LM PAY S.A., a fast-growing fintech provider of embedded finance solutions for healthcare and insurance sectors, has reported solid preliminary financial results for the fiscal year 2025, along with positive business momentum in the first quarter of 2026. The company achieved a 48.5% year-over-year increase in total revenue, reaching PLN 37.8 million (approximately EUR 8.9 million), compared to the revised PLN 25.46 million in 2024 (approximately EUR 6.0 million).
Operating performance demonstrated exceptional efficiency, with Earnings Before Interest and Tax (EBIT) increasing by over half, from PLN 7.0 million (approximately EUR 1.6 million) to a strong PLN 10.8 million (approximately EUR 2.6 million). The company's commercial success was driven by three key pillars: the successful expansion of its partner network, escalating consumer demand in the beauty and healthcare sectors, and growing performance within its specialized vehicle insurance premium financing segment.
Customer loyalty continued to strengthen, with the proportion of returning clients rising slightly to 32%, and the total volume of services processed increased by 12% year-over-year, reaching a combined base of 43,000 individuals. However, the reported 2025 FY net result was a PLN -1.9 million (approximately EUR -0.4 million) loss, attributed to deferred tax adjustments, a non-operational, timing-related accounting item. Critically, LM PAY achieved a gross profit of PLN 1.2 million (approximately EUR 0.6 million), demonstrating solid core business strength.
The primary driver of the overall increase in recorded revenue was the expansion of the customer base, new partnerships, and rising demand for healthcare, beauty, and insurance services. In 2025, the accounting policy was updated. Under the revised policy, the company presents early loan repayments and customer withdrawals from loan agreements as a cost. Previously, these items were presented as a reduction in revenue. Early repayments totaled PLN 2.71 million in 2024 and PLN 5.97 million in 2025. This change in policy is presentation-only and does not affect operating profit. One-off costs related to the change of refinancing partner had a material impact on results in 2025.
Sales growth continued in the first quarter of 2026, with revenue of PLN 7.5 million (approximately EUR 1.7 million), an increase of 3.8% compared to the same quarter of the previous year. EBIT fell by 24.6% to PLN 1.6 million (approximately EUR 0.39 million) due to development costs related to product offering expansion and new sales partnerships in the insurance sector. Customer acquisition rose by 6.4% to 12.8 thousand, and the returning customers share remained high at 34%.
Regarding international expansion, LM PAY's entry into Romania is suspended in the current fiscal year, as the National Bank of Romania (NBR) refused to approve the registration of the Romanian branch in the General Register, mandated for consumer finance operations. This denial was primarily predicated on the inability to furnish requisite detailed documentation concerning minority shareholders. Given the unique characteristics of the company's share registry, which is subject to volatility through exchange trading transactions, LM PAY does not possess the legal standing to acquire, for every minority shareholder, copies of their identity documents, criminal records, or equivalent credentials issued by the relevant local authorities. Nevertheless, all other compliance and transparency mandates set forth by NBR were satisfied.
The company's management will present the current business figures and the 2026 outlook on July 7 at 2 p.m. CEST during an earnings call organized by MWB. Interested investors and members of the press can register at https://research-hub.de/events/registration/2026-07-07-14-00/Y00-GR. With a robust plan in place and a strong focus on strategic partnerships and market expansion in Poland, LM PAY will focus on achieving its ambitious goals for the current year.
