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Financial report

Saldo continued towards becoming an international financial institution


Saldo Finance Plc continued to take scalable steps in achieving its goal of becoming a diversified and international financial institution. The company expanded its business via corporate lending in Finland, extended lending to customers in Sweden through its sister company, and commenced operations in Lithuania. Saldo’s continued investment in IT and its scoring system technology will support new product development and further international expansion.

A year of international growth

As a company, we discovered our ability to swiftly adapt to trying circumstances, learning and responding as situations remained unstable. Importantly, Financial year 2020 confirmed that Saldo’s business strategy is solid, and one that will survive the toughest times.

The company's operating profitability was excellent during the financial year, despite temporary regulatory changes, the prevailing COVID-19 pandemic and write-downs. Profit before taxes (EBT) was €14.8 million (€26.4 million in 2019) and EBT margin of 43.1% (49.0% in 2019). The company's financial position remains strong, best illustrated by the 96.8% equity ratio for the financial year ended 31 December 2020.

Operating income was €34.3 million, corresponding to a decrease of 36.3% compared to the previous year. Operating income consisted mainly of interest income of €25.8 million (€35.8 million 2019) and delivery costs €4.6 million (€12.9 million 2019).

Tightening of consumer finance regulations was evident in 2019, and continued into 2020. Measures including a temporary 10% interest rate cap and direct marketing ban on consumer credit were introduced in Finland on 1 July. The company reacted quickly, optimising its lending criteria and operative actions, ultimately protecting its net sales. This is demonstrated in a decrease of only 36.5% on the previous financial year: an exceptional performance under the circumstances.

A review of the company’s loan portfolio led to accounting write-downs of receivables, leading to a 45.0% decrease of operating profits on the previous year, balanced by an operating margin of 44.0% of net sales. The company’s asset situation improved: liquid funds increased by €13.9 million, external loans were repaid during the financial year, and at the end of the financial year on 31 December 2020, the company had no loans from financial institutions.

Further information:

Jarkko Mäensivu


Saldo Finance Plc

Tel. +358 50 470 1006

Saldo in brief:

Saldo Finance Plc is a Finnish financial services company and a leading provider of fully automated credit solutions in Finland. Saldo offers flexible loans and car financing for both consumers and businesses. The company's advanced scoring system ensures responsible lending, and its own lending system supports business growth also internationally.

Saldo is a solvent and reliable partner whose whose profit has remained steady despite the pandemic. In 2020, the company's net sales were EUR 34 million and operating profit EUR 15 million. Saldo Finance Plc had 44 employees at the end of 2020.


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