HeavyFinance recently shared its latest platform performance review.
HeavyFinance reveals in its comprehensive update that June proved to be “a dynamic month for their investor community, with €1.16M allocated across 36 agricultural projects on the HeavyFinance platform.”
By the close of June 2024, the total loan issuance since their company’s inception has reportedly reached €56.90M.
To date, the principal of €25.03M has already “been repaid to investors with €5.86M in interest and 1.04M in delayed interest.”
During June their investors have “received €641K in repayments – of which €456K principal, €149K in interest, and €37K in delay interest. €790K of repayments are scheduled for July 2024.”
Based on the repayment schedule, HeavyFinance pointed out that 73.3% of loans “are being paid on time or have already been repaid.”
Meanwhile, loans with a principal overdue by “more than 90 days amount to €9.76M representing 17.1% of the total issued amount.”
HeavyFinance also shared date which “demonstrates the farmers’ repayment habits in a more accurate manner by depicting loans with factual repayment delinquencies.”
As of now, 79.3% of the payments “have either been made within the last 30 days or have already been fully settled.”
The data also demonstrates the “loan originations, principal repayments, and interest payments for each quarter according to the repayment schedules.”
For example, during Q1 of 2021, €1.16M of loans “were funded, of which €967K has already been repaid along with €195K of interest. 0K EUR is being paid on time, 50K EUR is overdue for less than 90 days and 142K EUR is overdue for over 90 days.”
In June, 17 loans were fully “repaid to the HeavyFinance investors, which generated an average factual return rate of 13.80%.”
Notably, the factual return rate ranged “from 17.27% to 10.05%. The total issuance for the loans amounted to €373K. Investors received €56K in interest and €8K in delayed interest for the loans that were fully repaid during June.”
During June 2024, €84.1K was “recovered from defaulted loans (loans, where the contract with the borrower is terminated and a hard recovery process was initiated) and distributed to investors.”
The total recovered funds from “defaulted loans amount to €2.47M.”
The principal amount that defaulted in 2021 H2 “is recovered in full with interest, resulting in a 110.35% recovery rate.”
Right now, the agriculture sector “is fully back in the swing with some farmers already harvesting the crop, others preparing to follow up in the upcoming weeks, therefore the demand currently being for small working capital loans rather than for large collateralized ones.”
Feedback indicates that this year’s harvest is of “better quality and quantity compared to last year.”
As a result, HeavyFinance expect “an increased inflow of loan repayments in the upcoming months, as well as a quicker recovery process for defaulted farmers.”
In other news, recently HeavyFinance have updated their platform “to include an estimation of the CO2 emissions being addressed in their projects to inform our investors of the impact they’re making on the environment.”
Furthermore, for those interested in their Green Loans, they have “launched a newsletter that covers monthly updates of the carbon credit market, this issue includes the latest selling prices for carbon credits generated through agriculture.”