Cover Page
Cover Page | 12 Months Ended |
Dec. 31, 2023 shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Entity Registrant Name | MOGO INC. |
Entity Central Index Key | 0001602842 |
Document Period End Date | Dec. 31, 2023 |
Amendment Flag | false |
Document Fiscal Period Focus | FY |
Current Fiscal Year End Date | --12-31 |
Entity Current Reporting Status | Yes |
Entity Emerging Growth Company | false |
Entity Common Stock, Shares Outstanding | 24,515,909 |
Document Fiscal Year Focus | 2023 |
Entity Interactive Data Current | Yes |
Title of 12(b) Security | Common Shares |
Trading Symbol | MOGO |
Security Exchange Name | NASDAQ |
Entity File Number | 001-38409 |
Entity Incorporation, State or Country Code | A1 |
Entity Address, Address Line One | 516 - 409 Granville St |
Entity Address, City or Town | Vancouver |
Document Financial Statement Error Correction | false |
Entity Address, State or Province | BC |
Entity Address, Country | CA |
Entity Address, Postal Zip Code | V6C 1T2 |
Document Registration Statement | false |
Auditor Name | KPMG LLP |
Auditor Firm ID | 85 |
Auditor Location | Vancouver, British Columbia, Canada |
ICFR Auditor Attestation Flag | false |
Entity Shell Company | false |
Document Accounting Standard | International Financial Reporting Standards |
Entity Filer Category | Non-accelerated Filer |
Entity Voluntary Filers | No |
Entity Well-known Seasoned Issuer | No |
Business Contact [Member] | |
Document Information [Line Items] | |
Entity Address, Address Line One | 516 - 409 Granville St |
Entity Address, City or Town | Vancouver |
Entity Address, State or Province | BC |
Entity Address, Country | CA |
Entity Address, Postal Zip Code | V6C 1T2 |
City Area Code | 604 |
Local Phone Number | 659-4380 |
Contact Personnel Name | Gregory Feller |
Contact Personnel Fax Number | 604-733-4944 |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Cash and cash equivalent | $ 16,133 | $ 29,268 |
Restricted cash | 1,737 | 1,578 |
Loans receivable, net | 61,717 | 56,841 |
Prepaid expenses, and other receivables and assets | 13,067 | 12,391 |
Investment portfolio | 37,768 | 12,520 |
Investment accounted for using the equity method | 0 | 24,989 |
Property and equipment | 526 | 1,101 |
Right-of-use assets | 670 | 2,622 |
Investment in sublease, net | 1,228 | 0 |
Intangible assets | 36,562 | 41,829 |
Carrying value of goodwill | 38,355 | 38,355 |
Total assets | 207,763 | 221,494 |
Liabilities | ||
Accounts payable, accruals and other | 24,082 | 20,982 |
Lease liability | 2,709 | 3,280 |
Credit facility | 49,405 | 46,180 |
Debentures | 36,783 | 38,266 |
Derivative financial liabilities | 34 | 419 |
Deferred tax liability | 1,026 | 1,481 |
Total liabilities | 114,039 | 110,608 |
Equity | ||
Share capital | 389,806 | 391,243 |
Contributed surplus | 35,503 | 33,025 |
Foreign currency translation reserve | 243 | 559 |
Deficit | (331,828) | (313,941) |
Total equity | 93,724 | 110,886 |
Total equity and liabilities | $ 207,763 | $ 221,494 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Income (Loss) - CAD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue | |||
Subscription and services | $ 38,785 | $ 41,741 | $ 34,408 |
Interest revenue | 26,436 | 27,208 | 23,111 |
Total revenue | 65,221 | 68,949 | 57,519 |
Cost of revenue | |||
Provision for loan losses, net of recoveries | 13,208 | 14,730 | 7,540 |
Transaction costs | 5,354 | 7,979 | 3,940 |
Cost of revenue | 18,562 | 22,709 | 11,480 |
Gross profit | 46,659 | 46,240 | 46,039 |
Operating expenses | |||
Technology and development | 10,591 | 12,973 | 10,667 |
Marketing | 3,340 | 11,208 | 15,629 |
Customer service and operations | 10,602 | 14,089 | 13,214 |
General and administration | 14,457 | 20,197 | 17,642 |
Stock-based compensation expense | 2,478 | 8,712 | 11,683 |
Depreciation and amortization | 9,067 | 12,636 | 12,736 |
Total operating expenses | 50,535 | 79,815 | 81,571 |
Loss from operations | (3,876) | (33,575) | (35,532) |
Other expenses (income) | |||
Credit facility interest expense | 6,064 | 4,640 | 4,109 |
Debenture and other financing expense | 3,519 | 3,225 | 3,841 |
Accretion related to debentures | 958 | 1,249 | 1,252 |
Share of loss in investment accounted for using the equity method | 8,267 | 78,832 | 278 |
Revaluation (gain) loss | (9,628) | 2,375 | (15,671) |
Impairment of goodwill | 0 | 31,758 | 0 |
Other non-operating expense | 5,231 | 10,360 | 4,100 |
Other expenses (income) | 14,411 | 132,439 | (2,091) |
Net loss before tax | (18,287) | (166,014) | (33,441) |
Income tax recovery | (400) | (336) | (232) |
Net loss | (17,887) | (165,678) | (33,209) |
Components of other comprehensive income that will not be reclassified to profit or loss, net of tax [abstract] | |||
Unrealized revaluation (loss) gain on digital assets | 0 | (468) | 468 |
Foreign currency transaction reserve gain | (316) | 101 | 458 |
Other comprehensive (loss) income | (316) | (367) | 926 |
Total comprehensive loss | $ (18,203) | $ (166,045) | $ (32,283) |
Net loss per share | |||
Basic loss per share | $ (0.72) | $ (2.17) | $ (0.53) |
Diluted loss per share | $ (0.72) | $ (2.17) | $ (0.53) |
Basic weighted average number of shares (in 000s) | 24,853 | 25,442 | 21,002 |
Weighted average number of fully diluted common shares (in 000s) | 24,853 | 25,442 | 21,002 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity (Deficit) - CAD ($) shares in Thousands, $ in Thousands | Total | Carta Solutions Holding Corporation [Member] | Fortification [member] | Moka Finance Technologies Inc [Member] | At The Market Arrangement [Member] | Registered Direct Offerings [Member] | Share capital | Share capital Carta Solutions Holding Corporation [Member] | Share capital Fortification [member] | Share capital Moka Finance Technologies Inc [Member] | Share capital At The Market Arrangement [Member] | Share capital Registered Direct Offerings [Member] | Contributed surplus | Contributed surplus Registered Direct Offerings [Member] | Revaluation reserve | Foreign currency translation reserve | Deficit |
Beginning balance, Shares at Dec. 31, 2020 | 10,910 | ||||||||||||||||
Beginning balance, Amount at Dec. 31, 2020 | $ 5,236 | $ 106,730 | $ 13,560 | $ (115,054) | |||||||||||||
Net loss | (33,209) | (33,209) | |||||||||||||||
Treasury shares reserve (Note 25b), Shares | (107) | ||||||||||||||||
Treasury shares reserve (Note 25b), Amount | (2,364) | $ (2,364) | |||||||||||||||
Foreign currency translation reserve | 458 | $ 458 | |||||||||||||||
Revaluation reserve | 468 | $ 468 | |||||||||||||||
Stock-based compensation (Note 25c) | 11,683 | 11,683 | |||||||||||||||
Options and RSUs exercised or converted, Shares | 280 | ||||||||||||||||
Options and RSUs exercised or converted, Amount | 1,534 | $ 2,674 | (1,140) | ||||||||||||||
Shares issued | 508 | 3,820 | |||||||||||||||
Shares issued value | $ 16,804 | $ 72,252 | $ 16,804 | $ 71,475 | $ 777 | ||||||||||||
Shares issued on acquisition | 3,333 | 25 | 1,545 | ||||||||||||||
Shares issued on acquisition value | $ 54,800 | $ 396 | $ 47,207 | $ 54,800 | $ 396 | $ 47,207 | |||||||||||
Shares issued - replacement awards | 122 | ||||||||||||||||
Shares issued for purchase of investment accounted for using the equity method (Note 25), Shares | 2,756 | ||||||||||||||||
Shares issued on investment accounted for using the equity method, Amount | 77,780 | $ 77,780 | |||||||||||||||
Shares issued - Convertible debentures, Shares | 1,060 | ||||||||||||||||
Shares issued - Convertible debentures, Amount | 8,783 | $ 8,783 | |||||||||||||||
Equity settled share-based payment, Shares | 6 | ||||||||||||||||
Equity settled share-based payment, Amount | 164 | $ 164 | |||||||||||||||
Warrants issued for broker services, Amount | 1,410 | 1,410 | |||||||||||||||
Warrants exercised, Shares | 1,206 | ||||||||||||||||
Warrants exercised, Amount | 6,375 | $ 8,179 | (1,804) | ||||||||||||||
Ending balance, Shares at Dec. 31, 2021 | 25,464 | ||||||||||||||||
Ending balance, Amount at Dec. 31, 2021 | 269,777 | $ 392,628 | 24,486 | 468 | 458 | (148,263) | |||||||||||
Net loss | (165,678) | (165,678) | |||||||||||||||
Purchase of common shares for cancellation, Shares | (600) | ||||||||||||||||
Purchase of common shares for cancellation, Amount | (1,627) | $ (1,627) | |||||||||||||||
Cancellation of replacement awards | (1) | ||||||||||||||||
Foreign currency translation reserve | 101 | 101 | |||||||||||||||
Revaluation reserve | (468) | $ (468) | |||||||||||||||
Stock-based compensation (Note 25c) | 8,712 | 8,712 | |||||||||||||||
Options and RSUs exercised or converted, Shares | 29 | ||||||||||||||||
Options and RSUs exercised or converted, Amount | 69 | $ 242 | (173) | ||||||||||||||
Ending balance, Shares at Dec. 31, 2022 | 24,892 | ||||||||||||||||
Ending balance, Amount at Dec. 31, 2022 | 110,886 | $ 391,243 | 33,025 | 559 | (313,941) | ||||||||||||
Net loss | (17,887) | (17,887) | |||||||||||||||
Purchase of common shares for cancellation, Shares | (474) | ||||||||||||||||
Purchase of common shares for cancellation, Amount | (1,193) | $ (1,193) | |||||||||||||||
Cancellation of replacement awards | (3) | ||||||||||||||||
Treasury shares reserve (Note 25b), Shares | (90) | ||||||||||||||||
Treasury shares reserve (Note 25b), Amount | (244) | $ (244) | |||||||||||||||
Foreign currency translation reserve | (316) | (316) | |||||||||||||||
Stock-based compensation (Note 25c) | 2,457 | 2,457 | |||||||||||||||
Warrants issued for broker services, Amount | 21 | 21 | |||||||||||||||
Ending balance, Shares at Dec. 31, 2023 | 24,325 | ||||||||||||||||
Ending balance, Amount at Dec. 31, 2023 | $ 93,724 | $ 389,806 | $ 35,503 | $ 243 | $ (331,828) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating activities | |||
Net loss | $ (17,887) | $ (165,678) | $ (33,209) |
Items not affecting cash and other items: | |||
Depreciation and amortization | 9,067 | 12,636 | 12,736 |
Provision for loan losses | 13,778 | 15,383 | 8,476 |
Credit facility interest expense | 6,064 | 4,640 | 4,109 |
Debenture and other financing expense | 3,518 | 3,225 | 3,841 |
Accretion related to debentures | 958 | 1,249 | 1,252 |
Share of loss in investment accounted for using the equity method | 8,267 | 78,832 | 278 |
Stock-based compensation expense | 2,478 | 8,712 | 11,683 |
Revaluation (gain) loss | (9,628) | 2,375 | (15,671) |
Impairment of goodwill | 0 | 31,758 | 0 |
Other non-operating expense | 3,408 | 7,509 | 1,954 |
Income tax recovery | (400) | (336) | (285) |
Cash flows from (used in) operations before changes in working capital | 19,623 | 305 | (4,836) |
Changes in: | |||
Net issuance of loans receivable | (18,655) | (16,392) | (17,081) |
Prepaid expenses, and other receivables and assets | (2,167) | (2,003) | (2,537) |
Accounts payable, accruals and other | 1,901 | (805) | 2,784 |
Restricted cash | (159) | (132) | (1,446) |
Net investment in sub-lease | 13 | 0 | 0 |
Cash (used in) provided by operating activities | 556 | (19,027) | (23,116) |
Interest paid | (9,668) | (7,906) | (7,974) |
Income taxes paid | (55) | (76) | 0 |
Net cash used in operating activities | (9,167) | (27,009) | (31,090) |
Investing activities | |||
Investment in intangible assets | (3,206) | (7,482) | (7,503) |
Cash invested in investment portfolio | 0 | (1,837) | (3,698) |
Proceeds from sale of (investment in) digital assets | 0 | 625 | (1,250) |
Proceeds from sale of investment | 334 | 0 | 4,878 |
Purchases of property and equipment | (214) | (455) | (464) |
Cash invested in investment using the equity method | 0 | 0 | (32,396) |
Cash acquired upon acquisition of subsidiary | 0 | 0 | 839 |
Net cash used in investing activities | (3,086) | (9,149) | (39,594) |
Financing activities | |||
Lease liabilities – principal payments | (571) | (668) | (660) |
Repayments on debentures | (2,393) | (2,050) | (2,053) |
Advances on credit facility | 5,344 | 2,548 | 7,507 |
Repayments on credit facility | (2,119) | (1,351) | (168) |
Proceeds from issuance of common shares, net | 0 | 0 | 113,329 |
Repurchase of common shares | (1,122) | (1,627) | 0 |
Proceeds from exercise of warrants | 0 | 0 | 6,375 |
Proceeds from exercise of options | 0 | 69 | 1,534 |
Net cash provided by (used in) financing activities | (861) | (3,079) | 125,864 |
Effect of exchange rate fluctuations on cash and cash equivalents | (21) | 743 | 463 |
Net (decrease) increase in cash and cash equivalent | (13,135) | (38,494) | 55,643 |
Cash and cash equivalent, beginning of period | 29,268 | 67,762 | 12,119 |
Cash and cash equivalent, end of period | $ 16,133 | $ 29,268 | $ 67,762 |
Nature of operations
Nature of operations | 12 Months Ended |
Dec. 31, 2023 | |
Text Block [Abstract] | |
Nature of operations | Nature of operations Mogo Inc. (“Mogo” or the "Company") was continued under the Business Corporations Act ( British Columbia ) on June 21, 2019 following the combination with Mogo Finance Technology Inc. The address of the Company's registered office is Suite 1700, Park Place, 666 Burrard Street, Vancouver, British Columbia, Canada, V6C 2X8. The Company’s common shares (the “Common Shares”) are listed on the Toronto Stock Exchange (“TSX”) and the Nasdaq Capital Market under the symbol “MOGO”. Mogo, one of Canada’s leading digital finance companies, is empowering its members with simple digital solutions to help them build wealth and achieve financial freedom. Mogo’s stock trading app, MogoTrade, offers Canadians the simplest and lowest cost way to invest while making a positive impact with every investment. Together with Moka, Mogo’s wholly-owned subsidiary bringing automated, fully-managed flat-fee investing to Canadians, they form the heart of Mogo’s digital wealth platform. Mogo also offers digital loans and mortgages. Through Mogo’s wholly-owned subsidiary, Carta Worldwide, the Company also offer a digital payments platform that powers next-generation card programs for both established global corporations and innovative fintech companies in Europe and Canada. To learn more, please visit mogo.ca. On August 14, 2023, the Company completed a share consolidation of its share capital on the basis of one post-consolidation common share of Mogo for each three pre-consolidation common shares of Mogo (the "Share Consolidation"). Outstanding stock options and outstanding warrants were similarly adjusted by the Share Consolidation ratio. The Share Consolidation resulted in 74,610,924 pre-consolidation common shares issued and outstanding on August 11, 2023, being consolidated into 24,870,308 post-consolidation common shares on August 14, 2023. In accordance with the Share Consolidation, all common shares and per-share amounts disclosed herein reflect the post-Share Consolidation shares unless otherwise specified. |
Basis of presentation
Basis of presentation | 12 Months Ended |
Dec. 31, 2023 | |
Text Block [Abstract] | |
Basis of presentation | 2. Basis of presentation Statement of compliance These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board. The policies applied in these consolidated financial statements were based on International Financial Reporting Standards as issued by the International Accounting Standards Board issued and applicable at December 31, 2023. The Company presents its consolidated statements of financial position on a non-classified basis in order of liquidity. These consolidated financial statements were authorized by the Board of Directors (the “Board”) to be issued on March 20, 2024. These financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the payment of liabilities in the ordinary course of business. Should the Company be unable to continue as a going concern, it may be unable to realize the carrying value of its assets and to meet its liabilities as they become due in the normal course. Management routinely plans future activities which includes forecasting future cash flows. Management has reviewed their plan and has collectively formed a judgment that the Company has adequate resources to continue as a going concern for the foreseeable future, which management has defined as being at least 12 months from the date of approval of these consolidated financial statements. In arriving at this judgment, management has considered the following: (i) cash flow projections of the Company, which incorporates a rolling forecast and detailed cash flow modeling through the next 12 months from the date of approval of these consolidated financial statements, and (ii) the base of investors and debt lenders historically available to the Company. 2. Basis of presentation (Continued from previous page) The expected cash flows have been modeled based on anticipated revenue and profit streams with debt programmed into the model. Refer to Note 24 for details on amounts that may come due in the next 12 months. For these reasons, the Company continues to adopt a going concern basis in preparing the consolidated financial statements. Basis of consolidation The Company has consolidated the assets, liabilities, revenues and expenses of all its subsidiaries and its structured entity. The consolidated financial statements include the accounts of the Company, and its direct and indirect wholly-owned subsidiaries, Mogo Finance Technology Inc., Mogo Financial (Alberta) Inc., Mogo Financial (B.C.) Inc., Mogo Financial Inc., Mogo Financial (Ontario) Inc., Mogo Mortgage Technology Inc., Mogo Technology Inc. (a US subsidiary), Mogo Blockchain Technology Inc., Mogo Wallet Inc. (formerly Mogo Wealth Technology Inc.), Thurlow Management Inc., Carta Solutions Holding Corp., Carta Solutions Processing Services (Cyprus) Ltd., Carta Financial Services Ltd. (a UK subsidiary), Carta Solutions Processing Services Corp., Carta Solutions Processing Services Corp. (a Morocco subsidiary), Carta Solutions Singapore PTE. Ltd. (a Singapore subsidiary), Carta Worldwide Inc., Carta Americas Inc. (a US subsidiary), Moka Financial Technologies Inc., Moka Financial Technologies Europe (a France subsidiary), Mogo Asset Management Inc. (formerly Tactex Asset Management Inc.), Tactex Advisors Inc. (a US subsidiary), NumberJacks Services Inc., and MogoTrade Inc. (formerly known as Fortification). The financial statements of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. Subsidiaries are entities controlled by the Company. The financial statements of subsidiaries are included in the consolidated financial statements from the date that control commences until the date that control ceases. An entity is consolidated if the Company concludes that it controls the entity. The following circumstances may indicate a relationship in which, in substance, Mogo controls and therefore consolidates the entity: • The Company has power over the entity whereby the Company has the ability to direct the relevant activities (i.e., the activities that affect the entity’s returns); • The Company is exposed, or has rights, to variable returns from its involvement with the entity; and • The Company has the ability to use its power over the entity to affect the amount of the entity’s returns. All inter‑company balances, income and expenses and unrealized gains and losses resulting from inter‑company transactions are eliminated in full. |
Material accounting policies
Material accounting policies | 12 Months Ended |
Dec. 31, 2023 | |
Significant Accounting Policies Policy [Abstract] | |
Material accounting policies | 3. Material accounting policies The Company has consistently applied the following accounting policies to all periods presented in these consolidated financial statements, unless mentioned otherwise. The Company adopted Disclosure of Accounting Policies (Amendments to IAS 1 and IFRS Practice Statement 2) from January 1, 2023. The amendments require the disclosure of ‘material’, rather than ‘significant’, accounting policies. Although the amendments did not result in any changes to the accounting policies themselves, they impacted the accounting policy information disclosed in this note in certain instances. The material accounting policies used in the preparation of these consolidated financial statements are set out below. a) Revenue recognition Revenue is comprised of subscription and services revenue and interest revenue. Subscription and services revenue Subscription and services revenue is comprised of service revenue, trading revenue, transaction processing revenue, management fee revenue, commission revenue and brokerage revenue. Subscription and services revenue is measured based on the consideration specified in a contract with customers. The Company recognizes revenue when control of the services is transferred to the customer. Service revenue The Company earns service revenue through its subscription-based offerings including its long-term savings and investing products, loan protection services, and premium account services. The Company’s service revenues are derived from contracts with individual users. The Company recognizes service revenue from the performance obligations on a straight-line basis, over the length of the contract, on a recurring basis. Transaction processing revenue The Company’s transaction processing revenue is derived from long-term processing contracts with financial and non-financial institutions. Transaction processing revenue is generated primarily from fees charged to set up a customer on the Company’s processing platform and processing charges, including maintenance fees on cards on the Company’s processing platform, determined by the number of transactions processed and/or cards boarded by the Company for its customers. Transaction processing revenue typically includes a performance obligation to provide processing services to its customers. The Company has determined that transaction processing services represent a stand-ready series of distinct daily services that are substantially the same, with the same pattern of service performed for the customer. As a result, the Company has determined that transaction processing revenue arrangements represent an individual performance obligation. The Company recognizes set-up fees with a portion recognized upon customer acceptance and the remaining portion over the contract period, on a straight-line basis, commencing when services to set up a customer have been completed. The Company recognizes transaction processing charges, including maintenance fees, on a monthly basis based on the greater of the monthly minimum contracted revenue or the total actual transaction fees due based on the number of transactions processed. 3. Material accounting policies (Continued from previous page) a) Revenue recognition (Continued from previous page) Management fee revenue Revenue from management services consists of management fees earned through investment advisory services and from investment fund management. The Company recognizes management fee revenue as the management services are delivered. Commission revenue Commission revenue is comprised of MogoMortgage brokerage commissions and Exempt Market Dealer commission revenue. The Company earns a commission based on the rate set out within the agreement and is recognized upon completion of the services outlined in the agreement. Brokerage revenue Brokerage revenue arising from negotiating or participating in the negotiation of a transaction on behalf of a third party, such as an agreement to acquire shares or other securities or to buy or sell businesses, is recognized at the closing of the underlying transaction. Fee revenue or components thereof that are related to execution are recognized when the related criteria are met. Interest revenue Interest revenue represents interest on the Company's loan products. Interest is recognized on an effective interest basis during the period, and fees are recognized when assessed to the customer. b) Cost of revenue Cost of revenue consists of provision for loan losses and transaction costs. Transaction costs include commissions and fees paid to third parties, and expenses that relate directly to the acquisition and processing of new customers (excluding marketing) and include expenses such as data aggregation costs, payment facilitation costs, credit scoring fees, loan system transaction fees, and certain fees related to the MogoProtect progra m. 3. Material accounting policies (Continued from previous page) c) Financial instruments Financial assets and liabilities are recognized when the Company becomes a party to the contractual provisions of the instrument. Financial assets are derecognized when the rights to receive cash flows from the assets have expired or have been transferred, and the Company has transferred substantially all risks and rewards of ownership. Financial liabilities are derecognized when the obligation specified in the contract is discharged, cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognized in the consolidated statements of operations and comprehensive income (loss). Classification and measurement of financial assets and financial liabilities At initial recognition, the Company measures a financial asset at its fair value. For financial assets not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset, are added to its initial carrying value. Transaction costs of financial assets carried at fair value through profit or loss are expensed in profit or loss. Financial liabilities are recognized initially at fair value and are classified as amortized cost or as fair value through profit or loss (“FVTPL”). A financial liability is classified as at FVTPL if it is classified as held-for trading, it is a derivative or it is designated as such on initial recognition. The Company classifies its financial assets between those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and those to be measured at amortized cost. Financial assets are not reclassified subsequent to their initial recognition unless the Company changes its business model for managing financial assets in which case all affected financial assets are reclassified on the first day of the first reporting period following the change in the business model. A financial asset is measured at amortized cost if it meets both of the following conditions and is not designated as FVTPL: • it is held within a business model whose objective is to hold assets to collect contractual cash flows; and • its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. A debt investment is measured at fair value through other comprehensive income (“FVOCI”) if it meets both of the following conditions and is not designated as at FVTPL: • it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets; and • its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. All financial assets not classified as measured at amortized cost or FVOCI as described above are measured at FVTPL. Financial liabilities at FVTPL are measured at fair value and net gains and losses, including any interest expense, are recognized in profit or loss. Other financial liabilities are subsequently measured at amortized cost using the effective interest method. Interest expense is recognized in profit or loss. Any gain or loss on derecognition is also recognized in profit or loss. 3. Material accounting policies (Continued from previous page) c) Financial instruments (Continued from previous page) The Company’s financial instruments measured at amortized cost include cash and cash equivalent, restricted cash, loans receivable, other receivables, accounts payable and accruals, client liabilities, lease liabilities, credit facility, and debentures. The Company’s financial instruments measured at FVTPL include the investment portfolio, derivative financial assets and derivative financial liabilities. Realized gains or losses on the disposal of investments are determined based on the weighted average cost. Unrealized gains or losses on investments and derivative instruments are determined based on the change in fair value at each reporting period. Impairment of financial assets Expected credit loss model The expected credit loss (“ECL”) model is a three-stage impairment approach used to measure the allowance for loan losses on loans receivable at each reporting period date. Loans are classified under one of three stages based on changes in credit quality since initial recognition. Stage 1 loans consist of performing loans that have not had a significant increase in credit risk since initial recognition. Loans that have experienced a significant increase in credit risk since initial recognition are classified as Stage 2, and loans considered to be credit-impaired are classified as Stage 3. The Company routinely refinances its existing customers, and accordingly, does not consider a refinancing to be an indicator of increased credit risk. The allowance for loan losses on both Stage 2 and Stage 3 loans is measured at lifetime ECLs. The allowance for loan losses on Stage 1 loans is measured at an amount equal to 12-month ECLs, representing the portion of lifetime ECLs expected to result from default events possible within 12 months of the reporting date. The Company’s measurement of ECLs is impacted by forward looking indicators (“FLIs”) including the consideration of forward macroeconomic conditions. Management has applied a probability weighted approach to the measurement of ECL as at December 31, 2023, involving multiple scenarios and FLIs. Refer to Note 4 for more details. Assessment of significant increase in credit risk Significant increases in credit risk are assessed based on changes in probability of default of loans receivable subsequent to initial recognition. The Company uses past due information to determine whether credit risk has increased significantly since initial recognition. Loans receivable are considered to have experienced a significant increase in credit risk and are reclassified to Stage 2 if a contractual payment is more than 30 days past due as at the reporting date. The Company defines default as the earlier of when a contractual loan payment is more than 90 days past due or when a loan becomes insolvent as a result of customer bankruptcy. Loans that have experienced a default event are considered to be credit-impaired and are reclassified as Stage 3 loans. 3. Material accounting policies (Continued from previous page) c) Financial instruments (Continued from previous page) Measurement of expected credit losses ECLs are measured as the calculated expected value of cash shortfalls over the remaining life of a loan receivable, using a probability-weighted approach that reflects reasonable and supportable information about historical loss rates, post-charge off recoveries, current conditions and forward-looking indicators such as unemployment rates, inflation rates, bank prime rates and GDP growth rates. The measurement of ECLs primarily involves using this information to determine both the expected probability of a default event occurring and expected losses resulting from such default events. Loans are grouped according to product type, customer tenure and aging for the purpose of assessing ECLs. Historical loss rates and probability weights are re-assessed quarterly and subject to management review. d) Intangible assets Intangible assets, with the exception of digital assets, are measured at cost less accumulated amortization and impairment losses. Intangible assets include internally generated and acquired software, acquired technology assets, regulatory licenses, and customer relationships with finite useful lives. Acquired brand and trade names are considered to have indefinite useful lives. Internally generated software costs primarily consist of salaries and payroll-related costs for employees directly involved in the development efforts and fees paid to outside consultants. Amortization is recorded at rates intended to amortize the cost of the intangible assets over their estimated useful lives as follows: Rate Software - Internally generated 5 years straight line Software licenses 5 years straight line Technology assets - Acquired 10 years straight line Customer relationships 7 to 10 years straight line Regulatory licenses 5 years straight line Brand and trade name Indefinite Development costs, including those related to the development of software, are recognized as an intangible asset when the Company can demonstrate: • the technical feasibility of completing the intangible asset so that it will be available for use or sale; • its intention to complete and its ability to use or sell the asset; • how the asset will generate future economic benefits; • the availability of resources to complete the asset; and • the ability to measure reliably the expenditure during development. Following initial recognition of the development expenditure as an asset, the cost model is applied requiring the asset to be carried at cost less any accumulated amortization and accumulated impairment losses. Amortization of the asset begins when development is complete, and the asset is available for use. During the period of development, the asset is tested for impairment annually. 3. Material accounting policies (Continued from previous page) e) Goodwill Goodwill represents the future economic benefits arising from a business combination that are not individually identified and separately recognized. Goodwill is measured at cost less accumulated impairment losses. Goodwill is tested for impairment annually or when indicators of impairment exist. f) Impairment of non-financial assets At the end of each reporting period, the Company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss, if any. Recoverable amount is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets. Where it is not possible to estimate the recoverable amount of an individual asset, the Company estimates the recoverable amount of the cash‑generating units (“CGUs”) to which the asset belongs. Where a reasonable and consistent basis of allocation can be identified, corporate assets are also allocated to individual CGUs, or otherwise they are allocated to the smallest group of CGUs for which a reasonable and consistent allocation basis can be identified. For impairment testing purposes, the Company is determined to be two CGUs as follows: • Carta; and • Remaining Mogo related entities. Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment at least annually, and whenever there is an indication that the asset may be impaired. The recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre‑tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted. If the recoverable amount of an asset or CGU is estimated to be less than its carrying amount, the carrying amount of the asset or CGU is reduced to its recoverable amount. An impairment loss is recognized immediately in the consolidated statements of operations and comprehensive income (loss). Other than for goodwill, where an impairment loss subsequently reverses, the carrying amount of the asset or CGU is increased to the revised estimate of its recoverable amount, such that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognized for the asset or CGU in prior years. A reversal of an impairment loss is recognized in the consolidated statements of operations and comprehensive income (loss). g) Foreign currency translation The consolidated financial statements are presented in Canadian dollars. The functional currency of each subsidiary is determined based on the currency of the primary economic environment in which that subsidiary operates. Transactions in foreign currencies are initially recorded in the respective functional currencies at the rate prevailing at the date of the transaction. Monetary items are translated into the functional currency at the exchange rate in effect as at the date of the statement financial position and non-monetary items are translated as at the rate of exchange in effect when the assets were acquired or the obligation was incurred. Revenue and expenses are translated into Canadian dollars using average monthly exchange rates. 3. Material accounting policies (Continued from previous page) g) Foreign currency translation (Continued from previous page) Foreign exchange gains or losses are recorded to revaluation loss (gain) in the consolidated statements of operations and comprehensive income (loss). The functional currency of each subsidiary that is not in Canadian dollars is as follows: Carta Financial Services Ltd. (GBP), Carta Solutions Processing Services Cyprus Ltd. (EUR), Carta Solutions Processing Services Corp. (MAD), Carta Solutions Singapore PTE. Ltd. (SGD), Carta Americas Inc. (USD), Moka Financial Technologies Europe (EUR), and Tactex Advisors Inc. (USD). h) Foreign operations The assets and liabilities of foreign operations are translated to the presentation currency using exchange rates at the reporting date. The revenue and expenses of foreign operations are translated to the presentation currency using exchange rates at the dates of the transactions. Foreign currency differences are recognized in other comprehensive income . i) Income taxes Income tax expense is comprised of current and deferred tax. Current tax is the expected tax payable or receivable on the taxable income or loss for the period, using tax rates enacted or substantively enacted at the reporting date, and any adjustment to tax payable in respect of previous years. Deferred tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax is measured at the tax rates that are expected to be applied to temporary differences when they reverse, based on the laws that have been enacted or substantively enacted by the reporting date. Deferred tax assets are recognized to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilized . j) Share-based payments The Company measures equity settled stock options granted to directors, officers, employees and consultants based on their fair value at the grant date and recognizes compensation expense over the vesting period. Measurement inputs include the Company’s share price on the measurement date, the exercise price of the option or warrant, the expected volatility of the Company’s shares, the expected life of the options or warrants, and the risk-free rate of return. Dividends are not factored in as the Company does not expect to pay dividends in the foreseeable future. Expected forfeitures are estimated at the date of grant and subsequently adjusted if further information indicates actual forfeitures may vary from the original estimate. For each restricted share unit granted to directors, officers and employees, compensation expense is recognized equal to the market value of one common share at the date of grant based on the number of RSUs expected to vest, recognized over the term of the vesting period, with a corresponding credit to contributed surplus. Share-based payment arrangements with non-employees in which the Company receives goods or services as consideration for its own equity instruments are accounted for as equity-settled share-based payments transactions. The share-based payments are measured based on the fair value of the goods or services received if the fair value can be reliably measured. Otherwise, the share-based payments are measured based on the fair value of the share-based awards using the expected life, risk free interest rate, volatility, exercise price, and fair value of the underlying equity instrument at the time the goods or services are received. 3. Material accounting policies (Continued from previous page) k) Earnings per share The computation of earnings per share is based on the weighted average number of shares outstanding during the period and profit attributable to the common shareholders. Diluted earnings per share are computed in a similar way to basic earnings per share except that the weighted average shares outstanding are increased to include the additional effects of all dilutive potential common shares assuming the exercise of share options or warrants. l) Business combinations The Company uses the acquisition method of accounting for its business combinations. The consideration transferred in the acquisition is generally measured at fair value, as are the identifiable net assets acquired. Any gain on purchase is recognized in the consolidated statements of operations and comprehensive income (loss). Transaction cost are expenses as incurred, except if related to the issue of debt or equity securities. The consideration transferred does not include amounts related to the settlement of pre-existing relationship. Such amounts are generally recognized in the consolidated statements of operations and comprehensive income (loss). If share-based payment awards are required to be exchanged for awards held by acquiree’s employees (“replacement awards”), then all or a portion of the amount of the acquirer’s replacement awards is included in measuring the consideration transferred in the business combination. This determination is based on the market-based measure of the replacement awards compared with the market-based measure of the acquiree’s awards and the extent to which the replacement awards related to pre-acquisition services. m) Investment in associate An associate is an entity over which the Company has significant influence. Significant influence is the power to participate in the financial and operating policy decisions of the investee but is not control or joint control over those policies. Any investments in associates are accounted for using the equity method. Under the equity method, the investment in an associate is initially recognized at cost. The carrying amount of the investment is adjusted to recognize changes in the Company’s share of the profit or loss and other comprehensive income of the associate since the acquisition date. Goodwill relating to the associate is included in the carrying amount of the investment and is not tested for impairment separately. The consolidated statements of operations and comprehensive income (loss) reflects the Company’s share of the results of operations of the associate. Unrealized gains and losses resulting from transactions between the Company and the associate are eliminated to the extent of the interest in the associate. The aggregate of the Company’s share of an associate’s profit or loss after tax is shown on the face of the consolidated statements of operations and comprehensive income (loss) as a separate line item. The financial statements of the associate are prepared for the same reporting period as the Company. When necessary, adjustments are made to bring the accounting policies in line with those of the Company. After application of the equity method, the Company determines whether it is necessary to recognize an impairment loss on its investment in its associate. At each reporting date, the Company determines whether there is objective evidence that the investment in the associate is impaired. If there is such evidence, the Company calculates the amount of impairment as the difference between the recoverable amount of the associate and its carrying value, and then recognizes the loss within its share of profit or loss of an associate in the consolidated statements of operations and comprehensive income (loss). If significant influence over an entity is lost, the Company recognizes a gain or loss in profit or loss and will then account for the investment as a financial instrument, as outlined in note 3(c). 3. Material accounting policies (Continued from previous page) n) Cash and cash equivalent Cash and cash equivalent in the consolidated statements of financial position and cash flows is comprised of cash held at banks, cash held on hand and short-term highly liquid deposits with an original maturity of three months or less that are readily convertible to a known amount of cash and subject to an insignificant risk of changes in value. o) Leases Right-of-use assets Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any re-measurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognized, initial direct cost incurred, and lease payments made at or before the commencement date less any lease incentives received. The right-of-use assets are depreciated on a straight-line basis over the lease term. Right-of-use assets are subject to an evaluation of impairment if any indicators of impairment are noted. Lease liabilities The Company recognizes lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payment includes fixed payments (including in-substance fixed payments). Variable payments other than those that depend on an index or a rate are recorded in general and administration expenses as incurred. In calculating the present value of lease payments, the Company uses the incremental borrowing rate at the lease commencement date if the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is re-measured if there is a modification, a change in the lease term or a change in the in-substance fixed lease payments. Subleases For subleases classified as a finance lease, the Company de-recognizes the right-of-use asset relating to the head lease and recognizes a net investment in the sublease. Any difference between the right-of-use asset and the net investment in the finance sublease is recognized in profit or loss. The Company measures the net investment in the sublease at an amount equal to the present value of the lease payments of the underlying right-of-use asset. The net investment in the sublease lease is depreciated on a straight-line basis over the lease term. Short-term leases and leases of low-value assets The Company applies the short-term lease recognition exemption to its short-term leases of properties (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption to leases of office equipment that are considered of low value (i.e., below $5,000). Lease payments on short-term leases and leases of low-value assets are recognized as expenses in the period incurred. 3. Material accounting policies (Continued from previous page) p) Significant accounting judgements, estimates and assumptions The preparation of the consolidated financial statements requires management to make estimates, assumptions and judgments that affect the reported amount of assets and liabilities, and the reported amount of revenues and expenses during the year. Actual results may differ from these estimates. Estimates, assumptions, and judgments are reviewed on an ongoing basis. Revisions to accounting estimates are recognized on a prospective basis beginning from the period in which they are revised. Significant accounting judgements The following are the critical judgements, apart from those involving estimations that have been made in the process of applying the Company’s accounting policies, which have the most significant effect on the amounts recognized in the consolidated financial statements. Expected credit losses In applying its accounting policy for the expected credit loss model, the Company applies judgment in defining significant increase in defaults, and its write-offs policy. Refer to Note 4 for further details. Significant accounting estimates and assumptions These estimates and assumptions are based on management’s historical experience, best knowledge of current events, conditions and actions that the Company may undertake in the future and other factors that management believes are reasonable under the circumstances. These estimates and assumptions are reviewed periodically, and the effect of a change in accounting estimate or assumption is recognized prospectively by including it in the consolidated statements of operations and comprehensive income (loss) in the period of the change and in any future periods affected. The areas where estimates and assumptions have the most significant effect on the amounts recognized in the consolidated financial statements include the following: (i) Allowance for loan losses The provision for loan losses consists of amounts charged to the consolidated statements of operations and comprehensive income (loss) during the period to maintain an adequate allowance for loan losses. The Company's allowance for loan losses represents its estimate of the expected credit losses expected from its existing loan portfolio and is based on a variety of factors, including the composition and quality of the portfolio, loan-specific information gathered through collection efforts, delinquency levels, historical charge-off and loss experience, the Company's expectations of future loan performance, and general forward-looking macroeconomic conditions. The methodology and assumptions used in setting the loan loss allowance are reviewed regularly to reduce any difference between loss estimates and actual loss experience. (ii) Fair value of privately held investments Estimating fair value requires that significant judgment be applied to each individual investment. For privately held investments, the fair value of each investment is measured using the most appropriate valuation methodology or combination of methodologies in the judgment of management in light of the specific nature, facts and circumstances surrounding that investment. This may take into consideration, but not be limited to, one or more of the following: valuations of recent or in-progress funding rounds, forward revenue and earnings projections, comparable peer valuation multiples, and the initial cost base of the investment. Actual results could differ significantly from these estimates. 3. Material accounting policies (Continued from previous page) p) Significant accounting judgements, estimates and assumptions (Continued from previous page) (iii) Valuation of goodwill acquired in business combinations The Company is required to assess the recoverability of values assigned to cash generating units that include goodw |
Loans receivable
Loans receivable | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Loans And Advances To Customers [Abstract] | |
Loans receivable | 4. Loans receivable Loans receivable represent unsecured installment loans and lines of credit advanced to customers in the normal course of business. Current loans are defined as loans to customers with terms of one year or less, while non-current loans are those with terms exceeding one year. The breakdown of the Company’s gross loans receivable as at December 31, 2023 and December 31, 2022 are as follows: As at December 31, December 31, 2022 Current (terms of one year or less) 74,121 69,693 Non-current (terms exceeding one year) 151 221 74,272 69,914 The following table provides a breakdown of gross loans receivable and allowance for loan losses by aging bucket, which represents the Company's assessment of credit risk exposure and by their IFRS 9 – Financial Instruments expected credit loss measurement stage. The entire loan balance of a customer is aged in the same category as its oldest individual past due payment, to align with the stage groupings used in calculating the allowance for loan losses under IFRS 9. Stage 3 gross loans receivable include net balances outstanding and still anticipated to be collected for loans previously charged off and these are carried in gross receivables at the net expected collectable amount with no associated allowance. As at December 31, 2023 Risk Category Days past due Stage 1 Stage 2 Stage 3 Total Strong Not past due 59,938 — — 59,938 Lower risk 1-30 days past due 3,404 — — 3,404 Medium risk 31-60 days past due — 1,096 — 1,096 Higher risk 61-90 days past due — 808 — 808 Non-performing 91+ days past due or bankrupt — — 9,026 9,026 Gross loans receivable 63,342 1,904 9,026 74,272 Allowance for loan losses ( 6,445 ) ( 1,266 ) ( 4,844 ) ( 12,555 ) Loans receivable, net 56,897 638 4,182 61,717 4. Loans receivable (Continued from previous page) As at December 31, 2022 Risk Category Days past due Stage 1 Stage 2 Stage 3 Total Strong Not past due 55,087 — — 55,087 Lower risk 1-30 days past due 2,903 — — 2,903 Medium risk 31-60 days past due — 1,211 — 1,211 Higher risk 61-90 days past due — 898 — 898 Non-performing 91+ days past due or bankrupt — — 9,815 9,815 Gross loans receivable 57,990 2,109 9,815 69,914 Allowance for loan losses ( 5,794 ) ( 1,239 ) ( 6,040 ) ( 13,073 ) Loans receivable, net 52,196 870 3,775 56,841 In determination of the Company’s allowance for loan losses, internally developed models are used to factor in credit risk related metrics, including the probability of defaults, the loss given default and other relevant risk factors. Management also considered the impact of key macroeconomic factors and determined that historic loan losses are most correlated with unemployment rate, inflation rate, bank prime rate and GDP growth rate. These macroeconomic factors were used to generate various forward-looking scenarios used in the calculation of allowance for loan losses. If management were to assign 100 % probability to a pessimistic scenario forecast, the allowance for credit losses would have been $ 1,235 higher than the reported allowance for credit losses as at December 31, 2023 (December 31, 2022 – $ 1,222 higher). The following table provides a reconciliation of the allowance for loan losses: As at December 31, 2023 Stage 1 Stage 2 Stage 3 Total Balance as at January 1, 2023 5,794 1,239 6,040 13,073 Gross loans originated 3,158 — — 3,158 Principal payments ( 1,281 ) ( 40 ) ( 437 ) ( 1,758 ) Re-measurement of allowance before transfers 139 158 ( 30 ) 267 Re-measurement of amounts transferred between stages ( 142 ) 1,102 11,151 12,111 Transfer to (from) Stage 1 – 12-month ECLs 166 ( 136 ) ( 30 ) — Stage 2 – Lifetime ECLs ( 200 ) 200 — — Stage 3 – Lifetime ECLs ( 1,189 ) ( 1,257 ) 2,446 — Net amounts charged off against allowance — — ( 14,296 ) ( 14,296 ) Balance as at December 31, 2023 6,445 1,266 4,844 12,555 4. Loans receivable (Continued from previous page) As at December 31, 2022 Stage 1 Stage 2 Stage 3 Total Balance as at January 1, 2022 5,721 1,119 2,973 9,813 Gross loans originated 2,607 — — 2,607 Principal payments ( 1,107 ) ( 136 ) ( 359 ) ( 1,602 ) Re-measurement of allowance before transfers 142 89 591 822 Re-measurement of amounts transferred between stages ( 67 ) 1,047 12,576 13,556 Transfer to (from) — Stage 1 – 12-month ECLs 79 ( 65 ) ( 14 ) — Stage 2 – Lifetime ECLs ( 218 ) 220 ( 2 ) — Stage 3 – Lifetime ECLs ( 1,363 ) ( 1,035 ) 2,398 — Net amounts charged off against allowance — — ( 12,123 ) ( 12,123 ) Balance as at December 31, 2022 5,794 1,239 6,040 13,073 Overall changes in the allowance for loan losses are summarized below: Year ended December 31, December 31, Balance, beginning of the period 13,073 9,813 Provision for loan losses 13,778 15,383 Charge offs ( 14,296 ) ( 12,123 ) Balance, end of the period 12,555 13,073 The provision for loan losses in the consolidated statements of operations and comprehensive income (loss) is recorded net of recoveries for the year ended December 31, 2023 of $ 588 (December 31, 2022 – $ 653 ). |
Prepaid expenses, and other rec
Prepaid expenses, and other receivables and assets | 12 Months Ended |
Dec. 31, 2023 | |
Prepaid Expenses Deposits And Other Assets [Abstract] | |
Prepaid expenses, and other receivables and assets | 5. Prepaid expenses, and other receivables and assets As at December 31, December 31, Prepaid expenses 1,308 2,499 Accounts receivable 2,834 2,347 Brokerage firm receivables 7,023 4,804 Deposits and other receivables and assets 1,901 2,741 Total 13,067 12,391 |
Investment portfolio
Investment portfolio | 12 Months Ended |
Dec. 31, 2023 | |
Text Block [Abstract] | |
Investment portfolio | 6. Investment portfolio As at December 31, December 31, Equities 37,768 11,504 Other — 1,016 Total 37,768 12,520 |
Property and equipment
Property and equipment | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Property and equipment | 7. Property and equipment Computer Furniture Leasehold Total Cost Balance, December 31, 2020 2,083 1,180 2,055 5,318 Additions 462 2 — 464 Additions through business combinations 298 31 — 329 Effects of movement in exchange rate ( 20 ) ( 1 ) — ( 21 ) Balance, December 31, 2021 2,823 1,212 2,055 6,090 Additions 455 — — 455 Impairment ( 125 ) — — ( 125 ) Disposals — — — — Effects of movement in exchange rate 22 ( 2 ) — 20 Balance, December 31, 2022 3,175 1,210 2,055 6,440 Additions 214 — — 214 Impairment ( 239 ) ( 212 ) — ( 451 ) Disposals ( 2,160 ) ( 998 ) ( 2,055 ) ( 5,213 ) Effects of movement in exchange rate 2 — — 2 Balance, December 31, 2023 992 — — 992 Accumulated depreciation Balance, December 31, 2020 1,547 824 2,055 4,426 Depreciation 400 78 — 478 Balance, December 31, 2021 1,947 902 2,055 4,904 Depreciation 403 69 — 472 Impairment ( 37 ) — — ( 37 ) Balance, December 31, 2022 2,313 971 2,055 5,339 Depreciation 313 27 — 340 Disposals ( 2,160 ) ( 998 ) ( 2,055 ) ( 5,213 ) Balance, December 31, 2023 466 — — 466 Net book value Balance, December 31, 2022 862 239 — 1,101 Balance, December 31, 2023 526 — — 526 Depreciation of property and equipment of $ 340 for the year ended December 31, 2023 (December 31, 2022 – $ 472 ) is included in depreciation and amortization in the consolidated statements of operations and comprehensive income (loss). Impairment charges of $ 451 were recognized in other non-operating expense for the year ended ( December 31, 2023 (December 31, 2022 – $ 125 ). |
Intangible assets
Intangible assets | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of detailed information about intangible assets [abstract] | |
Intangible assets | 8. Intangible assets Internally Internally Software Acquired technology assets Customer relationships Brand Regulatory licenses Total Cost Balance, December 31, 2020 39,504 1,529 3,356 — — — — 44,389 Additions 1,200 6,303 — — — — — 7,503 Additions through business combinations — — 628 21,000 8,900 1,000 6,800 38,328 Impairment — ( 898 ) — — — — — ( 898 ) Transfers 3,936 ( 3,936 ) — — — — — — Effects of movement in exchange rate — — ( 8 ) — — — — ( 8 ) Balance, December 31, 2021 44,640 2,998 3,976 21,000 8,900 1,000 6,800 89,314 Additions 201 7,281 — — — — — 7,482 Impairment ( 18,440 ) — — — — — — ( 18,440 ) Transfers 3,132 ( 3,132 ) — — — — — — Effects of movement in exchange rate — — ( 3 ) — — — — ( 3 ) Balance, December 31, 2022 29,533 7,147 3,973 21,000 8,900 1,000 6,800 78,353 Additions — 3,206 — — — — — 3,206 Impairment — — ( 10 ) — — — — ( 10 ) Disposals ( 13,597 ) — ( 3,444 ) — — — — ( 17,041 ) Transfers 8,810 ( 8,810 ) — — — — — — Effects of movement in exchange rate — — ( 32 ) — — — — ( 32 ) Balance, December 31, 2023 24,746 1,543 487 21,000 8,900 1,000 6,800 64,476 Accumulated amortization Balance, December 31, 2020 22,231 — 3,246 — — — — 25,477 Amortization 7,279 — 218 1,722 1,427 — 887 11,533 Balance, December 31, 2021 29,510 — 3,464 1,722 1,427 — 887 37,010 Amortization 6,759 — 148 2,100 1,066 — 1,360 11,433 Impairment ( 11,919 ) — — — — — — ( 11,919 ) Balance, December 31, 2022 24,350 — 3,612 3,822 2,493 — 2,247 36,524 Amortization 3,797 — 105 2,100 1,065 — 1,360 8,427 Disposals ( 13,597 ) — ( 3,444 ) — — — — ( 17,041 ) Effects of movement in exchange rate ( 24 ) — 28 — — — — 4 Balance, December 31, 2023 14,526 — 301 5,922 3,558 — 3,607 27,914 Net book value Balance, December 31, 2022 5,183 7,147 361 17,178 6,407 1,000 4,553 41,829 Balance, December 31, 2023 10,220 1,543 186 15,078 5,342 1,000 3,193 36,562 Amortization of intangible assets of $ 8,427 for the year ended December 31, 2023 (December 31, 2022 – $ 11,433 ) is included in depreciation and amortization in the consolidated statements of operations and comprehensive income (loss). Impairment charges of $ 10 were recognized in other non-operating expense for the year ended ( December 31, 2023 (December 31, 2022 – $ 6,521 ). |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Presentation of leases for lessee [abstract] | |
Leases | 9. Leases The Company has lease agreements for its office spaces. Leases generally have lease terms between 2 years to 7 years with an option to renew the lease after that date . The Company assesses at the lease commencement date whether it is reasonably certain to exercise the extension option. The Company re-assesses whether it is reasonably certain to exercise the options if there is a significant event or significant change in circumstances within its control. During the year, the Company has not made any re-assessment related to extension options. Information about leases for which the Company is a lessee is presented below: Amount recognized in the consolidated statements of financial position: (i) Right-of-use assets Set out below are the carrying amounts of the Company’s right-of-use assets and lease liabilities recognized and the movements during the year ended December 31, 2023 and 2022: Right-of-use assets Lease liabilities Balance, as at December 31, 2021 3,430 3,948 Impairment ( 78 ) — Depreciation ( 730 ) — Interest expense — 212 Payments — ( 880 ) Balance, as at December 31, 2022 2,622 3,280 Impairment ( 669 ) — Transfers ( 979 ) — Depreciation ( 304 ) — Interest expense — 178 Payments — ( 749 ) Balance, as at December 31, 2023 670 2,709 (ii) Investment in Sublease, net As at December 31, December 31, 2022 Transfers 979 — Additions 191 — Interest accretion 71 — Payments from sublessor ( 13 ) — Balance, as at December 31, 2023 1,228 — (ii) Investment in Sublease, net (Continued from previous page) Amount recognized in the consolidated statements of operations and comprehensive income (loss): Year ended December 31, December 31, December 31, Depreciation of right-of-use assets 304 730 725 Interest expense on lease liabilities 178 212 243 Expenses relating to short term leases 449 478 436 Impairment 669 78 — Variable lease payments 429 505 453 Total 2,029 2,003 1,857 Depreciation of right-of-use assets is included in depreciation and amortization expense. Interest expense related to lease liabilities is included in debenture and other financing expense. The Company in its cash flow has classified cash payment related to principal portion of $ 571 (December 31, 2022 – $ 668 ) of lease payments as financing activities and cash payments related to interest portion of $ 178 (December 31, 2022 – $ 212 ) as operating activities consistent with the presentation of interest payments chosen by the Company. |
Accounts payable and accruals
Accounts payable and accruals | 12 Months Ended |
Dec. 31, 2023 | |
Accounts Payable And Accruals [Abstract] | |
Accounts payable and accruals | 10. Accounts payable and accruals As at December 31, December 31, Accounts payables 6,448 5,686 Accrued expenses 5,797 6,441 Accrued wages and other benefits 1,412 1,008 Client liabilities 8,760 6,743 Other 1,665 1,104 Total 24,082 20,982 |
Credit facility
Credit facility | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Credit Risk [Abstract] | |
Credit facility | 11. Credit facility The credit facility consists of a $ 60,000 senior secured credit facility maturing on July 2, 2025 . The credit facility is subject to variable interest rates that reference the Secured Overnight Financing Rate (“SOFR”), or under certain conditions, the Federal Funds Rate in effect. On December 16, 2021, the Company amended its credit facility to lower the effective interest rate from a maximum of LIBOR plus 9%, to LIBOR plus 8%. In June 2023, this was transitioned to SOFR plus 8% upon the cessation of USD LIBOR . There is a 0.33% fee on the available but undrawn portion of the $ 60,000 facility. The principal and interest balance outstanding for the credit facility as at December 31, 2023 was $ 49,405 (December 31, 2022 – $ 46,180 ). Refer to Note 24 for details on the reform of major interest rate benchmarks. The credit facility is subject to certain covenants and events of default. As at December 31, 2023 and December 31, 2022, the Company was in compliance with these covenants. Interest expense on the credit facility is included in credit facility interest expense in the consolidated statements of operations and comprehensive income (loss). Interest expense on the credit facility for the year ended December 31, 2023 of $ 6,064 (December 31, 2022 – $ 4,640 ) is included in credit facility interest expense in the consolidated statements of operations and comprehensive income (loss). The Company has provided its senior lenders with a general security interest in all present and after acquired personal property of the Company, including certain pledged financial instruments, cash and cash equivalents. As at December 31, December 31, 2022 Credit facility - funds drawn 49,405 46,180 The Company has pledged financial instruments as collateral against its credit facilities. Under the terms of the general security agreement, assets pledged as collateral primarily include loans receivable with a carrying amount equal to $ 61,717 (December 31, 2022 – $ 56,841 ) and cash and cash equivalents with a balance of $ 316 (December 31, 2022 – $ 288 ). |
Debentures
Debentures | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Borrowings [Abstract] | |
Debentures | 12. Debentures The Company's debentures with maturity dates of July 2, 2025 pay interest at a coupon rate between 8 - 10 % per annum. Payments of interest and principal are made to debenture holders on a quarterly basis on the first business day following the end of a calendar quarter, at the Company's option either in cash or Common Shares. As at ($000s) December 31, December 31, 2022 Principal balance 37,020 39,658 Discount ( 1,000 ) ( 2,118 ) 36,020 37,540 Interest payable 763 726 36,783 38,266 The Debentures are secured by the assets of the Company, governed by the terms of a trust deed and, among other things, are subject to a subordination agreement to the credit facility which effectively extends the individual maturity dates of such debentures between January 2024 and June 2025 to July 2, 2025 , being the maturity date of the credit facility. The debenture principal repayment dates, after giving effect to the subordination agreement referenced above, are as follows: ($000s) Principal component of quarterly payment Principal due on maturity Total 2024 1,924 — 1,924 2025 1,543 33,553 35,096 3,467 33,553 37,020 The debenture principal repayments are payable in either cash or Common Shares at Mogo’s option. The number of Common Shares required to settle the principal repayments is variable based on the Company's share price at the repayment date. |
Derivative financial liabilitie
Derivative financial liabilities | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of Derivative Financial Liabilities [Abstract] | |
Derivative financial liabilities | 13. Derivative financial liabilities On February 24, 2021, in connection with a registered direct offering, the Company issued stock warrants to investors to purchase up to an aggregate of 891,089 Common Shares at an exercise price of US$ 33.00 at any time prior to three and a half years following the date of issuance. On December 13, 2021, as part of a registered direct offering, the Company issued stock warrants to investors to purchase up to an aggregate of 1,018,519 Common Shares at an exercise price of US$ 14.10 at any time prior to three and a half years following the date of issuance. The stock warrants are classified as a liability by the sole virtue of their exercise price being denominated in USD. As such, the warrants are subject to revaluation under the Black Scholes model at each reporting date, with gains and losses recognized to the consolidated statements of operations and comprehensive income (loss). The stock warrants are classified as a derivative liability, and not equity, due to the exercise price being denominated in USD, which is different than the Company's functional currency. In the event that these warrants are fully exercised, the Company would receive cash proceeds of US$ 43,767 , with the balance of the liability reclassified to equity at that time. If the warrants were to expire unexercised, then the liability would be extinguished through a gain in the consolidated statements of operations and comprehensive income (loss). As at December 31, December 31, 2022 Balance, beginning of the period 419 12,688 Change in fair value due to revaluation of derivative financial liabilities ( 379 ) ( 12,558 ) Change in fair value due to foreign exchange ( 6 ) 289 Balance, end of the period 34 419 Details of the derivative financial liabilities as at December 31, 2023 are as follows: Warrants outstanding and exercisable (000s) Weighted average exercise price $ Balance, December 31, 2021 1,910 29.06 Warrants issued — — Balance, December 31, 2022 1,910 29.06 Warrants issued — — Balance, December 31, 2023 1,910 29.06 The 1,909,608 warrants outstanding noted above have expiry dates of August 2024 and June 2025 . 13. Derivative financial liabilities (Continued from previous page) The fair value of the warrants outstanding was estimated using the Black-Scholes option pricing model with the following assumptions: As at December 31, December 31, 2022 Risk-free interest rate 4.79 % 4.41 % Expected life 0.7 - 1.5 years 1.6 - 2.5 years Expected volatility in market price of shares 73 - 77 % 89 - 106 % Expected dividend yield 0 % 0 % Expected forfeiture rate 0 % 0 % |
Geographic Information
Geographic Information | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of geographical areas [abstract] | |
Geographic Information | 14. Geographic information (a) Revenue Revenue presented below has been based on the geographic location of customers. Year ended December 31, December 31, December 31, Canada 59,104 62,320 49,533 Europe 6,117 6,531 7,287 Other — 98 699 Total 65,221 68,949 57,519 (b) Non-current assets Non-current assets presented below has been based on geographic location of the assets. As at December 31, December 31, 2022 Canada 77,032 82,587 Europe 263 433 Other 46 887 Total 77,341 83,907 |
Expense by nature and function
Expense by nature and function | 12 Months Ended |
Dec. 31, 2023 | |
Expense By Nature And Function [Abstract] | |
Expense by nature and function | 15. Expense by nature and function The following table summarizes the Company’s operating expenses by nature: Year ended December 31, December 31, December 31, Personnel expense 20,226 28,628 26,509 Depreciation and amortization 9,067 12,636 12,736 Hosting and software licenses 5,355 6,647 4,200 Marketing 3,120 10,282 13,709 Professional services 2,414 2,889 3,800 Stock-based compensation 2,479 8,712 11,683 Insurance and licenses 2,000 3,138 2,316 Credit verification costs 1,256 1,918 1,990 Premises 1,029 1,224 1,040 Others 3,589 3,741 3,588 Total 50,535 79,815 81,571 The following table summarizes the Company’s operating expenses by function including stock-based compensation and depreciation and amortization: Year ended December 31, December 31, December 31, Technology and development 15,906 26,718 25,021 Marketing 3,379 11,448 16,619 Customer service and operations 11,351 15,900 15,870 General and administration 19,899 25,749 24,061 Total 50,535 79,815 81,571 |
Revaluation loss (gain)
Revaluation loss (gain) | 12 Months Ended |
Dec. 31, 2023 | |
Revaluation loss (gain) [Abstract] | |
Revaluation loss (gain) | 16. Revaluation loss (gain) Year ended December 31, December 31, December 31, Change in fair value due to revaluation of derivative financial asset — 7,866 ( 1,788 ) Change in fair value due to revaluation of derivative financial liabilities ( 379 ) ( 12,558 ) ( 11,276 ) Realized loss (gain) on investment portfolio 340 — ( 4,219 ) Unrealized (gain) loss on investment portfolio ( 9,659 ) 7,951 942 Unrealized loss on digital assets — 625 — Unrealized loss (gain) on debentures 32 ( 1,114 ) — Realized exchange loss 46 — — Unrealized exchange gain ( 8 ) ( 395 ) 670 Unrealized gain on other receivable — — — Loss related to property and equipment — — — Total ( 9,628 ) 2,375 ( 15,671 ) |
Other non-operating expense (in
Other non-operating expense (income) | 12 Months Ended |
Dec. 31, 2023 | |
Other Non Operating Expense [Abstract] | |
Other non-operating expense (income) | 17. Other non-operating expense (income) Year ended December 31, December 31, December 31, Government grants — ( 93 ) ( 1,597 ) Direct offering transaction costs allocated to derivative financial liabilities — — 2,260 Restructuring charges 4,519 2,784 421 Impairment of intangible assets — 6,521 — Acquisition costs and other 712 1,148 3,016 Total 5,231 10,360 4,100 During the year ended December 31, 2023 the Company continued with the formal restructuring plans initiated in 2022 resulting in charges of $ 4,519 ( December 31, 2022 - $ 2,784 ). The restructuring charges include incremental costs associated directly with the restructuring plans including employee termination benefits, consulting fees, onerous contracts and contract termination costs. For the year ended December 31, 2021, direct offering transaction costs allocated to derivative financial liabilities of $ 2,260 relate to the issuance of warrants with a USD denominated exercise price to investors. This resulted in the recognition of a derivative financial liability and the allocation of the associated transaction costs to other non-operating expenses. The Company did no t complete a direct offering in the year ended December 31, 2023 or December 31, 2022, and therefore did no t incur any direct offering transaction costs. |
Investment accounted for using
Investment accounted for using the equity method | 12 Months Ended |
Dec. 31, 2023 | |
Investments accounted for using equity method [abstract] | |
Investment Accounted for Using the Equity Method | 18. Investment accounted for using the equity method As at December 31, 2022 the Company held a 34 % ownership in Coinsquare (December 31, 2021 - 39 %), a digital asset trading platform, which was accounted for using the equity method in the consolidated financial statements. As a result, the Company would record its share of the investee’s gain or loss, as well as any gains or losses arising from the dilution of its ownership interest in Coinsquare, into the consolidated statements of operations and comprehensive income (loss). In October 2022, Coinsquare’s subsidiary, Coinsquare Capital Markets Ltd (“CCML”), was admitted to IIROC which resulted in the obligatory conversion of certain convertible debentures issued by Coinsquare, resulting in dilution of Mogo's interest in associate while recording a net gain of $ 2,927 from the release of liability. Additionally, during the year ended December 31, 2022, the Company had identified indicators of impairment related to the Company’s investment in Coinsquare, resulting in an estimated recoverable amount of $ 24,989 as at December 31, 2022. The following table summarizes the Company's investment accounted for using the equity method as at December 31, 2023 and December 31, 2022: As at December 31, December 31, 2022 December 31, 2021 Balance, beginning of the period 24,989 103,821 — Additions Initial investments in Coinsquare — — 45,026 Step up investments in Coinsquare — — 59,073 Share of loss in investment accounted for using the equity method: Share of investee's loss ( 2,972 ) ( 23,496 ) ( 278 ) Gain from dilution of interest in associate — 2,927 — Impairment ( 5,295 ) ( 58,263 ) — Revaluation gain 97 — — Distributions received ( 731 ) — — Transfer to investments measured at FVTPL ( 16,088 ) — — Balance, end of the period — 24,989 103,821 On July 10, 2023, Coinsquare, WonderFi Technologies Inc. ("WonderFi") and CoinSmart Financial Inc. ("CoinSmart") completed a business combination to merge their respective businesses. Before the execution of the WonderFi Transaction, Mogo received 1,353,770 shares of FRNT Financial Inc and 89,429 shares of Mogo from Coinsquare. As part of the transaction, Mogo exchanged its 12,518,473 shares in Coinsquare for 86,962,640 shares of WonderFi. Immediately prior to the transaction Mogo owned 34 % of Coinsquare. Following the closing of the transaction, Mogo owns approximately 14 % of the combined company, which is traded on the TSX under the ticker WNDR.TO As a result of Mogo’s ownership interest in WonderFi dropping below 20 %, the Company no longer has significant influence over its investment such that it has changed the classification of its investment from investment in associate accounted for using the equity method, to investment measured at fair value through profit and loss. Furthermore, MogoTrade Inc. ("MTI") is no longer responsible for guaranteeing Coinsquare Capital Markets Ltd's obligations to its clients up to the amount of MTI's regulatory capital. For th e year ended December 31, 2023, the consolidated statements of operations and comprehensive income (loss) have included all amounts relating to the investment accounted for using the equity method in one line item called share of loss in investment accounted for using the equity method. Prior year presentation has been adjusted to reflect this change in presentation. |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes Tables [Abstract] | |
Income taxes | 19. Income taxes a) Provision for income taxes The major components of provision for income taxes are as follows: Year ended December 31, December 31, December 31, Current tax expense 19 76 133 Deferred tax recovery ( 419 ) ( 412 ) ( 365 ) Income tax recovery ( 400 ) ( 336 ) ( 232 ) The reconciliation of the provision for income taxes to the amount of income taxes calculated using statutory income tax rates applicable to the Company in Canada is as follows: Year ended December 31, December 31, December 31, Canadian federal and provincial recovery of income taxes using statutory rate of 27 % (2021 – 27 %, 2020 – 27 %) ( 4,938 ) ( 44,832 ) ( 9,029 ) Change in recognized taxable temporary differences ( 1,297 ) — — Change in unrecognized deductible temporary differences and unused tax losses 4,680 33,554 6,538 Impact of rate differences between jurisdictions 293 — — Permanent differences and other 862 10,942 2,259 Income tax recovery ( 400 ) ( 336 ) ( 232 ) b) Deferred tax assets The Company’s deferred tax assets are as follows: As at December 31, December 31, Non-capital losses 6,142 6,728 Property and equipment — — Intangible assets — — Total 6,142 6,728 19. Income taxes (Continued from previous page) c) Deferred tax liabilities The Company’s deferred tax liabilities are as follows: As at December 31, December 31, Intangible assets 6,656 7,492 Right-of-use assets 512 708 Property and equipment — 9 Digital assets and derivatives — — Equity investments — — Deferred cost — — 7,168 8,209 d) Deductible temporary differences and unused tax losses Deferred tax assets have no t been recognized because it is not probable that future taxable profit will be available against which the Company can use the benefits therefrom. The Company has deductible temporary differences for which no deferred tax assets are recognized as follows: As at December 31, December 31, Unused tax losses 237,115 235,546 Property and equipment 5,778 5,225 Lease liability 2,709 3,280 Equity investments 7,587 7,523 Intangible assets 31,934 30,341 Investment accounted for using the equity method 78,005 79,109 Debentures 5,595 2,185 Financing costs 1,720 2,643 Research and development expenditures 3,006 3,406 Investment in subsidiaries 3,742 3,395 Capital losses 6,511 — Other 34 419 383,736 373,072 19. Income taxes (Continued from previous page) d) Deductible temporary differences and unused tax losses (Continued from previous page) The Company’s non-capital losses expire as follows: As at December 31, December 31, Expires 2024 335 549 Expires 2025 426 777 Expires 2026 829 1,822 Expires 2027 719 4,419 Expires 2028 480 4,068 Expires 2029 2,732 7,615 Expires 2030 3,120 5,816 Expires 2031 3,439 3,519 Expires 2032 6,432 6,441 Expires 2033 10,297 10,311 Expires 2034 10,264 10,268 Expires 2035 15,609 15,641 Expires 2036 28,528 29,378 Expires 2037 31,963 32,384 Expires 2038 31,264 33,159 Expires 2039 25,580 26,914 Expires 2040 13,708 15,738 Expires 2041 20,816 22,575 Expires 2042 32,773 30,291 Expires 2043 21,823 — 261,137 261,685 |
Loss per share
Loss per share | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Earnings Per Share [Abstract] | |
Loss per share | 20. Loss per share The following reflects consolidated comprehensive loss and weighted average number of shares used in the basic and diluted loss per share computations: Year ended December 31, December 31, December 31, Net loss attributed to shareholders ( 17,887 ) ( 165,678 ) ( 33,209 ) Basic weighted average number of shares (in 000s) 24,853 25,442 21,002 Basic and diluted loss per share ( 0.72 ) ( 2.17 ) ( 0.53 ) The outstanding stock options and warrants were excluded from the calculation of diluted loss per share because their effect is anti-dilutive |
Capital management
Capital management | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Financial Risk Management [Abstract] | |
Capital management | 21. Capital management The Company’s objectives when managing capital are to maintain financial flexibility in order to preserve its ability to meet financial obligations and continue as a going concern, and to deploy capital to provide future investment return to its shareholders. The Company sets the amount and type of capital required relative to its assessment of risk and makes adjustments when necessary to respond to changes to economic conditions, the risk characteristics of the underlying assets, and externally imposed capital requirements. In order to maintain or modify its capital structure, the Company may issue new shares, seek other forms of financing, or sell assets to reduce debt. The Company manages the following as capital: As at December 31, December 31, Share capital 389,806 391,243 Contributed surplus 35,503 33,025 Deficit ( 331,828 ) ( 313,941 ) Credit facility 49,405 46,180 Debentures 37,020 39,658 There have been no changes in the Company’s definition of capital, capital management objectives, policies and processes during the year. There are certain capital requirements of the Company resulting from the Company’s credit facility that include financial covenants and ratios. Management uses these capital requirements in the decisions made in managing the level and make-up of the Company’s capital structure. The Company was in compliance with all of the financial covenants as at December 31, 2023 and December 31, 2022 |
Goodwill and indefinite-life in
Goodwill and indefinite-life intangible assets | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of Goodwill And Intangible Assets [Abstract] | |
Goodwill and indefinite-life intangible assets | 22. Goodwill and indefinite-life intangible assets Goodwill and indefinite-life intangible assets are attributed to CGUs or groups of CGUs to which they relate. Annual impairment testing was performed as at December 31, 2023 for goodwill and indefinite-life intangible assets by comparing the carrying value of net assets within the CGU to the recoverable amount of that CGU. Management tested the individual CGUs, being the Carta and the remaining Mogo related entities CGU. The recoverable amount of the CGUs to which goodwill and indefinite life intangibles are allocated were determined based on a value in use assessment using Level 3 inputs in a discounted cash flow analysis. Management applied a range of assumptions in assessing the value in use of the Carta and Mogo CGUs. The significant assumptions applied in the determination of the recoverable amount are described below: • Cash flows: Estimated cash flows were projected based on actual operating results from internal sources, estimated loan origination and volume growth, as well as industry and market trends. Estimated cash flows are primarily driven by forecasted revenues and operating costs. The forecast period ranged from 5 to 7 years with a terminal value calculation thereafter. • Terminal value growth rate: The terminal growth rate is based on historical and projected economic indicators, including the gross domestic product growth rate. A range of values from 2 % to 5 % were used in the low and high case assumptions, respectively. • Pre-tax discount rate: The pre-tax discount rate is reflective of the CGUs Weighted Average Cost of Capital (“WACC”). The WACC was estimated based on the risk-free rate, equity risk premium, beta adjustment to the equity risk premium based on a direct comparison approach, an unsystematic risk premium, and an after-tax cost of debt based on the interest rate of the Company’s debts. 23 - 24 % for the Mogo CGU, and 20 - 21 % for the Carta CGU respectively. • Tax rate: The tax rates used in determining the future cash flows were those substantively enacted at the respective valuation date. As a result of the impairment test as at December 31, 2023, management concluded that the recoverable amount of each respective CGU was higher than the carrying value of its net assets in each of the range of assumptions noted above. Therefore, no impairment was recognized on goodwill and indefinite life intangible assets for the year ended December 31, 2023 As at December 31, 2023, the carrying value of goodwill and indefinite life intangible assets attributable to the Carta CGU is $ 24,315 and $ 1,000 , respectively (December 31, 2022 – $ 24,315 and $ 1,000 , respectively). The carrying value of goodwill attributable to the remaining Mogo related entities CGU is $ 14,040 (December 31, 2022 – $ 14,040 ). The amounts by which the value in use of the CGUs exceeded their carrying value were $ 1,931 and $ 1,943 for the Carta and Mogo CGUs, respectively, at the low end of the range. A 1 % increase in the pre-tax discount rates would be required in order for the CGUs’ recoverable amount to be equal to their carrying value. |
Fair value of financial instrum
Fair value of financial instruments | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Fair Value Of Financial Instruments [Abstract] | |
Fair value of financial instruments | 23. Fair value of financial instruments The fair value of a financial instrument is the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants which takes place in the principal (or most advantageous) market at the measurement date. The fair value of a liability reflects its non-performing risk. Assets and liabilities recorded at fair value in the consolidated statements of financial position are measured and classified in a hierarchy consisting of three levels for disclosure purposes. The three levels are based on the priority of the inputs to the respective valuation technique. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). An asset or liability's classification within the fair value hierarchy is based on the lowest level of significant input to its valuation. The input levels are defined as follows: • Level 1: Unadjusted quoted prices in an active market for identical assets and liabilities. • Level 2: Quoted prices in markets that are not active or inputs that are derived from quoted prices of similar (but not identical) assets or liabilities in active markets. • Level 3: Unobservable inputs that are supported by little or no market activity and are significant to the estimated fair value of the assets or liabilities. (a) Valuation process The Company maximizes the use of quoted prices from active markets, when available. A market is regarded as active if transactions take place with sufficient frequency and volume to provide pricing information on an ongoing basis. Where independent quoted market prices are not available, the Company uses quoted market prices for similar instruments, other third-party evidence or valuation techniques. The fair value of financial instruments determined using valuation techniques include the use of recent arm’s length transactions and discounted cash flow analysis for investments in unquoted securities, discounted cash flow analysis for derivatives, third-party pricing models or other valuation techniques commonly used by market participants and utilize independent observable market inputs to the maximum extent possible. The use of valuation techniques to determine the fair value of a financial instrument requires management to make assumptions such as the amount and timing of future cash flows and discount rates and incorporate the Company’s estimate of assumptions that a market participant would make when valuing the instruments. 23. Fair value of financial instruments (Continued from previous page) (b) Accounting classifications and fair values The following table shows the carrying amount and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy. During the year ended December 31, 2023 and 2022, there have not been any transfers between fair value hierarchy levels except for the transfers indicated in Note 25(c)(i) related to the investment portfolio. Carrying amount Fair value As at December 31, 2023 Note FVTPL Financial asset at Other financial Total Level 1 Level 2 Level 3 Total Financial assets measured at fair value Investment portfolio 37,768 — — 37,768 26,332 — 11,436 37,768 37,768 — — 37,768 Financial assets not measured at fair value Cash and cash equivalent — 16,133 — 16,133 16,133 — — 16,133 Restricted cash — 1,737 — 1,737 1,737 — — 1,737 Loans receivable – current 4 — 74,121 — 74,121 — 74,121 — 74,121 Loans receivable – non-current 4 — 151 — 151 — — 151 151 Other receivables — 11,750 — 11,750 — 11,750 — 11,750 — 103,892 — 103,892 Financial liabilities measured at fair value Derivative financial liabilities 13 34 — — 34 — 34 — 34 34 — — 34 Financial liabilities not measured at fair value Accounts payable, accruals and other — — 23,904 23,904 — 23,904 — 23,904 Credit facility 11 — — 49,405 49,405 — 49,405 — 49,405 Debentures 12 — — 36,783 36,783 — 34,997 — 34,997 — — 110,092 110,092 Fair value of financial instruments (Continued from previous page) (b) Accounting classifications and fair values (Continued from previous page) Carrying amount Fair value As at December 31, 2022 Note FVTPL Financial asset at amortized cost Other financial liabilities Total Level 1 Level 2 Level 3 Total Financial assets measured at fair value Investment portfolio 12,520 — — 12,520 605 — 11,915 12,520 12,520 — — 12,520 Financial assets not measured at fair value Cash and cash equivalent — 29,268 — 29,268 29,268 — — 29,268 Restricted cash — 1,578 — 1,578 1,578 — — 1,578 Loans receivable – current 4 — 69,693 — 69,693 — 69,693 — 69,693 Loans receivable – non-current 4 — 221 — 221 — — 221 221 Other receivables — 9,719 — 9,719 — 9,719 — 9,719 — 110,479 — 110,479 Financial liabilities measured at fair value Derivative financial liabilities 13 419 — — 419 — 419 — 419 419 — — 419 Financial liabilities not measured at fair value Accounts payable, accruals and other — — 20,773 20,773 — 20,773 — 20,773 Credit facility 11 — — 46,180 46,180 — 46,180 — 46,180 Debentures 12 — — 38,266 38,266 — 36,067 — 36,067 — — 105,219 105,219 23. Fair value of financial instruments (Continued from previous page) (c) Measurement of fair values: (i) Valuation techniques and significant unobservable inputs The following tables show the valuation techniques used in measuring Level 3 fair values for financial instruments in the consolidated statements of financial position, as well as the significant unobservable inputs used. Type Valuation technique Significant unobservable inputs Inter-relationship between significant unobservable inputs and fair value Investment portfolio: Equities Unlisted Price of recent investments in the investee company Implied multiples from recent transactions of the underlying investee companies Offers received by investee companies Revenue multiples derived from comparable public companies and transactions Option pricing model Third-party transactions Revenue multiples Balance sheets and last twelve-month revenues for certain of the investee companies Equity volatility Time to exit events Discount for lack of marketability Increases in revenue multiples increases fair value Increases in equity volatility can increase or decrease fair value depending on class of shares held in the investee company Increases in estimated time to exit event can increase or decrease fair value depending on class of shares held in the investee company Partnership interest and others Adjusted net book value Net asset value per unit Change in market pricing of comparable companies of the underlying investments made by the partnership Increases in net asset value per unit or change in market pricing of comparable companies of the underlying investment made by the partnership can increase fair value Loans receivable non-current Discounted cash flows: Considering expected prepayments and using management’s best estimate of average market interest rates with similar remaining terms. Expected timing and amount of cash flows Discount rate Changes to the expected amount and timing of cash flow changes fair value Increases to the discount rate can decrease fair value 23. Fair value of financial instruments (Continued from previous page) (i) Valuation techniques and significant unobservable inputs (Continued from previous page) The following table presents the changes in fair value measurements of the Company’s investment portfolio recognized at fair value at December 31, 2023 and December 31, 2022 and classified as Level 3: As at December 31, December 31, 2022 Balance, beginning of the period 11,915 16,303 Additions — 1,837 Disposal ( 152 ) — Transfer to Level 1 investments — ( 500 ) Unrealized exchange (loss) gain ( 201 ) 547 Realized loss on investment portfolio ( 508 ) — Unrealized gain (loss) on investment portfolio 382 ( 6,272 ) Balance, end of the period 11,436 11,915 The fair value of the Company's current loans receivable, other receivables, and accounts payable, accruals and other approximates its carrying values due to the short-term nature of these instruments. The fair value of the Company's credit facility approximates its carrying amount due to its variable interest rate, which approximates a market interest rate. The fair value of the Company's debentures was determined based on a discounted cash flow analysis using observable market interest rates for instruments with similar terms. (ii) Sensitivity analysis For the fair value of equity securities, reasonably possible changes at the reporting date to one of the significant unobservable inputs, holding other inputs constant, would have the following effects. Profit or loss Increase Decrease Investment portfolio: December 31, 2023 Adjusted market multiple (5% movement) 572 ( 572 ) December 31, 2022 Adjusted market multiple (5% movement) 626 ( 626 ) 23. Fair value of financial instruments (Continued from previous page) (iii) Investment portfolio breakdown The following table presents the breakdown of the Company’s investment portfolio recognized at fair value at December 31, 2023 and December 31, 2022: As at December 31, December 31, 2022 WonderFi 25,654 — Alida Inc. 3,035 2,001 Blue Ant Media Inc. 2,700 2,237 Hootsuite Inc. 2,491 2,467 Gemini 898 569 Cardiac Dimensions Pty Ltd. 828 880 Tetra Trust Company 715 1,300 Others 1,447 3,066 Balance, end of the period 37,768 12,520 |
Nature and extent of risk arisi
Nature and extent of risk arising from financial instruments | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of detailed information about financial instruments [abstract] | |
Nature and extent of risk arising from financial instruments | 24. Nature and extent of risk arising from financial instruments Risk management policy In the normal course of business, the Company is exposed to financial risk that arises from a number of sources. Management’s involvement in operations helps identify risks and variations from expectations. As a part of the overall operation of the Company, Management takes steps to avoid undue concentrations of risk. The Company manages these risks as follows: Credit risk Credit risk is the risk of financial loss to the Company if a customer or counter‑party to a financial instrument fails to meet its contractual obligations and arises primarily from the Company’s loans receivable. The maximum amount of credit risk exposure is limited to the gross carrying amount of the loans receivable disclosed in these financial statements. The Company acts as a lender of unsecured consumer loans and lines of credit and has little concentration of credit risk with any particular individual, company or other entity, relating to these services. However, the credit risk relates to the possibility of default of payment on the Company’s loans receivable. The Company performs on‑going credit evaluations, monitors aging of the loan portfolio, monitors payment history of individual loans, and maintains an allowance for loan loss to mitigate this risk. The credit risk decisions on the Company’s loans receivable are made in accordance with the Company’s credit policies and lending practices, which are overseen by the Company’s senior management. Credit quality of the customer is assessed based on a credit rating scorecard and individual credit limits are defined in accordance with this assessment. The consumer loans receivable is unsecured. The Company develops underwriting models based on the historical performance of groups of customer loans which guide its lending decisions. To the extent that such historical data used to develop its underwriting models is not representative or predictive of current loan book performance, the Company could suffer increased loan losses. The Company cannot guarantee that delinquency and loss levels will correspond with the historical levels experienced and there is a risk that delinquency and loss rates could increase significantly. 24. Nature and extent of risk arising from financial instruments (Continued from previous page) Liquidity risk Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due or will not receive sufficient funds from its third-party lenders to advance to the Company’s customers. The Company manages all liquidity risk through maintaining a sufficient working capital amount through daily monitoring of controls, cash balances and operating results. The Company’s principal sources of cash are funds from operations, which the Company believes will be sufficient to cover its normal operating and capital expenditures. The Company’s accounts payable and accruals are substantially due within 12 months. The maturity schedule of the Company’s credit facility and debentures are described below. Management’s intention is to continue to refinance any outstanding amounts owing under the credit facility and debentures, in each case as they become due and payable. The debentures are subordinated to the credit facility which has the effect of extending the maturity date of the debentures to the later of contractual maturity or the maturity date of credit facility. See Note 11 and 12 for further details. 2024 2025 2026 2027 2028 Thereafter Commitments - operational Lease payments 1,206 1,240 1,255 872 113 526 Accounts payable 6,448 — — — — — Accruals and other 17,634 — — — — — Other purchase obligations 1,308 812 584 642 221 — Interest – Credit facility (Note 11) 6,601 3,300 — — — — Interest – Debentures (Note 12) 3,197 2,252 — — — — 36,394 7,604 1,839 1,514 334 526 Commitments – principal repayments Credit facility (Note 11) — 49,405 — — — — Debentures (Note 12) (1) 1,924 35,096 — — — — 1,924 84,501 — — — Total contractual obligations 38,318 92,105 1,839 1,514 334 526 (1) The debenture principal repayments are payable in either cash or Common Shares at Mogo’s option. The number of Common Shares required to settle the principal repayments is variable based on the Company's share price at the repayment date. 24. Nature and extent of risk arising from financial instruments (Continued from previous page) Market risk Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: interest rate risk, currency risk and other price risk, such as equity price risk and commodity risk. Financial instruments that could be affected by market risk include cash, investment portfolio, credit facilities, debentures, derivative financial assets and derivative financial liabilities. Given the concentration of our investments, a 10 % decrease in the market value of WonderFi shares would have an impact of $ 2.6 million on the statement of loss Interest rate risk Changes in market interest rates may have an effect on the cash flows associated with some financial assets and liabilities, known as cash flow risk, and on the fair value of other financial assets or liabilities, known as price risk. The Company is exposed to interest rate risk primarily relating to its credit facility that bear interest fluctuating with the Secured Overnight Financing Rate (“SOFR”). The credit facility does not have a SOFR floor. As at December 31, 2023 , SOFR is 5.38 % (December 31, 2022 – LIBOR 4.32 %). For the year ended December 31, 2023, a 100-basis point change in SOFR would increase or decrease credit facility interest expense by $ 386 (December 31, 2022 – $ 515 ) . The debentures have fixed rates of interest and are not subject to variability in cash flows due to interest rate risk. A fundamental reform of major interest rate benchmarks (the "Reform") was undertaken in 2023. The USD LIBOR ceased to be published in June 2023 for all USD LIBOR tenors. Management has performed an assessment on the impact of the Reform and has determined that the Company only has exposure to the Reform through its credit facility and the nature of the risks are operational and financial. Operational risk includes ensuring proper contractual terms are in place and engagement with the credit facility lender on the progress and impact of their own transition. Financial risk includes the impact on the economics of the financial instruments. Currency risk Currency risk is the risk that changes in foreign exchange rates may have an effect on future cash flows associated with financial instruments. The Company is primarily exposed to foreign currency risk on the following financial instruments denominated in U.S. dollars. As at December 31, 2023, a 5% increase or decrease in the U.S. dollar exchange rate would increase or decrease the unrealized exchange gain (loss) by $123 (December 31, 2022 – $314 ). As at ($000 USD) December 31, December 31, Cash 38 3,553 Investment portfolio 5,813 5,958 Derivative financial liabilities ( 26 ) ( 310 ) Debentures ( 3,971 ) ( 4,562 ) 24. Nature and extent of risk arising from financial instruments (Continued from previous page) Other price risk Other market price risk is the risk that the fair value of the financial instrument will fluctuate as a result of changes in market prices (other than those arising from interest rate risks or currency risk), whether caused by factors specific to an individual investment or its issuers or factors affecting all instruments traded in the market. The investment portfolio comprises of non-listed closely held equity instruments which have minimal exposure to market prices. The valuation of the investment portfolio is conducted on a quarterly basis |
Equity
Equity | 12 Months Ended |
Dec. 31, 2023 | |
Equity [abstract] | |
Equity | 25. Equity (a) Share capital The Company’s authorized share capital is comprised of an unlimited number of Common Shares with no par value and an unlimited number of preferred shares issuable in one or more series. The Board is authorized to determine the rights and privileges and number of shares of each series of preferred shares. As of August 14, 2023, Mogo completed a share consolidation of the Company's issued and outstanding common shares (the "Share Consolidation") at a consolidation ratio of 3-for-1. All references to common shares, warrants, derivative warrant liabilities, stock options, and RSUs have been retrospectively adjusted to reflect the Share Consolidation. As at December 31, 2023 there were 24,515,909 (December 31, 2022 – 24,992,513 ) Common Shares and no preferred shares issued and outstanding. For the year ended December 31, 2023 , the Company repurchased 474,353 Common Shares for cancellation under the share repurchase program at an average price of CAD $ 2.36 per share, for a total repurchase cost of $ 1,193 . For the year ended December 31, 2022 , the Company repurchased 600,000 Common Shares for cancellation under the share repurchase program at an average price of CAD $ 2.70 per share, for a total repurchase cost of $ 1,627 . (b) Treasury share reserve The treasury share reserve comprises the cost of the shares held by the Company. As at December 31, 2023, the Company held 190,706 Common Shares in reserve (December 31, 2022 – 101,272 ). 25. Equity (Continued from previous page) (c) Options The Company has a stock option plan (the “Plan”) that provides for the granting of options to directors, officers, employees and consultants. The exercise price of an option is set at the time that such option is granted under the Plan. The maximum number of Common Shares reserved for issuance under the Plan is the greater of i) 15 % of the number of Common Shares issued and outstanding, and ii) 1,266,667 . As a result of a business combination with Mogo Finance Technology Inc. completed on June 21, 2019, there were additional options issued, which were granted pursuant to the Company’s prior stock option plan (the “Prior Plan”). As at December 31, 2023 , there are 32,333 of these options outstanding that do not contribute towards the maximum number of Common Shares reserved for issuance under the Plan as described above. Each option entitles the holder to receive one Common Share upon exercise . No amounts are paid or payable by the recipient on receipt of the option. The options carry neither right to dividends nor voting rights. Options may be exercised at any time from the date of vesting to the date of expiry. Options issued under the Plan have a maximum contractual term of eight years and options issued under the Prior Plan have a maximum contractual term of ten years . A summary of the status of the stock options and changes in the period is as follows: Options outstanding (000s) Weighted average grant date fair value $ Weighted average exercise price $ Options exercisable (000s) Weighted average exercise price $ Balance, December 31, 2021 2,975 — 13.92 1,012 11.79 Options issued 1,152 3.18 4.22 — — Exercised ( 16 ) 3.65 4.76 — — Forfeited ( 904 ) 10.69 10.53 — — Balance, December 31, 2022 3,207 — 9.09 1,236 11.22 Options issued 1,362 1.80 2.41 — — Forfeited ( 1,071 ) 9.02 9.07 — — Balance, December 31, 2023 3,498 — 5.56 1,499 8.18 The above noted options have expiry dates ranging from March 2024 to December 2031. Options granted during the year ended December 31, 2023 include nil options granted to non-employees ( December 31, 2022 – 100,000 ). These options measured at the fair value of corresponding services received, rather than using the Black-Scholes option pricing model. 25. Equity (Continued from previous page) (c) Options (Continued from previous page) The fair value of each option granted was estimated using the Black-Scholes option pricing model with the following assumptions: Year ended December 31, December 31, Risk-free interest rate 3.02 - 4.30 % 1.73 - 3.40 % Expected life 5 years 5 years Expected volatility in market price of shares 90 - 91 % 87 - 91 % Expected dividend yield 0 % 0 % Expected forfeiture rate 0 % - 15 % 0 % - 15 % These options generally vest monthly over a four-year period after an initial one-year cliff . Total stock-based compensation costs related to options and RSUs for the year ended December 31, 2023 was $ 2,457 ( December 31, 2022 – $ 8,604 ). (d) RSUs RSUs are granted to executives and other key employees. The fair value of an RSU at the grant date is equal to the market value of one Common Share. Executives and other key employees are granted a specific number of RSUs for a given performance period based on their position and level of contribution. RSUs vest fully after three years of continuous employment from the date of grant and, in certain cases, if performance objectives are met as determined by the Board . The maximum number of Common Shares which may be made subject to issuance under RSUs awarded under the RSU Plan is 166,667 . As at December 31, 2023 , the balance of RSUs outstanding is nil ( December 31, 2022 - 667 ) 25. Equity (Continued from previous page) (e) Warrants Warrants outstanding (000s) Weighted average exercise price $ Warrants exercisable (000s) Weighted average exercise price $ Balance, December 31, 2021 663 13.80 586 15.12 Warrants issued — — — — Balance, December 31, 2022 663 13.80 625 14.40 Warrants issued 89 2.79 — — Warrants exercised — — — — Warrants expired ( 394 ) 6.09 ( 394 ) 6.09 Balance, December 31, 2023 358 20.53 280 25.46 The 357,739 warrants outstanding noted above have expiry dates ranging from February 2024 to February 2026, and do not include the stock warrants accounted for as a derivative financial liability discussed in Note 13. On October 7, 2020, Mogo issued 1,493,131 Debenture Warrants to its debenture holders in connection with the debenture amendments approved on September 30, 2020, at an exercise price of $ 6.09 per Common Share. On January 3, 2023, 394,655 Debenture Warrants expired unexercised. There were no Debenture Warrants outstanding as at December 31, 2023 (December 31, 2022 – 394,655 ). On August 11, 2023, Mogo entered into an extended agreement with Postmedia Network Inc. (“Postmedia”) which is effective January 1, 2023. Under the extended agreement Mogo will receive discounted access to Postmedia’s network. As part of the extended agreement, the companies agreed to: (1) amend the exercise price of the 77,778 outstanding warrants of the Company held by Postmedia to $ 2.79 per share, each such warrant entitling Postmedia to acquire one Mogo share, and (2) extend the term of these warrants from January 25, 2023 to September 20, 2025. The amendments to the outstanding warrants will be effective as of the date that is ten (10) business days following the date hereof. In addition, Mogo will issue an additional 89,000 warrants, each such new warrant entitling Postmedia to acquire one Mogo share at the same price as the amended warrants for a period of 2 years and 6 months from the date of issuance. During the year ended December 31, 2021, the Company also issued 190,961 warrants to purchase Common Shares with exercise prices ranging from USD $ 16.89 to USD $ 37.89 per warrant in connection with broker services rendered on offerings during the period. As at December 31, 2023, these warrants remain outstanding and exercisable. Warrants issued to investors are denominated in a currency other than the functional currency of the Company therefore do not meet the definition of an equity instrument and are classified as derivative financial liabilities. Refer to Note 13 for more details. |
Related party transactions
Related party transactions | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Related Party [Abstract] | |
Related party transactions | 26. Related party transactions Related party transactions during the year ended December 31, 2023, include transactions with debenture holders that incur interest. The related party debentures balance as at December 31, 2023 , totaled $ 290 (December 31, 2022 – $ 306 ). The debentures bear annual coupon interest of 8.0 % (December 31, 2022 – 8.0 %) with interest expense for the year ended December 31, 2023 , totaling $ 24 (December 31, 2022 – $ 25 ). The related parties involved in such transactions include Company shareholders, officers, directors, and management, close members of their families, or entities which are directly or indirectly controlled by close members of their families. The debentures are ongoing contractual obligations that are used to fund the Company's corporate and operational activities. In the year ended December 31, 2023, the Company incurred $ 175 of sponsorship expenses (December 31, 2022 – $ 188 ) with a company owned by a director of Mogo. Key management personnel Key management personnel (“KMP”) are those persons having authority and responsibility for planning, directing, and controlling the activities of the entity, directly or indirectly. KMP consist of directors and executive officers of the Company. During the year ended December 31, 2023, KMP were granted 832,999 stock options with a fair value of $ 1,481 at the grant date (December 31, 2022 – 806,494 stock options with a fair value of $ 2,553 at the grant date). Aggregate compensation of KMP recorded as expenses in the consolidated statement of operations and comprehensive income (loss) during the year consisted of: Year ended December 31, December 31, Salary and short – term benefits 1,940 2,192 Stock-based compensation 1,278 3,129 Termination benefits 163 1,224 3,381 6,545 |
Cash flow changes from financin
Cash flow changes from financing activities | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Cash Flow Statement [Abstract] | |
Cash flow changes from financing activities | 27. Cash flow changes from financing activities Details of changes in financing activities for the year ended December 31, 2023 are as follows: Non-cash changes January 1, Cash Conversion/ Foreign Fair Value/ Amortization December 31, Share capital 391,243 ( 1,193 ) ( 244 ) — — 389,806 Lease liability 3,280 ( 571 ) — — — 2,709 Credit facility 46,180 3,225 — — — 49,405 Debentures 38,266 ( 2,393 ) ( 84 ) 18 976 36,783 Total 478,969 ( 932 ) ( 328 ) 18 976 478,703 Details of changes in financing activities for the year ended December 31, 2022 are as follows: Non-cash changes January 1, Cash Conversion/ Foreign Fair Value/ Amortization December 31, Share capital 392,628 ( 1,558 ) 173 — — 391,243 Lease liability 3,948 ( 668 ) — — — 3,280 Credit facility 44,983 1,197 — — — 46,180 Debentures 39,794 ( 2,050 ) — 429 93 38,266 Total 481,353 ( 3,079 ) 173 429 93 478,969 Details of changes in financing activities for the year ended December 31, 2021 are as follows: Non-cash changes January 1, Cash Conversion/ Foreign Fair Value/ Amortization December 31, Share capital 106,730 121,238 164,660 — — 392,628 Lease liability 4,336 ( 660 ) 272 — — 3,948 Credit facility 37,644 7,339 — — — 44,983 Debentures 40,658 ( 2,053 ) ( 49 ) ( 14 ) 1,252 39,794 Convertible debentures 8,751 — ( 8,751 ) — — — Total 198,119 125,864 156,132 ( 14 ) 1,252 481,353 |
Material accounting policies (P
Material accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Significant Accounting Policies Policy [Abstract] | |
Revenue recognition | a) Revenue recognition Revenue is comprised of subscription and services revenue and interest revenue. Subscription and services revenue Subscription and services revenue is comprised of service revenue, trading revenue, transaction processing revenue, management fee revenue, commission revenue and brokerage revenue. Subscription and services revenue is measured based on the consideration specified in a contract with customers. The Company recognizes revenue when control of the services is transferred to the customer. Service revenue The Company earns service revenue through its subscription-based offerings including its long-term savings and investing products, loan protection services, and premium account services. The Company’s service revenues are derived from contracts with individual users. The Company recognizes service revenue from the performance obligations on a straight-line basis, over the length of the contract, on a recurring basis. Transaction processing revenue The Company’s transaction processing revenue is derived from long-term processing contracts with financial and non-financial institutions. Transaction processing revenue is generated primarily from fees charged to set up a customer on the Company’s processing platform and processing charges, including maintenance fees on cards on the Company’s processing platform, determined by the number of transactions processed and/or cards boarded by the Company for its customers. Transaction processing revenue typically includes a performance obligation to provide processing services to its customers. The Company has determined that transaction processing services represent a stand-ready series of distinct daily services that are substantially the same, with the same pattern of service performed for the customer. As a result, the Company has determined that transaction processing revenue arrangements represent an individual performance obligation. The Company recognizes set-up fees with a portion recognized upon customer acceptance and the remaining portion over the contract period, on a straight-line basis, commencing when services to set up a customer have been completed. The Company recognizes transaction processing charges, including maintenance fees, on a monthly basis based on the greater of the monthly minimum contracted revenue or the total actual transaction fees due based on the number of transactions processed. 3. Material accounting policies (Continued from previous page) a) Revenue recognition (Continued from previous page) Management fee revenue Revenue from management services consists of management fees earned through investment advisory services and from investment fund management. The Company recognizes management fee revenue as the management services are delivered. Commission revenue Commission revenue is comprised of MogoMortgage brokerage commissions and Exempt Market Dealer commission revenue. The Company earns a commission based on the rate set out within the agreement and is recognized upon completion of the services outlined in the agreement. Brokerage revenue Brokerage revenue arising from negotiating or participating in the negotiation of a transaction on behalf of a third party, such as an agreement to acquire shares or other securities or to buy or sell businesses, is recognized at the closing of the underlying transaction. Fee revenue or components thereof that are related to execution are recognized when the related criteria are met. Interest revenue Interest revenue represents interest on the Company's loan products. Interest is recognized on an effective interest basis during the period, and fees are recognized when assessed to the customer. |
Cost of revenue | b) Cost of revenue Cost of revenue consists of provision for loan losses and transaction costs. Transaction costs include commissions and fees paid to third parties, and expenses that relate directly to the acquisition and processing of new customers (excluding marketing) and include expenses such as data aggregation costs, payment facilitation costs, credit scoring fees, loan system transaction fees, and certain fees related to the MogoProtect progra m. |
Financial instruments | c) Financial instruments Financial assets and liabilities are recognized when the Company becomes a party to the contractual provisions of the instrument. Financial assets are derecognized when the rights to receive cash flows from the assets have expired or have been transferred, and the Company has transferred substantially all risks and rewards of ownership. Financial liabilities are derecognized when the obligation specified in the contract is discharged, cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognized in the consolidated statements of operations and comprehensive income (loss). Classification and measurement of financial assets and financial liabilities At initial recognition, the Company measures a financial asset at its fair value. For financial assets not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset, are added to its initial carrying value. Transaction costs of financial assets carried at fair value through profit or loss are expensed in profit or loss. Financial liabilities are recognized initially at fair value and are classified as amortized cost or as fair value through profit or loss (“FVTPL”). A financial liability is classified as at FVTPL if it is classified as held-for trading, it is a derivative or it is designated as such on initial recognition. The Company classifies its financial assets between those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and those to be measured at amortized cost. Financial assets are not reclassified subsequent to their initial recognition unless the Company changes its business model for managing financial assets in which case all affected financial assets are reclassified on the first day of the first reporting period following the change in the business model. A financial asset is measured at amortized cost if it meets both of the following conditions and is not designated as FVTPL: • it is held within a business model whose objective is to hold assets to collect contractual cash flows; and • its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. A debt investment is measured at fair value through other comprehensive income (“FVOCI”) if it meets both of the following conditions and is not designated as at FVTPL: • it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets; and • its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. All financial assets not classified as measured at amortized cost or FVOCI as described above are measured at FVTPL. Financial liabilities at FVTPL are measured at fair value and net gains and losses, including any interest expense, are recognized in profit or loss. Other financial liabilities are subsequently measured at amortized cost using the effective interest method. Interest expense is recognized in profit or loss. Any gain or loss on derecognition is also recognized in profit or loss. 3. Material accounting policies (Continued from previous page) c) Financial instruments (Continued from previous page) The Company’s financial instruments measured at amortized cost include cash and cash equivalent, restricted cash, loans receivable, other receivables, accounts payable and accruals, client liabilities, lease liabilities, credit facility, and debentures. The Company’s financial instruments measured at FVTPL include the investment portfolio, derivative financial assets and derivative financial liabilities. Realized gains or losses on the disposal of investments are determined based on the weighted average cost. Unrealized gains or losses on investments and derivative instruments are determined based on the change in fair value at each reporting period. Impairment of financial assets Expected credit loss model The expected credit loss (“ECL”) model is a three-stage impairment approach used to measure the allowance for loan losses on loans receivable at each reporting period date. Loans are classified under one of three stages based on changes in credit quality since initial recognition. Stage 1 loans consist of performing loans that have not had a significant increase in credit risk since initial recognition. Loans that have experienced a significant increase in credit risk since initial recognition are classified as Stage 2, and loans considered to be credit-impaired are classified as Stage 3. The Company routinely refinances its existing customers, and accordingly, does not consider a refinancing to be an indicator of increased credit risk. The allowance for loan losses on both Stage 2 and Stage 3 loans is measured at lifetime ECLs. The allowance for loan losses on Stage 1 loans is measured at an amount equal to 12-month ECLs, representing the portion of lifetime ECLs expected to result from default events possible within 12 months of the reporting date. The Company’s measurement of ECLs is impacted by forward looking indicators (“FLIs”) including the consideration of forward macroeconomic conditions. Management has applied a probability weighted approach to the measurement of ECL as at December 31, 2023, involving multiple scenarios and FLIs. Refer to Note 4 for more details. Assessment of significant increase in credit risk Significant increases in credit risk are assessed based on changes in probability of default of loans receivable subsequent to initial recognition. The Company uses past due information to determine whether credit risk has increased significantly since initial recognition. Loans receivable are considered to have experienced a significant increase in credit risk and are reclassified to Stage 2 if a contractual payment is more than 30 days past due as at the reporting date. The Company defines default as the earlier of when a contractual loan payment is more than 90 days past due or when a loan becomes insolvent as a result of customer bankruptcy. Loans that have experienced a default event are considered to be credit-impaired and are reclassified as Stage 3 loans. 3. Material accounting policies (Continued from previous page) c) Financial instruments (Continued from previous page) Measurement of expected credit losses ECLs are measured as the calculated expected value of cash shortfalls over the remaining life of a loan receivable, using a probability-weighted approach that reflects reasonable and supportable information about historical loss rates, post-charge off recoveries, current conditions and forward-looking indicators such as unemployment rates, inflation rates, bank prime rates and GDP growth rates. The measurement of ECLs primarily involves using this information to determine both the expected probability of a default event occurring and expected losses resulting from such default events. Loans are grouped according to product type, customer tenure and aging for the purpose of assessing ECLs. Historical loss rates and probability weights are re-assessed quarterly and subject to management review. |
Intangible assets | d) Intangible assets Intangible assets, with the exception of digital assets, are measured at cost less accumulated amortization and impairment losses. Intangible assets include internally generated and acquired software, acquired technology assets, regulatory licenses, and customer relationships with finite useful lives. Acquired brand and trade names are considered to have indefinite useful lives. Internally generated software costs primarily consist of salaries and payroll-related costs for employees directly involved in the development efforts and fees paid to outside consultants. Amortization is recorded at rates intended to amortize the cost of the intangible assets over their estimated useful lives as follows: Rate Software - Internally generated 5 years straight line Software licenses 5 years straight line Technology assets - Acquired 10 years straight line Customer relationships 7 to 10 years straight line Regulatory licenses 5 years straight line Brand and trade name Indefinite Development costs, including those related to the development of software, are recognized as an intangible asset when the Company can demonstrate: • the technical feasibility of completing the intangible asset so that it will be available for use or sale; • its intention to complete and its ability to use or sell the asset; • how the asset will generate future economic benefits; • the availability of resources to complete the asset; and • the ability to measure reliably the expenditure during development. Following initial recognition of the development expenditure as an asset, the cost model is applied requiring the asset to be carried at cost less any accumulated amortization and accumulated impairment losses. Amortization of the asset begins when development is complete, and the asset is available for use. During the period of development, the asset is tested for impairment annually. |
Goodwill | e) Goodwill Goodwill represents the future economic benefits arising from a business combination that are not individually identified and separately recognized. Goodwill is measured at cost less accumulated impairment losses. Goodwill is tested for impairment annually or when indicators of impairment exist. |
Impairment of non-financial assets | f) Impairment of non-financial assets At the end of each reporting period, the Company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss, if any. Recoverable amount is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets. Where it is not possible to estimate the recoverable amount of an individual asset, the Company estimates the recoverable amount of the cash‑generating units (“CGUs”) to which the asset belongs. Where a reasonable and consistent basis of allocation can be identified, corporate assets are also allocated to individual CGUs, or otherwise they are allocated to the smallest group of CGUs for which a reasonable and consistent allocation basis can be identified. For impairment testing purposes, the Company is determined to be two CGUs as follows: • Carta; and • Remaining Mogo related entities. Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment at least annually, and whenever there is an indication that the asset may be impaired. The recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre‑tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted. If the recoverable amount of an asset or CGU is estimated to be less than its carrying amount, the carrying amount of the asset or CGU is reduced to its recoverable amount. An impairment loss is recognized immediately in the consolidated statements of operations and comprehensive income (loss). Other than for goodwill, where an impairment loss subsequently reverses, the carrying amount of the asset or CGU is increased to the revised estimate of its recoverable amount, such that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognized for the asset or CGU in prior years. A reversal of an impairment loss is recognized in the consolidated statements of operations and comprehensive income (loss). |
Foreign currency translation | g) Foreign currency translation The consolidated financial statements are presented in Canadian dollars. The functional currency of each subsidiary is determined based on the currency of the primary economic environment in which that subsidiary operates. Transactions in foreign currencies are initially recorded in the respective functional currencies at the rate prevailing at the date of the transaction. Monetary items are translated into the functional currency at the exchange rate in effect as at the date of the statement financial position and non-monetary items are translated as at the rate of exchange in effect when the assets were acquired or the obligation was incurred. Revenue and expenses are translated into Canadian dollars using average monthly exchange rates. 3. Material accounting policies (Continued from previous page) g) Foreign currency translation (Continued from previous page) Foreign exchange gains or losses are recorded to revaluation loss (gain) in the consolidated statements of operations and comprehensive income (loss). The functional currency of each subsidiary that is not in Canadian dollars is as follows: Carta Financial Services Ltd. (GBP), Carta Solutions Processing Services Cyprus Ltd. (EUR), Carta Solutions Processing Services Corp. (MAD), Carta Solutions Singapore PTE. Ltd. (SGD), Carta Americas Inc. (USD), Moka Financial Technologies Europe (EUR), and Tactex Advisors Inc. (USD). |
Foreign operations | h) Foreign operations The assets and liabilities of foreign operations are translated to the presentation currency using exchange rates at the reporting date. The revenue and expenses of foreign operations are translated to the presentation currency using exchange rates at the dates of the transactions. Foreign currency differences are recognized in other comprehensive income |
Income taxes | i) Income taxes Income tax expense is comprised of current and deferred tax. Current tax is the expected tax payable or receivable on the taxable income or loss for the period, using tax rates enacted or substantively enacted at the reporting date, and any adjustment to tax payable in respect of previous years. Deferred tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax is measured at the tax rates that are expected to be applied to temporary differences when they reverse, based on the laws that have been enacted or substantively enacted by the reporting date. Deferred tax assets are recognized to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilized |
Share-based payments | j) Share-based payments The Company measures equity settled stock options granted to directors, officers, employees and consultants based on their fair value at the grant date and recognizes compensation expense over the vesting period. Measurement inputs include the Company’s share price on the measurement date, the exercise price of the option or warrant, the expected volatility of the Company’s shares, the expected life of the options or warrants, and the risk-free rate of return. Dividends are not factored in as the Company does not expect to pay dividends in the foreseeable future. Expected forfeitures are estimated at the date of grant and subsequently adjusted if further information indicates actual forfeitures may vary from the original estimate. For each restricted share unit granted to directors, officers and employees, compensation expense is recognized equal to the market value of one common share at the date of grant based on the number of RSUs expected to vest, recognized over the term of the vesting period, with a corresponding credit to contributed surplus. Share-based payment arrangements with non-employees in which the Company receives goods or services as consideration for its own equity instruments are accounted for as equity-settled share-based payments transactions. The share-based payments are measured based on the fair value of the goods or services received if the fair value can be reliably measured. Otherwise, the share-based payments are measured based on the fair value of the share-based awards using the expected life, risk free interest rate, volatility, exercise price, and fair value of the underlying equity instrument at the time the goods or services are received. |
Earnings per share | k) Earnings per share The computation of earnings per share is based on the weighted average number of shares outstanding during the period and profit attributable to the common shareholders. Diluted earnings per share are computed in a similar way to basic earnings per share except that the weighted average shares outstanding are increased to include the additional effects of all dilutive potential common shares assuming the exercise of share options or warrants. |
Business combinations | l) Business combinations The Company uses the acquisition method of accounting for its business combinations. The consideration transferred in the acquisition is generally measured at fair value, as are the identifiable net assets acquired. Any gain on purchase is recognized in the consolidated statements of operations and comprehensive income (loss). Transaction cost are expenses as incurred, except if related to the issue of debt or equity securities. The consideration transferred does not include amounts related to the settlement of pre-existing relationship. Such amounts are generally recognized in the consolidated statements of operations and comprehensive income (loss). If share-based payment awards are required to be exchanged for awards held by acquiree’s employees (“replacement awards”), then all or a portion of the amount of the acquirer’s replacement awards is included in measuring the consideration transferred in the business combination. This determination is based on the market-based measure of the replacement awards compared with the market-based measure of the acquiree’s awards and the extent to which the replacement awards related to pre-acquisition services. |
Investment in associate | m) Investment in associate An associate is an entity over which the Company has significant influence. Significant influence is the power to participate in the financial and operating policy decisions of the investee but is not control or joint control over those policies. Any investments in associates are accounted for using the equity method. Under the equity method, the investment in an associate is initially recognized at cost. The carrying amount of the investment is adjusted to recognize changes in the Company’s share of the profit or loss and other comprehensive income of the associate since the acquisition date. Goodwill relating to the associate is included in the carrying amount of the investment and is not tested for impairment separately. The consolidated statements of operations and comprehensive income (loss) reflects the Company’s share of the results of operations of the associate. Unrealized gains and losses resulting from transactions between the Company and the associate are eliminated to the extent of the interest in the associate. The aggregate of the Company’s share of an associate’s profit or loss after tax is shown on the face of the consolidated statements of operations and comprehensive income (loss) as a separate line item. The financial statements of the associate are prepared for the same reporting period as the Company. When necessary, adjustments are made to bring the accounting policies in line with those of the Company. After application of the equity method, the Company determines whether it is necessary to recognize an impairment loss on its investment in its associate. At each reporting date, the Company determines whether there is objective evidence that the investment in the associate is impaired. If there is such evidence, the Company calculates the amount of impairment as the difference between the recoverable amount of the associate and its carrying value, and then recognizes the loss within its share of profit or loss of an associate in the consolidated statements of operations and comprehensive income (loss). If significant influence over an entity is lost, the Company recognizes a gain or loss in profit or loss and will then account for the investment as a financial instrument, as outlined in note 3(c). |
Cash and cash equivalent | n) Cash and cash equivalent Cash and cash equivalent in the consolidated statements of financial position and cash flows is comprised of cash held at banks, cash held on hand and short-term highly liquid deposits with an original maturity of three months or less that are readily convertible to a known amount of cash and subject to an insignificant risk of changes in value. |
Leases | o) Leases Right-of-use assets Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any re-measurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognized, initial direct cost incurred, and lease payments made at or before the commencement date less any lease incentives received. The right-of-use assets are depreciated on a straight-line basis over the lease term. Right-of-use assets are subject to an evaluation of impairment if any indicators of impairment are noted. Lease liabilities The Company recognizes lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payment includes fixed payments (including in-substance fixed payments). Variable payments other than those that depend on an index or a rate are recorded in general and administration expenses as incurred. In calculating the present value of lease payments, the Company uses the incremental borrowing rate at the lease commencement date if the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is re-measured if there is a modification, a change in the lease term or a change in the in-substance fixed lease payments. Subleases For subleases classified as a finance lease, the Company de-recognizes the right-of-use asset relating to the head lease and recognizes a net investment in the sublease. Any difference between the right-of-use asset and the net investment in the finance sublease is recognized in profit or loss. The Company measures the net investment in the sublease at an amount equal to the present value of the lease payments of the underlying right-of-use asset. The net investment in the sublease lease is depreciated on a straight-line basis over the lease term. Short-term leases and leases of low-value assets The Company applies the short-term lease recognition exemption to its short-term leases of properties (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption to leases of office equipment that are considered of low value (i.e., below $5,000). Lease payments on short-term leases and leases of low-value assets are recognized as expenses in the period incurred. |
Significant accounting judgements, estimates and assumptions | p) Significant accounting judgements, estimates and assumptions The preparation of the consolidated financial statements requires management to make estimates, assumptions and judgments that affect the reported amount of assets and liabilities, and the reported amount of revenues and expenses during the year. Actual results may differ from these estimates. Estimates, assumptions, and judgments are reviewed on an ongoing basis. Revisions to accounting estimates are recognized on a prospective basis beginning from the period in which they are revised. Significant accounting judgements The following are the critical judgements, apart from those involving estimations that have been made in the process of applying the Company’s accounting policies, which have the most significant effect on the amounts recognized in the consolidated financial statements. Expected credit losses In applying its accounting policy for the expected credit loss model, the Company applies judgment in defining significant increase in defaults, and its write-offs policy. Refer to Note 4 for further details. Significant accounting estimates and assumptions These estimates and assumptions are based on management’s historical experience, best knowledge of current events, conditions and actions that the Company may undertake in the future and other factors that management believes are reasonable under the circumstances. These estimates and assumptions are reviewed periodically, and the effect of a change in accounting estimate or assumption is recognized prospectively by including it in the consolidated statements of operations and comprehensive income (loss) in the period of the change and in any future periods affected. The areas where estimates and assumptions have the most significant effect on the amounts recognized in the consolidated financial statements include the following: (i) Allowance for loan losses The provision for loan losses consists of amounts charged to the consolidated statements of operations and comprehensive income (loss) during the period to maintain an adequate allowance for loan losses. The Company's allowance for loan losses represents its estimate of the expected credit losses expected from its existing loan portfolio and is based on a variety of factors, including the composition and quality of the portfolio, loan-specific information gathered through collection efforts, delinquency levels, historical charge-off and loss experience, the Company's expectations of future loan performance, and general forward-looking macroeconomic conditions. The methodology and assumptions used in setting the loan loss allowance are reviewed regularly to reduce any difference between loss estimates and actual loss experience. (ii) Fair value of privately held investments Estimating fair value requires that significant judgment be applied to each individual investment. For privately held investments, the fair value of each investment is measured using the most appropriate valuation methodology or combination of methodologies in the judgment of management in light of the specific nature, facts and circumstances surrounding that investment. This may take into consideration, but not be limited to, one or more of the following: valuations of recent or in-progress funding rounds, forward revenue and earnings projections, comparable peer valuation multiples, and the initial cost base of the investment. Actual results could differ significantly from these estimates. 3. Material accounting policies (Continued from previous page) p) Significant accounting judgements, estimates and assumptions (Continued from previous page) (iii) Valuation of goodwill acquired in business combinations The Company is required to assess the recoverability of values assigned to cash generating units that include goodwill on an annual basis. Estimating the recoverable amount requires significant judgment in the determination of appropriate inputs. This may take into consideration the following: forecast period, cash flow projections and discount rates. Actual results could differ significantly from these estimates. (iv) Impairment of investment in associate The Company is required to assess the recoverability of its investment in associate when indicators of impairment are identified. Estimating the recoverable amount requires significant judgment in determination of fair value of the investment. The fair value of the investment in associate is measured using the most appropriate valuation methodology or combination of methodologies in the judgement of management in light of the specific nature, facts and circumstances surrounding the investment. Management exercises judgement in determining inputs to the valuation methodology including forward revenue projections and comparable peer valuation multiples. Actual results could differ significantly from these estimates. Assessment of the going concern Based on cash flow forecasts, the Company believes that it will have sufficient liquidity to operate and discharge its liabilities as they become due. Development of these forecasts required management to make subjective estimates and assumptions related to forecasted revenue and loan growth rates, and access to undrawn funds under existing credit facilities for financing new loans. |
New and amended standards and interpretations | q) New and amended standards and interpretations Changes in material accounting policies Material accounting policy: The Company adopted Disclosure of Accounting Policies (Amendments to IAS 1 and IFRS Practice Statement 2) from January 1, 2023. Although the amendments did not result in any changes to the accounting policies themselves, they impacted the accounting policy information disclosed in the financial statements. The amendments require the disclosure of ‘material’, rather than ‘significant’, accounting policies. The amendments also provide guidance on the application of materiality to disclosure of accounting policies, assisting entities to provide useful, entity-specific accounting policy information that users need to understand other information in the financial statements. Management reviewed the accounting policies and made updates to the information disclosed in Note 3 Material accounting policies (2022: Significant accounting policies) in certain instances in line with the amendments. Certain other new or amended standards and interpretations became effective on January 1, 2023, but do not have an impact on the consolidated financial statements of the Company. Certain new or amended standards and interpretations are expected to become effective on January 1, 2024 and beyond. There are no new standards, interpretations or amendments that are expected to have a material impact to the Company’s consolidated financial statements. The Company has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective. |
Material accounting policies (T
Material accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Significant Accounting Policies Policy [Abstract] | |
Schedule of Intangible Assets Estimated Useful Lives | Amortization is recorded at rates intended to amortize the cost of the intangible assets over their estimated useful lives as follows: Rate Software - Internally generated 5 years straight line Software licenses 5 years straight line Technology assets - Acquired 10 years straight line Customer relationships 7 to 10 years straight line Regulatory licenses 5 years straight line Brand and trade name Indefinite |
Loans receivable (Tables)
Loans receivable (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Loans Receivable Tables [Abstract] | |
Schedule of Gross Loans Receivable | The breakdown of the Company’s gross loans receivable as at December 31, 2023 and December 31, 2022 are as follows: As at December 31, December 31, 2022 Current (terms of one year or less) 74,121 69,693 Non-current (terms exceeding one year) 151 221 74,272 69,914 |
Schedule of Age Analysis of Loans Receivable | As at December 31, 2023 Risk Category Days past due Stage 1 Stage 2 Stage 3 Total Strong Not past due 59,938 — — 59,938 Lower risk 1-30 days past due 3,404 — — 3,404 Medium risk 31-60 days past due — 1,096 — 1,096 Higher risk 61-90 days past due — 808 — 808 Non-performing 91+ days past due or bankrupt — — 9,026 9,026 Gross loans receivable 63,342 1,904 9,026 74,272 Allowance for loan losses ( 6,445 ) ( 1,266 ) ( 4,844 ) ( 12,555 ) Loans receivable, net 56,897 638 4,182 61,717 As at December 31, 2022 Risk Category Days past due Stage 1 Stage 2 Stage 3 Total Strong Not past due 55,087 — — 55,087 Lower risk 1-30 days past due 2,903 — — 2,903 Medium risk 31-60 days past due — 1,211 — 1,211 Higher risk 61-90 days past due — 898 — 898 Non-performing 91+ days past due or bankrupt — — 9,815 9,815 Gross loans receivable 57,990 2,109 9,815 69,914 Allowance for loan losses ( 5,794 ) ( 1,239 ) ( 6,040 ) ( 13,073 ) Loans receivable, net 52,196 870 3,775 56,841 |
Schedule of Allowance for Loan Losses | As at December 31, 2023 Stage 1 Stage 2 Stage 3 Total Balance as at January 1, 2023 5,794 1,239 6,040 13,073 Gross loans originated 3,158 — — 3,158 Principal payments ( 1,281 ) ( 40 ) ( 437 ) ( 1,758 ) Re-measurement of allowance before transfers 139 158 ( 30 ) 267 Re-measurement of amounts transferred between stages ( 142 ) 1,102 11,151 12,111 Transfer to (from) Stage 1 – 12-month ECLs 166 ( 136 ) ( 30 ) — Stage 2 – Lifetime ECLs ( 200 ) 200 — — Stage 3 – Lifetime ECLs ( 1,189 ) ( 1,257 ) 2,446 — Net amounts charged off against allowance — — ( 14,296 ) ( 14,296 ) Balance as at December 31, 2023 6,445 1,266 4,844 12,555 As at December 31, 2022 Stage 1 Stage 2 Stage 3 Total Balance as at January 1, 2022 5,721 1,119 2,973 9,813 Gross loans originated 2,607 — — 2,607 Principal payments ( 1,107 ) ( 136 ) ( 359 ) ( 1,602 ) Re-measurement of allowance before transfers 142 89 591 822 Re-measurement of amounts transferred between stages ( 67 ) 1,047 12,576 13,556 Transfer to (from) — Stage 1 – 12-month ECLs 79 ( 65 ) ( 14 ) — Stage 2 – Lifetime ECLs ( 218 ) 220 ( 2 ) — Stage 3 – Lifetime ECLs ( 1,363 ) ( 1,035 ) 2,398 — Net amounts charged off against allowance — — ( 12,123 ) ( 12,123 ) Balance as at December 31, 2022 5,794 1,239 6,040 13,073 Overall changes in the allowance for loan losses are summarized below: Year ended December 31, December 31, Balance, beginning of the period 13,073 9,813 Provision for loan losses 13,778 15,383 Charge offs ( 14,296 ) ( 12,123 ) Balance, end of the period 12,555 13,073 |
Prepaid expenses, and other r_2
Prepaid expenses, and other receivables and assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Prepaid Expenses Deposits And Other Assets Tables [Abstract] | |
Schedule of Prepaid expenses, and other receivables and assets | As at December 31, December 31, Prepaid expenses 1,308 2,499 Accounts receivable 2,834 2,347 Brokerage firm receivables 7,023 4,804 Deposits and other receivables and assets 1,901 2,741 Total 13,067 12,391 |
Investment portfolio (Tables)
Investment portfolio (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investment Portfolio Tables [Abstract] | |
Schedule of investment portfolio | As at December 31, December 31, Equities 37,768 11,504 Other — 1,016 Total 37,768 12,520 |
Property and equipment (Tables)
Property and equipment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property And Equipment Tables [Abstract] | |
Schedule of property and equipment | Computer Furniture Leasehold Total Cost Balance, December 31, 2020 2,083 1,180 2,055 5,318 Additions 462 2 — 464 Additions through business combinations 298 31 — 329 Effects of movement in exchange rate ( 20 ) ( 1 ) — ( 21 ) Balance, December 31, 2021 2,823 1,212 2,055 6,090 Additions 455 — — 455 Impairment ( 125 ) — — ( 125 ) Disposals — — — — Effects of movement in exchange rate 22 ( 2 ) — 20 Balance, December 31, 2022 3,175 1,210 2,055 6,440 Additions 214 — — 214 Impairment ( 239 ) ( 212 ) — ( 451 ) Disposals ( 2,160 ) ( 998 ) ( 2,055 ) ( 5,213 ) Effects of movement in exchange rate 2 — — 2 Balance, December 31, 2023 992 — — 992 Accumulated depreciation Balance, December 31, 2020 1,547 824 2,055 4,426 Depreciation 400 78 — 478 Balance, December 31, 2021 1,947 902 2,055 4,904 Depreciation 403 69 — 472 Impairment ( 37 ) — — ( 37 ) Balance, December 31, 2022 2,313 971 2,055 5,339 Depreciation 313 27 — 340 Disposals ( 2,160 ) ( 998 ) ( 2,055 ) ( 5,213 ) Balance, December 31, 2023 466 — — 466 Net book value Balance, December 31, 2022 862 239 — 1,101 Balance, December 31, 2023 526 — — 526 |
Intangible assets (Tables)
Intangible assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Intangible Assets Tables [Abstract] | |
Schedule of intangible assets | Internally Internally Software Acquired technology assets Customer relationships Brand Regulatory licenses Total Cost Balance, December 31, 2020 39,504 1,529 3,356 — — — — 44,389 Additions 1,200 6,303 — — — — — 7,503 Additions through business combinations — — 628 21,000 8,900 1,000 6,800 38,328 Impairment — ( 898 ) — — — — — ( 898 ) Transfers 3,936 ( 3,936 ) — — — — — — Effects of movement in exchange rate — — ( 8 ) — — — — ( 8 ) Balance, December 31, 2021 44,640 2,998 3,976 21,000 8,900 1,000 6,800 89,314 Additions 201 7,281 — — — — — 7,482 Impairment ( 18,440 ) — — — — — — ( 18,440 ) Transfers 3,132 ( 3,132 ) — — — — — — Effects of movement in exchange rate — — ( 3 ) — — — — ( 3 ) Balance, December 31, 2022 29,533 7,147 3,973 21,000 8,900 1,000 6,800 78,353 Additions — 3,206 — — — — — 3,206 Impairment — — ( 10 ) — — — — ( 10 ) Disposals ( 13,597 ) — ( 3,444 ) — — — — ( 17,041 ) Transfers 8,810 ( 8,810 ) — — — — — — Effects of movement in exchange rate — — ( 32 ) — — — — ( 32 ) Balance, December 31, 2023 24,746 1,543 487 21,000 8,900 1,000 6,800 64,476 Accumulated amortization Balance, December 31, 2020 22,231 — 3,246 — — — — 25,477 Amortization 7,279 — 218 1,722 1,427 — 887 11,533 Balance, December 31, 2021 29,510 — 3,464 1,722 1,427 — 887 37,010 Amortization 6,759 — 148 2,100 1,066 — 1,360 11,433 Impairment ( 11,919 ) — — — — — — ( 11,919 ) Balance, December 31, 2022 24,350 — 3,612 3,822 2,493 — 2,247 36,524 Amortization 3,797 — 105 2,100 1,065 — 1,360 8,427 Disposals ( 13,597 ) — ( 3,444 ) — — — — ( 17,041 ) Effects of movement in exchange rate ( 24 ) — 28 — — — — 4 Balance, December 31, 2023 14,526 — 301 5,922 3,558 — 3,607 27,914 Net book value Balance, December 31, 2022 5,183 7,147 361 17,178 6,407 1,000 4,553 41,829 Balance, December 31, 2023 10,220 1,543 186 15,078 5,342 1,000 3,193 36,562 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases Tables [Abstract] | |
Schedule of right-of-use assets and lease liabilities recognized and movements | Right-of-use assets Set out below are the carrying amounts of the Company’s right-of-use assets and lease liabilities recognized and the movements during the year ended December 31, 2023 and 2022: Right-of-use assets Lease liabilities Balance, as at December 31, 2021 3,430 3,948 Impairment ( 78 ) — Depreciation ( 730 ) — Interest expense — 212 Payments — ( 880 ) Balance, as at December 31, 2022 2,622 3,280 Impairment ( 669 ) — Transfers ( 979 ) — Depreciation ( 304 ) — Interest expense — 178 Payments — ( 749 ) Balance, as at December 31, 2023 670 2,709 |
Schedule of consolidated statement of operations and comprehensive income (loss) | Investment in Sublease, net As at December 31, December 31, 2022 Transfers 979 — Additions 191 — Interest accretion 71 — Payments from sublessor ( 13 ) — Balance, as at December 31, 2023 1,228 — (ii) Investment in Sublease, net (Continued from previous page) Amount recognized in the consolidated statements of operations and comprehensive income (loss): Year ended December 31, December 31, December 31, Depreciation of right-of-use assets 304 730 725 Interest expense on lease liabilities 178 212 243 Expenses relating to short term leases 449 478 436 Impairment 669 78 — Variable lease payments 429 505 453 Total 2,029 2,003 1,857 |
Accounts payable and accruals (
Accounts payable and accruals (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounts Payable And Accruals Tables [Abstract] | |
Schedule of accounts payable and accruals | As at December 31, December 31, Accounts payables 6,448 5,686 Accrued expenses 5,797 6,441 Accrued wages and other benefits 1,412 1,008 Client liabilities 8,760 6,743 Other 1,665 1,104 Total 24,082 20,982 |
Credit facility (Tables)
Credit facility (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Credit Risk [Abstract] | |
Schedule of credit facilities | The Company has provided its senior lenders with a general security interest in all present and after acquired personal property of the Company, including certain pledged financial instruments, cash and cash equivalents. As at December 31, December 31, 2022 Credit facility - funds drawn 49,405 46,180 |
Debentures (Tables)
Debentures (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debentures Tables [Abstract] | |
Schedule of credit facility - other | Payments of interest and principal are made to debenture holders on a quarterly basis on the first business day following the end of a calendar quarter, at the Company's option either in cash or Common Shares. As at ($000s) December 31, December 31, 2022 Principal balance 37,020 39,658 Discount ( 1,000 ) ( 2,118 ) 36,020 37,540 Interest payable 763 726 36,783 38,266 |
Schedule of contractual repayment dates | The debenture principal repayment dates, after giving effect to the subordination agreement referenced above, are as follows: ($000s) Principal component of quarterly payment Principal due on maturity Total 2024 1,924 — 1,924 2025 1,543 33,553 35,096 3,467 33,553 37,020 |
Derivative financial liabilit_2
Derivative financial liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of Derivative Financial Liabilities [Abstract] | |
Disclosure of derivative financial liabilities | In the event that these warrants are fully exercised, the Company would receive cash proceeds of US$ 43,767 , with the balance of the liability reclassified to equity at that time. If the warrants were to expire unexercised, then the liability would be extinguished through a gain in the consolidated statements of operations and comprehensive income (loss). As at December 31, December 31, 2022 Balance, beginning of the period 419 12,688 Change in fair value due to revaluation of derivative financial liabilities ( 379 ) ( 12,558 ) Change in fair value due to foreign exchange ( 6 ) 289 Balance, end of the period 34 419 |
Disclosure of detailed information about derivative financial liabilities | Details of the derivative financial liabilities as at December 31, 2023 are as follows: Warrants outstanding and exercisable (000s) Weighted average exercise price $ Balance, December 31, 2021 1,910 29.06 Warrants issued — — Balance, December 31, 2022 1,910 29.06 Warrants issued — — Balance, December 31, 2023 1,910 29.06 |
Disclosure of fair value of the warrants outstanding was estimated using the Black-Scholes option pricing model | The fair value of the warrants outstanding was estimated using the Black-Scholes option pricing model with the following assumptions: As at December 31, December 31, 2022 Risk-free interest rate 4.79 % 4.41 % Expected life 0.7 - 1.5 years 1.6 - 2.5 years Expected volatility in market price of shares 73 - 77 % 89 - 106 % Expected dividend yield 0 % 0 % Expected forfeiture rate 0 % 0 % |
Geographic Information (Tables)
Geographic Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Based On Revenue [Member] | |
Disclosure of geographical areas [line items] | |
Summary Of Geographic Information | Revenue presented below has been based on the geographic location of customers. Year ended December 31, December 31, December 31, Canada 59,104 62,320 49,533 Europe 6,117 6,531 7,287 Other — 98 699 Total 65,221 68,949 57,519 |
Based On Non Current Assets [Member] | |
Disclosure of geographical areas [line items] | |
Summary Of Geographic Information | Non-current assets presented below has been based on geographic location of the assets. As at December 31, December 31, 2022 Canada 77,032 82,587 Europe 263 433 Other 46 887 Total 77,341 83,907 |
Expenses by nature and function
Expenses by nature and function (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Expense By Nature And Function [Abstract] | |
Expenses by nature | The following table summarizes the Company’s operating expenses by nature: Year ended December 31, December 31, December 31, Personnel expense 20,226 28,628 26,509 Depreciation and amortization 9,067 12,636 12,736 Hosting and software licenses 5,355 6,647 4,200 Marketing 3,120 10,282 13,709 Professional services 2,414 2,889 3,800 Stock-based compensation 2,479 8,712 11,683 Insurance and licenses 2,000 3,138 2,316 Credit verification costs 1,256 1,918 1,990 Premises 1,029 1,224 1,040 Others 3,589 3,741 3,588 Total 50,535 79,815 81,571 |
Summarizes the Company's operating expenses by function | The following table summarizes the Company’s operating expenses by function including stock-based compensation and depreciation and amortization: Year ended December 31, December 31, December 31, Technology and development 15,906 26,718 25,021 Marketing 3,379 11,448 16,619 Customer service and operations 11,351 15,900 15,870 General and administration 19,899 25,749 24,061 Total 50,535 79,815 81,571 |
Revaluation loss (gain) (Tables
Revaluation loss (gain) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Revaluation loss (gain) [Abstract] | |
Summary of Revaluation loss (gain) | Year ended December 31, December 31, December 31, Change in fair value due to revaluation of derivative financial asset — 7,866 ( 1,788 ) Change in fair value due to revaluation of derivative financial liabilities ( 379 ) ( 12,558 ) ( 11,276 ) Realized loss (gain) on investment portfolio 340 — ( 4,219 ) Unrealized (gain) loss on investment portfolio ( 9,659 ) 7,951 942 Unrealized loss on digital assets — 625 — Unrealized loss (gain) on debentures 32 ( 1,114 ) — Realized exchange loss 46 — — Unrealized exchange gain ( 8 ) ( 395 ) 670 Unrealized gain on other receivable — — — Loss related to property and equipment — — — Total ( 9,628 ) 2,375 ( 15,671 ) |
Other non-operating expense (_2
Other non-operating expense (income) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Other Non Operating Expense [Abstract] | |
Summary of Other non-operating expense | Year ended December 31, December 31, December 31, Government grants — ( 93 ) ( 1,597 ) Direct offering transaction costs allocated to derivative financial liabilities — — 2,260 Restructuring charges 4,519 2,784 421 Impairment of intangible assets — 6,521 — Acquisition costs and other 712 1,148 3,016 Total 5,231 10,360 4,100 |
Investment accounted for usin_2
Investment accounted for using the equity method (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investments accounted for using equity method [abstract] | |
Disclosure of Detailed Information of Investments Accounted for Using Equity Method | The following table summarizes the Company's investment accounted for using the equity method as at December 31, 2023 and December 31, 2022: As at December 31, December 31, 2022 December 31, 2021 Balance, beginning of the period 24,989 103,821 — Additions Initial investments in Coinsquare — — 45,026 Step up investments in Coinsquare — — 59,073 Share of loss in investment accounted for using the equity method: Share of investee's loss ( 2,972 ) ( 23,496 ) ( 278 ) Gain from dilution of interest in associate — 2,927 — Impairment ( 5,295 ) ( 58,263 ) — Revaluation gain 97 — — Distributions received ( 731 ) — — Transfer to investments measured at FVTPL ( 16,088 ) — — Balance, end of the period — 24,989 103,821 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes Tables [Abstract] | |
Schedule of provision for income taxes | The major components of provision for income taxes are as follows: Year ended December 31, December 31, December 31, Current tax expense 19 76 133 Deferred tax recovery ( 419 ) ( 412 ) ( 365 ) Income tax recovery ( 400 ) ( 336 ) ( 232 ) |
Schedule of statutory income tax rates | The reconciliation of the provision for income taxes to the amount of income taxes calculated using statutory income tax rates applicable to the Company in Canada is as follows: Year ended December 31, December 31, December 31, Canadian federal and provincial recovery of income taxes using statutory rate of 27 % (2021 – 27 %, 2020 – 27 %) ( 4,938 ) ( 44,832 ) ( 9,029 ) Change in recognized taxable temporary differences ( 1,297 ) — — Change in unrecognized deductible temporary differences and unused tax losses 4,680 33,554 6,538 Impact of rate differences between jurisdictions 293 — — Permanent differences and other 862 10,942 2,259 Income tax recovery ( 400 ) ( 336 ) ( 232 ) |
Schedule of deferred tax assets | The Company’s deferred tax assets are as follows: As at December 31, December 31, Non-capital losses 6,142 6,728 Property and equipment — — Intangible assets — — Total 6,142 6,728 |
Schedule of deferred tax liabilities | The Company’s deferred tax liabilities are as follows: As at December 31, December 31, Intangible assets 6,656 7,492 Right-of-use assets 512 708 Property and equipment — 9 Digital assets and derivatives — — Equity investments — — Deferred cost — — 7,168 8,209 |
Deductible temporary differences deferred tax assets | The Company has deductible temporary differences for which no deferred tax assets are recognized as follows: As at December 31, December 31, Unused tax losses 237,115 235,546 Property and equipment 5,778 5,225 Lease liability 2,709 3,280 Equity investments 7,587 7,523 Intangible assets 31,934 30,341 Investment accounted for using the equity method 78,005 79,109 Debentures 5,595 2,185 Financing costs 1,720 2,643 Research and development expenditures 3,006 3,406 Investment in subsidiaries 3,742 3,395 Capital losses 6,511 — Other 34 419 383,736 373,072 |
Schedule of non capital losses expire | The Company’s non-capital losses expire as follows: As at December 31, December 31, Expires 2024 335 549 Expires 2025 426 777 Expires 2026 829 1,822 Expires 2027 719 4,419 Expires 2028 480 4,068 Expires 2029 2,732 7,615 Expires 2030 3,120 5,816 Expires 2031 3,439 3,519 Expires 2032 6,432 6,441 Expires 2033 10,297 10,311 Expires 2034 10,264 10,268 Expires 2035 15,609 15,641 Expires 2036 28,528 29,378 Expires 2037 31,963 32,384 Expires 2038 31,264 33,159 Expires 2039 25,580 26,914 Expires 2040 13,708 15,738 Expires 2041 20,816 22,575 Expires 2042 32,773 30,291 Expires 2043 21,823 — 261,137 261,685 |
Loss per share (Tables)
Loss per share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Loss Per Share Tables [Abstract] | |
Schedule of consolidated comprehensive loss | The following reflects consolidated comprehensive loss and weighted average number of shares used in the basic and diluted loss per share computations: Year ended December 31, December 31, December 31, Net loss attributed to shareholders ( 17,887 ) ( 165,678 ) ( 33,209 ) Basic weighted average number of shares (in 000s) 24,853 25,442 21,002 Basic and diluted loss per share ( 0.72 ) ( 2.17 ) ( 0.53 ) |
Capital management (Tables)
Capital management (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Capital Management Tables [Abstract] | |
Schedule of capital management | The Company manages the following as capital: As at December 31, December 31, Share capital 389,806 391,243 Contributed surplus 35,503 33,025 Deficit ( 331,828 ) ( 313,941 ) Credit facility 49,405 46,180 Debentures 37,020 39,658 |
Fair value of financial instr_2
Fair value of financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Of Financial Instruments Tables [Abstract] | |
Schedule of fair value disclosure of financial instruments | The following table shows the carrying amount and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy. During the year ended December 31, 2023 and 2022, there have not been any transfers between fair value hierarchy levels except for the transfers indicated in Note 25(c)(i) related to the investment portfolio. Carrying amount Fair value As at December 31, 2023 Note FVTPL Financial asset at Other financial Total Level 1 Level 2 Level 3 Total Financial assets measured at fair value Investment portfolio 37,768 — — 37,768 26,332 — 11,436 37,768 37,768 — — 37,768 Financial assets not measured at fair value Cash and cash equivalent — 16,133 — 16,133 16,133 — — 16,133 Restricted cash — 1,737 — 1,737 1,737 — — 1,737 Loans receivable – current 4 — 74,121 — 74,121 — 74,121 — 74,121 Loans receivable – non-current 4 — 151 — 151 — — 151 151 Other receivables — 11,750 — 11,750 — 11,750 — 11,750 — 103,892 — 103,892 Financial liabilities measured at fair value Derivative financial liabilities 13 34 — — 34 — 34 — 34 34 — — 34 Financial liabilities not measured at fair value Accounts payable, accruals and other — — 23,904 23,904 — 23,904 — 23,904 Credit facility 11 — — 49,405 49,405 — 49,405 — 49,405 Debentures 12 — — 36,783 36,783 — 34,997 — 34,997 — — 110,092 110,092 Carrying amount Fair value As at December 31, 2022 Note FVTPL Financial asset at amortized cost Other financial liabilities Total Level 1 Level 2 Level 3 Total Financial assets measured at fair value Investment portfolio 12,520 — — 12,520 605 — 11,915 12,520 12,520 — — 12,520 Financial assets not measured at fair value Cash and cash equivalent — 29,268 — 29,268 29,268 — — 29,268 Restricted cash — 1,578 — 1,578 1,578 — — 1,578 Loans receivable – current 4 — 69,693 — 69,693 — 69,693 — 69,693 Loans receivable – non-current 4 — 221 — 221 — — 221 221 Other receivables — 9,719 — 9,719 — 9,719 — 9,719 — 110,479 — 110,479 Financial liabilities measured at fair value Derivative financial liabilities 13 419 — — 419 — 419 — 419 419 — — 419 Financial liabilities not measured at fair value Accounts payable, accruals and other — — 20,773 20,773 — 20,773 — 20,773 Credit facility 11 — — 46,180 46,180 — 46,180 — 46,180 Debentures 12 — — 38,266 38,266 — 36,067 — 36,067 — — 105,219 105,219 |
Schedule of fair value measurements of investment portfolio | The following table presents the changes in fair value measurements of the Company’s investment portfolio recognized at fair value at December 31, 2023 and December 31, 2022 and classified as Level 3: As at December 31, December 31, 2022 Balance, beginning of the period 11,915 16,303 Additions — 1,837 Disposal ( 152 ) — Transfer to Level 1 investments — ( 500 ) Unrealized exchange (loss) gain ( 201 ) 547 Realized loss on investment portfolio ( 508 ) — Unrealized gain (loss) on investment portfolio 382 ( 6,272 ) Balance, end of the period 11,436 11,915 Profit or loss Increase Decrease Investment portfolio: December 31, 2023 Adjusted market multiple (5% movement) 572 ( 572 ) December 31, 2022 Adjusted market multiple (5% movement) 626 ( 626 ) As at December 31, December 31, 2022 WonderFi 25,654 — Alida Inc. 3,035 2,001 Blue Ant Media Inc. 2,700 2,237 Hootsuite Inc. 2,491 2,467 Gemini 898 569 Cardiac Dimensions Pty Ltd. 828 880 Tetra Trust Company 715 1,300 Others 1,447 3,066 Balance, end of the period 37,768 12,520 |
Nature and extent of risk ari_2
Nature and extent of risk arising from financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Nature And Extent Of Risk Arising From Financial Instruments Tables [Abstract] | |
Schedule of debentures of contractual maturity of credit facilities | 2024 2025 2026 2027 2028 Thereafter Commitments - operational Lease payments 1,206 1,240 1,255 872 113 526 Accounts payable 6,448 — — — — — Accruals and other 17,634 — — — — — Other purchase obligations 1,308 812 584 642 221 — Interest – Credit facility (Note 11) 6,601 3,300 — — — — Interest – Debentures (Note 12) 3,197 2,252 — — — — 36,394 7,604 1,839 1,514 334 526 Commitments – principal repayments Credit facility (Note 11) — 49,405 — — — — Debentures (Note 12) (1) 1,924 35,096 — — — — 1,924 84,501 — — — Total contractual obligations 38,318 92,105 1,839 1,514 334 526 (1) The debenture principal repayments are payable in either cash or Common Shares at Mogo’s option. The number of Common Shares required to settle the principal repayments is variable based on the Company's share price at the repayment date. |
Foreign currency risk | As at ($000 USD) December 31, December 31, Cash 38 3,553 Investment portfolio 5,813 5,958 Derivative financial liabilities ( 26 ) ( 310 ) Debentures ( 3,971 ) ( 4,562 ) |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of classes of share capital [line items] | |
Schedule of stock options | A summary of the status of the stock options and changes in the period is as follows: Options outstanding (000s) Weighted average grant date fair value $ Weighted average exercise price $ Options exercisable (000s) Weighted average exercise price $ Balance, December 31, 2021 2,975 — 13.92 1,012 11.79 Options issued 1,152 3.18 4.22 — — Exercised ( 16 ) 3.65 4.76 — — Forfeited ( 904 ) 10.69 10.53 — — Balance, December 31, 2022 3,207 — 9.09 1,236 11.22 Options issued 1,362 1.80 2.41 — — Forfeited ( 1,071 ) 9.02 9.07 — — Balance, December 31, 2023 3,498 — 5.56 1,499 8.18 |
Schedule of fair value of options granted | The fair value of each option granted was estimated using the Black-Scholes option pricing model with the following assumptions: Year ended December 31, December 31, Risk-free interest rate 3.02 - 4.30 % 1.73 - 3.40 % Expected life 5 years 5 years Expected volatility in market price of shares 90 - 91 % 87 - 91 % Expected dividend yield 0 % 0 % Expected forfeiture rate 0 % - 15 % 0 % - 15 % |
Schedule of warrants | (e) Warrants Warrants outstanding (000s) Weighted average exercise price $ Warrants exercisable (000s) Weighted average exercise price $ Balance, December 31, 2021 663 13.80 586 15.12 Warrants issued — — — — Balance, December 31, 2022 663 13.80 625 14.40 Warrants issued 89 2.79 — — Warrants exercised — — — — Warrants expired ( 394 ) 6.09 ( 394 ) 6.09 Balance, December 31, 2023 358 20.53 280 25.46 |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Text Block [Abstract] | |
Schedule of Aggregate compensation of KMP | Aggregate compensation of KMP recorded as expenses in the consolidated statement of operations and comprehensive income (loss) during the year consisted of: Year ended December 31, December 31, Salary and short – term benefits 1,940 2,192 Stock-based compensation 1,278 3,129 Termination benefits 163 1,224 3,381 6,545 |
Cash flow changes from financ_2
Cash flow changes from financing activities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Cash Flow Changes From Financing Activities Tables [Abstract] | |
Schedule of changes in financing activities | Details of changes in financing activities for the year ended December 31, 2023 are as follows: Non-cash changes January 1, Cash Conversion/ Foreign Fair Value/ Amortization December 31, Share capital 391,243 ( 1,193 ) ( 244 ) — — 389,806 Lease liability 3,280 ( 571 ) — — — 2,709 Credit facility 46,180 3,225 — — — 49,405 Debentures 38,266 ( 2,393 ) ( 84 ) 18 976 36,783 Total 478,969 ( 932 ) ( 328 ) 18 976 478,703 Details of changes in financing activities for the year ended December 31, 2022 are as follows: Non-cash changes January 1, Cash Conversion/ Foreign Fair Value/ Amortization December 31, Share capital 392,628 ( 1,558 ) 173 — — 391,243 Lease liability 3,948 ( 668 ) — — — 3,280 Credit facility 44,983 1,197 — — — 46,180 Debentures 39,794 ( 2,050 ) — 429 93 38,266 Total 481,353 ( 3,079 ) 173 429 93 478,969 Details of changes in financing activities for the year ended December 31, 2021 are as follows: Non-cash changes January 1, Cash Conversion/ Foreign Fair Value/ Amortization December 31, Share capital 106,730 121,238 164,660 — — 392,628 Lease liability 4,336 ( 660 ) 272 — — 3,948 Credit facility 37,644 7,339 — — — 44,983 Debentures 40,658 ( 2,053 ) ( 49 ) ( 14 ) 1,252 39,794 Convertible debentures 8,751 — ( 8,751 ) — — — Total 198,119 125,864 156,132 ( 14 ) 1,252 481,353 |
Nature of operations (Details N
Nature of operations (Details Narrative) - shares | 12 Months Ended | ||
Dec. 31, 2023 | Aug. 14, 2023 | Aug. 11, 2023 | |
Nature Of Operations Details Narrative [Abstract] | |||
County or state of incorporation | British Columbia | ||
Date of incorporation | Jun. 21, 2019 | ||
Number of shares issued | 24,870,308 | 74,610,924 | |
Number of shares outstanding | 24,870,308 | 74,610,924 |
Material accounting policies (D
Material accounting policies (Details Narrative) | 12 Months Ended |
Dec. 31, 2023 CAD ($) | |
Ifrs Statement [Line Items] | |
Impairment loss on financial assets | $ 0 |
Description of recognize a short-term leases and leases of low-value assets | The Company applies the short-term lease recognition exemption to its short-term leases of properties (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption to leases of office equipment that are considered of low value (i.e., below $5,000). |
Material accounting policies _2
Material accounting policies (Details 1) | 12 Months Ended |
Dec. 31, 2023 | |
Software - Internally generated [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | 5 years straight line |
Software licenses [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | 5 years straight line |
Technology assets - Acquired [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | 10 years straight line |
Customer relationships [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | 7 to 10 years straight line |
Regulatory licenses [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | 5 years straight line |
Brand and trade name [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | Indefinite |
Loans receivable (Details)
Loans receivable (Details) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Loans Receivable Details [Abstract] | ||
Current (terms of one year or less) | $ 74,121 | $ 69,693 |
Non-current (terms exceeding one year) | 151 | 221 |
Gross loans receivable | $ 74,272 | $ 69,914 |
Loans receivable (Details 1)
Loans receivable (Details 1) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 74,272 | $ 69,914 | |
Allowance for loan losses | (12,555) | (13,073) | $ (9,813) |
Loans receivable, net | 61,717 | 56,841 | |
Stage 1 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | 63,342 | 57,990 | |
Allowance for loan losses | (6,445) | (5,794) | |
Loans receivable, net | 56,897 | 52,196 | |
Stage 2 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | 1,904 | 2,109 | |
Allowance for loan losses | (1,266) | (1,239) | |
Loans receivable, net | 638 | 870 | |
Stage 3 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | 9,026 | 9,815 | |
Allowance for loan losses | (4,844) | (6,040) | |
Loans receivable, net | $ 4,182 | $ 3,775 | |
Strong [Member] | |||
Loans Receivable Details [Line Items] | |||
Days past due | Not past due | Not past due | |
Gross loans receivable | $ 59,938 | $ 55,087 | |
Strong [Member] | Stage 1 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 59,938 | $ 55,087 | |
Lower risk [Member] | |||
Loans Receivable Details [Line Items] | |||
Days past due | 1-30 days past due | 1-30 days past due | |
Gross loans receivable | $ 3,404 | $ 2,903 | |
Lower risk [Member] | Stage 1 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 3,404 | $ 2,903 | |
Medium risk [Member] | |||
Loans Receivable Details [Line Items] | |||
Days past due | 31-60 days past due | 31-60 days past due | |
Gross loans receivable | $ 1,096 | $ 1,211 | |
Medium risk [Member] | Stage 2 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 1,096 | $ 1,211 | |
Higher risk [Member] | |||
Loans Receivable Details [Line Items] | |||
Days past due | 61-90 days past due | 61-90 days past due | |
Gross loans receivable | $ 808 | $ 898 | |
Higher risk [Member] | Stage 2 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 808 | $ 898 | |
Non-performing [Member] | |||
Loans Receivable Details [Line Items] | |||
Days past due | 91+ days past due or bankrupt | 91+ days past due or bankrupt | |
Gross loans receivable | $ 9,026 | $ 9,815 | |
Non-performing [Member] | Stage 3 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 9,026 | $ 9,815 |
Loans receivable (Details 2)
Loans receivable (Details 2) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Loans Receivable Details [Line Items] | ||
Balance, Beginning | $ 13,073 | $ 9,813 |
Gross loans originated | 3,158 | 2,607 |
Principal payments | (1,758) | (1,602) |
Re-measurement of allowance before transfers | 267 | 822 |
Re-measurement of amounts transferred between stages | 12,111 | 13,556 |
Net amounts charged off against allowance | (14,296) | (12,123) |
Balance, End | 12,555 | 13,073 |
Stage 1 [Member] | ||
Loans Receivable Details [Line Items] | ||
Balance, Beginning | 5,794 | 5,721 |
Gross loans originated | 3,158 | 2,607 |
Principal payments | (1,281) | (1,107) |
Re-measurement of allowance before transfers | 139 | 142 |
Re-measurement of amounts transferred between stages | (142) | (67) |
Transfer to (from) Stage 1 – 12 month ECLs | 166 | 79 |
Transfer to (from) Stage 2 – Lifetime ECLs | (200) | (218) |
transfer to (from) Stage 3 – Lifetime ECLs | (1,189) | (1,363) |
Balance, End | 6,445 | 5,794 |
Stage 2 [Member] | ||
Loans Receivable Details [Line Items] | ||
Balance, Beginning | 1,239 | 1,119 |
Principal payments | (40) | (136) |
Re-measurement of allowance before transfers | 158 | 89 |
Re-measurement of amounts transferred between stages | 1,102 | 1,047 |
Transfer to (from) Stage 1 – 12 month ECLs | (136) | (65) |
Transfer to (from) Stage 2 – Lifetime ECLs | 200 | 220 |
transfer to (from) Stage 3 – Lifetime ECLs | (1,257) | (1,035) |
Balance, End | 1,266 | 1,239 |
Stage 3 [Member] | ||
Loans Receivable Details [Line Items] | ||
Balance, Beginning | 6,040 | 2,973 |
Principal payments | (437) | (359) |
Re-measurement of allowance before transfers | (30) | 591 |
Re-measurement of amounts transferred between stages | 11,151 | 12,576 |
Transfer to (from) Stage 1 – 12 month ECLs | (30) | (14) |
Transfer to (from) Stage 2 – Lifetime ECLs | (2) | |
transfer to (from) Stage 3 – Lifetime ECLs | 2,446 | 2,398 |
Net amounts charged off against allowance | (14,296) | (12,123) |
Balance, End | $ 4,844 | $ 6,040 |
Loans receivable (Details Narra
Loans receivable (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Loans Receivable Details [Line Items] | ||
Allowance for credit losses | $ 1,235 | |
Provision for loan losses, recoveries | $ 588 | $ 653 |
Allowance account for credit losses pessimistic scenario forecast assumption percentage | 100% | |
Top of range [member] | ||
Loans Receivable Details [Line Items] | ||
Allowance for credit losses | $ 1,222 |
Loans receivable (Details 4)
Loans receivable (Details 4) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Loans Receivable Details [Abstract] | ||
Balance, beginning of the period | $ 13,073 | $ 9,813 |
Provision for loan losses | 13,778 | 15,383 |
Charge offs | (14,296) | (12,123) |
Balance, end of the period | $ 12,555 | $ 13,073 |
Prepaid expenses, and other r_3
Prepaid expenses, and other receivables and assets (Details) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Prepaid Expenses Deposits And Other Assets [Abstract] | ||
Prepaid expenses | $ 1,308 | $ 2,499 |
Accounts receivable | 2,834 | 2,347 |
Brokerage firm receivables | 7,023 | 4,804 |
Deposits and other receivables and assets | 1,901 | 2,741 |
Total | $ 13,067 | $ 12,391 |
Digital assets (Details)
Digital assets (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of financial assets [line items] | |||
Revaluation (loss) on digital assets through net income (loss) | $ 0 | $ (625) | $ 0 |
Investment portfolio (Details)
Investment portfolio (Details) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Investment Portfolio Details [Abstract] | ||
Equities | $ 37,768 | $ 11,504 |
Other | 0 | 1,016 |
Total | $ 37,768 | $ 12,520 |
Property and equipment (Details
Property and equipment (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Ifrs Statement [Line Items] | |||
Beginning balance | $ 6,440 | $ 6,090 | $ 5,318 |
Additions | 214 | 455 | 464 |
Additions through business combinations | 329 | ||
Impairment | (451) | (125) | |
Disposals | (5,213) | ||
Effects of movement in exchange rate | 2 | 20 | (21) |
Ending balance | 992 | 6,440 | 6,090 |
ACCUMULATED DEPRECIATION | |||
Beginning balance | 5,339 | 4,904 | 4,426 |
Depreciation | 340 | 472 | 478 |
Ending balance | 466 | 5,339 | 4,904 |
Property and equipment | 526 | 1,101 | |
Accumulated depreciation and amortisation [member] | |||
Ifrs Statement [Line Items] | |||
Impairment | (37) | ||
Computer equipment [Member] | |||
Ifrs Statement [Line Items] | |||
Beginning balance | 3,175 | 2,823 | 2,083 |
Additions | 214 | 455 | 462 |
Additions through business combinations | 298 | ||
Impairment | (239) | (125) | |
Disposals | (2,160) | ||
Effects of movement in exchange rate | 2 | 22 | (20) |
Ending balance | 992 | 3,175 | 2,823 |
ACCUMULATED DEPRECIATION | |||
Beginning balance | 2,313 | 1,947 | 1,547 |
Depreciation | 313 | 403 | 400 |
Ending balance | 466 | 2,313 | 1,947 |
Property and equipment | 526 | 862 | |
Computer equipment [Member] | Accumulated depreciation and amortisation [member] | |||
Ifrs Statement [Line Items] | |||
Impairment | (37) | ||
Furniture and fixtures [member] | |||
Ifrs Statement [Line Items] | |||
Beginning balance | 1,210 | 1,212 | 1,180 |
Additions | 2 | ||
Additions through business combinations | 31 | ||
Impairment | (212) | ||
Disposals | (998) | ||
Effects of movement in exchange rate | (2) | (1) | |
Ending balance | 1,210 | 1,212 | |
ACCUMULATED DEPRECIATION | |||
Beginning balance | 971 | 902 | 824 |
Depreciation | 27 | 69 | 78 |
Ending balance | 971 | 902 | |
Property and equipment | 239 | ||
Leasehold improvements [Member] | |||
Ifrs Statement [Line Items] | |||
Beginning balance | 2,055 | 2,055 | 2,055 |
Disposals | (2,055) | ||
Ending balance | 2,055 | 2,055 | |
ACCUMULATED DEPRECIATION | |||
Beginning balance | $ 2,055 | 2,055 | 2,055 |
Ending balance | $ 2,055 | $ 2,055 |
Property and equipment (Detai_2
Property and equipment (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Ifrs Statement [Line Items] | ||
Depreciation of property and equipment | $ 340 | $ 472 |
Impairment charges recognized in other non-operating expense | $ 451 | $ 125 |
Intangible assets (Details)
Intangible assets (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | $ (78,353) | $ (89,314) | $ (44,389) |
Additions | 3,206 | 7,482 | 7,503 |
Impairment Charges | (10) | (18,440) | (898) |
Disposals | (17,041) | ||
Additions through a business combination | 38,328 | ||
Effects of movement in exchange rate | (32) | (3) | (8) |
Ending balance | (64,476) | (78,353) | (89,314) |
Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 36,524 | 37,010 | 25,477 |
Amortization | 8,427 | 11,433 | 11,533 |
Impairment Charges | (11,919) | ||
Disposals | (17,041) | ||
Effects of movement in exchange rate | 4 | ||
Ending balance | 27,914 | 36,524 | 37,010 |
Net Book Value [Member] | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 41,829 | ||
Ending balance | 36,562 | 41,829 | |
Internally Generated Completed [Member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | (29,533) | (44,640) | (39,504) |
Additions | 201 | 1,200 | |
Impairment Charges | (18,440) | ||
Disposals | (13,597) | ||
Transfers | 8,810 | 3,132 | 3,936 |
Ending balance | (24,746) | (29,533) | (44,640) |
Internally Generated Completed [Member] | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 24,350 | 29,510 | 22,231 |
Amortization | 3,797 | 6,759 | 7,279 |
Impairment Charges | (11,919) | ||
Disposals | (13,597) | ||
Effects of movement in exchange rate | (24) | ||
Ending balance | 14,526 | 24,350 | 29,510 |
Internally Generated Completed [Member] | Net Book Value [Member] | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 5,183 | ||
Ending balance | 10,220 | 5,183 | |
Internally Generated In Process [Member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | (7,147) | (2,998) | (1,529) |
Additions | 3,206 | 7,281 | 6,303 |
Impairment Charges | (898) | ||
Transfers | (8,810) | (3,132) | (3,936) |
Ending balance | (1,543) | (7,147) | (2,998) |
Internally Generated In Process [Member] | Net Book Value [Member] | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 7,147 | ||
Ending balance | 1,543 | 7,147 | |
Software licenses | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | (3,973) | (3,976) | (3,356) |
Impairment Charges | (10) | ||
Disposals | (3,444) | ||
Additions through a business combination | 628 | ||
Effects of movement in exchange rate | (32) | (3) | (8) |
Ending balance | (487) | (3,973) | (3,976) |
Software licenses | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 3,612 | 3,464 | 3,246 |
Amortization | 105 | 148 | 218 |
Disposals | (3,444) | ||
Effects of movement in exchange rate | 28 | ||
Ending balance | 301 | 3,612 | 3,464 |
Software licenses | Net Book Value [Member] | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 361 | ||
Ending balance | 186 | 361 | |
Acquired technology assets | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | (21,000) | (21,000) | |
Additions through a business combination | 21,000 | ||
Ending balance | (21,000) | (21,000) | (21,000) |
Acquired technology assets | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 3,822 | 1,722 | |
Amortization | 2,100 | 2,100 | 1,722 |
Ending balance | 5,922 | 3,822 | 1,722 |
Acquired technology assets | Net Book Value [Member] | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 17,178 | ||
Ending balance | 15,078 | 17,178 | |
Customer relationships | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | (8,900) | (8,900) | |
Additions through a business combination | 8,900 | ||
Ending balance | (8,900) | (8,900) | (8,900) |
Customer relationships | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 2,493 | 1,427 | |
Amortization | 1,065 | 1,066 | 1,427 |
Ending balance | 3,558 | 2,493 | 1,427 |
Customer relationships | Net Book Value [Member] | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 6,407 | ||
Ending balance | 5,342 | 6,407 | |
Brand | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | (1,000) | (1,000) | |
Additions through a business combination | 1,000 | ||
Ending balance | (1,000) | (1,000) | (1,000) |
Brand | Net Book Value [Member] | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 1,000 | ||
Ending balance | 1,000 | 1,000 | |
Regulatory licenses | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | (6,800) | (6,800) | |
Additions through a business combination | 6,800 | ||
Ending balance | (6,800) | (6,800) | (6,800) |
Regulatory licenses | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 2,247 | 887 | |
Amortization | 1,360 | 1,360 | 887 |
Ending balance | 3,607 | 2,247 | $ 887 |
Regulatory licenses | Net Book Value [Member] | Accumulated depreciation and amortisation [member] | |||
Disclosure Of Intangible Assets [Line Items] | |||
Beginning balance | 4,553 | ||
Ending balance | $ 3,193 | $ 4,553 |
Intangible assets (Details Narr
Intangible assets (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Intangible Assets [Line Items] | |||
Amortisation, intangible assets other than goodwill | $ 8,427 | $ 11,433 | |
Impairment of intangible assets | $ (10) | (18,440) | $ (898) |
Mogo Crypto Intangible Assets | |||
Disclosure Of Intangible Assets [Line Items] | |||
Impairment of intangible assets | $ 6,521 |
Leases (Details Narrative)
Leases (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases Details Narrative [Abstract] | |||
Lease term description | Leases generally have lease terms between 2 years to 7 years with an option to renew the lease after that date | ||
Cash payments related to principal portion of lease payments as financing activities | $ 571 | $ 668 | $ 660 |
Cash payments related to interest portion as operating activities | $ 178 | $ 212 | $ 243 |
Leases (Details)
Leases (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Lease [Abstract] | |||
Right-of-use assets, beginning balance | $ 3,430 | ||
Impairment | $ (669) | $ (78) | |
Transfers | (979) | ||
Depreciation | (304) | (730) | |
Right-of-use assets, ending balance | 670 | 2,622 | |
Lease liabilities, beginning balance | 3,948 | ||
Interest expense | 178 | 212 | $ 243 |
Payments | (749) | (880) | |
Lease liabilities, ending balance | $ 2,709 | $ 3,280 |
Leases (Details 1)
Leases (Details 1) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Lease [Abstract] | |||
Transfers | $ 979 | ||
Additions | 191 | ||
Interest accretion | 71 | ||
Payments from sublessor | (13) | ||
Investment in Sublease, net, Ending Balance | 1,228 | $ 0 | |
Depreciation of right-of-use assets | 304 | 730 | $ 725 |
Interest expense on lease liabilities | 178 | 212 | 243 |
Expenses relating to short term leases | 449 | 478 | 436 |
Impairment | 669 | 78 | |
Variable lease payments | 429 | 505 | 453 |
Total | $ 2,029 | $ 2,003 | $ 1,857 |
Accounts payable and accruals_2
Accounts payable and accruals (Details) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Accounts Payable And Accruals Details [Abstract] | ||
Accounts payables | $ 6,448 | $ 5,686 |
Accrued expenses | 5,797 | 6,441 |
Accrued wages and other benefits | 1,412 | 1,008 |
Client liabilities | 8,760 | 6,743 |
Other | 1,665 | 1,104 |
Total | $ 24,082 | $ 20,982 |
Credit facility (Details Narrat
Credit facility (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | |||
Dec. 16, 2021 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Financial Instruments [Line Items] | ||||
Cash and cash equivalent | $ 16,133 | $ 29,268 | ||
Loans receivable, net | 61,717 | 56,841 | ||
Interest expense | 6,064 | 4,640 | $ 4,109 | |
Credit facility [Member] | ||||
Disclosure Of Financial Instruments [Line Items] | ||||
Description for interest rate | the Company amended its credit facility to lower the effective interest rate from a maximum of LIBOR plus 9%, to LIBOR plus 8%. In June 2023, this was transitioned to SOFR plus 8% upon the cessation of USD LIBOR | |||
Description for fee payable under facility | There is a 0.33% fee on the available but undrawn portion of the $60,000 facility. | |||
Undrawn portion under credit facility | $ 60,000 | |||
Cash and cash equivalent | 61,717 | 56,841 | ||
Loans receivable, net | 316 | 288 | ||
Notional amount | $ 60,000 | |||
Borrowings maturity date | Jul. 02, 2025 | |||
Principal And Interest Outstanding Balance | $ 49,405 | 46,180 | ||
Interest expense | $ 6,064 | $ 4,640 |
Credit facility (Details)
Credit facility (Details) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Credit facility [Member] | ||
Disclosure Of Financial Instruments [Line Items] | ||
Credit facility - Funds drawn | $ 49,405 | $ 46,180 |
Debentures (Details Narrative)
Debentures (Details Narrative) | 12 Months Ended |
Dec. 31, 2023 | |
Debentures [Member] | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |
Borrowings, maturity | July 2, 2025 |
Bottom of range [member] | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |
Weighted average coupon interest rate | 8% |
Top of range [member] | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |
Weighted average coupon interest rate | 10% |
Debentures (Details)
Debentures (Details) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure of detailed information about borrowings [abstract] | ||
Principal balance | $ 37,020 | $ 39,658 |
Discount | (1,000) | (2,118) |
Debentures | 36,020 | 37,540 |
Interest payable | 763 | 726 |
Notes and debentures issued | $ 36,783 | $ 38,266 |
Debentures (Details 1)
Debentures (Details 1) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debentures Details1 [Line Items] | ||
Debentures principal balance | $ (37,020) | $ (39,658) |
2024 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 1,924 | |
2025 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 35,096 | |
2026 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 37,020 | |
Principal component of quarterly payment [member] | 2024 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 1,924 | |
Principal component of quarterly payment [member] | 2025 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 1,543 | |
Principal component of quarterly payment [member] | 2026 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 3,467 | |
Principal due on maturity [member] | 2025 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 33,553 | |
Principal due on maturity [member] | 2026 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | $ 33,553 |
Derivative financial liabilit_3
Derivative financial liabilities (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 13, 2021 | Feb. 24, 2021 | Dec. 31, 2023 | |
Disclosure of fair value measurement of liabilities [line items] | |||
Stock warrant issued | 1,018,519 | 891,089 | |
Common shares, exercise price | $ 14.1 | $ 33 | |
Prior period from date of issuance | 3 years 6 months | 3 years 6 months | |
Cash proceeds | $ 43,767 | ||
Derivative Stock Warrants [Member] | |||
Disclosure of fair value measurement of liabilities [line items] | |||
Class of warrants or rights outstanding | 1,909,608 | ||
Derivative Stock Warrants [Member] | Bottom of range [member] | |||
Disclosure of fair value measurement of liabilities [line items] | |||
Class of warrants or rights month of expiry | 2024-08 | ||
Derivative Stock Warrants [Member] | Top of range [member] | |||
Disclosure of fair value measurement of liabilities [line items] | |||
Class of warrants or rights month of expiry | 2025-06 |
Derivative financial liabilit_4
Derivative financial liabilities (Details) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure of fair value measurement of liabilities [line items] | ||
Liabilities | $ 110,608 | |
Liabilities | 114,039 | $ 110,608 |
Derivative Financial Liabilities [Member] | ||
Disclosure of fair value measurement of liabilities [line items] | ||
Liabilities | 419 | 12,688 |
Change in fair value due to revaluation of derivative financial liabilities | (379) | (12,558) |
Change in fair value due to foreign exchange | (6) | 289 |
Liabilities | $ 34 | $ 419 |
Derivative financial liabilit_5
Derivative financial liabilities (Details 1) - Derivative Financial Liabilities [Member] - $ / shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure of fair value measurement of liabilities [line items] | ||
Warrants Outstanding and Exercisable | 1,910 | 1,910 |
Warrants Weighted Average Exercise Price | $ 29.06 | $ 29.06 |
Warrants outstanding and exercisable, warrants issued | 0 | 0 |
Warrants Weighted Average Exercise Price, warrants issued | $ 0 | $ 0 |
Warrants Outstanding and Exercisable | 1,910 | 1,910 |
Warrants Weighted Average Exercise Price | $ 29.06 | $ 29.06 |
Derivative financial liabilit_6
Derivative financial liabilities (Details 2) - Derivative Financial Liabilities [Member] | Dec. 31, 2023 yr CAD ($) dm | Dec. 31, 2022 CAD ($) yr |
Risk-free interest rate | ||
Disclosure of significant unobservable inputs used in fair value measurement of liabilities [line items] | ||
Significant unobservable input, liabilities | 4.79 | 4.41 |
Expected life | Bottom of range [member] | ||
Disclosure of significant unobservable inputs used in fair value measurement of liabilities [line items] | ||
Significant unobservable input, liabilities | yr | 0.7 | 1.6 |
Expected life | Top of range [member] | ||
Disclosure of significant unobservable inputs used in fair value measurement of liabilities [line items] | ||
Significant unobservable input, liabilities | yr | 1.5 | 2.5 |
Expected volatility in market price of shares | Bottom of range [member] | ||
Disclosure of significant unobservable inputs used in fair value measurement of liabilities [line items] | ||
Significant unobservable input, liabilities | 73 | 89 |
Expected volatility in market price of shares | Top of range [member] | ||
Disclosure of significant unobservable inputs used in fair value measurement of liabilities [line items] | ||
Significant unobservable input, liabilities | 77 | 106 |
Expected dividend yield | ||
Disclosure of significant unobservable inputs used in fair value measurement of liabilities [line items] | ||
Significant unobservable input, liabilities | 0 | 0 |
Expected forfeiture rate | ||
Disclosure of significant unobservable inputs used in fair value measurement of liabilities [line items] | ||
Significant unobservable input, liabilities | 0 | 0 |
Geographic Information (Details
Geographic Information (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of geographical areas [line items] | |||
Revenue | $ 65,221 | $ 68,949 | $ 57,519 |
Based On Revenue [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 65,221 | 68,949 | 57,519 |
Based On Non Current Assets [Member] | |||
Disclosure of geographical areas [line items] | |||
Non-current assets | 77,341 | 83,907 | |
Canada | |||
Disclosure of geographical areas [line items] | |||
Revenue | 59,104 | 62,320 | 49,533 |
Non-current assets | 77,032 | 82,587 | |
Europe [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 6,117 | 6,531 | 7,287 |
Non-current assets | 263 | 433 | |
Other [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 0 | 98 | $ 699 |
Non-current assets | $ 46 | $ 887 |
Expenses by nature and functi_2
Expenses by nature and function (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue Details [Abstract] | |||
Personnel expense | $ 20,226 | $ 28,628 | $ 26,509 |
Depreciation and amortization | 9,067 | 12,636 | 12,736 |
Hosting and software licenses | 5,355 | 6,647 | 4,200 |
Marketing | 3,120 | 10,282 | 13,709 |
Professional services | 2,414 | 2,889 | 3,800 |
Stock-based compensation | 2,479 | 8,712 | 11,683 |
Insurance and licenses | 2,000 | 3,138 | 2,316 |
Credit verification costs | 1,256 | 1,918 | 1,990 |
Premises | 1,029 | 1,224 | 1,040 |
Others | 3,589 | 3,741 | 3,588 |
Total | $ 50,535 | $ 79,815 | $ 81,571 |
Expenses by nature and functi_3
Expenses by nature and function (Details 1) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of attribution of expenses by nature to their function [line items] | |||
Expenses, by nature | $ 50,535 | $ 79,815 | $ 81,571 |
Technology And Development [Member] | |||
Disclosure of attribution of expenses by nature to their function [line items] | |||
Expenses, by nature | 15,906 | 26,718 | 25,021 |
Marketing [Member] | |||
Disclosure of attribution of expenses by nature to their function [line items] | |||
Expenses, by nature | 3,379 | 11,448 | 16,619 |
Customer Service And Operations [Member] | |||
Disclosure of attribution of expenses by nature to their function [line items] | |||
Expenses, by nature | 11,351 | 15,900 | 15,870 |
General And Administration [Member] | |||
Disclosure of attribution of expenses by nature to their function [line items] | |||
Expenses, by nature | $ 19,899 | $ 25,749 | $ 24,061 |
Revaluation loss (gain) (Detail
Revaluation loss (gain) (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revaluation loss (gain) [Abstract] | |||
Change in fair value due to revaluation of derivative financial asset | $ 0 | $ 7,866 | $ (1,788) |
Change in fair value due to revaluation of derivative financial liabilities | (379) | (12,558) | (11,276) |
Realized loss (gain) on investment portfolio | 340 | 0 | (4,219) |
Unrealized (gain) loss on investment portfolio | (9,659) | 7,951 | 942 |
Unrealized loss on digital assets | 0 | 625 | 0 |
Unrealized loss (gain) on debentures | 32 | (1,114) | 0 |
Realized exchange loss | 46 | 0 | 0 |
Unrealized exchange gain | (8) | (395) | 670 |
Total | $ (9,628) | $ 2,375 | $ (15,671) |
Other non-operating expense (_3
Other non-operating expense (income) (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Non Operating Expense [Abstract] | |||
Government grants | $ (93) | $ (1,597) | |
Direct offering transaction costs allocated to derivative financial liabilities | 2,260 | ||
Restructuring charges | $ 4,519 | 2,784 | 421 |
Impairment of intangible assets | 6,521 | ||
Acquisition costs and other | 712 | 1,148 | 3,016 |
Other non-operating expense | $ 5,231 | $ 10,360 | $ 4,100 |
Other non-operating expense (_4
Other non-operating expense (income) (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other non-operating expense [Line Items] | |||
Expense of restructuring activities | $ 4,519 | $ 2,784 | $ 421 |
Direct offering transaction costs | $ 0 | $ 0 | |
Direct offering transaction costs allocated to derivative financial liabilities | $ 2,260 |
Investment Accounted for Usin_3
Investment Accounted for Using the Equity Method (Details Narrative) - CAD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Jul. 10, 2023 | Oct. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||
Proportion of ownership interest in associate | 14% | ||||
Net gain from dilution on investments | $ 0 | $ 2,927 | $ 0 | ||
Coinsquare [Member] | |||||
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||
Proportion of ownership interest in associate | 34% | 34% | 39% | ||
Shares received | 89,429 | ||||
Shares exchanged | 12,518,473 | ||||
Net gain from dilution on investments | $ 2,927 | ||||
Estimated recoverable amount of investments value | $ 24,989 | ||||
WonderFi Transaction [Member] | |||||
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||
Shares received | 1,353,770 | ||||
Shares exchanged | 86,962,640 | ||||
Maximum [member] | |||||
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||
Increase in percentage of ownership interest | 20% |
Investment Accounted for Usin_4
Investment Accounted for Using the Equity Method (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Detailed Information Of Investments Accounted For Using Equity Method [Line Items] | |||
Balance, beginning of the period | $ 24,989 | $ 103,821 | $ 0 |
Additions | |||
Initial investments in Coinsquare | 0 | 0 | 45,026 |
Step up investments in Coinsquare | 0 | 0 | 59,073 |
Share of loss in investment accounted for using the equity method: | |||
Share of investee's loss | (2,972) | (23,496) | (278) |
Gain from dilution of interest in associate | 0 | 2,927 | 0 |
Impairment | (5,295) | (58,263) | 0 |
Revaluation gain | 97 | 0 | 0 |
Distributions received | (731) | 0 | 0 |
Transfer to investments measured at FVTPL | (16,088) | 0 | 0 |
Balance, end of the period | $ 0 | $ 24,989 | $ 103,821 |
Investment Accounted for Usin_5
Investment Accounted for Using the Equity Method (Details 2) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Profit or loss [abstract] | |||
Initial investment in Coinsquare | $ 0 | $ 0 | $ 45,026 |
Step up investments in Coinsquare | $ 0 | $ 0 | $ 59,073 |
Income Taxes (Details)
Income Taxes (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Taxes Details [Abstract] | |||
Current tax expense | $ 19 | $ 76 | $ 133 |
Deferred tax recovery | (419) | (412) | (365) |
Income tax recovery | $ (400) | $ (336) | $ (232) |
Income Taxes (Details1)
Income Taxes (Details1) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Taxes Details1 [Abstract] | |||
Canadian federal and provincial recovery of income taxes using statutory rate of 27% (2021 – 27%, 2020 – 27%) | $ (4,938) | $ (44,832) | $ (9,029) |
Change in recognized taxable temporary differences | (1,297) | 0 | 0 |
Change in unrecognized deductible temporary differences and unused tax losses | 4,680 | 33,554 | 6,538 |
Impact of rate differences between jurisdictions | 293 | 0 | 0 |
Permanent differences and other | 862 | 10,942 | 2,259 |
Income tax recovery | $ (400) | $ (336) | $ (232) |
Income Taxes (Details1) (Parent
Income Taxes (Details1) (Parenthetical) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Taxes Details1 [Abstract] | |||
Canadian federal and provincial recovery of income taxes using statutory rate | 27% | 27% | 27% |
Income Taxes (Details 2)
Income Taxes (Details 2) - Deferred Tax Assets [Member] - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Statement [Line Items] | ||
Non-capital losses | $ 6,142 | $ 6,728 |
Property and equipment | 0 | 0 |
Intangible assets | 0 | 0 |
Total | $ 6,142 | $ 6,728 |
Income Taxes (Details 3)
Income Taxes (Details 3) - Deferred Tax Liabilities [Member] - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Statement [Line Items] | ||
Intangible assets | $ 6,656 | $ 7,492 |
Right-of-use assets | 512 | 708 |
Property and equipment | 0 | 9 |
Digital assets and derivatives | 0 | 0 |
Equity investments | 0 | 0 |
Deferred cost | 0 | 0 |
Net deferred income tax liabilities | $ 7,168 | $ 8,209 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) $ in Thousands | Dec. 31, 2023 CAD ($) |
Income Taxes Details [Abstract] | |
Unused tax losses for which no deferred tax asset recognized | $ 0 |
Deductible temporary differences for which no deferred tax asset is recognized | $ 0 |
Income Taxes (Details 4)
Income Taxes (Details 4) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Statement Line Items [Line Items] | ||||
Unused tax losses | $ 0 | |||
Property and equipment | 992 | $ 6,440 | $ 6,090 | $ 5,318 |
Lease liability | 2,709 | 3,280 | ||
Intangible assets | 36,562 | 41,829 | ||
Investment accounted for using the equity method | 0 | 24,989 | $ 103,821 | $ 0 |
Debentures | (36,020) | (37,540) | ||
Investment in subsidiaries | 0 | 24,989 | ||
Other | 1,665 | 1,104 | ||
Deferred Tax Assets [Member] | ||||
Statement Line Items [Line Items] | ||||
Unused tax losses | 237,115 | 235,546 | ||
Property and equipment | 5,778 | 5,225 | ||
Lease liability | 2,709 | 3,280 | ||
Equity investments | 7,587 | 7,523 | ||
Intangible assets | 31,934 | 30,341 | ||
Investment accounted for using the equity method | 78,005 | 79,109 | ||
Debentures | 5,595 | 2,185 | ||
Financing costs | 1,720 | 2,643 | ||
Research and development expenditures | 3,006 | 3,406 | ||
Investment in subsidiaries | 3,742 | 3,395 | ||
Capital losses | 6,511 | 0 | ||
Other | 34 | 419 | ||
Deferred tax assets | $ 383,736 | $ 373,072 |
Income Taxes (Details 5)
Income Taxes (Details 5) - Non Capital Loss [member] - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure of Non Capital Losses Expires [Line Items] | ||
Expires 2024 | $ 335 | $ 549 |
Expires 2025 | 426 | 777 |
Expires 2026 | 829 | 1,822 |
Expires 2027 | 719 | 4,419 |
Expires 2028 | 480 | 4,068 |
Expires 2029 | 2,732 | 7,615 |
Expires 2030 | 3,120 | 5,816 |
Expires 2031 | 3,439 | 3,519 |
Expires 2032 | 6,432 | 6,441 |
Expires 2033 | 10,297 | 10,311 |
Expires 2034 | 10,264 | 10,268 |
Expires 2035 | 15,609 | 15,641 |
Expires 2036 | 28,528 | 29,378 |
Expires 2037 | 31,963 | 32,384 |
Expires 2038 | 31,264 | 33,159 |
Expires 2039 | 25,580 | 26,914 |
Expires 2040 | 13,708 | 15,738 |
Expires 2041 | 20,816 | 22,575 |
Expires 2042 | 32,773 | 30,291 |
Expires 2043 | 21,823 | 0 |
Total | $ 261,137 | $ 261,685 |
Loss per share (Details)
Loss per share (Details) - CAD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Loss Per Share Details [Abstract] | |||
Net loss attributed to shareholders | $ (17,887) | $ (165,678) | $ (33,209) |
Basic weighted average number of shares (in 000s) | 24,853 | 25,442 | 21,002 |
Basic loss per share | $ (0.72) | $ (2.17) | $ (0.53) |
Diluted loss per share | $ (0.72) | $ (2.17) | $ (0.53) |
Capital management (Details)
Capital management (Details) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Capital Management Details [Abstract] | ||
Share capital | $ 389,806 | $ 391,243 |
Contributed Surplus | 35,503 | 33,025 |
Deficit | (331,828) | (313,941) |
Credit facility | 49,405 | 46,180 |
Debentures | $ 37,020 | $ 39,658 |
Goodwill and indefinite-life _2
Goodwill and indefinite-life intangible assets (Additional Information) (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill And Indefinite-life Intangible Assets [Line Item] | |||
Impairment loss on goodwill and intangible assets | $ 0 | $ 31,758 | $ 0 |
Carrying value of goodwill | $ 38,355 | 38,355 | |
Increase in pre tax discount rate | 1% | ||
Bottom of range [member] | |||
Goodwill And Indefinite-life Intangible Assets [Line Item] | |||
Forecast period | 5 years | ||
Terminal growth rate | 2% | ||
Top of range [member] | |||
Goodwill And Indefinite-life Intangible Assets [Line Item] | |||
Forecast period | 7 years | ||
Terminal growth rate | 5% | ||
Mogo CGU [Member] | |||
Goodwill And Indefinite-life Intangible Assets [Line Item] | |||
Change in the carrying value of CGUs goodwill & intagible assets | $ 1,943 | ||
Mogo CGU [Member] | Bottom of range [member] | |||
Goodwill And Indefinite-life Intangible Assets [Line Item] | |||
Pre-tax discount rate | 23% | ||
Mogo CGU [Member] | Top of range [member] | |||
Goodwill And Indefinite-life Intangible Assets [Line Item] | |||
Pre-tax discount rate | 24% | ||
Carta CGU [Member] | |||
Goodwill And Indefinite-life Intangible Assets [Line Item] | |||
Carrying value of goodwill | $ 24,315 | 24,315 | |
Carrying value of intangible assets with indefinite life | 1,000 | 1,000 | |
Change in the carrying value of CGUs goodwill & intagible assets | $ 1,931 | ||
Carta CGU [Member] | Bottom of range [member] | |||
Goodwill And Indefinite-life Intangible Assets [Line Item] | |||
Pre-tax discount rate | 20% | ||
Carta CGU [Member] | Top of range [member] | |||
Goodwill And Indefinite-life Intangible Assets [Line Item] | |||
Pre-tax discount rate | 21% | ||
Mogo Related Entities [Member] | |||
Goodwill And Indefinite-life Intangible Assets [Line Item] | |||
Carrying value of goodwill | $ 14,040 | $ 14,040 |
Fair value of financial instr_3
Fair value of financial instruments (Details) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Financial assets measured at fair value | ||||
Investment portfolio | $ 37,768 | $ 12,520 | ||
Financial assets not measured at fair value | ||||
Cash and cash equivalents | 16,133 | 29,268 | $ 67,762 | $ 12,119 |
Restricted cash | 1,737 | 1,578 | ||
Current (terms of one year or less) | 74,121 | 69,693 | ||
Non-Current (terms exceeding one year) | 151 | 221 | ||
Other receivables | 1,901 | 2,741 | ||
Financial liabilities measured at fair value | ||||
Derivative financial liabilities | 34 | 419 | ||
Accounts payable, accruals and other | 24,082 | 20,982 | ||
Debentures | 36,783 | 38,266 | ||
Level 1 [Member] | ||||
Financial assets measured at fair value | ||||
Investment portfolio | 26,332 | 605 | ||
Financial assets not measured at fair value | ||||
Cash and cash equivalents | 16,133 | 29,268 | ||
Restricted cash | 1,737 | 1,578 | ||
Level 2 [Member] | ||||
Financial assets not measured at fair value | ||||
Current (terms of one year or less) | 74,121 | 69,693 | ||
Other receivables | 11,750 | 9,719 | ||
Financial liabilities measured at fair value | ||||
Derivative financial liabilities | 34 | 419 | ||
Accounts payable, accruals and other | 23,904 | 20,773 | ||
Credit facility | 49,405 | 46,180 | ||
Debentures | 34,997 | 36,067 | ||
Level 3 [Member] | ||||
Financial assets measured at fair value | ||||
Investment portfolio | 11,436 | 11,915 | ||
Financial assets not measured at fair value | ||||
Non-Current (terms exceeding one year) | 151 | 221 | ||
Total Fair Value [Member] | ||||
Financial assets measured at fair value | ||||
Investment portfolio | 37,768 | 12,520 | ||
Financial assets not measured at fair value | ||||
Cash and cash equivalents | 16,133 | 29,268 | ||
Restricted cash | 1,737 | 1,578 | ||
Current (terms of one year or less) | 74,121 | 69,693 | ||
Non-Current (terms exceeding one year) | 151 | 221 | ||
Other receivables | 11,750 | 9,719 | ||
Financial liabilities measured at fair value | ||||
Derivative financial liabilities | 34 | 419 | ||
Accounts payable, accruals and other | 23,904 | 20,773 | ||
Credit facility | 49,405 | 46,180 | ||
Debentures | 34,997 | 36,067 | ||
FVTPL [Member] | ||||
Financial assets measured at fair value | ||||
Investment portfolio | 37,768 | 12,520 | ||
Total financial assets measured at fair value | 37,768 | 12,520 | ||
Financial liabilities measured at fair value | ||||
Derivative financial liabilities | 34 | 419 | ||
Total Financial liabilities measured at fair value | 34 | 419 | ||
Financial asset at amortized cost [Member] | ||||
Financial assets not measured at fair value | ||||
Cash and cash equivalents | 16,133 | 29,268 | ||
Restricted cash | 1,737 | 1,578 | ||
Current (terms of one year or less) | 74,121 | 69,693 | ||
Non-Current (terms exceeding one year) | 151 | 221 | ||
Other receivables | 11,750 | 9,719 | ||
Total financial assets not measured at fair value | 103,892 | 110,479 | ||
Other Financial Liabilities [Member] | ||||
Financial liabilities measured at fair value | ||||
Accounts payable, accruals and other | 23,904 | 20,773 | ||
Credit facility | 49,405 | 46,180 | ||
Debentures | 36,783 | 38,266 | ||
Total Financial liabilities not measured at fair value | 110,092 | 105,219 | ||
Total Carrying Value [Member] | ||||
Financial assets measured at fair value | ||||
Investment portfolio | 37,768 | 12,520 | ||
Total financial assets measured at fair value | 37,768 | 12,520 | ||
Financial assets not measured at fair value | ||||
Cash and cash equivalents | 16,133 | 29,268 | ||
Restricted cash | 1,737 | 1,578 | ||
Current (terms of one year or less) | 74,121 | 69,693 | ||
Non-Current (terms exceeding one year) | 151 | 221 | ||
Other receivables | 11,750 | 9,719 | ||
Total financial assets not measured at fair value | 103,892 | 110,479 | ||
Financial liabilities measured at fair value | ||||
Derivative financial liabilities | 34 | 419 | ||
Total Financial liabilities measured at fair value | 34 | 419 | ||
Accounts payable, accruals and other | 23,904 | 20,773 | ||
Credit facility | 49,405 | 46,180 | ||
Debentures | 36,783 | 38,266 | ||
Total Financial liabilities not measured at fair value | $ 110,092 | $ 105,219 |
Fair value of financial instr_4
Fair value of financial instruments (Details 1) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Ifrs Statement [Line Items] | |||
Unrealized exchange (loss) gain | $ 18 | $ 429 | $ (14) |
Unrealized gain (loss) on investment portfolio | (340) | 0 | 4,219 |
Level 3 [Member] | |||
Ifrs Statement [Line Items] | |||
Balance, beginning of the period | 11,915 | 16,303 | |
Additions | 1,837 | ||
Disposal | (152) | ||
Transfer to Level 1 investments | (500) | ||
Unrealized exchange (loss) gain | (201) | 547 | |
Realized loss on investment portfolio | (508) | ||
Unrealized gain (loss) on investment portfolio | 382 | (6,272) | |
Balance, end of the period | $ 11,436 | $ 11,915 | $ 16,303 |
Fair value of financial instr_5
Fair value of financial instruments (Details 2) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Profit or loss Increase in Adjusted market multiple (5% movement) | $ 572 | $ 626 |
Profit or loss Decrease in Adjusted market multiple (5% movement) | $ (572) | $ (626) |
Fair value of financial instr_6
Fair value of financial instruments - (Details 3) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Ifrs Statement [Line Items] | ||
Balance, end of the period | $ 37,768 | $ 12,520 |
WonderFi | ||
Ifrs Statement [Line Items] | ||
Balance, end of the period | 25,654 | 0 |
Alida Inc. | ||
Ifrs Statement [Line Items] | ||
Balance, end of the period | 3,035 | 2,001 |
Hootsuite Inc. | ||
Ifrs Statement [Line Items] | ||
Balance, end of the period | 2,491 | 2,467 |
Blue Ant Media Inc. | ||
Ifrs Statement [Line Items] | ||
Balance, end of the period | 2,700 | 2,237 |
Cardiac Dimensions Pty Ltd. | ||
Ifrs Statement [Line Items] | ||
Balance, end of the period | 828 | 880 |
Tetra Trust Company | ||
Ifrs Statement [Line Items] | ||
Balance, end of the period | 715 | 1,300 |
Gemini | ||
Ifrs Statement [Line Items] | ||
Balance, end of the period | 898 | 569 |
Others | ||
Ifrs Statement [Line Items] | ||
Balance, end of the period | $ 1,447 | $ 3,066 |
Nature and extent of risk ari_3
Nature and extent of risk arising from financial instruments (Details) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | |
Commitments – principal repayments | |||
Debentures (Note 12) | $ 36,783 | $ 38,266 | |
2024 [Member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Lease payments | 1,206 | ||
Accounts payable | 6,448 | ||
Accruals and other | 17,634 | ||
Other purchase obligations | 1,308 | ||
Interest - Credit facility (Note 11) | 6,601 | ||
Interest - Debentures (Note 12) | 3,197 | ||
Total commitments - operational | 36,394 | ||
Commitments – principal repayments | |||
Debentures (Note 12) | [1] | 1,924 | |
Total Commitments Principal Repayments | 1,924 | ||
Total contractual obligations | 38,318 | ||
2025 [Member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Lease payments | 1,240 | ||
Other purchase obligations | 812 | ||
Interest - Credit facility (Note 11) | 3,300 | ||
Interest - Debentures (Note 12) | 2,252 | ||
Total commitments - operational | 7,604 | ||
Commitments – principal repayments | |||
Credit facility (Note 11) | 49,405 | ||
Debentures (Note 12) | [1] | 35,096 | |
Total Commitments Principal Repayments | 84,501 | ||
Total contractual obligations | 92,105 | ||
2026 [Member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Lease payments | 1,255 | ||
Other purchase obligations | 584 | ||
Total commitments - operational | 1,839 | ||
Commitments – principal repayments | |||
Total contractual obligations | 1,839 | ||
2027 [Member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Lease payments | 872 | ||
Other purchase obligations | 642 | ||
Total commitments - operational | 1,514 | ||
Commitments – principal repayments | |||
Total contractual obligations | 1,514 | ||
2028 [Member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Lease payments | 113 | ||
Other purchase obligations | 221 | ||
Total commitments - operational | 334 | ||
Commitments – principal repayments | |||
Total contractual obligations | 334 | ||
Thereafter [Member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Lease payments | 526 | ||
Total commitments - operational | 526 | ||
Commitments – principal repayments | |||
Total contractual obligations | $ 526 | ||
[1] (1) The debenture principal repayments are payable in either cash or Common Shares at Mogo’s option. The number of Common Shares required to settle the principal repayments is variable based on the Company's share price at the repayment date. |
Nature and extent of risk ari_4
Nature and extent of risk arising from financial instruments (Details Narrative) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 CAD ($) | Dec. 31, 2022 CAD ($) | |
Disclosure of detailed information about financial instruments [line items] | ||
Description for effect on foreign exchange rates | As at December 31, 2023, a 5% increase or decrease in the U.S. dollar exchange rate would increase or decrease the unrealized exchange gain (loss) by $123 (December 31, 2022 – $314). | |
Decrease in the market value | 0.10 | |
Statement of loss | $ 2,600 | |
LIBOR [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Increase decrease In credit facility expense due to change in basis point | $ 386 | $ 515 |
Credit Facility - Liquid [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
LIBOR | 4.32% | |
SOFR | 5.38% |
Nature and extent of risk ari_5
Nature and extent of risk arising from financial instruments (Details 1) - CAD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure of detailed information about financial instruments [line items] | ||
Cash | $ 16,133 | $ 29,268 |
Derivative financial liabilities | 34 | 419 |
Foreign Currency Risk [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Cash | 38 | 3,553 |
Investment portfolio | 5,813 | 5,958 |
Derivative financial liabilities | (26) | (310) |
Debentures | $ (3,971) | $ (4,562) |
Equity (Details Narrative)
Equity (Details Narrative) | 12 Months Ended | |||||||
Aug. 11, 2023 $ / shares shares | Oct. 07, 2020 $ / shares shares | Dec. 31, 2023 CAD ($) Granted $ / shares shares | Dec. 31, 2022 CAD ($) Granted $ / shares shares | Dec. 31, 2021 CAD ($) shares | Dec. 31, 2021 $ / shares shares | Aug. 14, 2023 shares | Jan. 03, 2023 shares | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Stock shares repurchased during the period shares | 474,353 | 600,000 | ||||||
Stock shares repurchased during the period, value | $ | $ 1,193,000 | $ 1,627,000 | ||||||
Share repurchase average price per share | $ / shares | $ 2.36 | $ 2.7 | ||||||
Stock shares repurchased during the period value | $ | $ 244,000 | $ 2,364,000 | ||||||
Common stock shares issued | 24,515,909 | 24,992,513 | ||||||
Number of shares issued | 74,610,924 | 24,870,308 | ||||||
Outstanding warrants issued | 74,610,924 | 24,870,308 | ||||||
Common shares issuable under plan | 32,333 | |||||||
Adjustments for share-based payments | $ | $ 2,457,000 | $ 8,712,000 | $ 11,683,000 | |||||
Number of options granted | Granted | 0 | 100,000 | ||||||
Treasury Share Reserve [Member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Number of shares in entity held by entity | 190,706 | 101,272 | ||||||
Postmedia Agreement [Member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Warrants And Rights Outstanding | 77,778 | |||||||
Amended Warrants | 2 years | |||||||
Period From Date of Issuance | 6 months | |||||||
Warrants issued | 89,000 | |||||||
Exercise price of warrants | $ / shares | $ 2.79 | |||||||
RSU [Member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Outstanding Balance | $ | $ 0 | $ 667,000 | ||||||
Common shares issuable under plan | 166,667 | |||||||
Description of vesting requirements for share-based payment arrangement | RSUs vest fully after three years of continuous employment from the date of grant and, in certain cases, if performance objectives are met as determined by the Board | |||||||
Adjustments for share-based payments | $ | $ 2,457,000 | $ 8,604,000 | ||||||
Warrants [Member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Outstanding warrants issued | 358,000 | 663,000 | 663,000 | 663,000 | ||||
Debenture Warrants [Member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Outstanding warrants issued | 0 | 394,655 | ||||||
Warrants issued | 1,493,131 | |||||||
Exercise price of warrants | $ / shares | $ 6.09 | |||||||
Number Of Warrants Expired Unexercised | 394,655 | |||||||
Mogo Shareholders [Member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Vesting period | 3 years | |||||||
Bottom of range [member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Weighted average exercise price warrants granted | $ / shares | $ 16.89 | |||||||
Top of range [member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Weighted average exercise price warrants granted | $ / shares | $ 37.89 | |||||||
Stock Option Plan [Member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Stock option plan description | The maximum number of Common Shares reserved for issuance under the Plan is the greater of i) 15% of the number of Common Shares issued and outstanding, and ii) 1,266,667 | |||||||
Stock option granted shares | 1,266,667 | |||||||
Minimum percentage of common shares reserved for future issuance | 15% | |||||||
Description of Conversion of stock option upon exercise | Each option entitles the holder to receive one Common Share upon exercise | |||||||
Maximum contractual term | eight years | |||||||
Description of vesting requirements for share-based payment arrangement | These options generally vest monthly over a four-year period after an initial one-year cliff | |||||||
Prior Plan [Member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Maximum contractual term | ten years | |||||||
Preference shares [member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Number of shares issued | 0 | |||||||
Warrants Issued In Connection With Brokerage Services [member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Warrants issued | 190,961 | |||||||
Warrants Issued In Connection With Brokerage Services [member] | Mogo Related Entities [Member] | ||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||
Outstanding warrants issued | 357,739 |
Equity (Details)
Equity (Details) - Stock Options [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Options outstanding shares, Beginning | 3,207,000 | 2,975,000 |
Options outstanding, Options issued | 1,362,000 | 1,152,000 |
Options outstanding, Exercised | (16,000) | |
Options outstanding, Forfeited | (1,071,000) | (904,000) |
Options outstanding shares, Ending | 3,498,000 | 3,207,000 |
Weighted average grant date fair value, Options issued | $ 1.8 | $ 3.18 |
Weighted average grant date fair value, Exercised | 3.65 | |
Weighted average grant date fair value, Forfeited | 9.02 | 10.69 |
Weighted average exercise price, Beginning | 9.09 | 13.92 |
Weighted average exercise price, Options issued | 2.41 | 4.22 |
Weighted average exercise price, Exercised | 4.76 | |
Weighted average exercise price, Forfeited | 9.07 | 10.53 |
Weighted average exercise price, Ending | $ 5.56 | $ 9.09 |
Options exercisable, Beginning | 1,236,000 | 1,012,000 |
Options exercisable, Ending | 1,499,000 | 1,236,000 |
Weighted average exercise price options exercisable, Beginning | $ 11.22 | $ 11.79 |
Weighted average exercise price options exercisable,Ending | $ 8.18 | $ 11.22 |
Equity (Details 1)
Equity (Details 1) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Stock Options [Member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Expected life | 5 years | 5 years |
Expected dividend yield | 0% | 0% |
Minimum [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Risk-free interest rate | 3.02% | 1.73% |
Expected volatility in market price of shares | 90% | 87% |
Expected forfeiture rate | 0% | 0% |
Maximum [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Risk-free interest rate | 4.30% | 3.40% |
Expected volatility in market price of shares | 91% | 91% |
Expected forfeiture rate | 15% | 15% |
Equity (Details 2)
Equity (Details 2) - Warrants [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Options outstanding shares, Beginning | 663,000 | 663,000 |
Options outstanding, Warrants issued | 89,000 | |
Options outstanding, Warrants exercised | (394,000) | |
Options outstanding shares, Ending | 358,000 | 663,000 |
Weighted average exercise price, Beginning | $ 13.8 | $ 13.8 |
Weighted average exercise price, Warrants issued | 2.79 | |
Weighted average exercise price, Warrants exercised | 6.09 | |
Weighted average exercise price, Ending | $ 20.53 | $ 13.8 |
Warrants exercisable, Beginning | 625,000 | 586,000 |
Warrants Exercisable ,Warrants Expired | 394,000 | |
Warrants exercisable, Ending | 280,000 | 625,000 |
Weighted average exercise price options exercisable, Beginning | $ 14.4 | $ 15.12 |
Weighted Average Exercise Price,Warrants Expired | 6.09 | |
Weighted average exercise price options exercisable,Ending | $ 25.46 | $ 14.4 |
Related party transactions (Det
Related party transactions (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Transactions Between Related Parties [Line Items] | ||
Stock options granted | 832,999 | 806,494 |
Stock options fair value | $ 1,481 | $ 2,553 |
Services received related party transactions | 175 | 188 |
Debentures [Member] | ||
Disclosure Of Transactions Between Related Parties [Line Items] | ||
Due to related parties | 290 | 306 |
Interest on debenture | $ 24 | $ 25 |
Interest rates | 8% | 8% |
Related party transactions (D_2
Related party transactions (Details) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Related Party Transactions Details [Abstract] | ||
Salary and short – term benefits | $ 1,940 | $ 2,192 |
Stock-based compensation | 1,278 | 3,129 |
Termination benefits | 163 | 1,224 |
Total | $ 3,381 | $ 6,545 |
Cash flow changes from financ_3
Cash flow changes from financing activities (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | $ 478,969 | $ 481,353 | $ 198,119 |
Cash flows | (932) | (3,079) | 125,864 |
Conversion/ Other | (328) | 173 | 156,132 |
Foreign exchange | 18 | 429 | (14) |
Fair Value/ Amortization | 976 | 93 | 1,252 |
Non-cash changes in financing activities ending | 478,703 | 478,969 | 481,353 |
Credit facility [Member] | |||
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | 46,180 | 44,983 | 37,644 |
Cash flows | 3,225 | 1,197 | 7,339 |
Non-cash changes in financing activities ending | 49,405 | 46,180 | 44,983 |
Lease liability [Member] | |||
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | 3,280 | 3,948 | 4,336 |
Cash flows | (571) | (668) | (660) |
Conversion/ Other | 272 | ||
Non-cash changes in financing activities ending | 2,709 | 3,280 | 3,948 |
Debentures [Member] | |||
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | 38,266 | 39,794 | 40,658 |
Cash flows | (2,393) | (2,050) | (2,053) |
Conversion/ Other | (84) | (49) | |
Foreign exchange | 18 | 429 | (14) |
Fair Value/ Amortization | 976 | 93 | 1,252 |
Non-cash changes in financing activities ending | 36,783 | 38,266 | 39,794 |
Convertible debentures [Member] | |||
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | 8,751 | ||
Conversion/ Other | (8,751) | ||
Share Capital [Member] | |||
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | 391,243 | 392,628 | 106,730 |
Cash flows | (1,193) | (1,558) | 121,238 |
Conversion/ Other | (244) | 173 | 164,660 |
Non-cash changes in financing activities ending | $ 389,806 | $ 391,243 | $ 392,628 |