Inbank unaudited financial results for Q2 and 6 months of 2025
Inbank's total net income for the second quarter reached 20.7 million euros, increasing 8.4% year-on-year. Income from core activities, excluding financial and other income, grew by 15.3% to 21.1 million euros compared to 18.3 million euros year-on-year. Total operating expenses amounted to 11.6 million euros, which is a 7.1% increase year-on-year. As a result, Inbank's cost / income ratio improved to 55.9% for the quarter.
In Q2 2025, Inbank delivered record-breaking sales with an originated volume of 196 million euros, which is 15% more than a year ago. The strong performance was primarily driven by high demand for green financing products in Poland and record-high direct lending volumes across all Inbank markets.
Green financing grew 86% compared to a year ago and reached 36.9 million euros during the quarter. Direct lending grew by 44%, reaching 32.1 million euros. Merchant solutions remained Inbank's largest segment, with sales reaching 66.5 million euros, an increase of 3%. Car financing reached 47.1 million euros, showing signs of recovery following a challenging Q1, though remaining 10% below year-on-year. Rental services delivered 13.1 million euros, marking a 25% increase year-on-year.
The loan and rental portfolio reached 1.21 billion euros increasing 11.2% year-on-year, while the deposit portfolio grew by 4.9% to 1.23 billion euros. As of the end of Q2, Inbank's total assets stood at 1.5 billion euros growing 5% year-on-year.
Impairments on loans and receivables increased by 18.1% to 4.9 million euros and accounted for 1.64% of the average loan and rental portfolio, slightly exceeding our target. However, for the first half of the year, impairments remained within target at 1.59%
By the end of Q2, the number of active customer contracts reached 931,000 and 5,700 active partners.
Priit Põldoja, CEO, comments on the results:
'In the first half of 2025, Inbank's growth has been more measured. While we achieved a record high originated volume this quarter and are likely to surpass it in coming periods, we have maintained a disciplined approach to growth opportunities. Inbank's market share continues to expand across the Baltics. By the end of 2024, we reached 20.3% market share in consumer lending in Estonia. As interest rates decline, our margins continue to improve. However, to continue on our profitable growth path, we need to explore new niches in a €50bn Polish consumer finance market beyond our successful solar panel business and build our presence in Czechia. The last quarter marked a step in that direction, with record sales of 78 million euros in the Central and Eastern Europe (CEE) region.
Inbank continues to grow not only geographically, but also by expanding its product offerings. In the last quarter, we launched payment protection insurance in Latvia and Lithuania, completing our presence with this product across all Baltic countries. Expanding our range of fee-based products for our large customer base remains an important strategic focus for Inbank.
In early Q2, Inbank strengthened its Supervisory Board by appointing Erkki Raasuke as independent Chairman and welcoming two new members: Isabel Faragalli, a seasoned debt capital markets professional, and Sergei Anikin, an experienced tech leader. We look forward to working with the new Board to drive Inbank's European embedded finance growth strategy in the years ahead.'
Key financial indicators as of 30.06.2025Total assets EUR 1.50 billion Loan and rental portfolio EUR 1.21 billionCustomer deposits EUR 1.23 billionTotal equity EUR 156 millionNet profit EUR 3.6 millionReturn on equity 9.3%
Consolidated income statement (in thousands of euros)
Q2 2025
Q2 2024
6 months 2025
6 months 2024
Interest income calculated using effective interest method
31,766
29,308
63,039
58,076
Interest expense
-13,295
-13,072
-26,608
-26,684
Net interest income
18,471
16,236
36,431
31,392
Fee and commission income
15
106
22
217
Fee and commission expenses
-881
-1,183
-2,113
-2,369
Net fee and commission income/expenses
-866
-1,077
-2,091
-2,152
Rental income
9,524
8,159
18,673
15,308
Sale of assets previously rented to customers
4,307
3,539
8,268
8,122
Other operating income
8
137
19
476
Depreciation of rental assets
-4,559
-3,469
-8,821
-6,800
Other operating expenses
-1,669
-1,868
-3,352
-3,326
Cost of assets sold previously rented to customers
-4,053
-3,386
-7,696
-7,736
Net rental income/expenses
3,558
3,112
7,091
6,044
Net gains/losses from financial assets measured at fair value
-463
305
-19
1,195
Foreign exchange rate gain/losses
39
557
58
218
Net gain/losses from financial items
-424
862
39
1,413
Total net income
20,739
19,133
41,470
36,697
Personnel expenses
-5,759
-4,922
-11,369
-9,693
Marketing expenses
-1,034
-704
-1,887
-1,337
Administrative expenses
-3,066
-3,187
-6,028
-6,025
Depreciation, amortization
-1,739
-2,018
-3,402
-3,774
Total operating expenses
-11,598
-10,831
-22,686
-20,829
Impairment losses on loans and receivables
-4,875
-4,127
-9,345
-7,326
Profit before income tax
4,266
4,175
9,439
8,542
Income tax expense
-702
-398
-1,344
-801
Profit for the period
3,564
3,777
8,095
7,741
Other comprehensive income that may be reclassified subsequently to profit or loss
Currency translation differences
-32
-277
-139
-257
Total comprehensive income for the period
3,532
3,500
7,956
7,484
Consolidated statement of financial position (in thousands of euros)
30.06.2025
31.12.2024
Assets
Cash and cash equivalents
162,628
153,191
Mandatory reserves at central banks
26,687
25,156
Investments in debt securities
47,447
46,724
Financial assets measured at fair value through profit or loss
0
27
Loans and receivables
1,088,936
1,041,542
Other financial assets
5,829
4,569
Tangible fixed assets
102,110
98,069
Right of use assets
21,241
20,551
Intangible assets
32,557
31,560
Other assets
6,706
9,718
Deferred tax assets
5,218
4,707
Total assets
1,499,359
1,435,814
Liabilities
Customer deposits
1,233,383
1,171,359
Financial liabilities measured at fair value through profit or loss
687
503
Other financial liabilities
63,050
59,135
Current tax liability
529
62
Deferred tax liability
878
533
Other liabilities
4,242
4,620
Subordinated debt securities
40,911
52,046
Total liabilities
1,343,680
1,288,258
Equity
Share capital
1,152
1,152
Share premium
54,849
54,849
Statutory reserve
115
109
Other reserves
1,357
1,329
Retained earnings
98,206
90,117
Total equity
155,679
147,556
Total liabilities and equity
1,499,359
1,435,814Inbank is a financial technology company with an EU banking license that connects merchants, consumers and financial institutions on its next generation embedded finance platform. Partnering with more than 5,700 merchants, Inbank has 931,000+ active contracts and collects deposits across 7 markets in Europe. Inbank bonds are listed on the Nasdaq Tallinn Stock Exchange.
Additional information:Styv SolovjovAS InbankHead of Investor Relations+372 5645 9738styv.solovjov@inbank.eeAttachments
Inbank_Interim_Report_2025_Q2
Inbank_Corporate_Presentation_Q2_2025
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