Webrock Ventures AB (“Webrock” or the “Company”) is pleased to announce that its portfolio company, FinanZero, Brazil’s leading credit marketplace, has achieved profitability for the first time in September 2024, marking a significant milestone in the company’s operational journey. The achievement comes two months ahead of its original target of November 2024, underscoring FinanZero’s strong performance and efficiency gains.
During the third quarter of 2024, FinanZero delivered one of its best quarters yet, achieving significant milestones in both growth and operational efficiency. Revenue rose 23 percent quarter-over-quarter while simultaneously reducing its quarterly burn rate by 68 percent. Notably, FinanZero became profitable in September, two months ahead of its November 2024 target, despite implementing a strategic 14 percent reduction in media investment and further optimizing fixed costs.
“This milestone underscores FinanZero’s breakthrough to profitability and rapid growth trajectory. FinanZero’s achievements highlight the impact of our venture-building model, which combines Nordic technology and business expertise to drive operational excellence and scale companies in Brazil. The company’s impressive momentum demonstrates its potential for sustained growth and value creation as it strengthens its leading position in Brazil’s digital finance sector”, says Joakim Pops, CEO and Co-Founder of Webrock Ventures
Key performance indicators reflected robust improvement during Q3 2024, with loan conversions increasing by 26 percent quarter-over-quarter to a total of 125,271. Media ROI reached a record +152 percent, representing a substantial 97 percent quarter-over-quarter increase. Additionally, site traffic grew by 6.3% quarter-over-quarter, leads increased by 7.2 percent quarter-over-quarter, and the Cost Per Lead (CPL) decreased by 20 percent quarter-over-quarter.
These achievements were driven by enhanced bank integrations, 18 months of platform infrastructure improvements, a dynamic risk approach, and increased conversions from key bank partners. The company’s customer base expanded to 15,6 million individuals, with a total of 51.2 million loan applications processed.
FinanZero’s fully digitized conversion process now supports higher volumes with minimal resources, improving scalability even as the average loan size shifted toward smaller amounts. Operational optimizations have maximized returns from the growing customer base.
Looking ahead, FinanZero is well-positioned for efficient scaling as it focuses on accelerating growth while maintaining cash flow positivity. The company plans to leverage its USD 4 million Media-for-Equity partnership to drive top-of-funnel investment, fully capitalizing on its optimized conversion processes and extensive customer base.
“I’m very pleased with the new milestone we’ve achieved. Our next focus will be on sustaining profitability over time and driving profitable growth in the coming year. We’re targeting a 50% increase in revenue next year as we build on this strong foundation and use our Media-for Equity investment”, says Olle Widén, CEO and Co-Founder, FinanZero.
Webrock Ventures ownership in FinanZero amounts to 18.5 percent of the shares and votes.