Press Release

Mogo Announces Preliminary Second Quarter 2020 Financial Results

Q2 2020 Adjusted EBITDA1 expected to be in the range of $4.5 to $5.0 million, up from $0.5 million in Q1 2020

Mogo now expects to generate net cash from operating & investing activities in Q2 2020 of $6.5 to $7.0 million, up from previous guidance of $5.0 to $6.0 million

Complete Q2 2020 Financial Results to be released on August 11, 2020

Mogo reports in Canadian dollars and in accordance with IFRS

Vancouver, British Columbia, July 15, 2020Mogo Inc. (TSX:MOGO) (NASDAQ:MOGO) (“Mogo” or the “Company”), one of Canada’s leading financial technology companies, today provided a preliminary update on its financial results for the second quarter ended June 30, 2020.

Q2 2020 Financial Highlights

Mogo is expecting to report:

  • Revenue of $10.3 million to $10.5 million;
  • Adjusted EBITDA of $4.5 million to $5.0 million; and
  • Positive operating cash flow net of investing activities of $6.5 million to $7.0 million

Management Commentary

“Given the continued uncertainty caused by COVID-19, we believe it is important to provide a preview of our Q2 results, which demonstrate the resiliency of our financial model, the impact of our actions to create a leaner, more efficient cost structure and the levers in our business we can manage to significantly increase operating cash flow,” said Greg Feller, President and CFO. “These steps helped drive a material and better-than-expected sequential improvement in net cash generated from operating and investing activities, as well as our highest-ever Adjusted EBITDA. Our loan portfolio continues to demonstrate resiliency in these challenging economic times. The record-low default rates we experienced in April and May, continued in June, giving us now several months of encouraging data on this diverse portfolio.”

“While we continue to navigate the current economic climate, we are moving forward with our strategies to enhance the product offering and value proposition to Mogo members, as well as the monetization of our more than 1 million members,” added David Feller, Mogo’s Founder and CEO. “In the very near term, we are broadly rolling out MogoSpend, our digital account that comes with a Mogo Visa* Platinum Prepaid Card, which includes a unique carbon offset feature that can help Canadians save money and the planet. Given everything that’s going on in the world, we believe consumers are looking for simple ways to not only manage their financial health but to become a more sustainable consumer. In addition, we continue to make progress on new referral partnerships initiatives which we discussed during our Q1 results.”

Q2 2020 Full Financial Results & Conference Call

Mogo will report its full second quarter 2020 results and provide additional updates on August 11, 2020. The Company will host a conference call at 5:00 p.m. EDT. The call will be hosted by David Feller, Founder and CEO, and Greg Feller, President and CFO. To participate in the call, dial (833) 968-2206 or (778) 560-2782 (International). The webcast can be accessed at Listeners should access the webcast or call 10-15 minutes before the start time to ensure they are connected.

1 Adjusted EBITDA is a non-IFRS financial measure that we calculate as net loss and comprehensive loss excluding depreciation and amortization, stock based compensation, credit facility interest expense, debenture and other financing expense, revaluation (gains) and losses, net, and other non-operating expenses.

About Mogo

Mogo — a financial technology company — offers a finance app that empowers consumers with simple solutions to help them get in control of their financial wellness. Financial wellness continues to be the #1 source of stress across all demographics and highest among millennials. At Mogo, users can sign up for a free account in only three minutes and begin to learn the 4 habits of financial health and get convenient access to products that can help them achieve their financial goals. The Mogo platform has been purpose-built to deliver a best-in-class digital experience, with best-in-class products all through one account. With more than one million members and a marketing partnership with Canada's largest news media company, Mogo continues to execute on its vision of becoming the go-to financial app for the next generation of Canadians. To learn more, please visit or download the mobile app (iOS or Android).

Note Regarding Preliminary Results

The results for the second quarter of 2020 are preliminary and have been prepared by management and remain subject to final review by the Company’s Audit Committee and approval by the Company’s Board of Directors. The preliminary results for the second quarter of 2020 are subject to the finalization and closing of the Company’s accounting books and records for the period, and should not be viewed as a substitute for full quarterly financial statements prepared in accordance with accounting principles generally accepted under International Financial Reporting Standards. The Company’s auditor has not audited the preliminary results, nor have they expressed any opinion or any other form of assurance on the preliminary results. The Company will release its financial statements and management’s discussion and analysis for the second quarter of 2020 as approved by its Audit Committee and Board of Directors, on August 11, 2020 after the market closes.

Non-IFRS Financial Measures

This press release makes reference to certain non IFRS financial measures. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. These measures are provided as additional information to complement the IFRS financial measures contained herein by providing further metrics to understand the Company’s results of operations from management’s perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS.

We use non IFRS financial measures, including core revenue (total revenue excluding revenue from bitcoin mining and revenue related to Liquid loans), adjusted EBITDA, adjusted net income (loss) and adjusted cash net income (loss), to provide investors with supplemental measures of our operating performance and thus highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS financial measures. Our management also uses non IFRS financial measures in order to facilitate operating performance comparisons from period to period, prepare annual operating budgets and assess our ability to meet our capital expenditure and working capital requirements. Please see “Non-IFRS

Financial Measures” in our Management’s Discussion and Analysis for the Period Ended March 31, 2020 for a reconciliation of these non-IFRS financial measures to the nearest IFRS measures which is available at and at

Forward-Looking Statements

This news release may contain "forward-looking statements" within the meaning of applicable securities legislation, including statements regarding Mogo’s expected performance in the second quarter of 2020 including revenue, Adjusted EBITDA and operating cash flow and its expectations regarding member growth, engagement and monetization. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at the time of preparation, are inherently subject to significant business, economic and competitive uncertainties and contingencies, and may prove to be incorrect.

Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual financial results, performance or achievements to be materially different from the estimated future results, performance or achievements expressed or implied by those forward-looking statements and the forward-looking statements are not guarantees of future performance. Mogo's growth, its ability to expand into new products and markets and its expectations for its financial performance for 2020 are subject to a number of conditions, many of which are outside of Mogo's control. For a description of the risks associated with Mogo's business please refer to the “Risk Factors” section of Mogo’s current annual information form, which is available at and

Except as required by law, Mogo disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, events or otherwise

For further information:

Craig Armitage
Investor Relations
(416) 347-8954