Table of contents
Management’s Statement .................................................................... 2
Independent Auditor’s Report ............................................................ 3
Company Information ......................................................................... 5
Financial Highlights ............................................................................ 6
Management’s review .......................................................................... 7
Consolidated Financial Statements of the Group ............................. 14
Standalone Financial Statements of the Parent ............................... 45
1 | Page
Executive Management
Board of directors
2 | Page
3 | Page
CVR No 33 77 12 31
Mne30221 Mne33260
4 | Page
Company Information
The Company
Municipality of reg. office: Copenhagen
CVR No:
Financial period: 1 January - 31 December
Auditors
Board of Directors
Andreas Bernström, Chairman
Jeppe Rindom
Johan Erik Larsson Brenner
Lise Kaae
Merritt Susanne Hummer
Niccolo Perra
Saagar Shashank Kulkarni
Vanessa Ann Bailey
Executive Management
Jeppe Rindom
Søren Westh Lonning
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Financial Highlights
Seen over a five year period, the development of the Group is described by the
following financial highlights:
Financial statement
In millions EUR
2025
2024
2023
2022
2021*
Gross Revenue***
151.2
119.6
83.6
50.5
25.7
Net Revenue
129.9
104.1
75.7
50.3
25.7
Gross Annual Recurring Revenue (ARR)***
163.3
136.2
102.7
64.0
36.2
Gross profit/loss
108.7
89.0
63.9
42.9
0.4
EBITDA
(36.5)
(43.7)
(63.4)
(75.5)
(3.4)
Adjusted EBITDA ***
(41.5)
(45.3)
(61.5)
(68.7)
(3.4)
EBIT
(44.7)
(49.6)
(66.7)
(76.6)
(25.7)
Net financials
0.1
4.6
5.7
(2.8)
(0.5)
Result for the year
(45.8)
(45.6)
(61.8)
(79.0)
(25.5)
Balance sheet
Total assets
368.4
368.2
375.8
371.8
401.0
Total equity
105.1
148.7
186.5
239.8
284.2
Cash and cash equivalents
105.6
148.4
183.9
240.0
346.4
Cash flow statement
Cash flow from operating activities
(31.3)
(25.0)
(47.9)
(71.5)
(28.0)
Cash flow from investing activities
(8.6)
(8.2)
(6.1)
(4.0)
(0.0)
Cash flow from financing activities
(2.9)
(2.3)
(2.0)
(3.1)
302.1
Changes in cash and cash equivalents
(42.8)
(35.5)
(56.0)
(78.6)
278.0
EBITDA - Operating result before depreciation and amortisation
EBIT - Operating profit before financial income and expenses and tax
Financial ratios
2025
2024
2023
2022
2021*
Gross-Margin**
84%
85%
84%
85%
2%
Net revenue growth
25%
37%
51%
95%
163%
EBITDA-Margin
-28%
-42%
-84%
-150%
-13%
Profit Margin
-34%
-48%
-82%
-157%
-99%
Solvency ratio
29%
40%
50%
64%
71%
Return on equity (ROE)
-44%
-31%
-29%
-30%
-16%
Employees
2025
2024
2023
2022
2021
Average number of employees
856
848
842
711
286
* Note that the financial statements for 2021 have been prepared in accordance with the
Danish Financial Statements Act
** For the year 2021 Gross Margin is presented in accordance with the Danish Financial
Statements Act and includes other external expenses. For the years 2022-2025 Gross margin
is presented in accordance with IFRS, and other external expenses are excluded for the
calculation of Gross Margin.
*** Non-GAAP metrics:
Gross Revenue is calculated as the Revenue before cashback deduction (see note 02).
Gross ARR is calculated as the recurring revenue from December multiplied by 12 for SaaS
and Q4.2025 revenue multiplied by 4 for the Financial Revenue.
Adjusted EBITDA is calculated as operating result adjusted for the cost of warrants,
capitalization of internally generated intangible assets and costs of obtaining a contract, rent
arrangements, restructuring costs and any significant one off in year
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Mana gement’s review
Business Performance & Strategy
Overview
Pleo is Europe’s leading dedicated spend management software platform for Small
and Medium-sized Businesses (“SMBs”); transforming the way they pay, manage
control, and optimise their finances. Pleo provides SMBs with a suite of offerings
covering payment (company card, invoice payments, expense reimbursement),
automation of expense handling (including accounts payable automation), credit
and cash management. Our platform supports the end-to-end process of collecting,
processing, monitoring and reimbursing company expenses, including mileage and
per diem, while delivering AI-led automation and insights across all spend types
(except payroll). Combining Pleo’s automation with direct integration to leading
accounting tools and Human-Resource Information Systems (“HRIS”), the process
of reconciliation, generating expense reports and cash management is made easy.
Pleo enables a clear view of company spend, ranging from daily expenses to major
technology and marketing investments.
Our platform is designed to support the unique needs of every user:
●
Empowered Employees: Our platform suggests what employees can
spend on in alignment with our customer’s policies and budget structure.
Once spend occurs, Pleo understands the business reason, applies the
right cost allocation, and only asks for extra details if necessary.
●
Real time visibility and control: Administrators are only involved
when it’s time for a simple yes-or-no decision, with AI assessing spend
compliance so that human intervention is only needed on out of policy
spend. The Pleo product drives compliance to complete expenses and
ensure details are captured. Employees can be trusted to spend company
money where it is needed, given the real-time visibility and control that is
core to the platform.
●
Compliance across entities: Our platform enables bookkeepers to
avoid chasing receipts, review incomplete expense reports, or fix errors.
Compliance checks, tax allocations, and approvals happen seamlessly in
the background, regardless of how many entities you’re managing.
Structure
Pleo is focused on six core European markets and commercially active in 16
markets spanning the UK, EEA and with a light proposition supporting European
businesses with a presence in the United States. Notably, on 16 May 2025, Pleo
Financial Services UK Ltd (FRN 1020730) was officially listed as an Authorised
Electronic Money Institution on the Financial Conduct Authority (FCA) register.
Our teams operate out of seven offices in Europe, our India Hub, and remotely
across the world, around our mission to empower European businesses.
In 2025, we made changes to our operating structure to simplify our operating
model and organisational design, moving from a matrixed operating model of
Operating Domains and Competencies, to a functional model, wherein every
employee is organised within one of three Areas: Offering, Go-to-Market, or
Enablement.
Our Strategy
Pleo’s market leading experience, enhanced by generative AI, sets us apart as a key
enabler of "the future of work”, with sign-up, onboarding and operation
underpinned by powerful automation and product-led self-serve journeys. New
customers can sign-up to Pleo and start spending on the same day thanks to the use
of advanced machine-learning-driven risk models, productised due diligence and
the instant issuance of virtual cards.
SMBs rely heavily on online channels and word-of-mouth referrals to discover and
implement new tooling. Pleo is able to deploy online marketing spend to drive an
entirely product-led sales process. Leveraging the strength of accounting,
consulting and tech-ecosystem partnerships, Pleo also taps into viral and
capital-efficient growth, amplified by our end-to-end product experience.
To maintain our position as Europe’s leading business spend solution, we have
continued to innovate on top of our core product across all markets, extending
services across accounts payable, credit, value-added services and extensive partner
integrations. In addition to Pleo’s partner network across Accounting, ERP, and
HRIS , in 2025 Pleo launched Embedded Finance, enabling integration of our
award-winning capability into the SMB offerings of banks, financial institutions,
and other technology platforms.
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For businesses where every Euro, Pound and Krone counts, we’re proud to offer the
following:
●
Smart Company Cards (Physical and Virtual): Pleo issues physical
and virtual smart cards on the Mastercard payment network. As a card
issuer, Pleo offers enhanced card functionality and live controls, such as
blocking specific categories of spend, or preventing spend at certain times
of day. Alongside spend limits, expense categorisation and instant
notifications, Pleo automates the collection of email receipts, intelligently
matching them to your expenses. For everything else, users receive an
intuitive prompt to add a photo of their receipt at the moment of
purchase.
Pleo offers these powerful controls across both physical and virtual cards
(including Apple and Google Pay). All cards can be deployed or frozen
instantaneously so businesses can control their spend whenever and
wherever they need it.
●
Expense Management: Through the use of email automation, Optical
Character Recognition (OCR) technology and AI, Pleo captures and
prepopulates information needed for bookkeeping including splitting
VAT. Pleo consolidates all out-of-pocket expenses and provides a simple
way to process expenses, mileage and per diem claims, allowing users to
reimburse instantly for pre-approved spend types.
●
AP Automation: Our platform leverages OCR and market-compliant
scheduling and bill-pay tooling so invoices are quickly captured,
scheduled and paid. Advanced approval flows and in-product
communication allow easy centralisation of invoices and clearly forecasted
spend to optimise cash management.
●
Spend Insights: Spend placed on Pleo is enriched with insights by
generative AI to provide a 360 degree view of every transaction and
ensure better spend decisions. Pleo will inform you how your spend with
vendors compares with companies of a similar size, industry or segment
and whether you're purchasing multiple tools for the same purpose.
Learning from your spend, Pleo can build policies for you.
●
Recurring Vendor Management: Managing vendors can be done with
ease. No matter how you pay, all your vendors are assembled in one place,
with Pleo notifying you of duplicate subscriptions or where multiple
vendors supply the same services. Upcoming renewals are clearly
visualised and vendor cards ensure that dedicated spend to specific
vendors (such as Cloud or Ads) is never at risk.
●
Credit & Cash Management: Eligible customers can better manage
and prioritise their placement of cash by taking advantage of overdraft
facilities. Our Cash Management suite enables businesses to manage all
their bank accounts in one place via Open Banking and put in place
advanced transfer rules to balance funds across multiple accounts and
currencies. The suite of tools provide real-time insight, forecasting and
treasury management.
● Ecosystem Integrations - To ensure the books are always closed on
time, Pleo integrates with popular accounting software such as Xero,
QuickBooks, DATEV, and Sage 50 along with the top SMB accounting
tools in each of our core markets. Integrations with HRIS enable all
employees in an organisation to be easily added to Pleo’s platform with
cards automatically distributed to new starters, and frozen for offboarded
employees. With seamless integration to leading travel tooling, all types of
spend are integrated and contextualised, end-to-end.
●
Embedded Finance - In 2025, Pleo launched a new embedded finance
solution, allowing partners to integrate Pleo’s leading SMB spend and
cash management products into their own propositions within weeks.
Commercial Model
Pleo has a dual business model, generating SaaS revenue from our platform and
per-user pricing, and financial services fees from card transactions, invoices and
additional services. Where we offer embedded finance solutions powered by Pleo,
we operate a revenue share model with partners.
Approximately half of Pleo’s revenue is from SaaS, a share that has been growing
over recent years, while financial revenue remains a highly stable source of income
as businesses drive more spend through our platform. Pleo is positioned to be an
SMB’s sole tool for spend management, enabling customers to run all of their
spend through our platform.
Pleo utilises three channels to drive new business: Product-led, Sales-led and
Partner-led growth. In addition, the success of in-product upsell journeys and
land-and-expand sales strategies resulted in significant volumes of 2025 new
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business SaaS revenues originating from existing accounts. Pleo’s ability to
continuously gain wallet share in a product-led motion has proven effective across
markets, segments and industries with small business sales (<50 employees)
driven by product-led commercial motions. The systemic removal of barriers to
entry and ease of management remains a core tenant to our continued growth.
Sales-led land-and-expand strategies prove effective across all segments, where we
enable even the smallest, single-person finance teams to onboard the most complex
multi-entity structures.
As a deeply integrated player within the ecosystem, we ensure a seamless
experience for SMBs by connecting to all their key tooling. This creates a powerful
channel, where accountants, bookkeepers and consultants can both benefit from
the productivity saving of the Pleo product and also drive partner led leads through
advocacy. Similarly, our strong network of technology partners (e.g. Accounting
platforms, HRIS tooling and travel tools) provide accelerated acquisition
opportunities where our combined offerings provide world-class spend
management and productivity enhancement, collectively saving finance teams and
employees thousands of hours a year.
Business Performance
Reporting non-GAAP measures
To our consolidated financial statements, we utilise specific non-GAAP financial
measures as outlined below, to assess and evaluate our core operating
performance. We believe these non-GAAP financial measures offer valuable
insights into our financial performance, enhance the understanding of our
historical results and future potential, and provide greater transparency regarding
key metrics that our management relies on for financial and operational
decision-making.
Financial performance in 2025
2025 saw strong net revenue growth of 25% vs 2024, resulting in 130m in net
revenue. Growth was broadly anchored across core markets and was driven by
both SaaS (Software as a service) and financial revenue. SaaS revenue grew faster
than financial revenue with growth well above 34% as growth was supported by
both increase in customer base and upselling to more value-added solutions.
Growth in financial revenue was driven by strong growth in card spending, but this
was partly offset by reduced interest income due to the reducing interest rate across
the UK and European markets.
Gross profit increased to 109m, equal to a growth of 22% compared to 2024. In
turn, gross margin decreased from 85% to 84% driven by higher direct costs
relative to revenue, reflecting an unfavorable mix and cost inflation within cost of
sales during the year.
Operating expenses ended at 145m equal to an increase of 9% compared to 2024.
The growth was primarily driven by investments within Marketing and R&D to
support business growth, expand our offering to customers and continue to mature
the company. However, significant scalability was achieved as growth in revenue
materially outgrew growth in operating expenses, supported by a dedicated effort
to drive efficiency and secure scale benefits as Pleo grows.
During 2025, the Group implemented restructuring initiatives to simplify the
organisation and align capacity with strategic priorities. These actions are expected
to reduce the Group’s operating cost base in future periods, as the full-year effects
of changes to headcount and other cost flow through.
Throughout the year, the Group capitalised approximately EUR 9m of research and
development expenditure related to core product development, reflecting
continued investment to maintain and strengthen the Group’s market position in
the coming years.
As a result of strong revenue growth and increased operational efficiencies,
earnings measured as adjusted EBITDA improved and ended at EUR -41m
compared to -45m in 2024. This corresponded to an improvement of 8%. Similarly,
net loss improved to -45m, up from -46m in 2024.
Total change in cash worsened in 2025 and reached -43m compared to -38m in
2024. This was largely driven by redundancy costs related to restructuring
initiatives to simplify the organisation and align capacity with strategic priorities .
Due to negative free cash flow and the fact that no capital injections were pursued,
the cash balance decreased to 106m. However, Pleo’s cash position remains very
solid and corresponds to a cash runway of around 4 years.
As of 31 December 2025 the balance sheet of the Group shows equity of EUR 106m.
The net loss for the year is a result of significant investments made into further
development of both product, platform, and organization in accordance with
growth plans and budgets. The results are exceeding management’s expectations
and are considered satisfactory.
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Performance versus 2025 outlook
The 2025 outlook projected an adjusted EBITDA loss between EUR 40m and 48m.
With the final result landing at a loss of EUR 41m, Pleo’s performance is aligned
with expectations and considered satisfactory.
Outlook for 2026
While Pleo intends to strengthen both its product offering and commercial
distribution in 2026 and leverage recently obtained UK license, Pleo will, similar to
previous years, also continue to pursue improvements in earnings and cash flow.
Consequently, adjusted EBITDA is expected to improve in 2026 compared to 2025
and end with a loss in the range of EUR 18-25m. The yearly spend is expected to
reflect a material improvement during the year with the end of year being
meaningfully stronger than the beginning. Despite the continued investments in
growth, Pleo cash position is expected to remain strong throughout 2026 and the
following years.
Uncertainty relating to recognition and measurement
There is uncertainty related to the recognition and measurement of deferred tax
assets. No deferred tax asset has been recognized in the financial statement due to
uncertainty regarding the timing for future usage. The Company will assess
whether to recognize the tax asset in the coming account periods.
Management notes that while the current valuation of Pleo Holding ApS'
investments in subsidiaries provides limited headroom based on conservative
market-based assumptions, this margin would expand significantly if aligned with
broader industry benchmarks, confirming that the carrying values remain robust
and well-supported by underlying business performance.
There are no other financial matters where estimates have or will affect the
Company’s result or balance sheet significantly. Please refer to Note 1.
Unusual circumstances affecting recognition and measurement
No unusual circumstances have affected this year’s recognition or measurements.
Events subsequent to the financial year
No events occurred subsequent to the balance sheet date, which would have
material impact on the financial position of the company.
Research and development activities
Throughout the year the Company has incurred considerable research and
development costs relating to the core products, The purpose of these investments
is to ensure that the Company can maintain and grow the market position in
coming years.
Intellectual capital resources
Knowledge resources are essential for the Group to achieve both short- and
long-term goals in accordance with the Group's strategy. As a result, the Group is
investing significant resources in maintaining and developing competencies for all
employees with the aim of growing knowledge and capabilities.
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Consolidated Financial Statements of the Group
Table of contents
Consolidated statement of profit or loss ...................................................... 15
Consolidated statement of other comprehensive income ............................ 15
Consolidated statement of financial position ............................................... 16
Consolidated statement of cash flow ............................................................ 17
Consolidated statement of changes in equity .............................................. 18
Notes to the consolidated financial statements ........................................... 19
Basis of preparation ...................................................................................... 19
Note 01 Significant accounting estimates and judgements ......................... 21
Note 02 Revenue from contracts with customers ....................................... 22
Note 03 Staff cost ......................................................................................... 25
Note 04 Share based payments .................................................................... 26
Note 05 Financial income and expenses ..................................................... 29
Note 06 Income Tax ..................................................................................... 30
Note 07 Deferred Tax ................................................................................... 30
Note 08 Receivables ..................................................................................... 32
Note 09 Leases ............................................................................................. 33
Note 10 Non-current intangible assets ........................................................ 34
Note 11 Property, plant and Equipment ....................................................... 35
Note 12 Non-current financial assets ........................................................... 36
Note 13 Financial instruments ..................................................................... 37
Note 14 Financial Assets and liabilities ....................................................... 38
Note 15 Financial risk management ............................................................ 39
Note 16 Cash at bank and in hand ................................................................ 41
Note 17 Cash flow specifications ................................................................... 41
Note 18 Customer funds ............................................................................... 41
Note 19 Other liabilities ............................................................................... 42
Note 20 Contingent liabilities, commitments and contingencies ............... 42
Note 21 Fees to auditors appointed at the Annual General Meeting .......... 42
Note 22 Equity .............................................................................................. 42
Note 23 Capital Management ...................................................................... 43
Note 24 Subsequent events .......................................................................... 44
Note 25 Related party transactions ............................................................. 44
Note 26 Investment in subsidiaries ............................................................. 44
14 | Page
Consolidated statement of profit or loss
1 January – 31 December
In thousands EUR
Notes
2025
2024
Revenue from contract with customers
2
Interest revenue
2
Total Revenue
Cost of goods and service
(21,216 )
(15,122 )
Gross profit
Staff costs
3, 4
(93,102 )
(93,275 )
Other external expenses
(52,098 )
(39,397 )
Operating result before
depreciation and amortisation
(EBITDA)
(36,512 )
(43,719 )
Depreciation and amortisation
9, 11
(8,189 )
(5,877 )
Operating profit before financial
income and expenses (EBIT)
(44,701 )
(49,596 )
Financial income
5
Financial expenses
5
(1,927 )
(346 )
Loss before tax
(44,633 )
(44,987 )
Tax on profit / loss for the year
6
(1,132 )
(622 )
Net loss for the year
(45,765 )
(45,609 )
Consolidated statement of other
comprehensive income
1 January – 31 December
In thousands EUR
Notes
2025
2024
Loss for the year
(45,765 )
(45,609 )
Items that may be reclassified to profit or loss:
Exchange differences on translation of foreign
operations
Income tax impact
Other comprehensive income for the
period, net of tax
Total comprehensive income
(45,211 )
(45,596 )
15 | Page
Consolidated statement of financial position
As at 31 December
In thousands EUR
Notes
2025
2024
Intangible assets
10
Property, plant and equipment
11
Right of use assets
9
Non-current financial assets
12
Total non-current assets
Trade receivables and other receivables
8
Current financial assets
13
Current income tax assets
Prepayments
Other current assets
Deposits from customers
18
Cash and cash equivalents
16, 17
Total current assets
Total assets
In thousands EUR
Notes
2025
2024
Share capital
22, 23
Share premium
22, 23
Share-based payments
4
Retained earnings
(289,804 )
(244,039 )
Foreign Currency Translation Reserve
(94 )
(648 )
Total equity
Non-current portion of lease liabilities
9
Total non-current liabilities
Current portion of lease liabilities
9
Current income tax liabilities
Trade payables and other payables
13, 14
Loan borrowings
13, 14
Contract liabilities
Other liabilities
19
Total current liabilities
Total liabilities
Total equity and liabilities
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Consolidated statement of cash flow
1 January – 31 December
In thousands EUR
Notes
2025
2024
Operating result before depreciation
and amortisation (EBITDA)
(36,512 )
(43,719 )
Share-based payment
4
Change in working capital
17
Interest received
Interest paid
(976 )
(346 )
Income taxes paid/received
(1,259 )
(1,129 )
Other adjustments
17
(523 )
Cash flow from operating activities
(31,301 )
(25,002 )
Fixed asset investments made
(270 )
Intangible assets
(8,621 )
(7,910 )
Cash flow from investing activities
(8,621 )
(8,180 )
Principal elements of lease payments
(2,884 )
(2,318 )
Cash flow from financing activities
(2,884 )
(2,318 )
Cash flow for the year
(42,806 )
(35,500 )
Cash and cash equivalents at the beginning of
the financial year
Cash and cash equivalents at end of
year
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Consolidated statement of changes in equity
In thousands EUR
Share capital
Share Premium
Share-Based Payments
Retained earnings
Foreign Currency
exchange
Total equity
At 1 January 2025
(244,039 )
(648 )
Loss for the period
(45,765 )
(45,765 )
Other comprehensive income
Total comprehensive income
(45,765 )
(45,211 )
Share-Based Payment awards vesting
Share-Based Payment awards
exercised
Total equity transactions
As at 31 December 2025
(289,804 )
(94 )
In thousands EUR
Share capital
Share Premium
Share-Based Payments
Retained earnings
Foreign Currency
exchange
Total equity
At 1 January 2024
(198,430 )
(661 )
Loss for the period
(45,609 )
(45,609 )
Other comprehensive income
Total comprehensive income
(45,609 )
(45,596 )
Share-Based Payment awards vesting
Total equity transactions
As at 31 December 2024
(244,039 )
(648 )
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Notes to the consolidated financial statements
Basis of preparation
Introduction
The Consolidated financial statements of Pleo Holding ApS comprises the
consolidated financial statements of Pleo Holding ApS and its subsidiaries (‘the
Group’).
The Board of Directors and Executive Board consider ed and approved these 31
December 2025 consolidated IFRS financial statements of Pleo Holding ApS on 26
March 2026.
Basis of preparation
The consolidated financial statements of the Group have been prepared in
accordance with IFRS accounting Standards as adopted by the EU as well as
additional Danish disclosure requirements applying to entities of reporting class C
for large enterprises.
The financial statements have been prepared on a historical cost basis.
The consolidated financial statements are presented in EUR and all values are
rounded to the nearest thousands, except when otherwise indicated.
New standards and interpretations not yet adopted
Certain new accounting standards, amendments to accounting standards, and
interpretations have been published that are not mandatory for the 31 December
2026 reporting period and have not been early adopted by the Group. This includes
the implementation of the amendments to IAS 21 Lack of Exchangeability, which
provide updated criteria for assessing currency exchangeability and determining
spot rates, and IFRS 18 Presentation and Disclosure in Financial Statements, which
replaces IAS 1 and introduces significant changes to the structure of the statement
of profit or loss and related disclosures. While the Group is currently assessing the
transition, these standards and amendments are not expected to have a material
impact on the measurement of the Group's financial results or foreseeable future
transactions, though IFRS 18 will result in substantial changes to the presentation
and classification of items within the financial statements.
Principles of consolidation
Subsidiaries are all entities over which the group has control. The group controls an
entity where the group is exposed to, or has rights to, variable returns from its
involvement with the entity and has the ability to affect those returns through its
power to direct the activities of the entity. Subsidiaries are fully consolidated from
the date on which control is transferred to the group. They are deconsolidated from
the date that control ceases.
Inter-company transactions, balances and unrealised gains on transactions
between group companies are eliminated. Unrealised losses are also eliminated
unless the transaction provides evidence of an impairment of the transferred asset.
Accounting policies of subsidiaries have been changed where necessary to ensure
consistency with the policies adopted by the group.
Adjustment of comparatives
Certain comparison numbers have been reclassified for presentation purposes. The
reclassification has no effect on the result after tax or the equity
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Foreign currency translation
Functional and presentation currency
Items included in the financial statements of each of the group’s entities are
measured using the currency of the primary economic environment in which the
entity operates (‘the functional currency’). The consolidated financial statements
are presented in Euro (EUR). The functional currency for Pleo Holding ApS which
is the parent company of the group is Danish Kroner (DKK).
Transactions and balances
Foreign currency transactions are translated into the functional currency using the
exchange rates at the dates of the transactions. Foreign exchange gains and losses
resulting from the settlement of such transactions, and from the translation of
monetary assets and liabilities denominated in foreign currencies at year end
exchange rates, are generally recognised in profit or loss. They are deferred in
equity if they are attributable to part of the net investment in a foreign operation.
The results and financial position of foreign operations that have a functional
currency different from Euro are translated into Euro as follows:
- assets and liabilities for each balance sheet presented are translated at the closing
rate at the date of that balance sheet
- income and expenses for each statement of profit or loss and statement of
comprehensive income are translated at average exchange rate over the accounting
period, and
- all resulting exchange differences are recognised in other comprehensive income
On consolidation, exchange differences arising from the translation of any net
investment in foreign entities are recognised in other comprehensive income.
When a foreign operation is sold the associated exchange differences are
reclassified to profit or loss, as part of the gain or loss on sale.
Accounting policies
Accounting policies for items which are not covered by a separate note
Other operating income and expenses
Other operating income and other operating expenses comprise items of a
secondary nature to the main activities of the Group, including gains and losses on
the sale of intangible assets and property, plant and equipment.
Prepayments
Prepayments comprise prepaid expenses concerning rent, insurance premiums,
subscriptions and interest.
Inventories
Inventories consist of physical cards and IT equipment used for the product.
Inventories are measured at the lower of cost under the weighted average price
method adjusted for gains and losses from hedging instruments and net realizable
value. The net realizable value of inventories is calculated at the amount expected
to be generated by sale of the inventories in the process of normal operations with
deduction of selling expenses. The net realisable value is determined allowing for
marketability, obsolescence and development in expected selling price
Financial Highlights
Explanation on financial ratios
Gross margin
𝐺𝑟𝑜𝑠𝑠 𝑝𝑟𝑜𝑓𝑖𝑡 𝑥 100
𝑅𝑒𝑣𝑒𝑛𝑢𝑒
Net revenue growth
( 𝑅𝑒𝑣𝑒𝑛𝑢𝑒 − 𝑅𝑒𝑣𝑒𝑛𝑢𝑒 𝑖𝑛 𝑡ℎ𝑒 𝑐𝑜𝑚𝑝𝑎𝑟𝑎𝑡𝑖𝑣𝑒 𝑝𝑒𝑟𝑖𝑜𝑑 ) 𝑥 100
𝑅𝑒𝑣𝑒𝑛𝑢𝑒
EBITDA margin
𝐸𝐵𝐼𝑇𝐷𝐴 𝑥 100
𝑅𝑒𝑣𝑒𝑛𝑢𝑒
Profit margin
𝑃𝑟𝑜𝑓𝑖𝑡 𝑏𝑒𝑓𝑜𝑟𝑒 𝑓𝑖𝑛𝑎𝑛𝑐𝑖𝑎𝑙𝑠 𝑥 100
𝑅𝑒𝑣𝑒𝑛𝑢𝑒
Solvency ratio
𝐸𝑞𝑢𝑖𝑡𝑦 𝑎𝑡 𝑦𝑒𝑎𝑟 𝑒𝑛𝑑 𝑥 100
𝑇𝑜𝑡𝑎𝑙 𝑎𝑠𝑠𝑒𝑡𝑠 𝑎𝑡 𝑦𝑒𝑎𝑟 𝑒𝑛𝑑
Return on equity
𝑃𝑟𝑜𝑓𝑖𝑡 𝑜𝑓 𝑡ℎ𝑒 𝑦𝑒𝑎𝑟 𝑥 100
𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝑡𝑜𝑡𝑎𝑙 𝑒𝑞𝑢𝑖𝑡𝑦 𝑎𝑡 𝑦𝑒𝑎𝑟 𝑒𝑛𝑑
20 | Page
Note 01 Significant accounting estimates and
judgements
The preparation of financial statements requires the use of accounting estimates
which, by definition, will seldom equal the actual results. Management also needs
to exercise judgement in applying the group’s accounting policies.
This note provides an overview of the areas that involve a higher degree of
judgement or complexity, and of items which are more likely to be materially
adjusted due to estimates and assumptions turning out to be wrong. Detailed
information about each of these estimates and judgements is included in other
notes together with information about the basis of calculation for each affected line
item in the financial statements.
For critical estimates and judgments, please refer to the following notes:
Significant estimates:
● Revenue from Contracts with Customers in note 2
● Share-based payments in note 4
Significant judgement:
● Deposits from customer funds in note 18
21 | Page
Note 02 Revenue from contracts with
customers
Pleo’s revenue is primarily based on providing financial management services to
businesses, with a strong focus on simplifying and automating expense reporting
and administrative processes.
Pleo derives revenue from two primary revenue streams being subscriptions to
Pleo’s Platform for expense management incl. fees on card transactions from
customers and fees on card transactions from merchants.
Subscription fee to Pleo’s platform and fees on card transactions
(Software as a service)
Subscriptions to Pleo's platform for expense management are structured in
membership tiers, with each tier offering an increasing number of features and
benefits. The customer is granted access to the Platform for a specific number of
users and receives a fixed number of Pleo cards. The customer can elect to end their
engagement with additional services, user accesses and cards at each tier against an
increase in the subscription fee. The customer pays the subscription fee upfront
either monthly or yearly. Customers choosing the yearly payments method receive
an early payment discount.
Pleo offers a cashback rewards program to eligible customers based on the volume
of card transactions. Cashback rewards are earned monthly and are transferred to
the customer’s balance (wallet) the following month.
Fees on card transactions paid by Pleo’s customers are incurred when customers
use the Pleo card. These fees are transactional and can be based on either a fixed
price or a variable price, depending on the transaction volume.
Fees on card transactions paid by merchants (Financial services)
Fees on card transactions paid by merchants are derived from the usage of the Pleo
Card as the merchants pay for processing the payment. The fees are transactional
and are either based on a fixed price or a variable price depending on the
transaction volume. Fees on card transactions paid by merchants are assessed to
constitute a single performance obligation being the customer’s ability to make
transactions with the merchant by using the underlying payment
service/infrastructure provided by a third-party.
Revenue is disaggregated based on:
● Revenue stream
● Geographical regions
● Over-time/Point in time
In thousands EUR
2025
2024
Revenue streams
Financial services
73,968
59,602
Software as a service
74,186
54,914
Interest earned
3,035
5,069
Total gross revenue
151,189
119,585
Cash back
(21,285)
(15,510)
Total net revenue
129,904
104,075
* Revenue streams accounted for applying IFRS 15 Revenue from Contracts with Customers
In thousands EUR
2025
2024
Geographical regions
Nordics
37,974
30,465
EU
41,517
28,585
Rest of Europe
47,378
39,956
Total revenue in scope of IFRS 15
126,869
99,006
Interest earned using the amortised cost method
3,035
5,069
Total net revenue
129,904
104,075
22 | Page
In thousands EUR
2025
2024
Over time/Point in time
Revenue recognised at a point in time
73,968
59,602
Revenue recognised over time
52,901
39,404
Interest earned using amortised cost method
3,035
5,069
Total net revenue
129,904
104,075
Interest earned using the amortised cost method
In the process of managing the customer funds received, the funds are deposited on
selected secure interest-bearing bank accounts meeting relevant safeguarding
requirements.
23 | Page
Contract liabilities
The group has recognised the following assets and liabilities related to contracts with
customers:
Contract liabilities represent amounts allocated to performance obligations that are
unsatisfied or partially unsatisfied as of the end of the reporting period. The transaction price
allocated to unsatisfied performance obligations as per year end is expected to be recognised
as revenue within the following 12 months.
24 | Page
In thousands EUR
2025
2024
Contract balances at beginning of the period
(15,719)
(7,568)
Revenue recognised that was included in the contract
liability balance at the beginning of the period
15,719
7,568
Payments received, excluding amounts recognised as
revenue during the period (prepayments)
21,967
(15,719)
Contract liabilities total at end of the period
21,967
15,719
Note 03 Staff cost
In thousands EUR
2025
2024
Wages and salaries
80,143
77,895
Defined contribution plans
2,025
1,722
Social security costs
11,948
10,787
Share-based payments, Note 4
1,652
7,766
Other staff costs
2,051
792
Redundancy costs
5,025
998
Salary, recognised as direct costs
(2,897)
(1,476)
Work on own account recognised in assets
(6,845)
(5,209)
Total
93,102
93,275
Average number of employees
Key management personnel compensation
The Board of Directors and Executive Management team are not covered by any pension
schemes. The compensation paid or payables to key management personnel for employee
services is shown below. Key Management is defined as the Executive Board, the Board of
directors and the Management Group.
Refer to note 04 for more information on the share-based payment program.
2025
In thousands EUR
Executive
board
Board of
directors
Other key
management
Total
Wages and salaries
675
415
2,610
3,700
Share-based payments
666
110
198
973
Social security costs
3
17
263
282
Other benefits
22
-
187
209
Total
1,366
541
3,258
5,165
2024
In thousands EUR
Executive
board
Board of
directors
Other key
management
Total
Wages and salaries
535
211
1,352
2,099
Share-based payments
563
51
1,201
1,815
Social security costs
24
20
194
238
Total
1,123
282
2,747
4,152
25 | Page
Note 04 Share based payments
Pleo Holding has implemented incentive programmes to provide long-term incentives for
participants (Executive Management and full-time employees) to deliver long-term
shareholder return. The programmes are important to retain the participants in the group.
Pleo Holding has implemented two long-term incentive programs for Management and
employees. One being a warrants programme and the other being a Restricted Stock Unit
("RSU") program. These two programs are the only outstanding share-based remuneration
programs as of 31 December 2025.
Below is a summary of the share-based instruments granted under the incentive programmes.
Restricted Stock Unit ("RSU") programme
Management and employees in the Pleo Group have been offered the opportunity to receive
RSU's in the Group. The RSU's are granted with an exercise price of EUR 0.8 per RSU to the
employees. The grant of RSU’s to the participants is an one-off offer and not part of an
ongoing program.
The RSU’s vested immediately upon grant. The RSU’s granted are currently not exercisable.
The employee is delivered a number of common shares in the Group equal to the number of
RSU's having vested (one RSU to one ordinary share) at a futures exercise date. The RSU can
be exercised in 2030 or at an earlier exit event. Grant, vesting and/or exercise is not subject to
achievement of performance targets.
There were no RSU's granted to Management and employees during 2025 (60.026 during
2024) and staff expenses of TEUR (942) was recognised in the income statement for the year
2025 (1,043 in 2024).
Warrant programme
Mid-level and higher-level managers have been offered the opportunity to receive warrants in
the Group. The warrants are granted free of charge to the participants. Warrants have been
granted to employees of Pleo Holding Group since 2017.
The warrants vest over a period of three to four years. In an exit event, warrants are subject to
accelerated vesting. The vested warrants give the holder the right but not an obligation to
convert the warrants into common-shares. Grant, vesting and/or exercise is not subject to
achievement of performance targets, but conditional on continued employment during the
vesting period (service condition).
In 2025 a total of 108,720 (583,355 in 2024) warrants were granted to Management and
employees with a vesting period of 48 months and an exercise price between EUR 1 and EUR
80.54 (between EUR 53.63 and EUR 80.45 in 2024). Expenses recognised in 2025 amounts
to tEUR 2,594 (tEUR 6,724 in 2024).
Set out below are summaries of shares granted under the incentive programmes .
2025
2024
Types of awards:
Warrants
Restricted
Stock Units
(RSU)
Warrants
Restricted
Stock Units
(RSU)
Grant date
up to
31-Dec-25
up to
31-Dec-25
up to 31-Dec-24
up to
31-Dec-24
No. of instruments
outstanding
1,892,458
84.374
2,010,738
84,599
Contract life, Years
2.5
2.5
2.5
2.5
Total fair value at
grant (tEUR)
50,840
2,895
55,052
4,031
Costs recognised
(tEUR)
2,594
(942)
6,724
1,043
26 | Page
As per 31 December 2025 none of the outstanding warrants were exercisable (2024: 8,950)
Specification of outstanding RSU
Weighted average
exercise price (DKK)
Executive Board
Board of Directors
Key Management
Employees
Total
Outstanding 1 January 2024
6
35,090
60
(35,000)
24,513
24,663
Granted
6
-
-
35,180
24,846
60,026
Exercised
-
-
-
-
-
-
Forfeited
6
-
-
-
(90)
(90)
Expired
-
-
-
-
-
-
Outstanding 31 December 2024
6
35,090
60
180
49,269
84,599
Granted
-
-
-
-
-
-
Exercised
-
-
-
-
-
-
Forfeited
6
-
-
-
(225)
(225)
Reclassified
6
-
-
30
(30)
-
Outstanding 31 December 2025
6
35,090
60
210
49,014
84,374
As per 31 December 2025 none of the outstanding RSU’s were exercisable (2024: none)
27 | Page
Specification of outstanding warrants
Weighted average
exercise price (DKK)
Executive Board
Board of Directors
Key Management
Employees
Total
Outstanding 1 January 2024
231
337,381
11,333
39,086
1,100,972
1,488,772
Granted
505
-
-
275,000
308,355
583,355
Exercised
-
-
-
-
-
-
Forfeited
503
-
-
-
(61,389)
(61,389)
Expired
-
-
-
-
-
-
Outstanding 31 December 2024
302
337,381
11,333
314,086
1,347,938
2,010,738
Granted
476
-
-
15,054
93,666
108,720
Exercised
5
-
-
-
(8,950)
(8,950)
Forfeited
556
-
-
(88,250)
(129,800)
(218,050)
Expired
-
-
-
-
-
-
Outstanding 31 December 2025
412
337,381
11,333
240,890
1,302,854
1,892,458
Pleo Holding has applied the Monte Carlo Simulation to determine the fair value on the grant
date for each of the RSU and warrant programmes, respectively. Service and non-market
performance conditions attached to the arrangements were not taken into account in
measuring the fair value. The expected volatility below is based on historical volatility. The
inputs used to measure the fair values at grant date of the equity-settled share-based
payments were as follows. Fair value on a Monte Carlo simulation using a sample of 10.000
random draws. The future estimated value of equity on different exit dates is simulated based
on a geometric Brownian motion, taking into account the expected share price volatility, drift
factor, dilution from exercise of other warrants and the effect of the liquidation preference for
preference shares. As Pleo is a private entity with no active market for its shares, expected
volatility has been determined based on the historical volatility of a representative peer group
of publicly traded companies in accordance with IFRS 2 requirements. This peer group
consists of 35 companies within the application software and financial technology sectors that
reflect Pleo's growth profile and risk characteristics. Volatility is calculated as the annualized
weekly median volatility over a lookback period (2.0 to 3.0 years) that aligns with the
expected term to an exit event. For warrants granted during 2025, the weighted average fair
value at the grant date was DKK 105.22. This fair value is determined based on the Monte
Carlo simulation model, incorporating the key valuation inputs disclosed in the table below.
Specification of key valuation inputs
2025
2024
Average share price at date of grant
DKK 179
DKK 331
Dividend Yield
-
-
Expected term, Year
2-3
2-3
Risk free rate
1.8%-2.1%
1.7%-1.9%
Share price volatility of the company
51.2%-51.8%
54.3%
28 | Page
Note 05 Financial income and expenses
In thousands EUR
2025
2024
Financial income
Other financial income
1,995
4,534
Realized/Unrealized Exchange
-
421
Total
1,995
4,955
Interest income arising from assets not measured at fair value amounts to 1,995 TEUR for
2025 (2024: 4,534 TEUR).
In thousands EUR
2025
2024
Financial expenses
Other financial expenses
819
224
Leases expenses
157
122
Realized/Unrealized Exchange
951
-
Total
1,927
346
Interest expenses arising from liabilities not measured at fair value amounts to -819 TEUR for
2025 (2024: -224 TEUR).
29 | Page
Note 06 Income Tax
In thousands EUR
2025
2024
Current tax
Current tax on profits for the year
901
577
Adjustments for current tax of prior periods
231
45
Total
1,132
622
Reconciliation of effective tax rate
Tax at the Danish tax rate of 22% (2024: 22%)
9,819
9,814
Adjusted for tax under different legislation compared to
22%
(1,362)
22
Deferred tax assets on tax losses not recognised
(8,599)
(8,760)
Non tax deductible share-based payments expense
(363)
(1,709)
Adjustments for current tax of prior periods
(231)
(45)
Adjustments arising from consolidation eliminations
(914)
(27)
Other Non-taxable/non-deductible items
518
83
Total
(1,132)
(622)
30 | Page
Note 07 Deferred Tax
In thousands EUR
2025
2024
Deferred tax relates to:
Right-of-use assets
938
820
Lease liabilities
(973)
(773)
Tax losses carried forward
35
(47)
Total
-
-
The group has unrecognised tax assets in a number of jurisdictions primarily within
Denmark, the unrecognised tax assets are in the range of approximately EUR 57 million as of
31 December 2025 (EUR 49 million as of 31 December 2024) and has not been recognised
due to uncertainties of the utilisation within the next three years. There is no expiration date
on tax loss carried forward. A change in ownership of the group may result in restrictions on
the group’s ability to use tax losses in certain jurisdictions.
31 | Page
Note 08 Receivables
In thousands EUR
2025
2024
Trade receivables from contracts
4,758
2,973
Expected credit loss
(281)
(345)
Net trade receivables
4,477
2,628
Due to the short-term nature of the current receivables, their carrying amount is considered
to be the same as their fair value. Please refer to note 15 for a description of the expected
credit losses and risks regarding trade receivables .
2025
Receivables maturity in thousands EUR
Gross
amount
loss
allowance
Days past due:
Not overdue
2,544
-
0-3 days
749
-
4-30 days
707
32
31-90 days
676
167
More than 90 days
82
82
Total at 31 December
4,758
281
2024
Receivables maturity in thousands EUR
Gross
amount
loss
allowance
Days past due:
Not overdue
1,840
-
0-3 days
176
-
4-30 days
428
60
31-90 days
520
276
More than 90 days
9
9
Total at 31 December
2,973
345
In thousands EUR
2025
2024
Expected credit loss allowance
1st January
345
96
Addition
281
345
Utilization
(345)
(96)
Reversal
-
-
Write downs at 31 December
281
345
The last five years realised credit losses on trade receivables have been insignificant and the
loss rate is below 0.6% (2024: 0.1%) of the revenue in any of the respective years .
32 | Page
Note 09 Leases
In thousands EUR
2025
2024
Right of use assets - Costs:
At 1 January
9,587
8,249
Exchange rate adjustment
33
60
Additions
3,583
1,492
Disposals
(2,339)
(214)
At 31 December
10,865
9,587
Accumulated depreciation and impairment:
At 1 January
5,856
3,569
Exchange rate adjustment
7
29
Depreciation charges
3,079
2,465
Disposals
(2,339)
(207)
At 31 December
6,602
5,856
Net carrying amount at 31 December
4,263
3,731
Lease liabilities
Current lease liabilities
2,667
2,311
Non-current lease liabilities
1,755
1,644
Total
4,422
3,955
Amounts recognized in the income statement
Depreciation charges (included in depreciation,
amortisation and impairments)
3,079
2,465
Interests related to lease liabilities (included in finance
costs)
157
122
Total
3,236
2,067
In 2025, the Group paid TEUR 3,527 (2024: TEUR 3,568) related to leases . Right-of use
assets comprise rented offices. The right-of use assets are depreciated over 3-5 years.
33 | Page
Note 10 Non-current intangible assets
In thousands EUR
Completed
development
projects
Development
projects in
progress
Total
Cost:
-
At 1 January 2025
13,091
3,177
16,268
Currency adj.
(32)
-
(32)
Additions
-
8,617
8,617
Transfers
3,575
(3,575)
-
At 31 December 2025
16,634
8,219
24,853
Accumulated depreciation and
impairment:
At 1 January 2025
5,095
-
5,095
Currency adj.
(36)
-
(36)
Amortisation charges
4,947
-
4,947
Impairment
-
-
-
At 31 December 2025
10,005
-
10,005
Carrying amount 31 December 2025
6,628
8,219
14,847
The Group performs an annual impairment test for development projects in progress and
assesses completed development projects for indicators of impairment at each reporting date.
As of 31 December 2025, Management has performed an impairment assessment of the
carrying amount of capitalized development costs. The assessment was based on the Group’s
2026 budget, which was approved by the Board of Directors in December 2025. Key
assumptions in this assessment include continued topline growth and significant
improvements in operational efficiency and cash burn, aligning with the Group’s strategic
trajectory toward cash neutrality. Based on this assessment, management concluded that the
carrying values are supported by the anticipated business performance, and no indicators of
impairment were identified for the financial year 2025.
In thousands EUR
Completed
development
projects
Development
projects in
progress
Total
Cost:
1 January 2024
6,689
1,670
8,359
Currency adj.
(1)
-
(1)
Additions
-
7,910
7,910
Transfers
6,403
(6,403)
-
At 31 December 2024
13,091
3,177
16,268
Accumulated depreciation and
impairment:
At 1 January 2024
1,729
-
1,729
Currency adj.
-
-
-
Amortisation charge
3,366
-
3,366
Impairment
-
-
-
At 31 December 2024
5,095
-
5,095
Carrying amount 31 December 2024
7,996
3,177
11,173
34 | Page
Note 11 Property, plant and Equipment
2025
In thousands EUR
Leasehold
improvements
Total
Cost:
At 1 January 2025
1,021
1,021
Currency adj.
1
1
Additions
-
-
Disposals
(550)
(550)
At 31 December 2025
472
472
Accumulated depreciation and impairment:
At 1 January 2025
497
497
Currency adj.
(2)
(2)
Disposals
(288)
(288)
Depreciation charges
164
164
At 31 December 2025
371
371
Carrying amount 31 December 2025
101
101
2024
In thousands EUR
Leasehold
improvements
Total
Cost:
At 1 January 2024
730
730
Currency adj.
-
-
Additions
291
291
Disposals
-
-
At 31 December 2024
1,021
1,021
Accumulated depreciation and impairment:
At 1 January 2024
404
404
Currency adj.
-
-
Disposals
-
-
Depreciation charges
93
93
At 31 December 2024
497
497
Carrying amount 31 December 2024
524
524
35 | Page
Note 12 Non-current financial assets
In thousands EUR
2025
2024
Non-current financial assets
Office deposits
2,149
884
Other deposits
115
543
Total non-current financial assets
2,264
1,427
36 | Page
Note 13 Financial instruments
The Group holds the following financial instruments:
In thousands EUR
2025
2024
Financial assets measured at amortised cost
Deposits from customers
214,180
183,140
Credit receivables from customers
11,450
8,405
Cash and cash equivalents
105,634
148,440
Total assets measured at amortised cost
331,264
337,123
Financial assets measured at fair value through profit and
loss
-
-
Total assets measured at fair value through profit
and loss
-
-
Financial liabilities measured at amortised cost
Lease liabilities
4,422
3,955
Bank loan liabilities
9,807
6,379
Trade payables and other payables
6,871
5,312
Contract liabilities
21,967
15,719
Other liabilities
219,509
187,594
Total liabilities measured at amortised cost
262,576
218,959
Financial liabilities measured at fair value through profit
and loss
-
-
Total liabilities measured at fair value through
profit and loss
-
-
Financial assets:
Due to the short-term nature of financial assets measured at amortised cost, their carrying
amounts are considered to be the same as fair value.
Financial liabilities:
the Group's exposure to various risks associated with the financial instruments are disclosed
in note 15
37 | Page
Note 14 Financial Assets and liabilities
2025
In thousands EUR
Within 1
year
1-5
years
Total
contractual
cash flow
Carrying
amount
Non-derivative financial assets
Deposits from customers
214,180
-
214,180
214,180
Credit receivables from customers
11,450
-
11,450
11,450
Cash at bank and in hand
105,634
-
105,634
105,634
Total Financial assets
331,264
-
331,264
331,264
Non-derivative financial liabilities
Trade payables and other payables
6,871
-
6,871
6,871
Lease liabilities
2,667
1,755
4,026
4,422
Bank loan liabilities
9,807
-
9,807
9,807
Other liabilities
5,805
-
5,805
5,805
Customer funds
213,704
-
213,704
213,704
Total Financial liabilities
238,854
1,755
240,213
240,609
The amounts disclosed in the following table are the contractual undiscounted cash flows.
Balances due within 12 months equal their carrying balances as the impact of discounting is
not significant.
The group’s exposure to various risks associated with the financial instruments is discussed in
note 15.
2024
In thousands EUR
Within 1
year
1-5
years
Total
contractual
cash flow
Carrying
amount
Non-derivative financial assets
Deposits from customers
183,140
-
183,140
183,140
Credit receivables from customers
8,405
-
8,405
8,405
Cash at bank and in hand
148,440
-
148,440
148,440
Total Financial assets
339,985
-
339,985
339,985
Non-derivative financial liabilities
Trade payables and other payables
5,148
-
5,148
5,148
Lease liabilities
2,394
1,678
4,072
3,955
Bank loan liabilities
6,379
-
6,379
6,379
Other liabilities
4,792
-
4,792
4,792
Customer funds
182,802
-
182,802
182,802
Total Financial liabilities
201,515
1,678
203,193
203,076
Bank loans of TEUR 9,807 (2024: TEUR 6,379) consist of revolving credit facilities used
exclusively to finance the Group's credit product offerings. The facilities are short-term in
nature, with maturities typically under 12 months, and carry variable interest rates aligned
with market benchmarks. The loans are secured by a pledge over the underlying credit
receivables (Financial assets) arising from customer use of Pleo credit products. The Group is
subject to financial and regulatory covenants under these agreements, including maintaining
minimum capital requirements and liquidity ratios. As of 31 December 2025, the Group was
in full compliance with all debt covenants. There are no restrictions on the Group's ability to
utilize these facilities within the agreed limits to support growth in the credit portfolio.
38 | Page
Note 15 Financial risk management
Pleo’s principal financial liabilities and assets include trade payables, trade and other
receivables, borrowings under the credit facility, customer deposits, and cash and cash
equivalents. Trade payables, trade and other receivables, along with the portion of cash and
cash equivalents not classified as customer cash, are utilized to finance the Pleo’s operations.
Pleo is exposed to market risk, credit risk, and liquidity risk. The Board of Directors is
responsible for overseeing financial risks, while the executive management team manages
these risks. Currently, Pleo operates under an informal risk management framework, with a
more formal structure under development.
Pleo does not engage in speculative activities related to financial risks. Its financial
management approach focuses solely on mitigating and managing financial risks directly
associated with its operations and financing activities.
Market risk
Market risk refers to the risk that the fair value or future cash flows of a financial instrument
will fluctuate due to changes in market prices. For Pleo, Market risk primarily consists of two
types: Currency risk and Interest rate risk. Financial instruments impacted by market risk
include cash and cash equivalents, borrowings under the credit facility, future commercial
transactions and recognised financial assets.
Currency risk
Pleo is exposed to currency risk due to its international operations, involving transactions and
financial positions denominated in multiple currencies. Pleo is exposed to fluctuations in
Danske Kroner (“DKK”), Euro (“EUR”), Pound sterling (“GBP”), Swedish Krona (“SEK”) and
US dollar (“USD”). Foreign exchange risk arises from future commercial transactions and
recognised assets and liabilities denominated in a currency that is not the functional currency
of Pleo’s entities.
Pleo consider the overall currency risk exposure limited. The majority of Pleo’s activities take
place in the Danish entities, where the total volume of transactions in GBP, SEK and USD is
limited. The risk associated with EUR transactions is immaterial as the DKK is pegged to
EUR. The remaining entities primarily have transactions in the same currency as their
functional currency, the currency exposure are therefore considered immaterial.
As most transactions occur in the functional currency of each Pleo entity and only a limited
number of transactions occur in foreign currencies, the monitoring of the currency risk is
informal. As follows Pleo has not implemented any policy for currency exposure.
A 5% increase in the SEK/DKK exchange rate would have a positive impact on post-tax profit
and equity of TEUR 178 in 2025 (TEUR 204 in 2024), whereas a corresponding decrease
would result in a negative impact of TEUR 178 (TEUR 204 in 2024). For EUR/DKK, a 2%
increase would have a positive effect of TEUR 1348 in 2025 (TEUR 2245 in 2024), while a 2%
decrease would have a negative impact of the same magnitude. For GBP/DKK, a 5% increase
would have a positive effect of TEUR 1356 in 2025 (TEUR 504 in 2024), whereas a 5%
decrease would result in an equivalent negative effect.
Interest rate risk
Pleo is exposed to interest rate risk on cash deposits with banks, as the interest is based on a
floating rate. The floating rate is based upon the insert rate. Pleo monitors the development of
the floating rate on a continuous basis as the interests are an integral part of the operations .
Pleo uses HSBC revolving credit facility and can draw funds up to the limit, repay them, and
draw again during the facility term. Interest is charged only on amounts drawn, not the full
limit, and the rate is typically variable, so costs move with market rates.The cost of
borrowings un der the €20m credit facility is also s ubject to movements in the underlying
floating reference rates. Interest on drawings under the facility is calculated by reference to a
compounded risk-free rate (being SONIA for sterling drawings, €STR for euro drawings,
STIBOR for Swedish krona drawings and CIBOR for Danish krone drawings) plus an
applicable margin.
An increase in the floating rate by 1% would have a positive impact on post-tax profit and
equity of TEUR 296 (TEUR 1,266 in 2024) in respect of cash deposits, offset by an increase in
interest expense on any amounts drawn under the credit facility. A corresponding decrease of
1% would result in an equivalent but opposite impact.
In thousands EUR
Impact on post tax profit
Impact on equity
2025
2024
2025
2024
Currency Risk
SEK/DKK increase 5 %
178
204
178
204
SEK/DKK decrease 5 %
-178
-204
-178
-204
EUR/DKK increase 2 %
1,348
2,245
1,348
2,245
EUR/DKK decrease 2%
-1,348
-2,245
-1,348
-2,245
GBP/DKK increase 5 %
1356
504
1356
504
GBP/DKK decrease 5 %
-1356
-504
-1356
-504
Interest rate risk
Floating rate on Cash
Increase – 1 %
296
1,266
296
1,266
Floating rate on Cash
decrease – 1 %
-296
-1,266
-296
-1,266
39 | Page
Credit risk
Credit risk is the risk that a counterparty fails to fulfil its obligations under a financial
instrument or customer contract, resulting in a financial loss. Pleo's credit risk exposure is
divided into three categories, credit risk on financial institutions, credit risk on Pleo
customers, and credit risk on other counterparts.
The credit risk on financial institutions occurs from long-term deposits and cash balances.
Pleo monitors the exposure toward the financial institutions through their credit rating on an
ongoing basis. The credit rating of the financial institutions is at least "A". Cash is distributed
between Danske Bank JPM and Banking Circle, main accounts maintaining a balance below
40% of the total, in full compliance with Pleo's concentration policy. with two A-rated
institutions. Due to the high credit rating and a history of no loss with these entities, the
expected credit loss has not been recognised, as it is considered immaterial.
The credit risk on customers occurs from customers not fulfilling their financial obligations
under a customer contract. Pleo consider the credit risk on Pleo customers limited due to the
nature of operations. The Group’s credit risk is spread across a large number of small and
medium-sized businesses across various geographical regions. This high degree of
diversification significantly mitigates the risk of material loss from individual customer
defaults. A majority of receivables are initially secured by deposits made to the Pleo wallet, so
The maximum exposure to credit risk is reduced. The remaining exposures are related to
Customers signing up for the usage of the Platform where payments are due at time of
signing. Pleo consider receivables that are overdue with more than 90 days as defaulted.
Please refer to note 8 for the recognised expected credit loss on trade receivables.
The credit risk on other counterparts arising on long-term deposits and prepayments, which
are considered immaterial.
Liquidity risk
Liquidity risk is the risk that Pleo is not able to meet the contractual obligations related to
financial liabilities due to insufficient liquidity. Pleo’s financial liabilities primarily consist of
payables arising from lease contracts, operational expenses, and customer funds, which are
settled as they become due.
Pleo manages liquidity risk by ensuring it maintains sufficient cash reserves. This is
conducted through an ongoing monitoring of cash flow forecasts to ensure that both
short-term and long-term financial commitments can be met.
As Pleo’s business model involves handling customer funds and providing payment solutions,
specific safeguards are in place to ensure that customer funds are protected and maintained
separately from operational cash, mitigating the risk of a shortfall in customer payments.
The amounts disclosed in the Note 14 are the contractual undiscounted cash flows. Balances
due within 12 months equal their carrying balances as the impact of discounting is not
significant.
40 | Page
Note 16 Cash at bank and in hand
In thousands EUR
2025
2024
Cash at bank and in hand
Cash at bank and in hand
78,674
128,998
Partner deposits
25,138
16,580
Prepaid wallets
1,822
2,862
Total
105,634
148,440
During the current period, the Group reclassified certain balances between Other Assets
and Cash and Cash Equivalents to better reflect the liquidity profile of these items. To
ensure consistency and comparability, the opening balances for both the current year (2025)
and the prior year (2024) have been adjusted accordingly; these reclassifications are
presentation-based and have no impact on the previously reported total assets or net income.
Note 17 Cash flow specifications
In thousands EUR
2025
2024
Change in current liabilities, such as trade payables,
deferred income, etc
12,412
9,770
Change in receivables
(8,090)
(2,238)
Change in inventories
-
207
Change in working capital
4,322
7,739
In thousands EUR
2025
2024
Interest on customer funds and credit receivables
(138)
(281)
Other adjustments
(385)
434
Adjustment
(523)
153
Note 18 Customer funds
In thousands EUR
2025
2024
Deposit from customer funds
Customer funds
214,180
183,140
Total
214,180
183,140
These funds are held in accordance with the safeguarding requirements for Electronic Money
(E-money) institutions as set out by the Danish Financial Supervisory Authority (DFSA) and
the UK Financial Conduct Authority (FCA). Under these regulatory frameworks, customer
funds must be kept in specifically designated, segregated accounts at all times. This ensures
the funds are legally protected from claims by the Group’s general creditors and remain
available for immediate withdrawal by customers.
41 | Page
Note 19 Other liabilities
In thousands EUR
2025
2024
Other liabilities
Customer funds
213,704
182,802
Other liabilities
5,805
4,792
Total
219,509
187,594
Note 20 Contingent liabilities, commitments
and contingencies
The group companies are jointly and severally liable for tax on the jointly taxed incomes etc of
the Group. Moreover, the group companies are jointly and severally liable for Danish
withholding taxes by way of dividend tax, tax on royalty payments and tax on unearned
income. Any subsequent adjustments of corporation taxes and withholding taxes may
increase the Group’s liability. Pleo Technologies A/S has received a letter of support from its
parent company, Pleo Holding ApS, which will ensure sufficient liquidity for the Company to
continue the execution of the growth strategy. The letter of support is effective until the
ordinary Annual General Meeting for 2026 which is to take place in the period 1 January – 30
June 2027. The letter of support is capped at an additional EUR 85 million from the date of
approval, 24 March 2026.
Note 21 Fees to auditors appointed at the
Annual General Meeting
In thousands EUR
2025
2024
PwC
Audit fees
583
271
Other assurance engagements
-
-
Tax and VAT advice
177
119
Non-audit services
115
85
Total
875
475
Fees for services other than the statutory audit of the financial statements provided by
PricewaterhouseCoopers Statsautoriseret Revisionspartnerselskab, Denmark amounted to
TEUR 269 (2024: TEUR 132) including other assurance opinions and agreed-upon
procedures, as well as tax and accounting advice.
42 | Page
Note 22 Equity
Share capital
2025
2024
Number of
shares
Nominal
value
(in DKK)
Number of
shares
Nominal
value
(in DKK)
Common shares
7,878,862
78,789
7,869,912
78,699
B-Preference shares
8,433,088
84,331
8,433,088
84,331
C Preference shares
1,722,653
17,227
1,722,653
17,227
C2 Preference shares
867,706
8,677
867,706
8,677
Total
18,902,309
189,024
18,893,359
188,934
Pleo’s share capital is structured into four classes: B-Preference Shares, C-Preference Shares,
and C2-Preference Shares (collectively referred to as "Preference Shares"), and Common
Shares. Each share class carries specific rights and obligations, as defined in the Group’s
Articles of Association.
Preference Shares
Holders of B-Preference Shares, C-Preference Shares, and C2-Preference Shares are entitled
to a preferential allocation of Proceeds before Common Shareholders. Proceeds, which
include distributions such as dividends, share buybacks, or payments upon liquidation, which
are allocated to Preference Shareholders equally among the classes of Preference Shares, up
to an amount per Preference Share to the greater of the following:
●
The Initial Investment Amount, including any premium, that was paid for the
subscription of the Preference Shares; or
●
The amount that would have been received per Preference Share if it had been
converted to a Common Share immediately prior to the distribution of Proceeds.
The Group conducts an annual review to ensure the distribution terms remain compliant with
relevant agreements and appropriately reflect the rights of all shareholders.
Common Shares
Common Shares represent the residual ownership interest in the Group and are entitled to
distributions only after all preferential claims from B-, C-, and C2-Preference Shares have
been satisfied.
Dividends
No dividends were paid out for the year. No dividends were proposed for the year.
Note 23 Capital Management
The Group’s objectives when managing capital are to:
●
safeguard their ability to continue as a going concern, so that they can continue to
provide returns for shareholders and benefits for other stakeholders, and
● maintain an optimal capital structure to reduce the cost of capital.
In order to maintain or adjust the capital structure, the Group may adjust the amount of
dividends paid to shareholders, return capital to shareholders, issue new shares or sell assets
to reduce debt.
Consistent with others in the industry, the Group monitors capital on the basis of the
following gearing ratio:
In thousands EUR
2025
2024
Lease liabilities
4,422
3,955
Bank loan liabilities
9,807
6,379
Trade payables
6,871
5,148
Current income tax liabilities
664
716
Other payables
5,805
4,792
Cash
(105,634)
(148,440)
Capital managed by the Group
(78,065)
(124,588)
Equity
105,139
148,686
Total capital and net debt
27,074
24,098
The gearing ratio is calculated as equity divided by net debt and equity.
The subsidiary company Pleo Financial Services A/S is registered with the Danish Financial
Supervisory Authority (DFSA). Management has determined that its regulatory capital
requirement amounts to MEUR 2, against which the company’s eligible regulatory capital
totals MEUR 55. Furthermore, on 16 May 2025, Pleo Financial Services UK Ltd (FRN
1020730) was officially listed as an Authorised Electronic Money Institution on the Financial
Conduct Authority (FCA) register. This UK subsidiary maintains a regulatory capital
requirement of EUR 0.8 million and total equity of EUR 1.8 million. These figures represent
the capital base available for each entity before the recognition of the financial results for the
43 | Page
reporting period, ensuring the Group maintains a robust capital buffer across its regulated
operations.
Pleo monitor on a monthly basis whether the minimum capital for is met, if needed Pleo
Holding may provide a group contribution
Note 24 Subsequent events
After the end of the financial year, no events have occurred which could significantly affect the
Group's financial position
Note 25 Related party transactions
The Group is not controlled by any single shareholder or entity with a sufficient ownership
interest to qualify as either an immediate parent company or an ultimate parent company
under applicable accounting standards. Outstanding balances with other related parties and
key management personnel hold no special terms or conditions. For Key management please
refer to note 03.
Note 26 Investment in subsidiaries
Name of entity
Country
Ownership interest
2025
2024
Pleo Financial Services A/S
Denmark
100%
100%
Pleo Technologies A/S
Denmark
100%
100%
Pleo Capital UK Ltd
United Kingdom
100%
100%
Pleo Capital DK ApS
Denmark
100%
100%
Pleo Technologies GmbH
Germany
100%
100%
Pleo Technologies SL
Spain
100%
100%
Pleo Technologies Inc.
Canada
100%
100%
Pleo Technologies Portugal
Portugal
100%
100%
Pleo Technologies SAS
France
100%
100%
Pleo Technologies Ltd
England
100%
100%
Pleo Technologies BV
Netherlands
100%
100%
Pleo North America Inc
USA
100%
100%
Pleo Technologies AB
Sweden
100%
100%
Pleo Financial Services UK Ltd
United Kingdom
100%
100%
Pleo Technologies India Private Limited
India
100%
100%
44 | Page
Standalone Financial Statements of the Parent
Income Statement for 1 January - 31 December
In thousands DKK
Notes
2025
2024
Other external expenses
(5,032)
(1,870)
Gross profit/loss
(5,032)
(1,870)
Operating profit before financial
income and expenses (EBIT)
(5,032)
(1,870)
Financial income
1
62,085
202,996
Financial expenses
2
(21,175)
(2,318)
Profit/loss before tax
35,878
198,808
Tax on profit / loss for the year
3
(7,893)
(9,445)
Net profit/loss for the year
27,985
189,363
Other key disclosures:
Distribution of profit 4
Balance Sheet as at 31 December
Assets
In thousands DKK
Notes
2025
2024
Investments in subsidiaries
5
2,110,247
2,110,247
Fixed asset investments
2,110,247
2,110,247
Receivables from group enterprises
681,978
185,996
Prepayments
6
338
-
Receivables
682,317
185,996
Cash at bank and in hand
412,939
706,400
Currents assets
1,095,256
892,396
Assets
3,205,502
3,002,643
Liabilities and equity
In thousands DKK
Notes
2025
2024
Share capital
189
189
Retained earnings
2,977,409
2,949,425
Equity
2,977,598
2,949,614
Trade payables
1,476
291
Payables to group enterprises
218,512
43,293
Corporation tax
7,916
9,445
Short-term debt
227,904
53,029
Debt
227,904
53,029
Liabilities and equity
3,205,502
3,002,643
45 | Page
Statement of Changes in Equity
In thousands DKK
Share capital
Retained earnings
Total
Equity at 1 January
189
2,949,425
2,949,614
Net profit/loss for the year
-
27,985
27,985
Equity at 31 December
189
2,977,410
2,977,599
Other key disclosures:
Fee to auditors appointed at the general meeting 7
Contingent assets, liabilities and other financial obligations 8
Related Parties 9
Accounting Policies 10
Notes to the Financial Statements
1. Financial income
In thousands DKK
2025
2024
Interest received from group enterprises
42,196
46,996
Other financial income
13,795
156,000
Exchange gains
6,094
-
Total
62,085
202,996
2. Financial expenses
In thousands DKK
2025
2024
Interest paid to group enterprises
21,175
-
Exchange loss
-
2,318
Total
21,175
2,318
3. Tax on profit/loss for the year
In thousands DKK
2025
2024
Current tax for the year
7,893
9,445
Total
7,893
9,445
4. Distribution of profits
No dividends were paid out for the year. No dividends were proposed for the year.
46 | Page
5. Investments in subsidiaries
In thousands DKK
2025
2024
Cost at 1 January
2,110,247
2,094,959
Additions for the year
-
15,288
Carrying amount at 31 December
2,110,247
2,110,247
Investments in subsidiaries are specified as follows:
Name
Place of
registered office
Votes and
ownership
Equity
Net
profit/(loss) for
the year
Pleo Financial Services A/S
Denmark
100%
626,107
198,753
Pleo Technologies A/S
Denmark
100%
(760,211)
(537,956)
Pleo Capital UK Ltd.
United Kingdom
100%
(23,044)
(14,885)
Pleo Capital DK ApS
Denmark
100%
40
1
Pleo Financial Services UK Ltd.
United Kingdom
100%
11,196
1,167
6. Prepayments
Prepayments consist of prepaid expenses concerning rent, insurance premiums
and subscriptions.
7. Fee to auditors appointed at the general meeting
In thousands DKK
2025
2024
PricewaterhouseCoopers
Audit fee
2,089
800
Tax advisory services
519
624
Total
2,608
1,424
8. Contingent assets, liabilities and other financial obligations
The group companies are jointly and severally liable for tax on the jointly taxed incomes etc of
the Group. Moreover, the group companies are jointly and severally liable for Danish
withholding taxes by way of dividend tax, tax on royalty payments and tax on unearned
income. Any subsequent adjustments of corporation taxes and withholding taxes may
increase the Group’s liability.
9. Related parties
The Company discloses all transactions with related parties during the year. In 2025, the
following transactions have occurred:
In thousands DKK
2025
Interest received from other group companies
42,196
Interest paid to other group companies
21,175
Receivables from other group companies
681,978
Payables to other group companies
218,512
47 | Page
10. Accounting Policies
The Annual Report of Pleo Holding ApS for 2025 has been prepared in accordance
with the provisions of the Danish Financial Statements Act applying to large
enterprises of reporting class C.
The accounting policies applied remain unchanged from last year.
The Parent Company Financial Statements are presented in TDKK.
Recognition and measurement
Revenues are recognised in the income statement as earned. Furthermore, value
adjustments of financial assets and liabilities measured at fair value or amortised
cost are recognised. Moreover, all expenses incurred to achieve the earnings for the
year are recognised in the income statement, including depreciation, amortisation,
impairment losses and provisions as well as reversals due to changed accounting
estimates of amounts that have previously been recognised in the income
statement.
Assets are recognised in the balance sheet when it is probable that future economic
benefits attributable to the asset will flow to the Company, and the value of the
asset can be measured reliably.
Liabilities are recognised in the balance sheet when it is probable that future
economic benefits will flow out of the Company, and the value of the liability can be
measured reliably.
Assets and liabilities are initially measured at cost. Subsequently, assets and
liabilities are measured as described for each item below.
Recognition and measurement take into account predictable losses and risks
occurring before the presentation of the Annual Report which confirm or invalidate
affairs and conditions existing at the balance sheet date.
Income Statement
Other external expenses
Other external expenses comprise external workforce, administration costs and
expenses for premises, sales and distribution as well as office expenses, etc.
Financial income and expenses
Financial income and expenses are recognised in the income statement at the
amounts relating to the financial year.
Tax on profit/loss for the year
Tax for the year consists of current tax for the year and changes in deferred tax for
the year. The tax attributable to the profit for the year is recognised in the income
statement, whereas the tax attributable to equity transactions is recognised directly
in equity.
The Company is jointly taxed with wholly owned Danish subsidiaries. The tax effect
of the joint taxation is allocated to enterprises in proportion to their taxable
incomes.
Balance Sheet
Investments in subsidiaries
Investments in subsidiaries are measured at cost. Where cost exceeds the
recoverable amount, write down is made to this lower value.
Other fixed asset investments
Other fixed asset investments consist of deposits.
Receivables
Receivables are measured in the balance sheet at the lower of amortised cost and
net realisable value, which corresponds to nominal value less provisions for bad
debts.
Prepayments
Prepayments comprise prepaid expenses concerning rent, insurance premiums and
subscriptions.
Deferred tax assets and liabilities
Deferred income tax is measured using the balance sheet liability method in respect
of temporary differences arising between the tax bases of assets and liabilities and
their carrying amounts for financial reporting purposes on the basis of the intended
use of the asset and settlement of the liability, respectively.
48 | Page
Deferred tax assets, including the tax base of tax loss carry forwards, are measured
at the value at which the asset is expected to be realised, either by elimination in
tax on future earnings or by set off against deferred tax liabilities within the same
legal tax entity.
Deferred tax is measured on the basis of the tax rules and tax rates that will be
effective under the legislation at the balance sheet date when the deferred tax is
expected to crystallise as current tax. Any changes in deferred tax due to changes to
tax rates are recognised in the income statement or in equity if the deferred tax
relates to items recognised in equity.
Current tax receivables and liabilities
Current tax liabilities and receivables are recognised in the balance sheet as the
expected taxable income for the year adjusted for tax on taxable incomes for prior
years and tax paid on account. Extra payments and repayment under the on
account taxation scheme are recognised in the income statement in financial
income and expenses.
Financial debts
Loans are recognised initially at the proceeds received net of transaction expenses
incurred. Subsequently, the loans are measured at amortised cost; the difference
between the proceeds and the nominal value is recognised as an interest expense in
the income statement over the loan period.
Other debts are measured at amortised cost, substantially corresponding to
nominal value.
Cash and cash equivalents
Cash and cash equivalents comprise “Cash at bank and in hand” excluding
“customer funds”. The cash flow statement cannot be immediately derived from the
published financial records.
Financial debts
Debts are measured at amortised cost, substantially corresponding to nominal
value.
49 | Page