CEO Arnaud Denis says 2023 was a year of ‘consolidation and delivery’ for MeDirect

Arnaud Denis, CEO at MeDirect Group (MDB Group), described 2023 as a year of “consolidation and delivery,” as the group reported growth in profitability and investment.

He was commenting following the publication of the group’s Annual Report and Financial Statements for 2023, released on Wednesday. In the report, the group shared that it made a pre-tax profit of €14.3 million for the financial year ended 31st December 2023, 56.1 per cent higher than in the previous year (€9.2 million). The increase was largely due to a boost in net interest income for the year (2023: €82.3 million; 2022: €57.7 million), driven by a rise in loans and advances to financial institutions, as well as an increase in interest on loans and advances to customers.

Personnel expenses remained relatively stable at €24.3 million, while depreciation and amortisation charges decreased to €5.6 million. On the other hand, other administrative expenses surged upwards by 16.8 per cent to €43.4 million, largely a result of an increase in legal, professional and marketing expenses (2023: €17.8 million; 2022: €12.9 million).

In the report, the group stated that the results were achieved in a year in which it was focused on “building sustainable growth, supported by cutting-edge technology and model scalability.”

In 2023, MDB Group’s balance sheet grew by seven per cent to €5 billion, while its total mortgage portfolio increased by 22 per cent during the year. MDG Group’s Directors did not recommend the payment of a final dividend after considering the group’s financial performance.

Mr Denis remarked that 2023 was a year during which the group “continued to deliver at a rapid pace” and consolidate its platform.

He said that over the past 12 months, MDB Group “steadily scaled” its businesses both on the wealth and lending side.

“We now have the ambition as Malta’s first digital bank to become our customers’ primary bank,” he added.

“While great technology and client centricity remain at our core, our sustainable growth strategy relies on investing selectively, cost control, and effective risk management to improve the bank’s profitability in what remain uncertain global macroeconomic conditions,” Mr Denis stated.

He affirmed that financially, the group “continued to enhance” its structural profitability, and MDB Group seeks to continue growing by selective investment and cost-control measures.

“This is our DNA, this is the way we want to grow as a pan-European bank present in Belgium, the Netherlands, and Malta. We’re looking forward to 2024,” he concluded.

Social image: MDB Group headquarters in Sliema / MDB Group