Multitude Bank plc has announced a robust financial performance for the year ended 31st December 2024, reporting a pre-tax profit of €17.6 million – a significant increase from €11.8 million in 2023.

The results reflect the bank’s ongoing expansion in unsecured lending and its growing investment portfolio across Europe.

The bank attributed its improved profitability to steady growth in both lending operations and investment income. Net interest income rose to €162.5 million, up three per cent from the previous year, while net fee and commission income tripled to €2.4 million, largely due to increased brokerage fees.

Operating income overall saw an €8 million increase year-on-year. While operating expenses climbed by four per cent to €74.6 million, the bank kept net impairment losses steady at €71.3 million, marginally down from 2023’s €71.7 million.

Multitude Bank’s core business revolves around offering unsecured loans and credit products via its online platform, serving customers in 13 countries including Germany, Sweden, Norway, and Romania. To support this, the bank offers savings and term deposits to individuals in Germany and Sweden, with customer deposits growing from €732.3 million in 2023 to €800.8 million in 2024.

The bank also ramped up its investment activity, with its debt investment portfolio increasing to €261.0 million, up from €148.3 million in the previous year. This includes €152.0 million in securitised SME loan portfolios held through Luxembourg and Lithuanian entities, and €109.0 million in secured bonds backed by pledged loan portfolios and additional collateral.

Total assets grew by 12 per cent, from €909.1 million to €1,017.9 million, with loans and advances to customers increasing to €499.6 million. Much of this growth was fuelled by a rising credit limit portfolio in Sweden, Denmark, Finland, and Latvia.

On the regulatory front, the bank maintained strong ratios. The Liquidity Coverage Ratio stood at a striking 1338.09 per cent, while the Capital Requirements Ratio reached 17.83 per cent, above the required 16.93 per cent. CET1 capital ratio was 15.26 per cent, still comfortably above the 13.81 per cent threshold, despite a decline from 2023’s 16.74 per cent.

In 2024, the bank distributed dividends totalling €35 million and received €42 million in capital contributions from its parent company. The Board continues to monitor geopolitical and market risks while also initiating assessments related to environmental, social, and governance (ESG) risk factors, including climate-related exposures.