IPAS Indexo (IDX1R) Q2 2024 earnings summary

Executive summary

• Assets under management (AUM) grew 53% year-over-year to over €1.15 billion, with client numbers reaching 134,747 in H1 2024.

• INDEXO achieved rapid growth, becoming one of the fastest-growing pension fund managers in the Baltics, supported by strong financial results and cash flow.

• Pension business achieved profitability in Q2 2024, with a net profit of €276,000, reversing a Q1 loss.

• INDEXO Bank received its ECB license in May 2024, joined SWIFT and SEPA, and will launch publicly on August 28, 2024.

• Revenue increased 45% year-over-year to €2.02 million, driven by AUM and client growth.

Financial highlights

• H1 2024 commission income was €2.02 million, up from €1.39 million in H1 2023.

• Net profit for the pension business (excluding bank costs) was €536,600 in H1 2024.

• Consolidated group loss for H1 2024 was €1.96 million, mainly due to €2.11 million in bank development costs.

• Group equity increased to €13.15 million from €6.89 million year-over-year, with total assets at €16.15 million.

• Basic EPS for H1 2024 was -€0.43.

Outlook and guidance

• INDEXO Bank is set to launch retail operations on August 28, 2024, with SME services to follow within 6–9 months.

• Focus remains on client acquisition, AUM growth, and improving customer retention.

• Ongoing cost reductions and product enhancements are expected to improve profitability.