Donkey Republic: Annual report 2022

Contains inside information
Company announcement No. 04 - 2023

Donkey Republic realises 81% revenue growth in 2022

Financial report for the period 1 January 2022 - 31 December 2022

In 2022, Donkey Republic realised EUR 9.1M in revenue and continued its expansion and launches across Europe, driven by commercial execution and growing bike fleet to meet market demands. 2022 has been a year of transition, with change of leadership and management, necessary to strengthen the organisation and drive future growth. 

Key Performance Indicators 2022

Financing for expansion

Donkey Republic raised EUR 0.9M in debt capital through Oneplanetcrowd and secured EUR 5.0M in debt for further fleet financing through Nefco, which complies with the eligibility criteria of the EU Taxonomy for sustainable activities, to finance their fleet expansion in 2022.

Performance

In 2022, Donkey Republic achieved EUR 9.1M in revenue, corresponding to an increase of 81% compared to 2021 while improving the contribution margin by 63%. The increase in contribution margin was achieved on a 3.2% larger active fleet during the year compared to 2021, thus an improvement of both revenue and margin per bike. Revenue per bike increased 73% in 2022 compared to 2021. Furthermore, the number of bikes at the end of 2022 amounted to 18.7K bikes

Subsidized MaaS - commercial agreement with cities

Donkey Republic had executed or prepared three successful launches in three countries. 

• Antwerp, Belgium - Annual recurring revenue of EUR 2-3M over 10 years. (in 2022, EUR 1.2M) and total contract value of EUR 21M.
• KielRegion, Germany - Annual recurring revenue of EUR 0.8M over 5 years (was launched 01.01.2023) and total contract value of EUR 4.0M.
• Turku, Finland - Annual reccuring revenue of EUR 0.6M over 4 years (with possibility for 4 years extension). (in 2022, EUR 0.3M) and total contract value of EUR 2.4M.

Guidance 2023

The revenue guidance for 2023 of 13M to 15M EUR is based on three main drivers.

1. Rider revenue stays on a similar level as in 2022 on a per bike level

2. Increased fleet and higher share of ebikes

3. Full ramp up of subsidized operations

Besides the increase in revenue the improvement of the EBITDA to achieve the guided EUR 1.2M to EUR 1.4M is coming from a higher contribution margin in 2023 compared to 2022. The reason behind it is that a lot of investment in preparing the organization for the larger fleet was already taking effect in 2022.
 

The EBIT guidance is EUR -2.0 to -1.8M for 2023.

Material uncertainty related to going concern

For the execution of some parts of the growth business plan further funding needs to be secured. This refers to the investment plan in regards to fleet growth, development of new products and growth of the sales pipeline for 2024 and beyond.

The total financing need in 2023 amounts to EUR 3M to 4M, which the company aims to secure through:

• existing loan facility that is connected to a further extension of the company’s Antwerp operation
• actively working on a private placement at market price to be completed within the first half of the year
• advanced negotiations with a provider of asset-backed financing, with which an indicative term sheet has been signed.                 

The Financial Statements are prepared on the assumptions, that the necessary funding will be obtained through one or more of the current ongoing dialogues, and therefore prepared on a going concern basis. However, material uncertainty exists to the group's continued operations.

The board of directors will at the annual general meeting propose that the board is granted adequate authorisations to carry out capital increases.

Sustainability report 2022

In addition to the 2022 annual report, Donkey Republic has today published its first ever Sustainability report that accounts for the company’s alignment with the EU taxonomy, and covers the three sustainability areas: Environment, social and governance. For more details, please see the Sustainability report attached.

Invitation to Annual Report 2022 WEBINAR Presentation

JOIN US TODAY for our live webinar with our CEO & CFO

📅 Date: March 31st

⏰ Time: 2:00 PM - 2:30 PM

💻 Simply use the link to join us online:
https://teams.microsoft.com/l/meetup-join/19%3ameeting_ODUzNzMyNGQtYTZiYy00OGUyLThhOTMtZTJhMmU5N2U4NzM4%40thread.v2/0?context=%7B%22Tid%22%3A%22f9ddfd3d-2b21-4345-b1ad-a71b0439c13f%22%2C%22Oid%22%3A%227c255be5-614d-42d3-9585-75af8c43e0fa%22%2C%22IsBroadcastMeeting%22%3Atrue%2C%22role%22%3A%22a%22%7D&btype=a&role=a

CONTACT INFORMATION ☎
DonkeyRepublic Holding A/S
Skelbækgade 4, trappe B, 4. sal.
1717 København V
www.donkey.bike
Mail: investor@donkeyrepublic.com 

Subscribe to company announcement at https://invest.donkey.bike/donkey-republic-company-news/ 
Investor website: www.invest.donkey.bike  

Financial and Certified Adviser:
Clearwater International
Andreas Lauth Lauridsen
Dampfærgevej 8, 1. floor
DK-2100 Copenhagen
certified.adviser@cwicf.com
www.clearwaterinternational.com/dk

About Donkey Republic

Founded in 2014, Donkey Republic is a Danish purpose driven impact company active in the micro mobility industry. Donkey Republic provides a flexible, affordable and more sustainable way of transportation to the citizens by partnering with the cities. 

Donkey Republic is a data driven technology company facilitating bike sharing, and we are able to provide cities and citizens a reliable bike sharing service. Sustainably at its core integrates with the city’s public transportation system, by pursuing innovation Donkey Republic develops end-to-end products and services that solve city and riders problems. Riders are able to enjoy a more convenient and high quality ride, with our bike and ebike fleet, designed for durability and optimal maintenance through our servicing software platform. This collaborative dedicated software solution together with our bikes, seeks to improve people's health & well-being, the environment, reducing traffic congestion across cities as well as public space optimisation.

Donkey Republic is a publicly traded company listed on the Nasdaq First North Growth Market. The company was listed in 2021 to onboard investors and support its growth and expansion into the European Market, and to continue securing its foothold and developing its market position in the European Micro mobility space. With thousands of Donkey bikes successfully implemented, Donkey Republic aims to grow its business and fulfill its vision of making urban city life quality better through responsible bike sharing.