ICYMI: 2021 Financial Results & LIVE Q&A Summary

Bondora

On 25 May, we had our second live Q&A for 2022. Our CEO and Founder, Pärtel Tomberg, shared our financial results, explained what it means for Bondora, and talked more about our plans for the future. He also answered questions investors sent in on Slido and other questions that popped up during the live Q&A. Thank you to everyone who joined us.

Missed the live Q&A? No problem! Here are the most-requested topics and Pärtel’s response to those questions. Want to watch the original video? Visit our YouTube channel to see all the action.

In 2021, we reached 5 key milestones:

  1. We celebrated our 5th year of profitability
  2. Our revenue grew to €30M
  3. Net profit increased to €6.7M
  4. €141M in originations (more than double from 2020)
  5. 185 000 active customers by the end of 2021

These strong results put us right on track for our larger plans for Bondora. Here are the key things Pärtel shared about those plans:

The next significant milestone is having 1 million active customers. And to achieve that we need to launch new products and new markets. Thanks to our past and current customers who continue choosing us, we’re confident we will achieve our large ambitions.

We’ve doubled the number of Bondora Superheroes since the beginning of 2021. Meaning we have more talented people working on achieving our goals.

We launched a new tier of Go & Grow called Unlimited, where you can invest with a net return of up to 4% p.a. with no monthly or overall limits*. This increases the risk buffers within Go & Grow, which also increases the security of the entire portfolio. A limitless investment option has also been one of the most requested features from investors. So we’re happy to have been able to fill that need.

We have built a significant cash position over the last 5 years of profitability, which allows us to make significant investments for the future, such as:

  • Expanding into new countries,
  • Launching several new credit products, e.g., our refinancing product that will help our customers get lower monthly payments,
  • Changing the Go & Grow app to assist you with all your financial needs, not only investing.

Now, let’s take a look at some of the most upvoted questions from our investors:

Slido question: Why is there a monthly investment limit of €400 on ‘normal’ Go & Grow to maintain the portfolio, but also the newly launched Go & Grow Unlimited?

One of the main requests we’ve received from investors over the last 2 years is to be able to invest more than the monthly Go & Grow limit. For most of our investors, the €400 monthly limit is enough and works for them, but we also wanted to accommodate our investors who want to invest more. And so, we launched the new tier of Go & Grow called Unlimited so they can invest with no limits and still earn a competitive return of up to 4% p.a*. This increases the risk buffers within Go & Grow while allowing investors the opportunity to invest more than €400 per month.

Slido question: Will it be possible to transfer money from Go & Grow Unlimited to the normal Go & Grow without paying transaction fees?

Within a few weeks, we’ll make it possible to invest money sitting in Wallet through the Unlimited tier easily. We will continue streamlining it in the next few months so everything can work seamlessly. Our goal is to have 1-click investments and 1-click withdrawals, so you can effortlessly invest and withdraw your money.

Slido question: Why should I invest in Go & Grow Unlimited for 4% when I can get 12% unlimited with others?

The normal tier of Go & Grow (up to 6.75% return rate) and the Unlimited tier (up to 4% return rate) are very competitive and provide excellent value, given the simplicity and rapid liquidity. If you look at traditional assets in the market, the US and Europe stock markets have roughly declined between 10%-15%, and in some cases, even more. Bitcoin and other cryptocurrencies are down by at least 30%. Looking at banks in Europe, most offer you close to 0% in their savings accounts, where your money is locked up for a long term.

So taking all those options into account, Go & Grow far outperforms them and other similar products, and we don’t see the need to change it right now.

Slido question: Where can we get such a cool sweater?

We love to see the enthusiasm for our sweaters! Stay tuned…

This was a summary of the live Q&A. To watch the full recording, please visit our YouTube channel.