers short-term consumer loans for private persons. Ferratum's customers can utilize digital media to apply for consumer credit in amounts varying between EUR 25 and EUR 3,000. Moreover, Ferratum offers successful small businesses installment loans with a term of six to twelve months. Managed by its founder Jorma Jokela, Ferratum has expanded rapidly since it was founded in 2005: Ferratum has 1.2 million active and former customers who have been granted one or more loans in the past and 3.5 million total user accounts in its database (as of 30 September 2015). Ferratum is represented in 22 markets. At the end of September 2015 Ferratum Group employed 501 persons compared with 383 persons at year-end 2014.

Contacts:

Ferratum Group
Dr. Clemens Krause, CFO
T: +49 30 88715308
F: +49 30 88715309
M: [email protected]

Ferratum Group
Paul Wasastjerna
Head of Investor Relations
T: +358 40 7248247
F: +358 20 741 1614
M: [email protected]

cometis AG
Henryk Deter | Mariana Kuhn
T: +49 611 20 58 55-61
F: +49 611 20 58 55-66
M: [email protected]


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