Capitalia on track to be profitable by year end
Lithuania-based peer-to-peer platform Capitalia is on track to become profitable by the end of the financial year, after boosting its revenue by 10 per cent during the third quarter.
The lender reported a turnover of €1.03m (£900,000) during the last quarter, with losses widening to €134,000. Capitalia said that the rise in losses was due to investments in the transition to the licensed platform operations, an increase in loan impairment provisions, and annual employee bonus pay-outs.
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“However, we see a strong resumption of the loan demand, as well as various individual positive developments as a result of which we expect and are on track to obtain profitability for the full year financials,” a company spokesperson added.
Capitalia expects to receive its European Crowdfunding Service Provider (ECSP) license from the Bank of Latvia within the fourth quarter of this year.
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The company is also set to complete an internal reorganisation which bring Capitalia SE and Capitalia Fund Management SIA under the remit of Capitalia Investment Holding AS. This reorganisation is due to licensing requirements under the new ECSP regulations.
In an update to investors, the platform confirmed that it funded €5.3m during the third quarter of 2023 – up from €3.5m in the third quarter of 2022.
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