Key Financial Highlights
Lasse Mäkelä, Chief Strategy and IR Officer at Multitude SE provides a deep dive into the company’s outstanding financial performance during the first half of 2023.
Standout figures include a 66% surge in EBIT, reaching €20.9 million, and a significant 251% increase in profits, soaring to €7.5 billion. These figures display Multitude SE’s financial prowess and strongly align with the ambitious €45 million EBIT goal set for 2023.
Company Overview: Multitude SE
Founded in Helsinki in 2005, Multitude SE has demonstrated remarkable growth. Though its roots remain in Finnish origins, the company now boasts an EU-wide banking license, a dedicated professional team distributed across 18 countries, and an impressive client base approaching 400,000. This positive trajectory is also reflected in its 2022 turnover, which reached an impressive €212 million.
Core Business Units
The video highlights the following key business units driving Multitude’s operations:
Sweep Bank
Sweep Bank contributes 6% to the company’s overall sales as a nexus for shopping and financing.
Ferratum
Ferratum, a giant in consumer lending across 14 countries, is responsible for 84% of sales.
Capital Box
Capital Box specialises in SME lending, contributing 10% to sales.
Strategic Initiatives and Ventures
Lasse introduced the Warehouse Lending initiative, designed specifically for European non-bank fintech lenders, displaying early signs of success. Furthermore, acquiring a 19.97% share in Sortter, a Finnish Financial Services comparison platform, was highlighted as a strategic move in Q2 2023.
Financial Breakdown
Peeling back the financial layers, Multitude SE’s net revenues rose 5.8%, reaching €109.5 million. While there was a 6.5% rise in impairment losses, the company reduced bank and lending costs by 13%, personnel expenses by 6.4%, and general administrative expenses by 17.4%. Due to market interest rate fluctuations, finance costs nudged from €9.6 million to €11.6 million.
Concluding Remarks
Wrapping up, Lasse re-emphasized Multitude’s core vision: revolutionising financial services through swift, user-friendly, and sustainable digital innovations.