March 29, 2022
DelfinGroup is going to distribute almost 780 thousand euros in dividends for the results of Q4 2021
AS DelfinGroup will pay out dividends in the amount of EUR 779,5 thousand, namely EUR 0,0172 per share, the company’s shareholders approved at their extraordinary meeting on 28 March. Following the initial public offering (IPO), this is the second quarter in a row when the company’s shareholders will receive dividend payment. In total EUR 1, 3 million has been paid out in dividends for the 3rd and 4th quarters of the previous year. AS DelfinGroup has undertaken to distribute to the shareholders up to 50% of its quarterly profits and pay annual dividends in addition.
To exercise the shareholders’ rights to receive dividends for the 4th quarter of 2021, the dividend Ex-date is set to be 8 April 2022. The dividend disbursement date is set to be 12 April 2022.
AS DelfinGroup CFO Aldis Umblejs: “The previous year has been the most successful in the history of the company – we’ve seen a significant increase in demand for consumer lending and for retail of pre-owned goods that stimulates circular economy. We have expanded our competitive advantage in diversifying our capital, therefore, our cost of capital has decreased to an average of 8%. Growth tendencies of early 2022 show similar trends as in the previous year in demand for our services providing a positive outlook in terms of the results for this year and dividends to our shareholders.”
AS DelfinGroup continues its efforts to create one of the best employee motivation programs in Latvia. The shareholders’ meeting approved amendments to the Employee Options Program allowing the company to grant up to 100 000 shares within the period of 4 years to strategic employees. To support the Employee Options Program in the long term, AS DelfinGroup plans to issue up to 450 000 company shares. The Program provides the company employees with the possibility of receiving company shares and additional motivation to work for the company in order to increase the value of the company in the future.
“Employee options is a popular employee attraction and motivation tool in many American and European companies. We are using the experience of Western companies to create a similar motivation practice in Latvia. Today’s resolution of the shareholders will significantly increase the number of shares available for our employees in the nearest future”, says A. Umblejs.
In 2021 AS DelfinGroup revenues and profit were record high. The company’s revenues in 2021 increased by 7,7% and were EUR 25,5 million, in turn, the profit before tax reached EUR 5,2 million or a 7,2% growth. The revenues of the fourth quarter of 2021 set the record for quarterly results – EUR 7,1 million, showing an increase of 9,2% compared to the third quarter. The profit before tax increased by 41,7% quarter-on-quarter and reached EUR 1,7 million, while net profit for the same period increased by 60% and was EUR 1,6 million.
About AS DelfinGroup
AS DelfinGroup is a licenced technology-based financial services company that was established in 2009 and operates under the brand names Banknote and VIZIA. The company continuously develops and offers consumer and pawn loans, loans developed for senior citizens, Buy now pay later loans (BNPL loans), as well as sale of pre-owned goods both online and at more than 90 branches across Latvia. On average, 35 thousand loans are issued every month and serviced by the professional team of more than 270 AS DelfinGroup employees. The company has a total of over 400,000 registered customers. Since 2014, AS DelfinGroup has been known on the Nasdaq Riga Stock Exchange as a bond issuer and since 2021 as a share issuer on the Baltic Main List. The company’s IPO in 2021 attracted almost 6000 new shareholders. The company regularly pays dividends to its shareholders. In 2021, the company's net loan portfolio grew to EUR 43 million, while its EBITDA reached EUR 10.2 million, with profits before income tax for dividends EUR 5.2 million. The company’s sustainability is based on focused corporate governance, fintech innovation, responsible lending, financial inclusion and facilitating the circular economy. The company has been profitable every year since 2010.