Wandoo Finance Group: Financial overview and plans
“We have had a successful cooperation with Swaper Platform for many years now, our top priority has always been our obligations towards Swaper Platform investors, we have honored those obligations, and we intend to keep it this way also in the future. If we look back into the past – we had to stop our growth during Covid pandemic and post Covid time, two markets were closed during the Covid in Y2020, Russia and Denmark. But now we are back on track for growth!
Performance of our main markets Spain and Poland is great, a year ago we have gathered license and have started business activities in Romania, and now we are searching for more markets to launch.
We are planning to continue cooperation with Swaper Platform and extend it in the upcoming years and now we would like to share more information on the results and what are our plans for Y2024.
Meanwhile, wishing you an unforgettable year 2024, may it bring peace and happiness!” Founder of Wandoo Finance Group, Iveta Bruvele
Highlighting the comparison: 11-month performance in 2023 against audited results of 2022:
- Gross portfolio +53%;
- Revenue +50%;
- Gross profit +78% as well as gross profit margin increase from 9% to 11%;
- Admin costs rose by 25% as Wandoo Finance Group expanded its team to support further growth;
- EBITDA increased 5x;
- Profits before tax reached 308K EUR for the 2023 11-month period, representing a significant turnaround from the previous year’s audited loss of 844K EUR.
The post-covid situation led to losses, affecting results in both Y2021 and Y2022. Nevertheless, Y2023 is projected to conclude in line with budgeted levels for portfolio, EBITDA (earnings before interest, taxes, depreciation, and amortization) and net profit, indicating a substantial improvement in business performance driven by increased loan portfolios and the improved quality of portfolios.
This month, Wandoo Finance Group concluded a deal securing a 2.3M EUR equity investment from an existing minority shareholder. This 2.3M EUR equity increase, finalized in December, is not included in the 11-month results and will be reflected in the full annual report for Y2023.
11-month performance in 2023 (PDF)
Main developments and plans for the upcoming year:
- Wandoo Finance Group’s lending operations in Spain and Poland have proven successful, and it is planned to further scale loan portfolios in both countries.
- Wandoo Finance operations in Romania currently have an insignificant impact on results, as the loan portfolio is set for scaling only from the beginning of Y2024. Thus far, the loan originator has issued loans and made all the necessary improvements in credit risk assessment.
- Wandoo Finance Group is conducting research on potential new markets to be opened in Y2024. This involves gathering information on the legal environment of the lending business, competition, and the market situation in several countries in Africa and Latin America (LatAm). Once the research is complete, the next new markets for launch will be selected, with the decision expected to be finalized in Q1 2024.
- While expanding the business, Wandoo Finance Group have started negotiations with several institutional investors, including banks and investment funds, to secure long-term funding for further growth. The strong interest coverage ratio of 4.19 in the 2023 11-month results supports ongoing discussions. Additionally, Wandoo Finance Group is aiming to issue bonds in Y2025.