Cover Page
Cover Page | 12 Months Ended |
Dec. 31, 2022 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, 2022 |
Amendment Flag | false |
Document Fiscal Period Focus | FY |
Current Fiscal Year End Date | --12-31 |
Entity Current Reporting Status | Yes |
Entity Emerging Growth Company | true |
Entity Common Stock, Shares Outstanding | 74,977,540 |
Document Fiscal Year Focus | 2022 |
Entity Ex Transition Period | false |
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 | 2100 – 401 West Georgia Street |
Entity Address, City or Town | Vancouver |
Entity Address, State or Province | BC |
Entity Address, Country | CA |
Entity Address, Postal Zip Code | V6B 5A1 |
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 | 2100 – 401 West Georgia Street |
Entity Address, City or Town | Vancouver |
Entity Address, State or Province | BC |
Entity Address, Postal Zip Code | V6B 5A1 |
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, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and cash equivalent | $ 29,268 | $ 67,762 |
Restricted cash | 1,578 | 1,446 |
Digital assets | 0 | 1,718 |
Loans receivable, net | 56,841 | 55,832 |
Prepaid expenses, and other receivables and assets | 12,391 | 10,302 |
Investment portfolio | 12,520 | 18,088 |
Investment accounted for using the equity method | 24,989 | 103,821 |
Property and equipment | 1,101 | 1,186 |
Right-of-use assets | 2,622 | 3,430 |
Intangible assets | 41,829 | 52,304 |
Derivative financial assets | 0 | 7,866 |
Goodwill | 38,355 | 70,112 |
Total assets | 221,494 | 393,867 |
Liabilities | ||
Accounts payable, accruals and other | 20,982 | 20,783 |
Lease liabilities | 3,280 | 3,948 |
Credit facility | 46,180 | 44,983 |
Debentures | 38,266 | 39,794 |
Derivative financial liabilities | 419 | 12,688 |
Deferred tax liability | 1,481 | 1,894 |
Total liabilities | 110,608 | 124,090 |
Equity | ||
Share capital | 391,243 | 392,628 |
Contributed surplus | 33,025 | 24,486 |
Revaluation reserve | 0 | 468 |
Foreign currency translation reserve | 559 | 458 |
Deficit | (313,941) | (148,263) |
Total equity | 110,886 | 269,777 |
Total equity and liabilities | $ 221,494 | $ 393,867 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Income (Loss) - CAD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Revenue | |||
Subscription and services | $ 41,741 | $ 34,408 | $ 19,114 |
Interest revenue | 27,208 | 23,111 | 25,131 |
Total revenue | 68,949 | 57,519 | 44,245 |
Cost of revenue | |||
Provision for loan losses, net of recoveries | 14,730 | 7,540 | 8,334 |
Transaction costs | 7,979 | 3,940 | 414 |
Cost of revenue | 22,709 | 11,480 | 8,748 |
Gross profit | 46,240 | 46,039 | 35,497 |
Operating expenses | |||
Technology and development | 12,973 | 10,667 | 5,134 |
Marketing | 11,208 | 15,629 | 4,137 |
Customer service and operations | 14,089 | 13,214 | 6,179 |
General and administration | 20,197 | 17,642 | 8,453 |
Stock-based compensation | 8,712 | 11,683 | 2,041 |
Depreciation and amortization | 12,636 | 12,736 | 8,414 |
Total operating expenses | 79,815 | 81,571 | 34,358 |
Loss from operations | (33,575) | (35,532) | 1,139 |
Other expenses (income) | |||
Credit facility interest expense | 4,640 | 4,109 | 6,194 |
Debenture and other financing expense | 2,111 | 3,841 | 6,170 |
Accretion related to debentures and convertible debentures | 1,249 | 1,252 | 963 |
Share of loss in investment accounted for using the equity method | 20,569 | 278 | 0 |
Revaluation loss (gain) | 3,489 | (15,671) | 2,426 |
Impairment of investment accounted for using the equity method | 58,263 | 0 | 0 |
Impairment of goodwill | 31,758 | 0 | 0 |
Other non-operating expense (income) | 10,360 | 4,100 | (1,169) |
Other expenses (income) | 132,439 | (2,091) | 14,584 |
Net loss before tax | (166,014) | (33,441) | (13,445) |
Income tax recovery | (336) | (232) | 0 |
Net loss | (165,678) | (33,209) | (13,445) |
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 | (468) | 468 | 0 |
Foreign currency transaction reserve gain | 101 | 458 | 0 |
Other comprehensive (loss) income | (367) | 926 | 0 |
Total comprehensive loss | $ (166,045) | $ (32,283) | $ (13,445) |
Net loss per share | |||
Basic loss per share | $ (2.17) | $ (0.53) | $ (0.47) |
Diluted loss per share | $ (2.17) | $ (0.53) | $ (0.47) |
Weighted average number of basic common shares (in 000s) | 76,326 | 63,005 | 28,873 |
Weighted average number of fully diluted common shares (in 000s) | 76,326 | 63,005 | 28,873 |
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] | Deficit | Foreign currency translation reserve | Revaluation reserve |
Beginning balance, Shares at Dec. 31, 2019 | 27,558 | ||||||||||||||||
Beginning balance, Amount at Dec. 31, 2019 | $ 1,752 | $ 94,500 | $ 8,861 | $ (101,609) | |||||||||||||
Net loss | (13,445) | (13,445) | |||||||||||||||
Foreign currency translation reserve | 0 | ||||||||||||||||
Stock-based compensation (Note 27c & Note 27e) | 2,041 | 2,041 | |||||||||||||||
Options and restricted share units ("RSUs") exercised or converted, Shares | 335 | ||||||||||||||||
Options and restricted share units ("RSUs") exercised or converted, Amount | 556 | $ 1,112 | (556) | ||||||||||||||
Shares issued – convertible debentures, Shares | 2,155 | ||||||||||||||||
Shares issued – convertible debentures (Note 15), Amount | 4,983 | $ 4,983 | |||||||||||||||
Shares issued – Partial settlement of credit facility, Shares | 307 | ||||||||||||||||
Shares issued – Partial settlement of credit facility, Amount | 1,000 | $ 1,000 | |||||||||||||||
Shares issued – debentures, Shares | 776 | ||||||||||||||||
Shares issued – debentures, Amount | 1,410 | $ 1,410 | |||||||||||||||
Equity portion – convertible debentures | 617 | 617 | |||||||||||||||
Shares issued to settle debt, Shares | 610 | ||||||||||||||||
Shares issued to settle debt, Amount | 939 | $ 939 | |||||||||||||||
Warrants issued for broker services (Note 27e) | 3,372 | 3,372 | |||||||||||||||
Conversion of warrants (Note 27e), Shares | 990 | ||||||||||||||||
Conversion of warrants (Note 27e), Amount | 2,011 | $ 2,786 | (775) | ||||||||||||||
Ending balance, Shares at Dec. 31, 2020 | 32,731 | ||||||||||||||||
Ending balance, Amount at Dec. 31, 2020 | 5,236 | $ 106,730 | 13,560 | (115,054) | $ 0 | $ 0 | |||||||||||
Net loss | (33,209) | (33,209) | |||||||||||||||
Treasury shares reserve (Note 27b) shares | (321) | ||||||||||||||||
Treasury shares reserve (Note 27b) | (2,364) | $ (2,364) | |||||||||||||||
Foreign currency translation reserve | 458 | 458 | |||||||||||||||
Stock-based compensation (Note 27c & Note 27e) | 11,683 | 11,683 | |||||||||||||||
Options and restricted share units ("RSUs") exercised or converted, Shares | 841 | ||||||||||||||||
Options and restricted share units ("RSUs") exercised or converted, Amount | 1,534 | $ 2,674 | (1,140) | ||||||||||||||
Shares issued | 1,525 | 11,458 | |||||||||||||||
Shares issued value | $ 16,804 | $ 72,252 | $ 16,804 | $ 71,475 | $ 777 | ||||||||||||
Shares issued on acquisition | 10,000 | 75 | 4,634 | ||||||||||||||
Shares issued on acquisition value | $ 54,800 | $ 396 | $ 47,207 | $ 54,800 | $ 396 | $ 47,207 | |||||||||||
Shares issued - replacement awards | 366 | ||||||||||||||||
Shares issued for purchase of investment accounted for using the equity method (Note 25), Shares | 8,267 | ||||||||||||||||
Shares issued for purchase of investment accounted for using the equity method (Note 25), Amount | 77,780 | $ 77,780 | |||||||||||||||
Shares issued – convertible debentures, Shares | 3,179 | ||||||||||||||||
Shares issued – convertible debentures (Note 15), Amount | 8,783 | $ 8,783 | |||||||||||||||
Equity settled share-based payment, Shares | 18 | ||||||||||||||||
Equity settled share-based payment, Amount | 164 | $ 164 | |||||||||||||||
Warrants exercised (Note 27e), Shares | 3,618 | ||||||||||||||||
Warrants exercised (Note 27e), Amount | 6,375 | $ 8,179 | (1,804) | ||||||||||||||
Warrants issued for broker services (Note 27e) | 1,410 | 1,410 | |||||||||||||||
Revaluation reserve (Note 6) | 468 | 468 | |||||||||||||||
Ending balance, Shares at Dec. 31, 2021 | 76,391 | ||||||||||||||||
Ending balance, Amount at Dec. 31, 2021 | 269,777 | $ 392,628 | 24,486 | (148,263) | 458 | 468 | |||||||||||
Net loss | (165,678) | (165,678) | |||||||||||||||
Purchase of common shares for cancellation (Note 27a), Shares | (1,800) | ||||||||||||||||
Purchase of common shares for cancellation (Note 27a), Amount | (1,627) | $ (1,627) | |||||||||||||||
Cancellation of replacement awards | (3) | ||||||||||||||||
Foreign currency translation reserve | 101 | 101 | |||||||||||||||
Stock-based compensation (Note 27c & Note 27e) | 8,712 | 8,712 | |||||||||||||||
Options and restricted share units ("RSUs") exercised or converted, Shares | 87 | ||||||||||||||||
Options and restricted share units ("RSUs") exercised or converted, Amount | 69 | $ 242 | (173) | ||||||||||||||
Revaluation reserve (Note 6) | (468) | (468) | |||||||||||||||
Ending balance, Shares at Dec. 31, 2022 | 74,675 | ||||||||||||||||
Ending balance, Amount at Dec. 31, 2022 | $ 110,886 | $ 391,243 | $ 33,025 | $ (313,941) | $ 559 | $ 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Operating activities | |||
Net loss | $ (165,678) | $ (33,209) | $ (13,445) |
Items not affecting cash and other items: | |||
Depreciation and amortization | 12,636 | 12,736 | 8,414 |
Provision for loan losses | 15,383 | 8,476 | 9,451 |
Credit facility interest expense | 4,640 | 4,109 | 6,194 |
Debenture and other financing expense | 2,111 | 3,841 | 6,170 |
Accretion related to debentures and convertible debentures | 1,249 | 1,252 | 963 |
Share of loss in investment accounted for using the equity method | 20,569 | 278 | 0 |
Stock-based compensation expense | 8,712 | 11,683 | 2,041 |
Revaluation loss (gain) | 3,489 | (15,671) | 2,426 |
Impairment of investment using the equity method | 58,263 | 0 | 0 |
Impairment of goodwill | 31,758 | 0 | 0 |
Other non-operating expense (income) | 7,509 | 1,954 | (606) |
Income tax recovery | (336) | (285) | 0 |
Cash flows from (used in) operations before changes in working capital | 305 | (4,836) | 21,608 |
Changes in: | |||
Net issuance of loans receivable | (16,392) | (17,081) | 2,080 |
Proceeds from sale of loan book | 0 | 0 | 31,572 |
Prepaid expenses, and other receivables and assets | (2,003) | (2,537) | 513 |
Accounts payable, accruals and other | (805) | 2,784 | (3,328) |
Restricted cash | (132) | (1,446) | 0 |
Cash (used in) provided by operating activities | (19,027) | (23,116) | 52,445 |
Interest paid | (7,906) | (7,974) | (8,640) |
Income taxes paid | (76) | 0 | 0 |
Net cash (used in) provided by operating activities | (27,009) | (31,090) | 43,805 |
Investing activities | |||
Investment in intangible assets | (7,482) | (7,503) | (4,796) |
Cash invested in investment portfolio | (1,837) | (3,698) | (150) |
Proceeds from sale of (investment in) digital assets | 625 | (1,250) | 0 |
Proceeds from sale of investment | 0 | 4,878 | 0 |
Purchases of property and equipment | (455) | (464) | (23) |
Cash invested in investment using the equity method | 0 | (32,396) | 0 |
Cash acquired upon acquisition of subsidiary | 0 | 839 | 0 |
Net cash used in investing activities | (9,149) | (39,594) | (4,969) |
Financing activities | |||
Lease liabilities – principal payments | (668) | (660) | (444) |
Repayments on debentures | (2,050) | (2,053) | (399) |
Net advances (repayments) on credit facility | 1,197 | 7,339 | (38,859) |
Proceeds from issuance of common shares, net | 0 | 113,329 | 0 |
Repurchase of common shares | (1,627) | 0 | 0 |
Proceeds from exercise of warrants | 0 | 6,375 | 2,011 |
Proceeds from exercise of options | 69 | 1,534 | 557 |
Net cash (used in) provided by financing activities | (3,079) | 125,864 | (37,134) |
Effect of exchange rate fluctuations on cash and cash equivalents | 743 | 463 | 0 |
Net (decrease) increase in cash and cash equivalent | (38,494) | 55,643 | 1,702 |
Cash and cash equivalent, beginning of period | 67,762 | 12,119 | 10,417 |
Cash and cash equivalent, end of period | $ 29,268 | $ 67,762 | $ 12,119 |
Nature of operations
Nature of operations | 12 Months Ended |
Dec. 31, 2022 | |
Text Block [Abstract] | |
Disclosure Of Nature Of Operations Explanatory | 1. Nature of operations Mogo Inc. (“Mogo” or the “Company”) was continued under the Business Corporations Act (British Columbia) on June 21, 2019 in connection with 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, we 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 or download the mobile app (iOS or Android). |
Basis of presentation
Basis of presentation | 12 Months Ended |
Dec. 31, 2022 | |
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 (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). The policies applied in these consolidated financial statements were based on IFRS issued and applicable at December 31, 2022. The Company presents its consolidated statements of financial position on a non-classified These consolidated financial statements were authorized by the Board of Directors (the “Board”) to be issued on March 2 3 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 the next 12 months. 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 these consolidated financial statements, and (ii) the base of investors and debt lenders historically available to the Company. The expected cash flows have been modeled based on anticipated revenue and profit streams with debt programmed into the model. Refer to Notes 12, 13, and 26 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. 2. Basis of presentation (Continued from previous page) 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., Hornby Loan Brokers (Ottawa) Inc., Hornby Leasing Inc., Mogo Technology Inc. (a US subsidiary), Mogo Blockchain Technology Inc., Mogo Wallet Inc. (formerly Mogo Wealth Technology Inc.), Thurlow Management Inc., Thurlow Capital (Alberta) Inc., Thurlow Capital (B.C.) Inc., Thurlow Capital (Manitoba) Inc., Thurlow Capital (Ontario) Inc., Thurlow Capital (Ottawa) 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 inter-company |
Significant accounting policies
Significant accounting policies | 12 Months Ended |
Dec. 31, 2022 | |
Significant Accounting Policies Policy [Abstract] | |
Significant accounting policies | 3. Significant accounting policies 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 saving and investing products, identity fraud protection, 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 monthly basis. The Company also earns service revenue through MogoCard interchange revenue and other fees that are mainly driven by transactional volume and are recognized when the transaction occurs. Transaction processing revenue The Company’s transaction processing revenue is derived from long-term processing contracts with financial and non-financial 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 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 our loan products. Interest is recognized on an effective interest basis during the period, and fees are recognized when assessed to the customer. Refer Note 4 for more details. b) Cost of revenue Cost of revenue consists of provision for loan losses and transaction costs. Transaction costs are 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 MogoCard and MogoProtect programs. 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 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. 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 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. 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 d) Property and equipment All property and equipment are measured at cost less accumulated depreciation and accumulated impairment losses. Cost includes expenditures that are directly attributable to the acquisition of the asset. When parts of an item of property and equipment have different useful lives, they are accounted for as separate items of property and equipment. All assets having limited useful lives are depreciated using the declining balance method at rates intended to depreciate the cost of assets over their estimated useful lives except leasehold improvements, which are depreciated straight line over the term of lease. The depreciation rate for each class of asset during the current and comparative period are as follows: Rate Computer equipment 30% Furniture and fixtures 20% Leasehold improvements Term of lease The useful lives of items of property and equipment are reviewed periodically, and the useful life is altered if estimates have changed significantly. e) 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. f) 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. g) Impairment of non-financial 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 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 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). h) Digital assets Digital assets represent investments in cryptocurrencies held by the Company that are classified as indefinite life intangible assets. The Company has ownership and control over its digital assets and uses third-party custodial services to secure them. The Company has concluded that digital assets are traded in an active market where there are observable prices and digital assets are measured under the revaluation model at fair value at the revaluation date less any accumulated impairment loss. Acquisitions of digital assets are recognized at cost and are remeasured to fair value at the end of the period by reference to active markets. The Company determines the fair value of our digital assets in accordance with IFRS 13 Fair Value Measurement Fair value increases are recognized in other comprehensive income and recorded to a revaluation reserve, except to the extent that the increase reverses a previous revaluation decrease on the same asset recognized in net loss, in which case a gain up to the amount of the loss previously charged to net loss is recognized in net profit. Fair value decreases are recognized in other comprehensive loss to the degree that these reduce any accumulated revaluation reserve, with any decrease in excess of the revaluation reserve recognized in net loss. i) 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 j) 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. k) Provisions Provisions are recognized when the Company has a present legal or constructive obligation that is the result of a past event, when it is probable that the Company will be required to settle the obligation, and a reliable estimate of the amount of the obligation can be made. If the effect of the time value of money is material, provisions are discounted using a current pre-tax l) 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. m) Sales tax Revenue, expenses and assets are recognized net of the amount of sales tax except where the sales tax incurred on a purchase of assets or services is not recoverable from the taxation authority, in which case the sales tax is recognized as part of the cost of acquisition of the asset or as part of the expense item as applicable. The net amount of sales tax recoverable from, or payable to, the taxation authority is included as part of amounts receivable or accounts payable and accrued liabilities in the consolidated statements of financial position. n) 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 o) Earnings per share The computation of earnings per share is based on the weighted average number of shares outstanding during the period. 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 additional shares assuming the exercise of share options or warrants, if dilutive. p) 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 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 q) 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. The Company’s investment in its associate is 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). r) 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. s) Leases Right-of-use Right-of-use re-measurement right-of-use right-of-use Right-of-use 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 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 in-substance Short-term leases and leases of low-value 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 low-value t) Government assistance Government assistance is recognized when there is reasonable assurance that it will be received and all related conditions will be complied with. When government assistance relates to an expense item, it is recognized as revenue over the period necessary to match the government assistance in a systematic basis to the costs that is intended to subsidize. u) 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 acc 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. Our allowance for loan losses represents our estimate of the expected credit losses expected from our existing loan portfolio and is based on a variety of factors, including the composition and quality of the portfolio, loan-specific information gathered through our collection efforts, delinquency levels, our historical charge-off and loss experience, our 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. (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, 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. v) New and amended standards and interpretations Certain new or amended standards and interpretations became effective on January 1, 2022, 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, 2023 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. |
Loans receivable
Loans receivable | 12 Months Ended |
Dec. 31, 2022 | |
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 As at December 31, 2022 December 31, Current (terms of one year or less) 69,693 65,397 Non-current 221 248 69,914 65,645 The following table provides a breakdown of gross loans receivable and allowance for loan losses by aging bucket, which represents our assessment of credit risk exposure and by their IFRS 9 – Financial Instruments 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 2,903 — — 2,903 Medium risk 31-60 — 1,211 — 1,211 Higher risk 61-90 — 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 As at December 31, 2021 Risk Category Days past due Stage 1 Stage 2 Stage 3 Total Strong Not past due 54,067 — — 54,067 Lower risk 1-30 2,797 — — 2,797 Medium risk 31-60 — 1,284 — 1,284 Higher risk 61-90 — 798 — 798 Non-performing 91+ days past due or bankrupt — — 6,699 6,699 Gross loans receivable 56,864 2,082 6,699 65,645 Allowance for loan losses (5,291 ) (1,119 ) (3,403 ) (9,813 ) Loans receivable, net 51,573 963 3,296 55,832 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 $1,222 higher than the reported allowance for credit losses as at December 31, 2022 (December 31, 2021 – $705 higher). The following table provides a reconciliation of the allowance for loan losses: 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 142 89 591 822 Re-measurement (67 ) 1,047 12,576 13,556 Transfer to (from) Stage 1 – 12 - 79 (65 ) (14 ) — Stage 2 – Lifetime ECLs (218 ) 220 (2 — Stage 3 – Lifetime ECLs (1,363 ) (1,035 ) 2,398 — Net amounts written off against allowance — — (12,123 ) (12,123 ) Balance as at December 31, 2022 5,794 1,239 6,040 13,073 As at December 31, 2021 Stage 1 Stage 2 Stage 3 Total Balance as at January 1, 2021 5,425 772 2,689 8,886 Gross loans originated 3,263 — — 3,263 Principal payments (1,229 ) (84 ) 68 (1,245 ) Re-measurement (830 ) (144 ) (743 ) (1,717 ) Re-measurement (67 ) 920 7,322 8,175 Transfer to (from) Stage 1 – 12-month ECLs 79 (59 ) (20 ) — Stage 2 – Lifetime ECLs (192 ) 192 — — Stage 3 – Lifetime ECLs (728 ) (478 ) 1,206 — Net amounts written off against allowance — — (7,549 ) (7,549 ) Balance as at December 31, 2021 5,721 1,119 2,973 9,813 Overall changes in the allowance for loan losses are summarized below: Year ended December 31, 2022 December 31, 2021 Balance, beginning of the period 9,813 8,886 Provision for loan losses 15,383 8,476 Charge offs (12,123 ) (7,549 ) Balance, end of the period 13,073 9,813 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, 2022 of $653 (December 31, 2021 – $936). |
Prepaid expenses, and other rec
Prepaid expenses, and other receivables and assets | 12 Months Ended |
Dec. 31, 2022 | |
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, 2022 December 31, 2021 Prepaid expenses 2,499 1,849 Accounts receivable 2,347 2,112 Brokerage firm receivables 4,804 3,276 Deposits and other receivables and assets 2,741 3,065 Total 12,391 10,302 |
Digital assets
Digital assets | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Digital Assets [Abstract] | |
Digital assets | 6. Digital assets As at December 31, 2022 December 31, Balance, beginning of the period 1,718 — Additions — 1,250 Revaluation (loss) gain on digital assets through other comprehensive income (468 ) 468 Revaluation loss on digital assets through net income (loss) (625 ) — Disposals (625 ) — Balance, end of the period — 1,718 In January 2021, the Company purchased $750 of Bitcoin and in April 2021, the Company purchased $500 of Ethereum. In November 2022, the Company sold all of its Bitcoin and Ethereum for proceeds of $625. As at December 31, 2022, the carrying value of the Company’s digital assets held was $nil (December 31, 2021 – $1,718). |
Investment portfolio
Investment portfolio | 12 Months Ended |
Dec. 31, 2022 | |
Text Block [Abstract] | |
Investment portfolio | 7. Investment portfolio As at December 31, 2022 December 31, 2021 Equities 11,504 16,820 Other 1,016 1,268 Total 12,520 18,088 |
Property and equipment
Property and equipment | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Property and equipment | 8. Property and equipment Computer equipment Furniture and fixtures Leasehold improvements 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 ) Effects of movement in exchange rate 22 (2 ) — 20 Balance, December 31, 2022 3,175 1,210 2,055 6,440 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 Net book value Balance, December 31, 2021 876 310 — 1,186 Balance, December 31, 2022 862 239 — 1,101 Upon completion of the acquisition of Carta on January 25, 2021 and Moka on May 4, 2021, the Company recognized property and equipment with fair values of $270 and $59 respectively, along with effects of exchange rate movement related to foreign subsidiaries on the consolidated statements of financial position. Depreciation of property and equipment of $472 for the year ended December 31, 2022 (December 31, 2021 – $478) is included in depreciation and amortization in the consolidated statements of operations and comprehensive income (loss). |
Intangible assets
Intangible assets | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of detailed information about intangible assets [abstract] | |
Intangible assets | 9. Intangible assets Internally generated– completed Internally generated– in Software licenses Acquired Customer Brand Regulatory Total Cost Balance, December 31, 2020 39,504 1,529 3,356 — — — — 44,389 Additions 1,200 6,303 — — — — — 7,503 Additions through a business combination — — 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 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 Net book value Balance, December 31, 2021 15,130 2,998 512 19,278 7,473 1,000 5,913 52,304 Balance, December 31, 2022 5,183 7,147 361 17,178 6,407 1,000 4,553 41,829 Upon acquisition of Carta on January 25, 2021, Moka on May 4, 2021, and Fortification on September 1, 2021, the Company recognized intangible assets with fair values of $19,328, $18,700 and $300 respectively on the consolidated statements of financial position. Refer to Note 24 for further details. Amortization of intangible assets of $11,433 for the year ended December 31, 2022 (December 31, 2021 – $11,533) is included in depreciation and amortization in the consolidated statements of operations and comprehensive income (loss). Impairment charges were recognized in other non-operating |
Leases
Leases | 12 Months Ended |
Dec. 31, 2022 | |
Presentation of leases for lessee [abstract] | |
Leases | 10. 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: 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, 2022 and 2021 : Right-of-use Lease Balance, as at December 31, 2020 3,879 4,336 Additions 316 316 Disposals (40 ) (43 ) Depreciation (725 ) — Interest expense — 243 Payments — (904 ) 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 Amount recognized in the consolidated statements of operations and comprehensive income (loss): Year ended December 31, December 31, December 31, 2020 Depreciation of right-of-use assets 730 725 642 Interest expense on lease liabilities 212 243 272 Expenses relating to short term leases 478 436 39 Impairment 78 — — Variable lease payments 505 453 516 Total 2,003 1,857 1,469 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 $668 (December 31, 2021 – $660) of lease payments as financing activities and cash payments related to interest portion of $212 (December 31, 2021 – $243) 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, 2022 | |
Accounts Payable And Accruals [Abstract] | |
Accounts payable and accruals | 11. Accounts payable and accruals As at December 31, December 31, Accounts payables 5,686 4,960 Accrued expenses 6,441 7,068 Accrued wages and other benefits 1,008 3,044 Client liabilities 6,743 4,195 Other 1,104 1,516 Total 20,982 20,783 |
Credit facility
Credit facility | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Credit Risk [Abstract] | |
Credit facility | 12. 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 to 1 month USD LIBOR, 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% (with a LIBOR floor of 1.5%) to LIBOR plus 8% with no floor. 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, 2022 was $46,180 (December 31, 2021 – $44,983). Refer to Note 26 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, 2021 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). 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, Credit facility - funds drawn 46,180 44,983 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 $56,841 (December 31, 2021 – $55,832) and cash and cash equivalents with a balance of $288 (December 31, 2021 – $154). |
Debentures
Debentures | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Borrowings [Abstract] | |
Debentures | 13. Debentures On September 30, 2020, the Company and its debenture holders approved certain amendments to the terms of the debentures, with an effective da te of July 1, 2020 . Among other things, the amendments include: i) a reduction in the weighted average coupon interest rate, from approximately 14% to approximately 7% and the extension of the maturity date for 50% of the principal balance to January 31, 2023, and the remainder to January 31, 2024; ii) replacement of the former monthly interest payable by a new quarterly payment (the “Quarterly Payment”), the amount of which is fixed at 12% per annum (3% per quarter) of the principal balance of the debentures as at September 29, 2020. Debenture holders received an election to either receive the Quarterly Payment as a) an interest payment of 8% per annum (2% per quarter) with the remainder of the payment going towards reducing the principal balance of the debenture, or b) a reduction of the principal balance of the debenture equal to the amount of the Quarterly Payment; iii) settlement of the new Quarterly Payment on the first business day following the end of a calendar quarter at the Company’s option either in cash or Common Shares; and iv) an option for all debenture holders to receive a lump-sum payout of their previously unpaid interest for the period from March 1, 2020 to June 30, 2020, at a reduced interest rate of 10%. Those who elected this option were paid in Common Shares in October 2020 subsequent to the end of the quarter. On October 7, 2020, Mogo issued 4,479,392 warrants (the “Debenture Warrants”) to its debenture holders in connection with the debenture amendments approved on September 30, 2020, at an exercise price of $2.03 per Common Share. The Debenture Warrants were exercisable at any time until January 3, 2023. As at December 31, 2022, 3,295,427 Debenture Warrants were exercised and converted into Common Shares for cash proceeds of $6,690. As at December 31, 2022, 1,183,965 Debenture Warrants were outstanding exercisable. The remaining 1,183,965 Debenture Warrants expired unexercised on January 3, 2023. Interest expense on the debentures related to the coupon payment is included in debenture interest and other financing expense, and the portion of expense related to accretion of the discount is recorded separately to accretion related to debentures in the consolidated statements of operations and comprehensive income (loss). As at December 31, December Principal balance 39,658 41,375 Discount (2,118 ) (2,323 ) 37,540 39,052 Interest payable 726 742 38,266 39,794 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 2023 and June 2025 to July 2, 2025 , being the maturity date of the credit facility. As at December 31, 2022, the Company adjusted the amortised cost of the debentures to give effect to their subordination to the Company’s senior secured credit facility. The amortised cost of the debentures was recalculated by discounting the revised estimated future cash flows at the original effective interest rate. The Company recorded a gain of $1,114 due to the resulting difference in amortised cost that is recognised in the consolidated statements of operations and comprehensive income (loss). The debenture principal repayment dates, after giving effect to the subordination agreement referenced above, are as follows: Principal component of quarterly payment Principal due on Total 2023 2,215 — 2,215 202 4 2,358 — 2,358 202 5 1,870 33,215 35,085 6,443 33,215 39,658 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, 2022 | |
Disclosure of Derivative Financial Liabilities [Abstract] | |
Derivative financial liabilities | 14. 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 2,673,268 Common Shares at an exercise price of US$11.00 at any time prior to three and a half years 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 3,055,556 Common Shares at an exercise price of US$4.70 at any time prior to three and a half years The stock warrants are classified as a liability under IFRS 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 co As at December 31, December 31, Balance, beginning of the period 12,688 — Stock warrants issued — 23,986 Change in fair value due to revaluation of derivative financial liabilities (12,558 ) (11,276 ) Change in fair value due to foreign exchange 289 (22 ) Balance, end of the period 419 12,688 Details of the derivative financial liabilities as at December 31, 2022 are as follows: Warrants Weighted Balance, December 31, 2020 — — Warrants issued 5,729 9.69 Balance, December 31, 2021 5,729 9.69 Warrants issued — — Balance, December 31, 2022 5,729 9.69 The 5,728,824 warrants outstanding noted above have expiry dates of August 2024 and June 2025. 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, Risk-free interest rate 4.41% 0.97% Expected life 1.6 - 2.5 years 2.7 - 3.5 years Expected volatility in market price of shares 89 - 106% 102 - 109% Expected dividend yield 0% 0% Expected forfeiture rate 0% 0% |
Geographic Information
Geographic Information | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of geographical areas [abstract] | |
Geographic Information | 15. Geographic information (a) Revenue Revenue presented below has been based on the geographic location of customers. Year ended December 31, December 31, December 31, 2020 Canada 62,320 49,533 44,245 Europe 6,531 7,287 — Other 98 699 — Total 68,949 57,519 44,245 (b) Non-current assets Non-current assets presented below has been based on geographic location of the assets. As at December 31, December 31, Canada 120,317 255,315 Europe 433 609 Other 887 883 Total 121,637 256,807 |
Expense by nature and function
Expense by nature and function | 12 Months Ended |
Dec. 31, 2022 | |
Expense By Nature And Function [Abstract] | |
Expense by nature and function | 16. 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 28,628 26,509 11,306 Depreciation and amortization 12,636 12,736 8,414 Marketing 10,282 13,709 3,357 Stock-based compensation 8,712 11,683 2,041 Hosting and software licenses 6,647 4,200 2,321 Insurance and licenses 3,138 2,316 572 Professional services 2,889 3,800 1,407 Credit verification costs 1,918 1,990 1,651 Premises 1,224 1,040 1,010 Others 3,741 3,588 2,279 Total 79,815 81,571 34,358 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 26,718 25,021 12,989 Marketing 11,448 16,619 4,831 Customer service and operations 15,900 15,870 6,185 General and administration 25,749 24,061 10,353 Total 79,815 81,571 34,358 |
Revaluation loss (gain)
Revaluation loss (gain) | 12 Months Ended |
Dec. 31, 2022 | |
Revaluation loss (gain) [Abstract] | |
Revaluation loss (gain) | 17. 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 (12,558 ) (11,276 ) 8 Realized gain on investment portfolio — (4,219 ) — Unrealized loss on investment portfolio 7,951 942 2,249 Loss on digital assets 625 — — Unrealized exchange (gain) loss (395 ) 670 155 Unrealized gain on other receivable — — (258 ) Loss related to property and equipment — — 272 Total 3,489 (15,671 ) 2,426 |
Other non-operating expense (in
Other non-operating expense (income) | 12 Months Ended |
Dec. 31, 2022 | |
Other Non Operating Expense [Abstract] | |
Other non-operating expense (income) | 18. Other non-operating expense (income) Year ended December 31, December 31, December 31, Government grants (93 ) (1,597 ) (3,201 ) Direct offering transaction costs allocated to derivative financial liabilities — 2,260 — Restructuring charges 2,784 421 — Impairment of intangible assets 6,521 — — Acquisition costs and other 1,148 3,016 938 Gain on sale of loan book — — (1,676 ) Credit facility prepayment and related expenses — — 2,608 Convertible debenture early conversion — — 927 Gain on amendment of debentures — — (765 ) Total 10,360 4,100 (1,169 ) During the year ended December 31, 2022, the Company initiated formal The restructuring charges include incremental costs associated directly with the restructuring plans including employee termination benefits, consulting fees, onerous contracts and contract termination costs. During the year ended December 31, 2022, the Company decided to wind down sub scale products including MogoCrypto, MogoCard and legacy MogoApp. This resulted in impairment charges for related intangible assets of During the year ended December 31, 2022, the Company received government grants for research of $93. During the year ended December 31, 2021, the Company received government grants for research of $254 and received government subsidies of $1,343. Due to the outbreak of COVID-19, the Government of Canada announced the Canadian Emergency Wage Subsidy (“CEWS”) and Canadian Emergency Rent Subsidy (“CERS”) to support companies that experienced a certain level of revenue decline in their operations. Mogo determined that it qualified for the CEWS and CERS and made an accounting policy election to record the grant on a gross basis. During the year ended December 31, 2022, Mogo has 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 (refer to Note 14 for further details). The Company did not complete a direct offering in the year ended December 31, 2022, and therefore did not incur any direct offering transaction costs. |
Investment Accounted for Using
Investment Accounted for Using the Equity Method | 12 Months Ended |
Dec. 31, 2022 | |
Investments accounted for using equity method [abstract] | |
Investment Accounted for Using the Equity Method | 19. Investment accounted for using the equity method On April 16, 2021, the Company completed its initial strategic investment (the “Initial Investment”) in Coinsquare, a digital asset trading platform, pursuant to which Mogo has acquired 6,450,607 Coinsquare common shares, representing 19.99% ownership interest in Coinsquare, for total aggregate consideration of $55,359, comprising of a cash payment of $27,396 and the issuance of 2,807,577 Common Shares valued at $27,963 to Coinsquare and certain selling shareholders of Coinsquare. The transaction also included: ● a right for Mogo to purchase 3,223,690 Coinsquare common shares from certain selling shareholders at $8.29 per Coinsquare common share (the “Call Option”), whereby Mogo has an option to pay the purchase consideration fully in Common Shares. ● a right for these certain selling shareholders to require Mogo to purchase 3,223,690 Coinsquare common shares (the “Put Option”), whereby the Call Option and Put Option are subject to certain exercise conditions, and whereby the exercise of either one of the Call Option or the Put Option results in the immediate expiry of the another. ● the issuance of a warrant to Mogo to acquire 7,240,665 additional Coinsquare common shares through treasury at an exercise price of $8.29 per warrant, subject to certain conditions and payable by Mogo at least 50% in cash and the remainder in Common Shares (the “Coinsquare Warrant”). On June 4, 2021, Mogo acquired an additional 5,412,222 common shares of Coinsquare which increased Mogo’s ownership in Coinsquare from 19.99% to approximately 36.74%, through two separate transactions executed on that day, specifically: ● the exercise of the Call Option, to acquire 3,223,690 Coinsquare common shares from certain selling shareholders, with total consideration paid through the issuance of 2,791,904 Common Shares. ● the purchase of 2,188,532 Coinsquare common shares from a selling shareholder pursuant to a share purchase agreement for a total consideration of 2,288,972 Common Shares that were issued in three equal tranches on June 4, July 4 and August 4, 2021 respectively. On June 15, 2021, Mogo purchased an additional 655,644 common shares of Coinsquare from a selling shareholder which increased Mogo’s ownership from 36.74% to approximately 38.77%, for total aggregate consideration of $8,523, consisting of a cash payment of $5,000 and the issuance of 378,774 Common Shares valued at $3,523. This transaction included a right for Mogo (the “New Call Option”) to purchase addition 1,100,000 Coinsquare shares under certain conditions, at an exercise price of $13.00 per Coinsquare common share. The New Call Option expired fully unexercised on October 13, 2021. The Company’s initial 19.99% position in Coinsquare and subsequent investments are accounted for using the equity method in the consolidated financial statements, effective as at the date of the Initial Investment on April 16, 2021, as Mogo participates in all significant financial and operating decisions of Coinsquare, even though it held just under 20% of the voting rights. Therefore, the Company has determined that it exerted significant influence over Coinsquare as at that date. The following table summarizes the Company’s investment accounted for using the equity method as at December 31, 2022 and December 31, 2021: As at December 31, December 31, Balance, beginning of the period 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 (23,496 ) (278 ) Gain from dilution of interest in associate 2,927 — Impairment (58,263 ) — Balance, end of the period 24,989 103,821 The Company’s percentage ownership in Coinsquare was 33.77% at December 31, 2022 (December 31, 2021 – 38.77%). During the year ended December 31, 2022, the Company identified indicators of impairment related to the Company’s investment in Coinsquare, which has been accounted for using the equity method. Coinsquare experienced lower trading volumes amidst the recent broader cryptocurrency and equity market declines in the period. The Company assessed the carrying value of the investment against the estimated recoverable amount that was determined using a market approach. The estimated recoverable amount of the investment in Coinsquare was $24,989 as at December 31, 2022. During the year ended December 31, 2022, the Company recognized impairment charges on its equity method investment in the amount of $58,263 (December 31, 2021 – $nil). As at October 12, 2022, Coinsquare Capital Markets Ltd. (“CCML”), a wholly-owned subsidiary of Coinsquare, became an IIROC Dealer Member. MogoTrade Inc. (“MTI”), a wholly-owned subsidiary of Mogo, is also an IIROC Dealer Member. Pursuant to IIROC Rule 2206, MTI and CCML are related companies because Mogo has an ownership interest of at least 20% in each of them and each is responsible for and must guarantee the other’s obligations to its clients in an amount equal to Mogo’s ownership percentage multiplied by its regulatory capital. This guarantee would only be triggered in the event of an insolvency of the related IIROC Dealer Member. As such, in the event of CCML’s insolvency, MTI would be responsible for guaranteeing CCML’s obligations to its clients up to the amount of MTI’s regulatory capital. As at December 31, 2022, MTI had regulatory capital of $4,032. The Company records a gain or loss on the decrease in interest while an investment continues to be classified as an associate. A gain or loss on the dilution of the Company’s investment in Coinsquare is calculated as the difference between Mogo’s ownership interest in the consideration received by the investee for the subscription of the new shares and the reduction in ownership interest in the previous carrying amount. During the year ended December 31, 2022, the Company recognized a net gain of $2,927 from dilution on its investment in Coinsquare. CCML’s admission to IIROC on October 12, 2022 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 from the release of liability. The following table summarizes the financial information of Coinsquare as included in its own financial statements, adjusted for fair value adjustments at acquisition and differences in accounting policies. The table also reconciles the summarized financial information to the carrying amount of the Company’s interest in Coinsquare : As at December 31, December 31, Current assets 66,199 109,005 Non-current assets 20,022 51,214 Current liabilities (34,938 ) (60,381 ) Non-current liabilities (57 ) (32,904 ) Net assets 51,226 66,934 Company’s share of net assets 14,937 30,176 Intangible assets 18,118 24,596 Deferred tax liabilities (3,003 ) (4,151 ) Goodwill 53,200 53,200 Impairment (58,263 ) — Carrying amount of interest in associate 24,989 103,821 Year ended April 16, 2021 Revenue 14,607 36,518 Net income from continuing operations (100%) (57,046 ) 7,710 Post-tax loss from discontinued operations (100%) (412 ) (24 ) Other comprehensive loss (100%) — (52 ) Total comprehensive income (100%) (57,458 ) 7,634 Company’s share of total comprehensive loss (23,496 ) (278 ) Opening balance 103,821 — Initial investment in Coinsquare — 45,026 Step up investments in Coinsquare — 59,073 Total investments in Coinsquare 103,821 104,099 Share of loss in investment accounted for using the equity method: Share of investee’s loss (23,496 ) (278 ) Gain from dilution of interest in associate 2,927 — Impairment of investment (58,263 ) — Carrying amount of equity accounted investment 24,989 103,821 Mogo’s share of: Net income from continuing operations (21,186 ) 1,211 Post-tax loss from discontinued operations (140 ) (4 ) Other comprehensive income — (20 ) Amortization of intangible assets (2,623 ) (1,772 ) Amortization of deferred tax liabilities 453 307 Total other comprehensive loss (23,496 ) (278 ) As at December 31, 2022, Coinsquare had assets under management of $235,258 (December 31, 2021 – $686,929). |
Derivative financial assets
Derivative financial assets | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Derivative Financial Assets [Abstract] | |
Derivative financial assets | 20. Derivative financial assets The Company determined that the Call Option, Put Option, Coinsquare Warrant and New Call Option are classified as derivative financial instruments on the consolidated statements of financial position, fair valued using the Black-Scholes valuation model at initial recognition, and subsequently remeasured to fair value as at each reporting date. Any change in the fair value of these derivative financial instruments is recognized to revaluation loss (gain) in the consolidated statements of operations and comprehensive income (loss). Immediately prior to the exercise of Call Option on June 4, 2021, the Company fair valued its Call Option and Put Option at $5,513 and $nil respectively, and recorded revaluation gains of $1,582 and $5,696 respectively on these instruments in the consolidated statements of operations and comprehensive income (loss) for the year ended December 31, 2021. The exercise of Call Option resulted in the immediate expiry of the Put Option, accounted for through a derecognition of the Call Option and Put Option derivative assets from the consolidated statements of financial position and a corresponding increase to the investment in Coinsquare. The following table summarizes derivative financial assets as at December 31, 2022 and 2021: As at December 31, December 31, Balance, beginning of the period 7,866 — Additions — 11,591 Change in fair value due to revaluation of derivative financial assets (7,866 ) 1,788 Exercised — (5,513) Balance, end of the period — 7,866 As at December 31, 2021, the derivative financial assets amount of $7,866 consisted solely of the Coinsquare Warrant. The Coinsquare Warrant expired unexercised on October 16, 2022. The fair value of the Coinsquare Warrant was estimated using the Black-Scholes option pricing model with the following assumptions: As at December 31, Risk-free interest rate 0.38% Expected life 0.5 years Expected volatility in market price of shares 71% Expected dividend yield 0% Expected forfeiture rate 0% |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Taxes Tables [Abstract] | |
Income taxes | 21. 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 76 133 — Deferred tax recovery (412 ) (365 ) — Income tax recovery (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%, 202 0 (44,832 ) (9,029 ) (3,630 ) Change in unrecognized deductible temporary differences and unused tax losses 33,554 6,538 3,093 Permanent differences and other 10,942 2,259 537 Income tax recovery (336 ) (232 ) — b) Deferred tax assets The Company’s deferred tax assets are as follows: As at December 31, December 31, Non-capital losses 6,728 11,856 Property and equipment — 93 Intangible assets — 2 Total 6,728 11,951 c) Deferred tax liabilities The Company’s deferred tax liabilities are as follows: As at December 31, December 31, Intangible assets 7,492 9,792 Right-of-use assets 708 — Property and equipment 9 — Digital assets and derivatives — 3,660 Equity investments — 287 Deferred cost — 380 8,209 14,119 d) Deductible temporary differences and unused tax losses Deferred tax assets have not 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 235,546 196,146 Property and equipment 5,225 4,012 Lease liability 3,280 578 Equity investments 7,523 0 Intangible assets 30,341 18,071 Investment accounted for using the equity method 79,109 — Debentures 2,185 2,073 Financing costs 2,643 5,021 Research and development expenditures 3,406 2,555 Investment in subsidiaries 3,395 3,395 Other 419 — 373,072 231,851 The Company’s non-capital losses expire as follows: As at December 31, December 31, Expires 2024 549 549 Expires 2025 777 777 Expires 2026 1,822 1,822 Expires 2027 4,419 6,885 Expires 2028 4,068 5,486 Expires 2029 7,615 6,913 Expires 2030 5,816 5,616 Expires 2031 3,519 4,139 Expires 2032 6,441 9,031 Expires 2033 10,311 10,053 Expires 2034 10,268 14,810 Expires 2035 15,641 23,420 Expires 2036 29,378 28,317 Expires 2037 32,384 29,488 Expires 2038 33,159 29,512 Expires 2039 26,914 26,524 Expires 2040 15,738 15,153 Expires 2041 22,575 23,113 Expires 2042 30,291 — 261,685 241,608 |
Loss per share
Loss per share | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Earnings Per Share Abstract | |
Loss per share | 22. Loss per share Loss per share is based on consolidated net loss for the year divided by the weighted average number of shares outstanding during the year. Diluted loss per share is computed in accordance with the treasury stock method and is based on the weighted average number of shares and dilutive share equivalents. 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 (165,678 ) (33,209 ) (13,445 ) Basic weighted average number of shares (in 000s) 76,326 63,005 28,873 Basic and diluted loss per share (2.17 ) (0.53 ) (0.47 ) The outstanding stock options and warrants were excluded from the calculation of diluted loss per share because their effect is a nti-d |
Capital management
Capital management | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Financial Risk Management Abstract | |
Capital management | 23. 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 391,243 392,628 Contributed surplus 33,025 24,486 Deficit (313,941 ) (148,263 ) Credit facility 46,180 44,983 Debentures 39,658 41,375 |
Business combination
Business combination | 12 Months Ended |
Dec. 31, 2022 | |
Business Combination [Abstract] | |
Business combination | 24. Business combination Acquisition of Carta: On January 25, 2021, Mogo completed the acquisition of all of the issued and outstanding securities of Carta in exchange for 10,000,000 Common Shares with a fair value of $54,800 based on Mogo’s closing share price at the acquisition date. Acquisition-related costs of $379 not directly attributable to the issuance of the Common Shares are included in other non-operating expense in the consolidated statements of operations and comprehensive income (loss) and in operating cash flows in the consolidated statements of cash flows. The acquisition significantly expanded Mogo’s total addressable market by allowing the Company to enter the global payments market, increase revenue scale and accelerate the growth of its high-margin subscription and transaction-based revenue, and strengthen the Company’s digital wallet capabilities which includes the development of a peer-to-peer payment solution. The following tables summarizes the fair value of consideration transferred, and its allocation to estimated fair values assigned to each major class of assets acquired and liabilities assumed at the January 25, 2021 acquisition date. January 25, 2021 Assets acquired: Cash and cash equivalent 2,101 Prepaids, and other receivables and assets 1,693 Property and equipment 270 Right-of-use assets 316 Intangible assets - technology assets 12,900 Intangible assets - customer relationships 4,800 Intangible assets - software licenses 628 Intangible assets - brand 1,000 Goodwill 35,893 59,601 Liabilities assumed: Accounts payable, accruals & other 4,485 Lease liabilities 316 4,801 Net assets acquired at fair value 54,800 Share consideration 54,800 Acquisition of Moka: On May 4, 2021, Mogo completed the acquisition of all of the issued and outstanding securities of Moka, a savings and investing app. Mogo acquired all of the issued and outstanding shares of Moka in exchange for the issuance of 4,633,648 Common Shares with a fair value of $46,600 based on Mogo’s closing share price at the acquisition date, and cash consideration of $4,508 pursuant to the terms of a share exchange agreement among Mogo, Moka and all of the shareholders of Moka. In connection with the acquisition of Moka, the Company also exchanged equity-settled share-based payments awards held by the employees of Moka for 366,343 equity-settled share-based payments awards of the Company. Acquisition-related costs of $536 not directly attributable to the issuance of the Common Shares are included in other non-operating expense in the consolidated statements of operations and comprehensive income (loss) and in operating cash flows in the consolidated statements of cash flows. The acquisition brought differentiated saving and investing products to broaden Mogo’s wealth offering and accelerated the growth of its high-margin subscription and transaction-based revenue. The following tables summarizes the fair value of consideration transferred, and its allocation to estimated fair values assigned to each major class of assets acquired and liabilities assumed at the May 4, 2021 acquisition date. Cash and cash equivalents included $2,756 of cash held in trust for funds under management. May 4, 2021 Assets acquired: Cash and cash equivalent 4,377 Prepaids, and other receivables and assets 2,455 Property and equipment 59 Intangible assets - technology assets 8,100 Intangible assets - customer relationships 4,100 Intangible assets - regulatory licenses 6,500 Goodwill 33,517 59,108 Liabilities assumed: Accounts payable, accruals & other 5,293 Deferred tax liabilities 2,100 7,393 Net assets acquired at fair value 51,715 Share consideration 47,207 Cash consideration 4,508 Total consideration transferred 51,715 Acquisition of Fortification: On September 1, 2021, Mogo completed the acquisition of all of the issued and outstanding securities of Fortification, a Canadian registered investment dealer, in exchange for 75,000 Common Shares and a cash payment of $1,144. Subsequent to the acquisition, Fortification was renamed to MogoTrade Inc. The acquisition allowed Mogo to acquire the necessary licenses, registration and technology to accelerate the development of the Company’s planned commission free stock trading solution and continue to strengthen the Company’s digital wallet capabilities. The following tables summarizes the fair value of consideration transferred, and its allocation to estimated fair values assigned to each major class of assets acquired and liabilities assumed at the September 1, 2021 acquisition date. September 1, 2021 Assets acquired: Cash and cash equivalent 13 Prepaids, and other receivables and assets 628 Intangible assets - regulatory licenses 300 Goodwill 702 1,643 Liabilities assumed: Accounts payable, accruals & other 23 Deferred tax liabilities 80 103 Net assets acquired at fair value 1,540 Share consideration 396 Cash consideration 1,144 Total consideration transferred 1,540 Goodwill and indefinite-life intangible assets: Goodwill and indefinite-life intangible assets are attributed to the group of CGUs to which they relate. Annual impairment testing was performed as at December 31, 2022 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. 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, and are extended to a total of 7 years with a terminal value calculation thereafter. ● Terminal value growth rate: The terminal growth rate was based on management’s estimate of long-term compound annual growth rates, historical and projected economic indicators, and projected industry growth. ● 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. ● Tax rate: The tax rates used in determining the future cash flows were those substantively enacted at the respective valuation date. The following table outlines the significant assumptions used in calculating the recoverable amount for each CGU tested for impairment as at December 31, 2022 and December 31, 2021: As at December 31, December 31, Terminal growth rate 5% 10% Pre-tax discount rate 23% 16% Carta CGU As a result of the impairment test as at December 31, 2022, management concluded that the recoverable amount of the Carta CGU was lower than its carrying value of net assets, and recorded an impairment loss of $11,578. The impairment loss was fully allocated to goodwill for the Carta CGU. As at December 31, 2022, the carrying value of goodwill and indefinite life intangible assets attributable to the Carta CGU is $24,315 and $1,000, respectively (December 31, 2021 – $35,893 and $1,000 , respectively). The impairment loss was recognized due to a change in overall industry and market conditions, along with a decline in the Company’s stock price resulting in an excess of the carrying value of its total net operating assets above the Company’s market capitalization. Remaining Mogo related entities CGU As a result of the impairment test as at December 31, 2022, management concluded that the recoverable amount of the remaining Mogo related entities CGU was lower than its carrying value of net assets, and recorded an impairment loss of $20,180. The impairment loss was fully allocated to goodwill for the remaining Mogo related entities CGU. As at December 31, 2022, the carrying value of goodwill attributable to the remaining Mogo related entities CGU is $14,040 (December 31, 2021 – $34,219 ). The impairment loss was recognized due to a change in overall industry and market conditions, along with a decline in the Company’s stock price resulting in an excess of the carrying value of its total net operating assets above the Company’s market capitalizatio n. |
Fair value of financial instrum
Fair value of financial instruments | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Fair Value Of Financial Instruments [Abstract] | |
Fair value of financial instruments | 25. 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 ass u (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, 2022 and December 31, 2021, 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, 2022 Note FVTPL Financial Other 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 14 419 — — 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 12 — — 46,180 46,180 — 46,180 — 46,180 Debentures 13 — — 38,266 38,266 — 36,037 — 36,037 — — 105,219 105,219 Carrying amount Fair value As at December 31, 2021 Note FVTPL Financial Other Total Level 1 Level 2 Level 3 Total Financial assets measured at fair value Investment portfolio 18,088 — — 18,088 1,785 — 16,303 18,088 Derivative financial assets 20 7,866 — — 7,866 — — 7,866 7,866 25,954 — — 25,954 Financial assets not measured at fair value Cash and cash equivalent — 67,762 — 67,762 67,762 — — 67,762 Restricted cash — 1,446 — 1,446 1,446 — — 1,446 Loans receivable – current 4 — 65,397 — 65,397 — 65,397 — 65,397 Loans receivable – non-current 4 — 248 — 248 — — 248 248 Other receivables — 8,259 — 8,259 — 8,259 — 8,259 — 143,112 — 143,112 Financial liabilities measured at fair value Derivative financial liabilities 14 12,688 — — 12,688 — 12,688 — 12,688 12,688 — — 12,688 Financial liabilities not measured at fair value Accounts payable, accruals and other — — 20,783 20,783 — 20,783 — 20,783 Credit facility 12 — — 44,983 44,983 — 44,983 — 44,983 Debentures 13 — — 39,794 39,794 — 39,794 — 39,794 — — 105,560 105,560 (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 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 ● 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 Derivative financial assets ● Option pricing model ● Equity stock price and volatility ● Increase in equity stock price and volatility will increase fair value The following table presents the changes in fair value measurements of the Company’s investment portfolio recognized at fair value at December 31, 2022 and December 31, 2021 and classified as Level 3: As at December 31, December 31, Balance, beginning of the period 16,303 18,291 Additions 1,837 3,555 Disposal — (9,272 ) Transfer to Level 1 investments (500 ) — Unrealized exchange gain (loss) 547 (90 ) Realized gain on investment portfolio — 4,120 Unrealized loss on investment portfolio (6,272 ) (301 ) Balance, end of the period 11,915 16,303 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, 2022 Adjusted market multiple (5% movement) 626 (626 ) December 31, 2021 Adjusted market multiple (5% movement) 920 (920 ) |
Nature and extent of risk arisi
Nature and extent of risk arising from financial instruments | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of detailed information about financial instruments [abstract] | |
Nature and extent of risk arising from financial instruments | 26. 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 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 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. 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 12 and 13 for further details. 2023 2024 2025 2026 2027 Thereafter Commitments - operational Lease payments 1,297 1,206 1,240 1,255 789 683 Accounts payable 5,686 — — — — — Accruals and other 15,296 — — — — — Interest – Credit facility (Note 12) 5,689 5,689 2,845 — — — Interest – Debentures (Note 13) 2,886 2,743 1,953 — — — 30,854 9,638 6,038 1,255 789 683 Commitments – principal repayments Credit facility (Note 12) — — 46,180 — — — Debentures (Note 13) (1) 2,215 2,358 35,085 — — — 2,215 2,358 81,265 — — — Total contractual obligations 33,069 11,996 87,303 1,255 789 683 (1) Mogo Inc. 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. 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 USD LIBOR. The credit facility does not have a USD LIBOR floor. As at December 31, 2022, LIBOR is 4.32% (December 31, 2021 – 0.11%). For the year ended December 31, 2022, a 50-basis point change in LIBOR would increase or decrease credit facility interest expense by $287 (December 31, 2021 – $225). A fundamental reform of major interest rate benchmarks (the “Reform”) is being undertaken globally. The USD LIBOR will cease 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. As at December 31, 2022, the transition of the benchmark rate for the credit facility as a result of the Reform is in progress. Management has determined that the credit facility contract contains clauses for replacement of the USD LIBOR benchmark rate with an alternative benchmark that was confirmed to be the Secured Overnight Financing Rate. The Reform has not resulted in changes to the Company’s risk management strategy. The debentures have fixed rates of interest and are not subject to variability in cash flows due to interest rate risk. 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, 2022, a 5% increase or decrease in the U.S. dollar exchange rate would increase or decrease the unrealized exchange gain (loss) by $314 (December 31, 2021 – $1,533). As at ($000 USD) December 31, December 31, Cash 3,553 29,032 Investment portfolio 5,958 9,954 Derivative financial liabilities (310 ) (10,008 ) Debentures (4,562 ) (4,792 ) 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, 2022 | |
Equity [abstract] | |
Equity | 27. 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. On June 30, 2022, the Company repurchased 800,000 Common Shares for cancellation under its share repurchase program at an average price of CAD $1.19 per share, for a total repurchase cost of $955. On December 28, 2022, the Company repurchased 1,000,000 Common Shares for cancellation under its share repurchase program at an average price of CAD$0.67 per share, for a total repurchase cost of $672. As at December 31, 2022, there are 74,977,540 (December 31, 2021 – 76,693,859) Common Shares and no preferred shares issued and outstanding. During the year ended December 31, 2021, the Company completed the sale of 1,524,759 Common Shares as part of an at-the-market financing arrangement conducted under a prospectus supplement to the Company’s base shelf prospectus dated December 5, 2019. After deducting transaction costs, the net proceeds to the Company were $16,804. On December 13, 2021, the Company completed the sale of 6,111,112 Common Shares. The aggregate gross proceeds to the Company were approximately US $27,500 (CAD $35,175). After deducting transaction costs, the net proceeds to the Company were US $25,300 (CAD $32,555). On February 24, 2021, the Company completed the sale of 5,346,536 Common Shares. The aggregate gross proceeds to the Company were approximately US $54,000 (CAD $67,718). After deducting transaction costs, the net proceeds to the Company were US $49,700 (CAD $62,833). Refer to Note 24 for further details on the issuance of Common Shares related to the acquisitions of Carta, Moka and Fortification during the year ended December 31, 2021. (b) Treasury share reserve The treasury share reserve comprises the cost of the shares held by the Company. As at December 31, 2022, the Company held 303,816 of Common Shares (December 31, 2021 – 303,816). (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) 3,800,000. 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, 2022, there are 97,000 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 Weighted Weighted Options Weighted Balance, December 31, 2020 4,977 — 3.07 2,965 3.47 Options issued 5,410 4.76 7.47 — — Exercised (810 ) 1.70 1.77 — — Forfeited (653 ) 6.19 6.24 — — Balance, December 31, 2021 8,924 — 4.64 3,036 3.93 Options issued 3,456 1.06 1.41 — — Exercised (47 ) 1.22 1.59 — — Forfeited (2,711 ) 3.56 3.51 — — Balance, December 31, 2022 9,622 — 3.03 3,709 3.74 The above noted options have expiry dates ranging from January 2023 to December 2030. Options granted during the year ended December 31, 2022 include 100,000 options granted to non-employees (December 31, 2021 – 17,500). These options measured at the fair value of corresponding services received, rather than using the Black-Scholes option pricing model. On June 18, 2022, Mogo modified the exercise price of 1,648,673 performance-based options and 230,559 outstanding options previously granted to its employees ranging between $3.61 and $4.42 to $1.11. During the year ended December 31, 2022, the incremental modification expense arising from the repricing of these options was $127. On March 31, 2022, Mogo modified the exercise price of 1,714,655 outstanding options previously granted to its employees at $5.56 to $3.61. During the year ended December 31, 2022, the incremental modification expense arising from the repricing of these options was $130. Options granted during the year ended December 31, 2021 include 1,260,000 performance-based options granted to employees where vesting of these options is dependent on certain performance criteria being met and 366,343 replacement awards of the Company issued to employees of Moka in connection with the acquisition of Moka. On December 23, 2021, Mogo modified the exercise price of 1,413,282 outstanding options previously granted to its employees to $4.42. During the year ended December 31, 2021, the incremental modification expense arising from the repricing of these options was $530. With the exception of performance-based stock options, 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 1.73 - 3.41% 0.58 - 1.46% Expected life 5 years 5 years Expected volatility in market price of shares 87 - 91% 84 - 87% Expected dividend yield 0% 0% Expected forfeiture rate 0% - 15% 0% - 15% These options generally vest either immediately or monthly over a three-to-four-year period. On September 30, 2021, the Company granted performance-based stock options that vest monthly over a two-year period starting on January 1, 2022. Vesting of these options is dependent on certain performance criteria being met. Total stock-based compensation costs related to options and RSUs for the year ended December 31, 2022 was $8,604 (December 31, 2021 – $10,838). (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 500,000. The details of RSUs outstanding are as follows: Number of RSUs (000s) Balance, December 31, 2020 77 Converted (30 ) Expired (5 ) Balance, December 31, 2021 42 Converted (40 ) Expired — Balance, December 31, 2022 2 (e) Warrants Warrants Weighted Warrants Weighted Balance, December 31, 2020 5,035 1.80 4,386 1.88 Warrants issued 573 11.25 — — Warrants exercised (3,618 ) 1.76 — — Balance, December 31, 2021 1,990 4.60 1,757 5.04 Warrants issued — — — — Warrants exercised — — — — Warrants expired — — — — Balance, December 31, 2022 1,990 4.60 1,874 4.80 The 1,990,231 warrants outstanding noted above have expiry dates ranging from January 2023 to June 2025, and do not include the stock warrants accounted for as a derivative financial liability discussed in Note 14. On October 7, 2020, Mogo issued 4,479,392 Debenture Warrants to its debenture holders in connection with the debenture amendments approved on September 30, 2020, at an exercise price of $2.03 per Common Share. The Debenture Warrants were exercisable at any time until January 3, 2023. As at December 31, 2022, 3,295,427 Debenture Warrants were exercised and converted into Common Shares. There were 1,183,965 Debenture Warrants outstanding on December 31, 2022 (December 31, 2021 – 1,184,015). The remaining 1,183,965 Debenture Warrants expired unexercised on January 3, 2023. During the year ended December 31, 2022, 50 Debenture Warrants were exercised into Common Shares (December 31, 2021 – 3,617,737) resulting in $0.1 cash proceeds (December 31, 2021 – $6,375). In connection with a marketing collaboration agreement with Postmedia Network Inc. (“Postmedia”) dated January 25, 2016 and amended on January 1, 2018 and January 1, 2020 effective until December 31, 2022, Mogo issued Postmedia a total of 1,546,120 warrants, of which 1,312,787 have been exercised by December 31, 2022 for cash proceeds of $1,696. 233,333 warrants remain outstanding as at December 31, 2022 with 116,667 having vested and the remaining 116,667 vesting on February 24, 2023. The warrants remain exercisable until August 24, 2023 subject to an earlier liquidation event. Subsequent to an amendment entered into on June 3, 2020, the exercise price of the warrants was reduced to $1.292. Under the marketing collaboration agreement, Postmedia also receive d S ubsequent to December 31, 2022, the Company and Postmedia extended the term of this agreement to December 31, 2024 and terminated the quarterly payments of $263 effective January 1, 2023. In connection with the contract extension, the Company will issue Postmedia an additional 267,000 warrants with an exercise price and expiry date subject to TSX approval. Durin g the year ended December 31, 2021, the Company also issued 572,883 warrants to purchase Common Shares with exercise prices ranging from USD $5.63 to USD $12.63 per warrant in connection with broker services rendered on offerings during the period. As at December 31, 2022, these warrants remain outstanding and exercisable. These warrants have expiry dates ranging from February 2024 to June 2025. The fair value of the warrants outstanding was determined upon issuance and estimated using the Black-Scholes option pricing model with the following assumptions: Year ended December 31, Risk-free interest rate 0.25% - 0.95% Expected life 3 - 3.5 years Expected volatility in market price of shares 93% - 102% Expected dividend yield 0% Expected forfeiture rate 0% 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 14 for more details. |
Related party transactions
Related party transactions | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Related Party [Abstract] | |
Related party transactions | 28. Related party transactions Related party transactions during the year ended December 31, 2022, include transactions with debenture holders that incur interest. The related party debentures balance as at December 31, 2022, totaled $306 (December 31, 2021 – $322). The debentures bear annual coupon interest of 8.0% (December 31, 2021 – 8.0%) with interest expense for the year ended December 31, 2022, totaling $25 (December 31, 2021 – $26). 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 our corporate and operational activities. In the year ended December 31, 2022, the Company incurred $ 188 of sponsorship expenses (December 31, 2021 – $ 153 ) with a company owned by a director of Mogo. In the year ended December 31, 2022, the Company incurred $ 142 of recruiting fees (December 31, 2021 – $ 54 ) with a recruiting firm owned by the spouse of a director of Mogo. On June 30, 2021, the Company acquired 1,300,000 common shares of Tetra Trust Company from its associate Coinsquare Ltd. (“Coinsquare”) for $1,300. As at December 31, 2022, this investment is valued at $1,300 and is recorded within the investment portfolio (December 31, 2021 – $1,300). This related party transaction was made on terms equivalent to those that prevail in arm’s length transactions. 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, 2022, KMP were granted 2,419,482 stock options with a fair value of $2,553 at the grant date (December 31, 2021 – 1,260,000 stock options with a fair value of $3,651 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 2,192 1,529 Stock-based compensation 3,129 2,616 Termination benefits 1,224 — 6,545 4,145 |
Cash flow changes from financin
Cash flow changes from financing activities | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Cash Flow Statement [Abstract] | |
Cash flow changes from financing activities | 29. Cash flow changes from financing activities 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/ 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/ 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 Details of changes in financing activities for the year ended December 31, 2020 are as follows: Non-cash changes January 1, Cash Conversion/ Foreign exchange Fair Value/ Amortization December 31, 2020 Share capital 94,500 2,568 9,662 — — 106,730 Lease liability 5,208 (444 ) (428 ) — — 4,336 Credit facility 76,472 (39,050 ) — — 222 37,644 Debentures 44,039 (399 ) (3,175 ) (116 ) 309 40,658 Convertible debentures 12,373 — (4,265 ) — 643 8,751 Total 232,592 (37,325 ) 1,794 (116 ) 1,174 198,119 |
Significant accounting polici_2
Significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
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 saving and investing products, identity fraud protection, 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 monthly basis. The Company also earns service revenue through MogoCard interchange revenue and other fees that are mainly driven by transactional volume and are recognized when the transaction occurs. Transaction processing revenue The Company’s transaction processing revenue is derived from long-term processing contracts with financial and non-financial 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 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 our loan products. Interest is recognized on an effective interest basis during the period, and fees are recognized when assessed to the customer. Refer Note 4 for more details. |
Cost of revenue | b) Cost of revenue Cost of revenue consists of provision for loan losses and transaction costs. Transaction costs are 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 MogoCard and MogoProtect programs. |
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 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. 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 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. 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 |
Property and equipment | d) Property and equipment All property and equipment are measured at cost less accumulated depreciation and accumulated impairment losses. Cost includes expenditures that are directly attributable to the acquisition of the asset. When parts of an item of property and equipment have different useful lives, they are accounted for as separate items of property and equipment. All assets having limited useful lives are depreciated using the declining balance method at rates intended to depreciate the cost of assets over their estimated useful lives except leasehold improvements, which are depreciated straight line over the term of lease. The depreciation rate for each class of asset during the current and comparative period are as follows: Rate Computer equipment 30% Furniture and fixtures 20% Leasehold improvements Term of lease The useful lives of items of property and equipment are reviewed periodically, and the useful life is altered if estimates have changed significantly. |
Intangible assets | e) 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 | f) 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. |
Impairment of non-financial assets | g) Impairment of non-financial 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 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 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). |
Digital assets | h) Digital assets Digital assets represent investments in cryptocurrencies held by the Company that are classified as indefinite life intangible assets. The Company has ownership and control over its digital assets and uses third-party custodial services to secure them. The Company has concluded that digital assets are traded in an active market where there are observable prices and digital assets are measured under the revaluation model at fair value at the revaluation date less any accumulated impairment loss. Acquisitions of digital assets are recognized at cost and are remeasured to fair value at the end of the period by reference to active markets. The Company determines the fair value of our digital assets in accordance with IFRS 13 Fair Value Measurement Fair value increases are recognized in other comprehensive income and recorded to a revaluation reserve, except to the extent that the increase reverses a previous revaluation decrease on the same asset recognized in net loss, in which case a gain up to the amount of the loss previously charged to net loss is recognized in net profit. Fair value decreases are recognized in other comprehensive loss to the degree that these reduce any accumulated revaluation reserve, with any decrease in excess of the revaluation reserve recognized in net loss. |
Foreign currency translation | i) 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 |
Foreign operations | j) 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. |
Provisions | k) Provisions Provisions are recognized when the Company has a present legal or constructive obligation that is the result of a past event, when it is probable that the Company will be required to settle the obligation, and a reliable estimate of the amount of the obligation can be made. If the effect of the time value of money is material, provisions are discounted using a current pre-tax |
Income taxes | l) 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. |
Sales tax | m) Sales tax Revenue, expenses and assets are recognized net of the amount of sales tax except where the sales tax incurred on a purchase of assets or services is not recoverable from the taxation authority, in which case the sales tax is recognized as part of the cost of acquisition of the asset or as part of the expense item as applicable. The net amount of sales tax recoverable from, or payable to, the taxation authority is included as part of amounts receivable or accounts payable and accrued liabilities in the consolidated statements of financial position. |
Share-based payments | n) 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 |
Earnings per share | o) Earnings per share The computation of earnings per share is based on the weighted average number of shares outstanding during the period. 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 additional shares assuming the exercise of share options or warrants, if dilutive. |
Business combinations | p) 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 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 |
Investment in associate | q) 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. The Company’s investment in its associate is 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). |
Cash and cash equivalent | r) 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 | s) Leases Right-of-use Right-of-use re-measurement right-of-use right-of-use Right-of-use 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 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 in-substance Short-term leases and leases of low-value 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 low-value |
Government assistance | t) Government assistance Government assistance is recognized when there is reasonable assurance that it will be received and all related conditions will be complied with. When government assistance relates to an expense item, it is recognized as revenue over the period necessary to match the government assistance in a systematic basis to the costs that is intended to subsidize. |
Significant accounting judgements, estimates and assumptions | u) 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 acc 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. Our allowance for loan losses represents our estimate of the expected credit losses expected from our existing loan portfolio and is based on a variety of factors, including the composition and quality of the portfolio, loan-specific information gathered through our collection efforts, delinquency levels, our historical charge-off and loss experience, our 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. (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, 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. |
New and amended standards and interpretations | v) New and amended standards and interpretations Certain new or amended standards and interpretations became effective on January 1, 2022, 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, 2023 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. |
Significant accounting polici_3
Significant accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Significant Accounting Policies Policy [Abstract] | |
Schedule of Depreciation Rate Class of Asset | The depreciation rate for each class of asset during the current and comparative period are as follows: Rate Computer equipment 30% Furniture and fixtures 20% Leasehold improvements Term of lease |
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, 2022 | |
Loans Receivable Tables [Abstract] | |
Schedule of Gross Loans Receivable | As at December 31, 2022 December 31, Current (terms of one year or less) 69,693 65,397 Non-current 221 248 69,914 65,645 |
Schedule of Age Analysis of Loans Receivable | 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 2,903 — — 2,903 Medium risk 31-60 — 1,211 — 1,211 Higher risk 61-90 — 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 As at December 31, 2021 Risk Category Days past due Stage 1 Stage 2 Stage 3 Total Strong Not past due 54,067 — — 54,067 Lower risk 1-30 2,797 — — 2,797 Medium risk 31-60 — 1,284 — 1,284 Higher risk 61-90 — 798 — 798 Non-performing 91+ days past due or bankrupt — — 6,699 6,699 Gross loans receivable 56,864 2,082 6,699 65,645 Allowance for loan losses (5,291 ) (1,119 ) (3,403 ) (9,813 ) Loans receivable, net 51,573 963 3,296 55,832 |
Schedule of Allowance for Loan Losses | 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 142 89 591 822 Re-measurement (67 ) 1,047 12,576 13,556 Transfer to (from) Stage 1 – 12 - 79 (65 ) (14 ) — Stage 2 – Lifetime ECLs (218 ) 220 (2 — Stage 3 – Lifetime ECLs (1,363 ) (1,035 ) 2,398 — Net amounts written off against allowance — — (12,123 ) (12,123 ) Balance as at December 31, 2022 5,794 1,239 6,040 13,073 As at December 31, 2021 Stage 1 Stage 2 Stage 3 Total Balance as at January 1, 2021 5,425 772 2,689 8,886 Gross loans originated 3,263 — — 3,263 Principal payments (1,229 ) (84 ) 68 (1,245 ) Re-measurement (830 ) (144 ) (743 ) (1,717 ) Re-measurement (67 ) 920 7,322 8,175 Transfer to (from) Stage 1 – 12-month ECLs 79 (59 ) (20 ) — Stage 2 – Lifetime ECLs (192 ) 192 — — Stage 3 – Lifetime ECLs (728 ) (478 ) 1,206 — Net amounts written off against allowance — — (7,549 ) (7,549 ) Balance as at December 31, 2021 5,721 1,119 2,973 9,813 Overall changes in the allowance for loan losses are summarized below: Year ended December 31, 2022 December 31, 2021 Balance, beginning of the period 9,813 8,886 Provision for loan losses 15,383 8,476 Charge offs (12,123 ) (7,549 ) Balance, end of the period 13,073 9,813 |
Prepaid expenses, and other r_2
Prepaid expenses, and other receivables and assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Prepaid Expenses Deposits And Other Assets Tables [Abstract] | |
Schedule of Prepaid expenses, and other receivables and assets | As at December 31, 2022 December 31, 2021 Prepaid expenses 2,499 1,849 Accounts receivable 2,347 2,112 Brokerage firm receivables 4,804 3,276 Deposits and other receivables and assets 2,741 3,065 Total 12,391 10,302 |
Digital assets (Tables)
Digital assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Digital Assets [Abstract] | |
Schedule of digital assets | As at December 31, 2022 December 31, Balance, beginning of the period 1,718 — Additions — 1,250 Revaluation (loss) gain on digital assets through other comprehensive income (468 ) 468 Revaluation loss on digital assets through net income (loss) (625 ) — Disposals (625 ) — Balance, end of the period — 1,718 |
Investment portfolio (Tables)
Investment portfolio (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Investment Portfolio Tables [Abstract] | |
Schedule of investment portfolio | As at December 31, 2022 December 31, 2021 Equities 11,504 16,820 Other 1,016 1,268 Total 12,520 18,088 |
Property and equipment (Tables)
Property and equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property And Equipment Tables [Abstract] | |
Schedule of property and equipment | Computer equipment Furniture and fixtures Leasehold improvements 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 ) Effects of movement in exchange rate 22 (2 ) — 20 Balance, December 31, 2022 3,175 1,210 2,055 6,440 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 Net book value Balance, December 31, 2021 876 310 — 1,186 Balance, December 31, 2022 862 239 — 1,101 |
Intangible assets (Tables)
Intangible assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Intangible Assets Tables [Abstract] | |
Schedule of intangible assets | Internally generated– completed Internally generated– in Software licenses Acquired Customer Brand Regulatory Total Cost Balance, December 31, 2020 39,504 1,529 3,356 — — — — 44,389 Additions 1,200 6,303 — — — — — 7,503 Additions through a business combination — — 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 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 Net book value Balance, December 31, 2021 15,130 2,998 512 19,278 7,473 1,000 5,913 52,304 Balance, December 31, 2022 5,183 7,147 361 17,178 6,407 1,000 4,553 41,829 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Leases Tables [Abstract] | |
Schedule of right-of-use assets and lease liabilities recognized and movements | 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, 2022 and 2021 : Right-of-use Lease Balance, as at December 31, 2020 3,879 4,336 Additions 316 316 Disposals (40 ) (43 ) Depreciation (725 ) — Interest expense — 243 Payments — (904 ) 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 |
Schedule of consolidated statement of operations and comprehensive loss | Year ended December 31, December 31, December 31, 2020 Depreciation of right-of-use assets 730 725 642 Interest expense on lease liabilities 212 243 272 Expenses relating to short term leases 478 436 39 Impairment 78 — — Variable lease payments 505 453 516 Total 2,003 1,857 1,469 |
Accounts payable and accruals (
Accounts payable and accruals (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounts Payable And Accruals Tables [Abstract] | |
Schedule of accounts payable and accruals | As at December 31, December 31, Accounts payables 5,686 4,960 Accrued expenses 6,441 7,068 Accrued wages and other benefits 1,008 3,044 Client liabilities 6,743 4,195 Other 1,104 1,516 Total 20,982 20,783 |
Credit facility (Tables)
Credit facility (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Credit Risk [Abstract] | |
Schedule of credit facilities | As at December 31, December 31, Credit facility - funds drawn 46,180 44,983 |
Debentures (Tables)
Debentures (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Debentures Tables [Abstract] | |
Schedule of credit facility - other | As at December 31, December Principal balance 39,658 41,375 Discount (2,118 ) (2,323 ) 37,540 39,052 Interest payable 726 742 38,266 39,794 |
Schedule of contractual repayment dates | Principal component of quarterly payment Principal due on Total 2023 2,215 — 2,215 202 4 2,358 — 2,358 202 5 1,870 33,215 35,085 6,443 33,215 39,658 |
Derivative financial liabilit_2
Derivative financial liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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 co As at December 31, December 31, Balance, beginning of the period 12,688 — Stock warrants issued — 23,986 Change in fair value due to revaluation of derivative financial liabilities (12,558 ) (11,276 ) Change in fair value due to foreign exchange 289 (22 ) Balance, end of the period 419 12,688 |
Disclosure of detailed information about derivative financial liabilities | Details of the derivative financial liabilities as at December 31, 2022 are as follows: Warrants Weighted Balance, December 31, 2020 — — Warrants issued 5,729 9.69 Balance, December 31, 2021 5,729 9.69 Warrants issued — — Balance, December 31, 2022 5,729 9.69 |
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, Risk-free interest rate 4.41% 0.97% Expected life 1.6 - 2.5 years 2.7 - 3.5 years Expected volatility in market price of shares 89 - 106% 102 - 109% Expected dividend yield 0% 0% Expected forfeiture rate 0% 0% |
Geographic Information (Tables)
Geographic Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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, 2020 Canada 62,320 49,533 44,245 Europe 6,531 7,287 — Other 98 699 — Total 68,949 57,519 44,245 |
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, Canada 120,317 255,315 Europe 433 609 Other 887 883 Total 121,637 256,807 |
Expenses by nature and function
Expenses by nature and function (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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 28,628 26,509 11,306 Depreciation and amortization 12,636 12,736 8,414 Marketing 10,282 13,709 3,357 Stock-based compensation 8,712 11,683 2,041 Hosting and software licenses 6,647 4,200 2,321 Insurance and licenses 3,138 2,316 572 Professional services 2,889 3,800 1,407 Credit verification costs 1,918 1,990 1,651 Premises 1,224 1,040 1,010 Others 3,741 3,588 2,279 Total 79,815 81,571 34,358 |
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 26,718 25,021 12,989 Marketing 11,448 16,619 4,831 Customer service and operations 15,900 15,870 6,185 General and administration 25,749 24,061 10,353 Total 79,815 81,571 34,358 |
Revaluation loss (gain) (Tables
Revaluation loss (gain) (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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 (12,558 ) (11,276 ) 8 Realized gain on investment portfolio — (4,219 ) — Unrealized loss on investment portfolio 7,951 942 2,249 Loss on digital assets 625 — — Unrealized exchange (gain) loss (395 ) 670 155 Unrealized gain on other receivable — — (258 ) Loss related to property and equipment — — 272 Total 3,489 (15,671 ) 2,426 |
Other non-operating expense (_2
Other non-operating expense (income) (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Other Non Operating Expense [Abstract] | |
Summary of Other non-operating expense | Year ended December 31, December 31, December 31, Government grants (93 ) (1,597 ) (3,201 ) Direct offering transaction costs allocated to derivative financial liabilities — 2,260 — Restructuring charges 2,784 421 — Impairment of intangible assets 6,521 — — Acquisition costs and other 1,148 3,016 938 Gain on sale of loan book — — (1,676 ) Credit facility prepayment and related expenses — — 2,608 Convertible debenture early conversion — — 927 Gain on amendment of debentures — — (765 ) Total 10,360 4,100 (1,169 ) |
Investment Accounted for Usin_2
Investment Accounted for Using the Equity Method (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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, 2022 and December 31, 2021: As at December 31, December 31, Balance, beginning of the period 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 (23,496 ) (278 ) Gain from dilution of interest in associate 2,927 — Impairment (58,263 ) — Balance, end of the period 24,989 103,821 |
Disclosure of Detailed Explanation about Fair Value of Net Assets Explanatory | The following table summarizes the financial information of Coinsquare as included in its own financial statements, adjusted for fair value adjustments at acquisition and differences in accounting policies. The table also reconciles the summarized financial information to the carrying amount of the Company’s interest in Coinsquare : As at December 31, December 31, Current assets 66,199 109,005 Non-current assets 20,022 51,214 Current liabilities (34,938 ) (60,381 ) Non-current liabilities (57 ) (32,904 ) Net assets 51,226 66,934 Company’s share of net assets 14,937 30,176 Intangible assets 18,118 24,596 Deferred tax liabilities (3,003 ) (4,151 ) Goodwill 53,200 53,200 Impairment (58,263 ) — Carrying amount of interest in associate 24,989 103,821 Year ended April 16, 2021 Revenue 14,607 36,518 Net income from continuing operations (100%) (57,046 ) 7,710 Post-tax loss from discontinued operations (100%) (412 ) (24 ) Other comprehensive loss (100%) — (52 ) Total comprehensive income (100%) (57,458 ) 7,634 Company’s share of total comprehensive loss (23,496 ) (278 ) Opening balance 103,821 — Initial investment in Coinsquare — 45,026 Step up investments in Coinsquare — 59,073 Total investments in Coinsquare 103,821 104,099 Share of loss in investment accounted for using the equity method: Share of investee’s loss (23,496 ) (278 ) Gain from dilution of interest in associate 2,927 — Impairment of investment (58,263 ) — Carrying amount of equity accounted investment 24,989 103,821 Mogo’s share of: Net income from continuing operations (21,186 ) 1,211 Post-tax loss from discontinued operations (140 ) (4 ) Other comprehensive income — (20 ) Amortization of intangible assets (2,623 ) (1,772 ) Amortization of deferred tax liabilities 453 307 Total other comprehensive loss (23,496 ) (278 ) As at December 31, 2022, Coinsquare had assets under management of $235,258 (December 31, 2021 – $686,929). |
Derivative financial assets (Ta
Derivative financial assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Derivative Financial Assets [Abstract] | |
Summary of Derivative Financial Assets | The following table summarizes derivative financial assets as at December 31, 2022 and 2021: As at December 31, December 31, Balance, beginning of the period 7,866 — Additions — 11,591 Change in fair value due to revaluation of derivative financial assets (7,866 ) 1,788 Exercised — (5,513) Balance, end of the period — 7,866 |
Summary of Fair Value of Coinsquare Warrant | The fair value of the Coinsquare Warrant was estimated using the Black-Scholes option pricing model with the following assumptions: As at December 31, Risk-free interest rate 0.38% Expected life 0.5 years Expected volatility in market price of shares 71% Expected dividend yield 0% Expected forfeiture rate 0% |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Taxes Tables [Abstract] | |
Schedule of provision for income taxes | Year ended December 31, December 31, December 31, Current tax expense 76 133 — Deferred tax recovery (412 ) (365 ) — Income tax recovery (336 ) (232 ) — |
Schedule of statutory income tax rates | Year ended December 31, December 31, December 31, Canadian federal and provincial recovery of income taxes using statutory rate of 27% (2021 – 27%, 202 0 (44,832 ) (9,029 ) (3,630 ) Change in unrecognized deductible temporary differences and unused tax losses 33,554 6,538 3,093 Permanent differences and other 10,942 2,259 537 Income tax recovery (336 ) (232 ) — |
Schedule of deferred tax assets | As at December 31, December 31, Non-capital losses 6,728 11,856 Property and equipment — 93 Intangible assets — 2 Total 6,728 11,951 |
Schedule of deferred tax liabilities | As at December 31, December 31, Intangible assets 7,492 9,792 Right-of-use assets 708 — Property and equipment 9 — Digital assets and derivatives — 3,660 Equity investments — 287 Deferred cost — 380 8,209 14,119 |
Deductible temporary differences deferred tax assets | As at December 31, December 31, Unused tax losses 235,546 196,146 Property and equipment 5,225 4,012 Lease liability 3,280 578 Equity investments 7,523 0 Intangible assets 30,341 18,071 Investment accounted for using the equity method 79,109 — Debentures 2,185 2,073 Financing costs 2,643 5,021 Research and development expenditures 3,406 2,555 Investment in subsidiaries 3,395 3,395 Other 419 — 373,072 231,851 |
Schedule of non capital losses expire | The Company’s non-capital losses expire as follows: As at December 31, December 31, Expires 2024 549 549 Expires 2025 777 777 Expires 2026 1,822 1,822 Expires 2027 4,419 6,885 Expires 2028 4,068 5,486 Expires 2029 7,615 6,913 Expires 2030 5,816 5,616 Expires 2031 3,519 4,139 Expires 2032 6,441 9,031 Expires 2033 10,311 10,053 Expires 2034 10,268 14,810 Expires 2035 15,641 23,420 Expires 2036 29,378 28,317 Expires 2037 32,384 29,488 Expires 2038 33,159 29,512 Expires 2039 26,914 26,524 Expires 2040 15,738 15,153 Expires 2041 22,575 23,113 Expires 2042 30,291 — 261,685 241,608 |
Loss per share (Tables)
Loss per share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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 (165,678 ) (33,209 ) (13,445 ) Basic weighted average number of shares (in 000s) 76,326 63,005 28,873 Basic and diluted loss per share (2.17 ) (0.53 ) (0.47 ) |
Capital management (Tables)
Capital management (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Capital Management Tables Abstract | |
Schedule of capital management | The Company manages the following as capital: As at December 31, December 31, Share capital 391,243 392,628 Contributed surplus 33,025 24,486 Deficit (313,941 ) (148,263 ) Credit facility 46,180 44,983 Debentures 39,658 41,375 |
Business combination (Tables)
Business combination (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Business Combination Tables [Abstract] | |
Summary of Estimated Fair Value Assigned to Eash Major Class of Assets Acquired and Liability Assumed at Acquisition Date | January 25, 2021 Assets acquired: Cash and cash equivalent 2,101 Prepaids, and other receivables and assets 1,693 Property and equipment 270 Right-of-use assets 316 Intangible assets - technology assets 12,900 Intangible assets - customer relationships 4,800 Intangible assets - software licenses 628 Intangible assets - brand 1,000 Goodwill 35,893 59,601 Liabilities assumed: Accounts payable, accruals & other 4,485 Lease liabilities 316 4,801 Net assets acquired at fair value 54,800 Share consideration 54,800 May 4, 2021 Assets acquired: Cash and cash equivalent 4,377 Prepaids, and other receivables and assets 2,455 Property and equipment 59 Intangible assets - technology assets 8,100 Intangible assets - customer relationships 4,100 Intangible assets - regulatory licenses 6,500 Goodwill 33,517 59,108 Liabilities assumed: Accounts payable, accruals & other 5,293 Deferred tax liabilities 2,100 7,393 Net assets acquired at fair value 51,715 Share consideration 47,207 Cash consideration 4,508 Total consideration transferred 51,715 September 1, 2021 Assets acquired: Cash and cash equivalent 13 Prepaids, and other receivables and assets 628 Intangible assets - regulatory licenses 300 Goodwill 702 1,643 Liabilities assumed: Accounts payable, accruals & other 23 Deferred tax liabilities 80 103 Net assets acquired at fair value 1,540 Share consideration 396 Cash consideration 1,144 Total consideration transferred 1,540 |
Summary of Significant Assumptions Used in Calculating the Recoverable Amount for Each CGU Tested for Impairment |
Fair value of financial instr_2
Fair value of financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Of Financial Instruments Tables Abstract | |
Schedule of fair value disclosure of lease liabilities | Carrying amount Fair value As at December 31, 2022 Note FVTPL Financial Other 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 14 419 — — 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 12 — — 46,180 46,180 — 46,180 — 46,180 Debentures 13 — — 38,266 38,266 — 36,037 — 36,037 — — 105,219 105,219 Carrying amount Fair value As at December 31, 2021 Note FVTPL Financial Other Total Level 1 Level 2 Level 3 Total Financial assets measured at fair value Investment portfolio 18,088 — — 18,088 1,785 — 16,303 18,088 Derivative financial assets 20 7,866 — — 7,866 — — 7,866 7,866 25,954 — — 25,954 Financial assets not measured at fair value Cash and cash equivalent — 67,762 — 67,762 67,762 — — 67,762 Restricted cash — 1,446 — 1,446 1,446 — — 1,446 Loans receivable – current 4 — 65,397 — 65,397 — 65,397 — 65,397 Loans receivable – non-current 4 — 248 — 248 — — 248 248 Other receivables — 8,259 — 8,259 — 8,259 — 8,259 — 143,112 — 143,112 Financial liabilities measured at fair value Derivative financial liabilities 14 12,688 — — 12,688 — 12,688 — 12,688 12,688 — — 12,688 Financial liabilities not measured at fair value Accounts payable, accruals and other — — 20,783 20,783 — 20,783 — 20,783 Credit facility 12 — — 44,983 44,983 — 44,983 — 44,983 Debentures 13 — — 39,794 39,794 — 39,794 — 39,794 — — 105,560 105,560 |
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, 2022 and December 31, 2021 and classified as Level 3: As at December 31, December 31, Balance, beginning of the period 16,303 18,291 Additions 1,837 3,555 Disposal — (9,272 ) Transfer to Level 1 investments (500 ) — Unrealized exchange gain (loss) 547 (90 ) Realized gain on investment portfolio — 4,120 Unrealized loss on investment portfolio (6,272 ) (301 ) Balance, end of the period 11,915 16,303 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, 2022 Adjusted market multiple (5% movement) 626 (626 ) December 31, 2021 Adjusted market multiple (5% movement) 920 (920 ) |
Nature and extent of risk ari_2
Nature and extent of risk arising from financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Nature And Extent Of Risk Arising From Financial Instruments Tables Abstract | |
Schedule of debentures of contractual maturity of credit facilities | 2023 2024 2025 2026 2027 Thereafter Commitments - operational Lease payments 1,297 1,206 1,240 1,255 789 683 Accounts payable 5,686 — — — — — Accruals and other 15,296 — — — — — Interest – Credit facility (Note 12) 5,689 5,689 2,845 — — — Interest – Debentures (Note 13) 2,886 2,743 1,953 — — — 30,854 9,638 6,038 1,255 789 683 Commitments – principal repayments Credit facility (Note 12) — — 46,180 — — — Debentures (Note 13) (1) 2,215 2,358 35,085 — — — 2,215 2,358 81,265 — — — Total contractual obligations 33,069 11,996 87,303 1,255 789 683 (1) |
Foreign currency risk | As at ($000 USD) December 31, December 31, Cash 3,553 29,032 Investment portfolio 5,958 9,954 Derivative financial liabilities (310 ) (10,008 ) Debentures (4,562 ) (4,792 ) |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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 Weighted Weighted Options Weighted Balance, December 31, 2020 4,977 — 3.07 2,965 3.47 Options issued 5,410 4.76 7.47 — — Exercised (810 ) 1.70 1.77 — — Forfeited (653 ) 6.19 6.24 — — Balance, December 31, 2021 8,924 — 4.64 3,036 3.93 Options issued 3,456 1.06 1.41 — — Exercised (47 ) 1.22 1.59 — — Forfeited (2,711 ) 3.56 3.51 — — Balance, December 31, 2022 9,622 — 3.03 3,709 3.74 |
Schedule of Restricted share units | The details of RSUs outstanding are as follows: Number of RSUs (000s) Balance, December 31, 2020 77 Converted (30 ) Expired (5 ) Balance, December 31, 2021 42 Converted (40 ) Expired — Balance, December 31, 2022 2 |
Stock Options [Member] | |
Disclosure of classes of share capital [line items] | |
Schedule of fair value of options granted | With the exception of performance-based stock options, 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 1.73 - 3.41% 0.58 - 1.46% Expected life 5 years 5 years Expected volatility in market price of shares 87 - 91% 84 - 87% Expected dividend yield 0% 0% Expected forfeiture rate 0% - 15% 0% - 15% |
RSU [Member] | |
Disclosure of classes of share capital [line items] | |
Schedule of warrants | (e) Warrants Warrants Weighted Warrants Weighted Balance, December 31, 2020 5,035 1.80 4,386 1.88 Warrants issued 573 11.25 — — Warrants exercised (3,618 ) 1.76 — — Balance, December 31, 2021 1,990 4.60 1,757 5.04 Warrants issued — — — — Warrants exercised — — — — Warrants expired — — — — Balance, December 31, 2022 1,990 4.60 1,874 4.80 |
Warrants [Member] | |
Disclosure of classes of share capital [line items] | |
Schedule of fair value of options granted | The fair value of the warrants outstanding was determined upon issuance and estimated using the Black-Scholes option pricing model with the following assumptions: Year ended December 31, Risk-free interest rate 0.25% - 0.95% Expected life 3 - 3.5 years Expected volatility in market price of shares 93% - 102% Expected dividend yield 0% Expected forfeiture rate 0% |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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 2,192 1,529 Stock-based compensation 3,129 2,616 Termination benefits 1,224 — 6,545 4,145 |
Cash flow changes from financ_2
Cash flow changes from financing activities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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, 2022 are as follows: Non-cash changes January 1, Cash Conversion/ Foreign Fair Value/ 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/ 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 Details of changes in financing activities for the year ended December 31, 2020 are as follows: Non-cash changes January 1, Cash Conversion/ Foreign exchange Fair Value/ Amortization December 31, 2020 Share capital 94,500 2,568 9,662 — — 106,730 Lease liability 5,208 (444 ) (428 ) — — 4,336 Credit facility 76,472 (39,050 ) — — 222 37,644 Debentures 44,039 (399 ) (3,175 ) (116 ) 309 40,658 Convertible debentures 12,373 — (4,265 ) — 643 8,751 Total 232,592 (37,325 ) 1,794 (116 ) 1,174 198,119 |
Nature of operations (Details N
Nature of operations (Details Narrative) | 12 Months Ended |
Dec. 31, 2022 | |
Nature Of Operations Details Narrative [Abstract] | |
County or state of incorporation | British Columbia |
Date of incorporation | Jun. 21, 2019 |
Significant accounting polici_4
Significant accounting policies (Details Narrative) | 12 Months Ended |
Dec. 31, 2022 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 $5,000). |
Significant accounting polici_5
Significant accounting policies (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Computer equipment [Member] | |
Ifrs Statement [Line Items] | |
Depreciation rate | 30% |
Furniture and fixtures [Member] | |
Ifrs Statement [Line Items] | |
Depreciation rate | 20% |
Leasehold improvements [Member] | |
Ifrs Statement [Line Items] | |
Depreciation rate | Term of lease |
Significant accounting polici_6
Significant accounting policies (Details 1) | 12 Months Ended |
Dec. 31, 2022 | |
Software - Internally generated [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | 5 years straight line |
Software licenses [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | 5 years straight line |
Technology assets - Acquired [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | 10 years straight line |
Customer relationships [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | 7 to 10 years straight line |
Regulatory licenses [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | 5 years straight line |
Brand and trade name [member] | |
Ifrs Statement [Line Items] | |
Amortization rate | Indefinite |
Loans receivable (Details)
Loans receivable (Details) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Loans Receivable Details [Abstract] | ||
Current (terms of one year or less) | $ 69,693 | $ 65,397 |
Non-current (terms exceeding one year) | 221 | 248 |
Gross loans receivable | $ 69,914 | $ 65,645 |
Loans receivable (Details 1)
Loans receivable (Details 1) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 69,914 | $ 65,645 | |
Allowance for loan losses | (13,073) | (9,813) | $ (8,886) |
Loans receivable, net | 56,841 | 55,832 | |
Stage 1 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | 57,990 | 56,864 | |
Allowance for loan losses | (5,794) | (5,291) | |
Loans receivable, net | 52,196 | 51,573 | |
Stage 2 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | 2,109 | 2,082 | |
Allowance for loan losses | (1,239) | (1,119) | |
Loans receivable, net | 870 | 963 | |
Stage 3 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | 9,815 | 6,699 | |
Allowance for loan losses | (6,040) | (3,403) | |
Loans receivable, net | $ 3,775 | $ 3,296 | |
Strong [Member] | |||
Loans Receivable Details [Line Items] | |||
Days past due | Not past due | Not past due | |
Gross loans receivable | $ 55,087 | $ 54,067 | |
Strong [Member] | Stage 1 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 55,087 | $ 54,067 | |
Lower risk [Member] | |||
Loans Receivable Details [Line Items] | |||
Days past due | 1-30 days past due | 1-30 days past due | |
Gross loans receivable | $ 2,903 | $ 2,797 | |
Lower risk [Member] | Stage 1 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 2,903 | $ 2,797 | |
Medium risk [Member] | |||
Loans Receivable Details [Line Items] | |||
Days past due | 31-60 days past due | 31-60 days past due | |
Gross loans receivable | $ 1,211 | $ 1,284 | |
Medium risk [Member] | Stage 2 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 1,211 | $ 1,284 | |
Higher risk [Member] | |||
Loans Receivable Details [Line Items] | |||
Days past due | 61-90 days past due | 61-90 days past due | |
Gross loans receivable | $ 898 | $ 798 | |
Higher risk [Member] | Stage 2 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 898 | $ 798 | |
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 | $ 9,815 | $ 6,699 | |
Non-performing [Member] | Stage 3 [Member] | |||
Loans Receivable Details [Line Items] | |||
Gross loans receivable | $ 9,815 | $ 6,699 |
Loans receivable (Details 2)
Loans receivable (Details 2) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Loans Receivable Details [Line Items] | ||
Balance as at January 1, 2022 | $ 9,813 | $ 8,886 |
Gross loans originated | 2,607 | 3,263 |
Principal payments | (1,602) | (1,245) |
Re-measurement of allowance before transfers | 822 | (1,717) |
Re-measurement of amounts transferred between stages | 13,556 | 8,175 |
Net amounts written off against allowance | (12,123) | (7,549) |
Balance as at December 31, 2022 | 13,073 | 9,813 |
Stage 1 [Member] | ||
Loans Receivable Details [Line Items] | ||
Balance as at January 1, 2022 | 5,721 | 5,425 |
Gross loans originated | 2,607 | 3,263 |
Principal payments | (1,107) | (1,229) |
Re-measurement of allowance before transfers | 142 | (830) |
Re-measurement of amounts transferred between stages | (67) | (67) |
Transfer to (from) Stage 1 – 12 month ECLs | 79 | 79 |
Transfer to (from) Stage 2 – Lifetime ECLs | (218) | (192) |
transfer to (from) Stage 3 – Lifetime ECLs | (1,363) | (728) |
Balance as at December 31, 2022 | 5,794 | 5,721 |
Stage 2 [Member] | ||
Loans Receivable Details [Line Items] | ||
Balance as at January 1, 2022 | 1,119 | 772 |
Principal payments | (136) | (84) |
Re-measurement of allowance before transfers | 89 | (144) |
Re-measurement of amounts transferred between stages | 1,047 | 920 |
Transfer to (from) Stage 1 – 12 month ECLs | (65) | (59) |
Transfer to (from) Stage 2 – Lifetime ECLs | 220 | 192 |
transfer to (from) Stage 3 – Lifetime ECLs | (1,035) | (478) |
Balance as at December 31, 2022 | 1,239 | 1,119 |
Stage 3 [Member] | ||
Loans Receivable Details [Line Items] | ||
Balance as at January 1, 2022 | 2,973 | 2,689 |
Principal payments | (359) | 68 |
Re-measurement of allowance before transfers | 591 | (743) |
Re-measurement of amounts transferred between stages | 12,576 | 7,322 |
Transfer to (from) Stage 1 – 12 month ECLs | (14) | (20) |
Transfer to (from) Stage 2 – Lifetime ECLs | (2) | |
transfer to (from) Stage 3 – Lifetime ECLs | 2,398 | 1,206 |
Net amounts written off against allowance | (12,123) | (7,549) |
Balance as at December 31, 2022 | $ 6,040 | $ 2,973 |
Loans receivable (Details Narra
Loans receivable (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Loans Receivable Details [Line Items] | ||
Provision for loan losses, recoveries | $ 653 | $ 936 |
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 | $ 705 |
Loans receivable (Details 4)
Loans receivable (Details 4) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Loans Receivable Details [Abstract] | ||
Balance, beginning of the period | $ 9,813 | $ 8,886 |
Provision for loan losses | 15,383 | 8,476 |
Charge offs | (12,123) | (7,549) |
Balance, end of the period | $ 13,073 | $ 9,813 |
Prepaid expenses, and other r_3
Prepaid expenses, and other receivables and assets (Details) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Prepaid Expenses Deposits And Other Assets [Abstract] | ||
Prepaid expenses | $ 2,499 | $ 1,849 |
Accounts receivable | 2,347 | 2,112 |
Brokerage firm receivables | 4,804 | 3,276 |
Deposits and other receivables and assets | 2,741 | 3,065 |
Total | $ 12,391 | $ 10,302 |
Digital assets (Details)
Digital assets (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Nov. 01, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of financial assets [line items] | |||
Balance, beginning of the period | $ 1,718 | ||
Revaluation (loss) on digital assets through net income (loss) | (625) | ||
Balance, end of the period | 0 | $ 1,718 | |
Digital assets [member] | |||
Disclosure of financial assets [line items] | |||
Balance, beginning of the period | 1,718 | 0 | |
Additions | 0 | 1,250 | |
Revaluation (loss) gain on digital assets through other comprehensive income | (468) | 468 | |
Revaluation (loss) on digital assets through net income (loss) | (625) | 0 | |
Disposals | $ 625 | (625) | 0 |
Balance, end of the period | $ 0 | $ 1,718 |
Digital assets (Details Narrati
Digital assets (Details Narrative) - CAD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Nov. 01, 2022 | Apr. 30, 2021 | Jan. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure Of Digital Assets [Line Items] | ||||||
Digital assets, carrrying value | $ 0 | $ 1,718 | ||||
Digital assets [member] | ||||||
Disclosure Of Digital Assets [Line Items] | ||||||
Decrease through disposals of financial assets | $ 625 | (625) | 0 | |||
Digital assets, carrrying value | $ 0 | $ 1,718 | $ 0 | |||
Bitcoin (BTC) [member] | ||||||
Disclosure Of Digital Assets [Line Items] | ||||||
Purchase of digital asset | $ 750 | |||||
Ethereum (ETH) [member] | ||||||
Disclosure Of Digital Assets [Line Items] | ||||||
Purchase of digital asset | $ 500 |
Investment portfolio (Details)
Investment portfolio (Details) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Investment Portfolio Details [Abstract] | ||
Equities | $ 11,504 | $ 16,820 |
Other | 1,016 | 1,268 |
Total | $ 12,520 | $ 18,088 |
Property and equipment (Details
Property and equipment (Details) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Ifrs Statement [Line Items] | ||
Beginning balance | $ 6,090 | $ 5,318 |
Additions | 455 | 464 |
Additions through business combinations | 329 | |
Impairment | (125) | |
Effects of movement in exchange rate | 20 | (21) |
Ending balance | 6,440 | 6,090 |
ACCUMULATED DEPRECIATION | ||
Beginning balance | 4,904 | 4,426 |
Depreciation | 472 | 478 |
Ending balance | 5,339 | 4,904 |
Property and equipment | 1,101 | 1,186 |
Accumulated depreciation and amortisation [member] | ||
Ifrs Statement [Line Items] | ||
Impairment | (37) | |
Computer equipment [Member] | ||
Ifrs Statement [Line Items] | ||
Beginning balance | 2,823 | 2,083 |
Additions | 455 | 462 |
Additions through business combinations | 298 | |
Impairment | (125) | |
Effects of movement in exchange rate | 22 | (20) |
Ending balance | 3,175 | 2,823 |
ACCUMULATED DEPRECIATION | ||
Beginning balance | 1,947 | 1,547 |
Depreciation | 403 | 400 |
Ending balance | 2,313 | 1,947 |
Property and equipment | 862 | 876 |
Computer equipment [Member] | Accumulated depreciation and amortisation [member] | ||
Ifrs Statement [Line Items] | ||
Impairment | (37) | |
Furniture and fixtures [member] | ||
Ifrs Statement [Line Items] | ||
Beginning balance | 1,212 | 1,180 |
Additions | 2 | |
Additions through business combinations | 31 | |
Effects of movement in exchange rate | (2) | (1) |
Ending balance | 1,210 | 1,212 |
ACCUMULATED DEPRECIATION | ||
Beginning balance | 902 | 824 |
Depreciation | 69 | 78 |
Ending balance | 971 | 902 |
Property and equipment | 239 | 310 |
Leasehold improvements [Member] | ||
Ifrs Statement [Line Items] | ||
Beginning balance | 2,055 | 2,055 |
Ending balance | 2,055 | 2,055 |
ACCUMULATED DEPRECIATION | ||
Beginning balance | 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, 2022 | Dec. 31, 2021 | May 04, 2021 | Jan. 25, 2021 | |
Statement Line Items [Line Items] | ||||
Depreciation of property and equipment | $ 472 | $ 478 | ||
Carta [Member] | ||||
Statement Line Items [Line Items] | ||||
Fair value of property and equipment, net of exchange rates | $ 270 | |||
Moka [Member] | ||||
Statement Line Items [Line Items] | ||||
Fair value of property and equipment, net of exchange rates | $ 59 |
Intangible assets (Details)
Intangible assets (Details) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | $ 89,314 | $ 44,389 |
Additions | 7,482 | 7,503 |
Impairment | (18,440) | (898) |
Additions through a business combination | 38,328 | |
Effects of movement in exchange rate | (3) | (8) |
Ending balance | 78,353 | 89,314 |
Accumulated depreciation and amortisation [member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 37,010 | 25,477 |
Amortization | 11,433 | 11,533 |
Impairment | (11,919) | |
Ending balance | 36,524 | 37,010 |
Net Book Value [Member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 52,304 | |
Ending balance | 41,829 | |
Internally Generated Completed [Member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 44,640 | 39,504 |
Additions | 201 | 1,200 |
Impairment | (18,440) | |
Transfers | 3,132 | 3,936 |
Ending balance | 29,533 | 44,640 |
Internally Generated Completed [Member] | Accumulated depreciation and amortisation [member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 29,510 | 22,231 |
Amortization | 6,759 | 7,279 |
Impairment | (11,919) | |
Ending balance | 24,350 | 29,510 |
Internally Generated Completed [Member] | Net Book Value [Member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 15,130 | |
Ending balance | 5,183 | |
Internally Generated In Process [Member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 2,998 | 1,529 |
Additions | 7,281 | 6,303 |
Impairment | (898) | |
Transfers | (3,132) | (3,936) |
Ending balance | 7,147 | 2,998 |
Internally Generated In Process [Member] | Net Book Value [Member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 2,998 | |
Ending balance | 7,147 | |
Software licenses | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 3,976 | 3,356 |
Additions through a business combination | 628 | |
Effects of movement in exchange rate | (3) | (8) |
Ending balance | 3,973 | 3,976 |
Software licenses | Accumulated depreciation and amortisation [member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 3,464 | 3,246 |
Amortization | 148 | 218 |
Ending balance | 3,612 | 3,464 |
Software licenses | Net Book Value [Member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 512 | |
Ending balance | 361 | |
Acquired technology assets | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 21,000 | |
Additions through a business combination | 21,000 | |
Ending balance | 21,000 | 21,000 |
Acquired technology assets | Accumulated depreciation and amortisation [member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 1,722 | |
Amortization | 2,100 | 1,722 |
Ending balance | 3,822 | 1,722 |
Acquired technology assets | Net Book Value [Member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 19,278 | |
Ending balance | 17,178 | |
Customer relationships | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 8,900 | |
Additions through a business combination | 8,900 | |
Ending balance | 8,900 | 8,900 |
Customer relationships | Accumulated depreciation and amortisation [member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 1,427 | |
Amortization | 1,066 | 1,427 |
Ending balance | 2,493 | 1,427 |
Customer relationships | Net Book Value [Member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 7,473 | |
Ending balance | 6,407 | |
Brand | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 1,000 | |
Additions through a business combination | 1,000 | |
Ending balance | 1,000 | 1,000 |
Brand | Net Book Value [Member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 1,000 | |
Ending balance | 1,000 | |
Regulatory licenses | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 6,800 | |
Additions through a business combination | 6,800 | |
Ending balance | 6,800 | 6,800 |
Regulatory licenses | Accumulated depreciation and amortisation [member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | 887 | |
Amortization | 1,360 | 887 |
Ending balance | 2,247 | 887 |
Regulatory licenses | Net Book Value [Member] | ||
Disclosure Of Intangible Assets [Line Items] | ||
Beginning balance | $ 5,913 | |
Ending balance | $ 4,553 |
Intangible assets (Details Narr
Intangible assets (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2022 | Dec. 31, 2021 | Sep. 01, 2021 | May 04, 2021 | Jan. 25, 2021 | |
Disclosure of detailed information about intangible assets [line items] | |||||
Impairment of intangible assets | $ (18,440) | $ (898) | |||
Accumulated depreciation and amortisation [member] | |||||
Disclosure of detailed information about intangible assets [line items] | |||||
Impairment of intangible assets | (11,919) | ||||
Intangible assets other than goodwill [member] | Accumulated depreciation and amortisation [member] | |||||
Disclosure of detailed information about intangible assets [line items] | |||||
Amortisation, intangible assets other than goodwill | 11,433 | $ 11,533 | |||
Carta [Member] | |||||
Disclosure of detailed information about intangible assets [line items] | |||||
Intangible assets, fair value | $ 19,328 | ||||
Moka [Member] | |||||
Disclosure of detailed information about intangible assets [line items] | |||||
Intangible assets, fair value | $ 18,700 | ||||
Fortification [member] | |||||
Disclosure of detailed information about intangible assets [line items] | |||||
Intangible assets, fair value | $ 300 | ||||
Mogo Crypto Intangible Assets | Other Non Operating Expenses [Member] | |||||
Disclosure of detailed information about intangible assets [line items] | |||||
Impairment of intangible assets | $ 6,521 |
Leases (Details Narrative)
Leases (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
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 | $ 668 | $ 660 | $ 444 |
Cash payments related to interest portion as operating activities | $ 212 | $ 243 | $ 272 |
Leases (Details)
Leases (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Lease [Abstract] | |||
Right-of-use assets, beginning balance | $ 3,879 | ||
Impairment | $ (78) | ||
Additions | 316 | ||
Disposals | (40) | ||
Depreciation | (730) | (725) | |
Right-of-use assets, ending balance | 2,622 | 3,430 | |
Lease liabilities, beginning balance | 4,336 | ||
Additions | 316 | ||
Disposals | (43) | ||
Interest expense | 212 | 243 | $ 272 |
Payments | (880) | (904) | |
Lease liabilities, ending balance | $ 3,280 | $ 3,948 |
Leases (Details 1)
Leases (Details 1) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Lease [Abstract] | |||
Depreciation of right-of-use assets | $ 730 | $ 725 | $ 642 |
Interest expense on lease liabilities | 212 | 243 | 272 |
Expenses relating to short term leases | 478 | 436 | 39 |
Impairment | 78 | ||
Variable lease payments | 505 | 453 | 516 |
Total | $ 2,003 | $ 1,857 | $ 1,469 |
Accounts payable and accruals_2
Accounts payable and accruals (Details) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Accounts Payable And Accruals Details [Abstract] | ||
Accounts payables | $ 5,686 | $ 4,960 |
Accrued expenses | 6,441 | 7,068 |
Accrued wages and other benefits | 1,008 | 3,044 |
Client liabilities | 6,743 | 4,195 |
Other | 1,104 | 1,516 |
Total | $ 20,982 | $ 20,783 |
Credit facility (Details Narrat
Credit facility (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 16, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Financial Instruments [Line Items] | |||
Cash and cash equivalent | $ 29,268 | $ 67,762 | |
Loans receivable, net | 56,841 | 55,832 | |
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% (with a LIBOR floor of 1.5%) to LIBOR plus 8% with no floor | ||
Description for fee payable under facility | There is a 0.33% fee on the available but undrawn portion of the $60,000 facility. | ||
Rate of fee on available but undrawn portion facility | 0.33% | ||
Undrawn portion under credit facility | $ 60,000 | ||
Cash and cash equivalent | 56,841 | 55,832 | |
Loans receivable, net | 288 | 154 | |
Notional amount | $ 60,000 | ||
Borrowings maturity date | Jul. 02, 2025 | ||
Principal And Interest Outstanding Balance | $ 46,180 | $ 44,983 |
Credit facility (Details)
Credit facility (Details) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Credit facility [Member] | ||
Disclosure Of Financial Instruments [Line Items] | ||
Credit facility - Funds drawn | $ 46,180 | $ 44,983 |
Debentures (Details Narrative)
Debentures (Details Narrative) $ in Thousands | 4 Months Ended | 12 Months Ended | ||||
Jan. 03, 2023 shares | Oct. 07, 2020 $ / shares shares | Sep. 30, 2020 | Sep. 29, 2020 | Jun. 30, 2020 | Dec. 31, 2022 CAD ($) shares | |
Disclosure Of Detailed Information About Borrowings [Line Items] | ||||||
Amendment terms of debenture effective date | July 1, 2020 | |||||
Weighted average coupon interest rate | 14% | 7% | ||||
Percentage of principal balance with maturity extended | 50% | |||||
Annual interest payable | 12% | |||||
Quarterly interest payable | 3% | |||||
Annual interest received | 8% | |||||
Quarterly interest received | 2% | |||||
Unpaid interest settlement percentage | 10% | |||||
Number of shares issued | 4,479,392 | |||||
Exercise price per warrant | $ / shares | $ 2.03 | |||||
Warrants exercised to common shares | 3,295,427 | |||||
Cash proceeds for issuance of common shares | $ | $ 6,690 | |||||
Debenture warrants, outstanding and exercisable | 1,183,965 | |||||
Debenture Warrants Expired Unexercised | 1,183,965 | |||||
Debentures [Member] | ||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||||||
Gain recognized on revision to debentures cash flow timing | $ | $ 1,114 | |||||
Bottom of range [member] | ||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||||||
Unpaid interest period | Mar. 01, 2020 | |||||
Top of range [member] | ||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||||||
Unpaid interest period | Jun. 30, 2020 | |||||
Tranche One [Member] | ||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||||||
Extended maturity date of debentures | Jan. 31, 2023 | |||||
Tranche Two [Member] | ||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||||||
Extended maturity date of debentures | Jan. 31, 2024 |
Debentures (Details)
Debentures (Details) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Disclosure of detailed information about borrowings [abstract] | ||
Principal balance | $ 39,658 | $ 41,375 |
Discount | (2,118) | (2,323) |
Debentures | 37,540 | 39,052 |
Interest payable | 726 | 742 |
Notes and debentures issued | $ 38,266 | $ 39,794 |
Debentures (Details 1)
Debentures (Details 1) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Debentures Details1 [Line Items] | ||
Debentures principal balance | $ (39,658) | $ (41,375) |
Principal component of quarterly payment [member] | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 6,443 | |
Principal component of quarterly payment [member] | 2023 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 2,215 | |
Principal component of quarterly payment [member] | 2024 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 2,358 | |
Principal component of quarterly payment [member] | 2025 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 1,870 | |
Principal due on maturity [member] | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 33,215 | |
Principal due on maturity [member] | 2025 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 33,215 | |
Debuntures [Member] | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | $ 39,658 | |
Borrowings, maturity | July 2, 2025 | |
Debuntures [Member] | 2023 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | $ 2,215 | |
Debuntures [Member] | 2024 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | 2,358 | |
Debuntures [Member] | 2025 | ||
Debentures Details1 [Line Items] | ||
Debentures principal balance | $ 35,085 |
Derivative financial liabilit_3
Derivative financial liabilities (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | 10 Months Ended | |||
Dec. 13, 2021 | Feb. 24, 2021 | Dec. 31, 2021 | Dec. 31, 2022 | |
Disclosure of fair value measurement of liabilities [line items] | ||||
Cash proceeds | $ 43,767 | |||
Registered Direct Offering [Member] | Derivative Stock Warrants [Member] | ||||
Disclosure of fair value measurement of liabilities [line items] | ||||
Stock warrant issued | 3,055,556 | 2,673,268 | ||
Common shares, exercise price | $ 4.7 | $ 11 | ||
Derivative Stock Warrants [Member] | ||||
Disclosure of fair value measurement of liabilities [line items] | ||||
Class of warrants or rights outstanding | 5,728,824 | |||
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 Stock Warrants [Member] | Registered Direct Offering [Member] | ||||
Disclosure of fair value measurement of liabilities [line items] | ||||
Prior period from date of issuance | 3 years 6 months | 3 years 6 months |
Derivative financial liabilit_4
Derivative financial liabilities (Details) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of fair value measurement of liabilities [line items] | ||
Liabilities | $ 124,090 | |
Liabilities | 110,608 | $ 124,090 |
Derivative Financial Liabilities [Member] | ||
Disclosure of fair value measurement of liabilities [line items] | ||
Liabilities | 12,688 | 0 |
Stock warrants issued | 0 | 23,986 |
Change in fair value due to revaluation of derivative financial liabilities | (12,558) | (11,276) |
Change in fair value due to foreign exchange | 289 | (22) |
Liabilities | $ 419 | $ 12,688 |
Derivative financial liabilit_5
Derivative financial liabilities (Details 1) - Derivative Financial Liabilities [Member] - $ / shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of fair value measurement of liabilities [line items] | ||
Warrants Outstanding and Exercisable | 5,729 | 0 |
Warrants Weighted Average Exercise Price | $ 9.69 | $ 0 |
Warrants outstanding and exercisable, warrants issued | 0 | 5,729 |
Warrants Weighted Average Exercise Price, warrants issued | $ 0 | $ 9.69 |
Warrants Outstanding and Exercisable | 5,729 | 5,729 |
Warrants Weighted Average Exercise Price | $ 9.69 | $ 9.69 |
Derivative financial liabilit_6
Derivative financial liabilities (Details 2) - Derivative Financial Liabilities [Member] | Dec. 31, 2022 yr | Dec. 31, 2021 yr |
Risk-free interest rate | ||
Disclosure of significant unobservable inputs used in fair value measurement of liabilities [line items] | ||
Significant unobservable input, liabilities | 4.41 | 0.97 |
Expected life | Bottom of range [member] | ||
Disclosure of significant unobservable inputs used in fair value measurement of liabilities [line items] | ||
Significant unobservable input, liabilities | 1.6 | 2.7 |
Expected life | Top of range [member] | ||
Disclosure of significant unobservable inputs used in fair value measurement of liabilities [line items] | ||
Significant unobservable input, liabilities | 2.5 | 3.5 |
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 | 89 | 102 |
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 | 106 | 109 |
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, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure of geographical areas [line items] | |||
Revenue | $ 68,949 | $ 57,519 | $ 44,245 |
Based On Revenue [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 68,949 | 57,519 | 44,245 |
Based On Non Current Assets [Member] | |||
Disclosure of geographical areas [line items] | |||
Non-current assets | 121,637 | 256,807 | |
Canada | Based On Revenue [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 62,320 | 49,533 | 44,245 |
Canada | Based On Non Current Assets [Member] | |||
Disclosure of geographical areas [line items] | |||
Non-current assets | 120,317 | 255,315 | |
Europe [Member] | Based On Revenue [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 6,531 | 7,287 | 0 |
Europe [Member] | Based On Non Current Assets [Member] | |||
Disclosure of geographical areas [line items] | |||
Non-current assets | 433 | 609 | |
Other [Member] | Based On Revenue [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 98 | 699 | $ 0 |
Other [Member] | Based On Non Current Assets [Member] | |||
Disclosure of geographical areas [line items] | |||
Non-current assets | $ 887 | $ 883 |
Expenses by nature and functi_2
Expenses by nature and function (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Revenue Details [Abstract] | |||
Personnel expense | $ 28,628 | $ 26,509 | $ 11,306 |
Depreciation and amortization | 12,636 | 12,736 | 8,414 |
Marketing | 10,282 | 13,709 | 3,357 |
Stock-based compensation | 8,712 | 11,683 | 2,041 |
Hosting and software licenses | 6,647 | 4,200 | 2,321 |
Insurance and licenses | 3,138 | 2,316 | 572 |
Professional services | 2,889 | 3,800 | 1,407 |
Credit verification costs | 1,918 | 1,990 | 1,651 |
Premises | 1,224 | 1,040 | 1,010 |
Others | 3,741 | 3,588 | 2,279 |
Total | $ 79,815 | $ 81,571 | $ 34,358 |
Expenses by nature and functi_3
Expenses by nature and function (Details 1) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure of attribution of expenses by nature to their function [line items] | |||
Expenses, by nature | $ 79,815 | $ 81,571 | $ 34,358 |
Technology And Development [Member] | |||
Disclosure of attribution of expenses by nature to their function [line items] | |||
Expenses, by nature | 26,718 | 25,021 | 12,989 |
Marketing [Member] | |||
Disclosure of attribution of expenses by nature to their function [line items] | |||
Expenses, by nature | 11,448 | 16,619 | 4,831 |
Customer Service And Operations [Member] | |||
Disclosure of attribution of expenses by nature to their function [line items] | |||
Expenses, by nature | 15,900 | 15,870 | 6,185 |
General And Administration [Member] | |||
Disclosure of attribution of expenses by nature to their function [line items] | |||
Expenses, by nature | $ 25,749 | $ 24,061 | $ 10,353 |
Revaluation loss (gain) (Detail
Revaluation loss (gain) (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Revaluation loss (gain) [Abstract] | |||
Change in fair value due to revaluation of derivative financial asset | $ 7,866 | $ (1,788) | $ 0 |
Change in fair value due to revaluation of derivative financial liabilities | (12,558) | (11,276) | 8 |
Realized gain on investment portfolio | (4,219) | ||
Unrealized loss on investment portfolio | 7,951 | 942 | 2,249 |
Loss on digital assets | 625 | ||
Unrealized exchange (gain) loss | (395) | 670 | 155 |
Unrealized gain on other receivable | (258) | ||
Loss related to property and equipment | 272 | ||
Total | $ 3,489 | $ (15,671) | $ 2,426 |
Other non-operating expense (_3
Other non-operating expense (income) (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other Non Operating Expense [Abstract] | |||
Government grants | $ (93) | $ (1,597) | $ (3,201) |
Direct offering transaction costs allocated to derivative financial liabilities | 2,260 | ||
Restructuring charges | 2,784 | 421 | |
Impairment of intangible assets | 6,521 | ||
Acquisition costs and other | 1,148 | 3,016 | 938 |
Gain on sale of loan book | (1,676) | ||
Credit facility prepayment and related expenses | 2,608 | ||
Convertible debenture early conversion | 927 | ||
Gain on amendment of debentures | (765) | ||
Total | $ 10,360 | $ 4,100 | $ (1,169) |
Other non-operating expense (_4
Other non-operating expense (income) (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other non-operating expense [Line Items] | |||
Expense of restructuring activities | $ 2,784 | $ 421 | |
Impairment of intangible assets | (18,440) | (898) | |
Direct offering transaction costs | 0 | ||
Income from government grants | 93 | 1,597 | $ 3,201 |
Direct offering transaction costs allocated to derivative financial liabilities | 2,260 | ||
MogoCyrpto, MogoCard and MogoApp [Member] | Other Non Operating Expenses [Member] | |||
Other non-operating expense [Line Items] | |||
Impairment of intangible assets | 6,521 | ||
Canadian Emergency Wage Subsidy [Member] | COVID-19 [member] | |||
Other non-operating expense [Line Items] | |||
Non-operating income | 0 | 1,007 | |
Canadian Emergency Rent Subsidy [Member] | COVID-19 [member] | |||
Other non-operating expense [Line Items] | |||
Non-operating income | 0 | 163 | |
Research Grants [Member] | |||
Other non-operating expense [Line Items] | |||
Income from government grants | $ 93 | 254 | |
Government Subsidy [Member] | |||
Other non-operating expense [Line Items] | |||
Income from government grants | $ 1,343 |
Investment Accounted for Usin_3
Investment Accounted for Using the Equity Method (Details Narrative) - CAD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||||
Oct. 12, 2022 | Aug. 04, 2021 | Jun. 15, 2021 | Jun. 04, 2021 | Apr. 16, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||||
Acquisiton Of Common Shares | 2,188,532 | 6,450,607 | |||||
Proportion of ownership interest in associate | 20% | 19.99% | 19.99% | ||||
Aggregate Consideration | $ 8,523 | $ 55,359 | |||||
Cash payment made out of cash consideration | $ 5,000 | $ 27,396 | |||||
Number of Shares Issued to settle Partial Consideration | 378,774 | 2,791,904 | 2,807,577 | ||||
Common Shares Value Issued For Payment Of Cash Consideration | $ 3,523 | $ 27,963 | |||||
Additional Shares Acquired | 655,644 | 5,412,222 | |||||
Increase In Percentage Of Ownership Interest | 36.74% | ||||||
Acquisition Of Shares By Exercising Call Options | 3,223,690 | ||||||
Voting Rights In Percentage | 20% | ||||||
Part of the consideration for equity method investments settled in shares | 2,288,972 | ||||||
Impairment charges of equity method investments | $ 58,263 | $ 0 | |||||
Regulatory capital | 4,032 | ||||||
Net gain from dilution on investments | $ 2,927 | $ 0 | |||||
Coinsquare [Member] | |||||||
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||||
Proportion of ownership interest in associate | 33.77% | 38.77% | |||||
Assets under management | $ 235,258 | $ 686,929 | |||||
Estimated recoverable amount of investments value | 24,989 | ||||||
Net gain from dilution on investments | $ 2,927 | ||||||
Maximum [member] | |||||||
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||||
Proportion of ownership interest in associate | 38.77% | ||||||
Minimum [member] | |||||||
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||||
Proportion of ownership interest in associate | 36.74% | ||||||
Purchased call options [member] | |||||||
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||||
Right To purchase Coinsquare shares from selling shareholders | 1,100,000 | 3,223,690 | |||||
Price per share at which shares can be acquired | $ 13 | $ 8.29 | |||||
Written put options [member] | |||||||
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||||
Right To purchase Coinsquare shares from selling shareholders | 3,223,690 | ||||||
Coinsquare Warrants [member] | |||||||
Disclosure of Investments Accounted for Using Equity Method [Line Items] | |||||||
Additional Shares Acquired | 7,240,665 | ||||||
Price per share at which shares can be acquired | $ 8.29 | ||||||
Cash payment made out of cash consideration(In %) | 50% |
Investment Accounted for Usin_4
Investment Accounted for Using the Equity Method (Details) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Detailed Information Of Investments Accounted For Using Equity Method [Line Items] | ||
Balance, beginning of the period | $ 103,821 | $ 0 |
Additions | ||
Initial investments in Coinsquare | 0 | 45,026 |
Step up investments in Coinsquare | 0 | 59,073 |
Share of loss in investment accounted for using the equity method: | ||
Share of investee's loss | (23,496) | (278) |
Gain from dilution of interest in associate | 2,927 | 0 |
Impairment | (58,263) | 0 |
Balance, end of the period | $ 24,989 | $ 103,821 |
Investment Accounted for Usin_5
Investment Accounted for Using the Equity Method (Details 2) - CAD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement of financial position [abstract] | ||||
Deferred tax liabilities | $ (1,894) | $ (1,481) | $ (1,894) | |
Goodwill | 70,112 | 38,355 | 70,112 | |
Profit or loss [abstract] | ||||
Revenue | 68,949 | 57,519 | $ 44,245 | |
Initial investment in Coinsquare | 0 | 45,026 | ||
Step up investments in Coinsquare | 0 | 59,073 | ||
Share of loss in investment accounted for using the equity method: | ||||
Share of investee's loss | (20,569) | (278) | $ 0 | |
Gain from dilution of interest in associate | 2,927 | 0 | ||
Impairment of investment | (58,263) | 0 | ||
Coinsquare [Member] | ||||
Statement of financial position [abstract] | ||||
Current assets | 109,005 | 66,199 | 109,005 | |
Non-current assets | 51,214 | 20,022 | 51,214 | |
Current liabilities | (60,381) | (34,938) | (60,381) | |
Non-current liabilities | (32,904) | (57) | (32,904) | |
Net assets | 66,934 | 51,226 | 66,934 | |
Company's share of net assets | 30,176 | 14,937 | 30,176 | |
Intangible assets | 24,596 | 18,118 | 24,596 | |
Deferred tax liabilities | (4,151) | (3,003) | (4,151) | |
Goodwill | 53,200 | 53,200 | 53,200 | |
Impairment | (58,263) | |||
Carrying amount of interest in associate | 103,821 | 24,989 | $ 103,821 | |
Profit or loss [abstract] | ||||
Revenue | 36,518 | 14,607 | ||
Net income from continuing operations (100%) | 7,710 | (57,046) | ||
Post-tax loss from discontinued operations (100%) | (24) | |||
Other comprehensive loss (100%) | (52) | |||
Total comprehensive income (100%) | 7,634 | (57,458) | ||
Company's share of total comprehensive loss | (278) | (23,496) | ||
Opening balance | 103,821 | |||
Initial investment in Coinsquare | 45,026 | |||
Step up investments in Coinsquare | 59,073 | |||
Total investments in Coinsquare | 104,099 | 103,821 | ||
Share of loss in investment accounted for using the equity method: | ||||
Share of investee's loss | (278) | (23,496) | ||
Gain from dilution of interest in associate | 2,927 | |||
Impairment of investment | (58,263) | |||
Carrying amount of equity accounted investment | 103,821 | 24,989 | ||
Mogo's share of Net income from continuing operations | 1,211 | (21,186) | ||
Mogo's share of Post-tax loss from discontinued operations | (4) | |||
Mogo's share of Other comprehensive income | (20) | |||
Mogo's share of Amortization of intangible assets | (1,772) | (2,623) | ||
Amortization of deferred tax liabilities | 307 | 453 | ||
Total other comprehensive loss | $ (278) | $ (23,496) |
Derivative financial assets (De
Derivative financial assets (Details) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Derivative Financial Assets [Abstract] | ||
Balance, beginning of the period | $ 7,866 | $ 0 |
Additions | 0 | 11,591 |
Change in fair value due to revaluation of derivative financial assets | (7,866) | 1,788 |
Exercised | 0 | (5,513) |
Balance, end of the period | $ 0 | $ 7,866 |
Derivative financial assets (_2
Derivative financial assets (Details 1) | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure Of Derivative Financial Assets [Abstract] | |
Risk-free interest rate | 0.38% |
Expected life | 6 months |
Expected volatility in market price of shares | 71% |
Expected dividend yield | 0% |
Expected forfeiture rate | 0% |
Derivative financial assets (D
Derivative financial assets (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 04, 2021 | Dec. 31, 2020 | |
Summary Of Detailed Information About Derivative Financial Asset [Line Items] | ||||
Revaluation surplus | $ 468 | $ 0 | ||
Derivative financial assets | $ 7,866 | $ 0 | $ 0 | |
Class of warrants or rights expiry date | Oct. 16, 2022 | |||
Purchased call options [member] | ||||
Summary Of Detailed Information About Derivative Financial Asset [Line Items] | ||||
Fair Value at Option Exercised | $ 5,513 | |||
Revaluation surplus | $ 1,582 | |||
Written put options [member] | ||||
Summary Of Detailed Information About Derivative Financial Asset [Line Items] | ||||
Fair Value at Option Exercised | $ 0 | |||
Revaluation surplus | 5,696 | |||
Coin Square Warrants [Member] | ||||
Summary Of Detailed Information About Derivative Financial Asset [Line Items] | ||||
Derivative financial assets | $ 7,866 |
Income Taxes (Details)
Income Taxes (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Taxes Details [Abstract] | |||
Current tax expense | $ 76 | $ 133 | $ 0 |
Deferred tax recovery | (412) | (365) | 0 |
Income tax recovery | $ (336) | $ (232) | $ 0 |
Income Taxes (Details1)
Income Taxes (Details1) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Taxes Details1 [Abstract] | |||
Canadian federal and provincial recovery of income taxes using statutory rate of 27% (2021 – 27%, 2020 – 27%) | $ (44,832) | $ (9,029) | $ (3,630) |
Change in unrecognized deductible temporary differences and unused tax losses | 33,554 | 6,538 | 3,093 |
Permanent differences and other | 10,942 | 2,259 | 537 |
Income tax recovery | $ (336) | $ (232) | $ 0 |
Income Taxes (Details1) (Parent
Income Taxes (Details1) (Parenthetical) | 12 Months Ended | ||
Dec. 31, 2022 | 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, 2022 | Dec. 31, 2021 |
Statement [Line Items] | ||
Non-capital losses | $ 6,728 | $ 11,856 |
Property and equipment | 93 | |
Intangible assets | 2 | |
Total | $ 6,728 | $ 11,951 |
Income Taxes (Details 3)
Income Taxes (Details 3) - Deferred Tax Liabilities [Member] - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Statement [Line Items] | ||
Intangible assets | $ 7,492 | $ 9,792 |
Right-of-use assets | 708 | |
Property and equipment | 9 | |
Digital assets and derivatives | 3,660 | |
Equity investments | 287 | |
Deferred cost | 380 | |
Net deferred income tax liabilities | $ 8,209 | $ 14,119 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) $ in Thousands | Dec. 31, 2022 CAD ($) |
Income Taxes Details [Abstract] | |
Deductible temporary differences for which no deferred tax asset is recognized | $ 0 |
Unused tax losses for which no deferred tax asset recognized | $ 0 |
Income Taxes (Details 4)
Income Taxes (Details 4) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 13, 2021 | Dec. 31, 2020 |
Statement Line Items [Line Items] | ||||
Unused tax losses | $ 0 | |||
Property and equipment | 6,440 | $ 6,090 | $ 5,318 | |
Intangible assets | 41,829 | 52,304 | ||
Investment accounted for using the equity method | 24,989 | 103,821 | $ 0 | |
Debentures | (37,540) | (39,052) | ||
Lease liability | (3,280) | (3,948) | ||
Investment in subsidiaries | 24,989 | 103,821 | ||
Other | (1,104) | (1,516) | ||
Deferred Tax Assets [Member] | ||||
Statement Line Items [Line Items] | ||||
Unused tax losses | 235,546 | 196,146 | ||
Property and equipment | 5,225 | 4,012 | ||
Equity investments | 7,523 | $ 0 | ||
Intangible assets | 30,341 | 18,071 | ||
Investment accounted for using the equity method | 79,109 | 0 | ||
Debentures | 2,185 | 2,073 | ||
Financing costs | 2,643 | 5,021 | ||
Research and development expenditures | 3,406 | 2,555 | ||
Lease liability | 3,280 | 578 | ||
Investment in subsidiaries | 3,395 | 3,395 | ||
Other | 419 | 0 | ||
Deferred tax assets | $ 373,072 | $ 231,851 |
Income Taxes (Details 5)
Income Taxes (Details 5) - Non Capital Loss [member] - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Disclosure of Non Capital Losses Expires [Line Items] | ||
Expires 2024 | $ 549 | $ 549 |
Expires 2025 | 777 | 777 |
Expires 2026 | 1,822 | 1,822 |
Expires 2027 | 4,419 | 6,885 |
Expires 2028 | 4,068 | 5,486 |
Expires 2029 | 7,615 | 6,913 |
Expires 2030 | 5,816 | 5,616 |
Expires 2031 | 3,519 | 4,139 |
Expires 2032 | 6,441 | 9,031 |
Expires 2033 | 10,311 | 10,053 |
Expires 2034 | 10,268 | 14,810 |
Expires 2035 | 15,641 | 23,420 |
Expires 2036 | 29,378 | 28,317 |
Expires 2037 | 32,384 | 29,488 |
Expires 2038 | 33,159 | 29,512 |
Expires 2039 | 26,914 | 26,524 |
Expires 2040 | 15,738 | 15,153 |
Expires 2041 | 22,575 | 23,113 |
Expires 2042 | 30,291 | 0 |
Total | $ 261,685 | $ 241,608 |
Loss per share (Details)
Loss per share (Details) - CAD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Loss Per Share Details [Abstract] | |||
Net loss attributed to shareholders | $ (165,678) | $ (33,209) | $ (13,445) |
Basic weighted average number of shares (in 000s) | 76,326 | 63,005 | 28,873 |
Basic and diluted loss per share | $ (2.17) | $ (0.53) | $ (0.47) |
Capital management (Details)
Capital management (Details) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Capital Management Details [Abstract] | ||
Share capital | $ 391,243 | $ 392,628 |
Contributed Surplus | 33,025 | 24,486 |
Deficit | (313,941) | (148,263) |
Credit facility | 46,180 | 44,983 |
Debentures | $ 39,658 | $ 41,375 |
Business combination (Details N
Business combination (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2022 | Dec. 31, 2021 | Sep. 01, 2021 | May 04, 2021 | Jan. 25, 2021 | |
Statement [Line Items] | |||||
Goodwill | $ 38,355 | $ 70,112 | |||
Period of estimated cash flows | 7 years | ||||
Carta CGU [Member] | |||||
Statement [Line Items] | |||||
Goodwill | $ 24,315 | 35,893 | |||
Indefinite life intangible assets | 1,000 | 1,000 | |||
Carta CGU [Member] | Goodwill [member] | |||||
Statement [Line Items] | |||||
Impairment charges | 11,578 | ||||
Carta CGU [Member] | Intangible assets with indefinite useful life [member] | |||||
Statement [Line Items] | |||||
Impairment charges | 11,578 | ||||
Mogo Related Entities [Member] | |||||
Statement [Line Items] | |||||
Goodwill | 14,040 | $ 34,219 | |||
Mogo Related Entities [Member] | Goodwill [member] | |||||
Statement [Line Items] | |||||
Impairment charges | 20,180 | ||||
Mogo Related Entities [Member] | Intangible assets with indefinite useful life [member] | |||||
Statement [Line Items] | |||||
Impairment charges | 20,180 | ||||
Carta [Member] | |||||
Statement [Line Items] | |||||
Acquisition of issued and outstanding securities | 10,000,000 | ||||
Fair value as of acquisition date | $ 54,800 | ||||
Acquisition expenses | 379 | ||||
Moka [Member] | |||||
Statement [Line Items] | |||||
Acquisition of issued and outstanding securities | 4,633,648 | ||||
Fair value as of acquisition date | $ 51,715 | ||||
Acquisition expenses | 536 | ||||
Cash consideration | $ 4,508 | ||||
Equity settled share based payment awards | 366,343 | ||||
Cash held in trust | $ 2,756 | ||||
Moka [Member] | Common Shares [Member] | |||||
Statement [Line Items] | |||||
Fair value as of acquisition date | $ 46,600 | ||||
Fortification [member] | |||||
Statement [Line Items] | |||||
Acquisition of issued and outstanding securities | 75,000 | ||||
Fair value as of acquisition date | $ 1,540 | ||||
Cash consideration | $ 1,144 |
Business combination (Details)
Business combination (Details) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Sep. 01, 2021 | May 04, 2021 | Jan. 25, 2021 |
Disclosure of detailed information about business combination [line items] | |||||
Total assets | $ 221,494 | $ 393,867 | |||
Total liabilities | $ 110,608 | $ 124,090 | |||
Carta [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Cash and cash equivalent | $ 2,101 | ||||
Prepaids, and other receivables and assets | 1,693 | ||||
Property and equipment | 270 | ||||
Right-of-use assets | 316 | ||||
Goodwill | 35,893 | ||||
Total assets | 59,601 | ||||
Accounts payable, accruals & other | 4,485 | ||||
Lease liabilities | 316 | ||||
Total liabilities | 4,801 | ||||
Net assets acquired at fair value | 54,800 | ||||
Equity interests of acquirer | 54,800 | ||||
Total consideration transferred | 54,800 | ||||
Carta [member] | Technology assets [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Intangible assets | 12,900 | ||||
Carta [member] | Customer relationships [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Intangible assets | 4,800 | ||||
Carta [member] | Software licenses [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Intangible assets | 628 | ||||
Carta [member] | Brand [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Intangible assets | $ 1,000 | ||||
Moka [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Cash and cash equivalent | $ 4,377 | ||||
Prepaids, and other receivables and assets | 2,455 | ||||
Property and equipment | 59 | ||||
Goodwill | 33,517 | ||||
Total assets | 59,108 | ||||
Accounts payable, accruals & other | 5,293 | ||||
Deferred tax liabilities | 2,100 | ||||
Total liabilities | 7,393 | ||||
Net assets acquired at fair value | 51,715 | ||||
Equity interests of acquirer | 47,207 | ||||
Cash consideration | 4,508 | ||||
Total consideration transferred | 51,715 | ||||
Moka [member] | Technology assets [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Intangible assets | 8,100 | ||||
Moka [member] | Customer relationships [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Intangible assets | 4,100 | ||||
Moka [member] | Regulatory licenses [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Intangible assets | $ 6,500 | ||||
Fortification [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Cash and cash equivalent | $ 13 | ||||
Prepaids, and other receivables and assets | 628 | ||||
Goodwill | 702 | ||||
Total assets | 1,643 | ||||
Accounts payable, accruals & other | 23 | ||||
Deferred tax liabilities | 80 | ||||
Total liabilities | 103 | ||||
Net assets acquired at fair value | 1,540 | ||||
Equity interests of acquirer | 396 | ||||
Cash consideration | 1,144 | ||||
Total consideration transferred | 1,540 | ||||
Fortification [member] | Regulatory licenses [member] | |||||
Disclosure of detailed information about business combination [line items] | |||||
Intangible assets | $ 300 |
Business combination (Details 1
Business combination (Details 1) | Dec. 31, 2022 | Dec. 31, 2021 |
Disclosure of detailed information about business combination [abstract] | ||
Terminal growth rate | 5% | 10% |
Pre-tax discount rate | 23% | 16% |
Fair value of financial instr_3
Fair value of financial instruments (Details) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Financial assets measured at fair value | ||||
Investment portfolio | $ 12,520 | $ 18,088 | ||
Derivative financial assets | 0 | 7,866 | $ 0 | |
Financial assets not measured at fair value | ||||
Cash and cash equivalents | 29,268 | 67,762 | $ 12,119 | $ 10,417 |
Restricted cash | 1,578 | 1,446 | ||
Current (terms of one year or less) | 69,693 | 65,397 | ||
Non-Current (terms exceeding one year) | 221 | 248 | ||
Other receivables | 2,741 | 3,065 | ||
Financial liabilities measured at fair value | ||||
Derivative financial liabilities | 419 | 12,688 | ||
Financial liabilities not measured at fair value | ||||
Accounts payable, accruals and other | 20,982 | 20,783 | ||
Debentures | 38,266 | 39,794 | ||
Level 1 [Member] | ||||
Financial assets measured at fair value | ||||
Investment portfolio | 605 | 1,785 | ||
Financial assets not measured at fair value | ||||
Cash and cash equivalents | 29,268 | 67,762 | ||
Restricted cash | 1,578 | 1,446 | ||
Level 2 [Member] | ||||
Financial assets not measured at fair value | ||||
Current (terms of one year or less) | 69,693 | 65,397 | ||
Other receivables | 9,719 | 8,259 | ||
Financial liabilities measured at fair value | ||||
Derivative financial liabilities | 419 | 12,688 | ||
Financial liabilities not measured at fair value | ||||
Accounts payable, accruals and other | 20,773 | 20,783 | ||
Credit facility | 46,180 | 44,983 | ||
Debentures | 36,037 | 39,794 | ||
Level 3 [Member] | ||||
Financial assets measured at fair value | ||||
Investment portfolio | 11,915 | 16,303 | ||
Derivative financial assets | 7,866 | |||
Financial assets not measured at fair value | ||||
Non-Current (terms exceeding one year) | 221 | 248 | ||
Total Fair Value [Member] | ||||
Financial assets measured at fair value | ||||
Investment portfolio | 12,520 | 18,088 | ||
Derivative financial assets | 7,866 | |||
Financial assets not measured at fair value | ||||
Cash and cash equivalents | 29,268 | 67,762 | ||
Restricted cash | 1,578 | 1,446 | ||
Current (terms of one year or less) | 69,693 | 65,397 | ||
Non-Current (terms exceeding one year) | 221 | 248 | ||
Other receivables | 9,719 | 8,259 | ||
Financial liabilities measured at fair value | ||||
Derivative financial liabilities | 419 | 12,688 | ||
Financial liabilities not measured at fair value | ||||
Accounts payable, accruals and other | 20,773 | 20,783 | ||
Credit facility | 46,180 | 44,983 | ||
Debentures | 36,037 | 39,794 | ||
FVTPL [Member] | ||||
Financial assets measured at fair value | ||||
Investment portfolio | 12,520 | 18,088 | ||
Derivative financial assets | 7,866 | |||
Total financial assets measured at fair value | 12,520 | 25,954 | ||
Financial liabilities measured at fair value | ||||
Derivative financial liabilities | 419 | 12,688 | ||
Total Financial liabilities measured at fair value | 419 | 12,688 | ||
Financial asset at amortized cost [Member] | ||||
Financial assets not measured at fair value | ||||
Cash and cash equivalents | 29,268 | 67,762 | ||
Restricted cash | 1,578 | 1,446 | ||
Current (terms of one year or less) | 69,693 | 65,397 | ||
Non-Current (terms exceeding one year) | 221 | 248 | ||
Other receivables | 9,719 | 8,259 | ||
Total financial assets not measured at fair value | 110,479 | 143,112 | ||
Other Financial Liabilities [Member] | ||||
Financial liabilities not measured at fair value | ||||
Accounts payable, accruals and other | 20,773 | 20,783 | ||
Credit facility | 46,180 | 44,983 | ||
Debentures | 38,266 | 39,794 | ||
Total Financial liabilities not measured at fair value | 105,219 | 105,560 | ||
Total Carrying Value [Member] | ||||
Financial assets measured at fair value | ||||
Investment portfolio | 12,520 | 18,088 | ||
Derivative financial assets | 7,866 | |||
Total financial assets measured at fair value | 12,520 | 25,954 | ||
Financial assets not measured at fair value | ||||
Cash and cash equivalents | 29,268 | 67,762 | ||
Restricted cash | 1,578 | 1,446 | ||
Current (terms of one year or less) | 69,693 | 65,397 | ||
Non-Current (terms exceeding one year) | 221 | 248 | ||
Other receivables | 9,719 | 8,259 | ||
Total financial assets not measured at fair value | 110,479 | 143,112 | ||
Financial liabilities measured at fair value | ||||
Derivative financial liabilities | 419 | 12,688 | ||
Total Financial liabilities measured at fair value | 419 | 12,688 | ||
Financial liabilities not measured at fair value | ||||
Accounts payable, accruals and other | 20,773 | 20,783 | ||
Credit facility | 46,180 | 44,983 | ||
Debentures | 38,266 | 39,794 | ||
Total Financial liabilities not measured at fair value | $ 105,219 | $ 105,560 |
Fair value of financial instr_4
Fair value of financial instruments (Details 1) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Ifrs Statement [Line Items] | |||
Unrealized exchange gain (loss) | $ 429 | $ (14) | $ (116) |
Unrealized loss on investment portfolio | 4,219 | ||
Level 3 [Member] | |||
Ifrs Statement [Line Items] | |||
Balance, beginning of the period | 16,303 | 18,291 | |
Additions | 1,837 | 3,555 | |
Disposal | (9,272) | ||
Transfer to Level 1 investments | (500) | ||
Unrealized exchange gain (loss) | 547 | (90) | |
Realized gain on investment portfolio | 4,120 | ||
Unrealized loss on investment portfolio | (6,272) | (301) | |
Balance, end of the period | $ 11,915 | $ 16,303 | $ 18,291 |
Fair value of financial instr_5
Fair value of financial instruments (Details 2) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Investment Portfolios | ||
Profit or loss Increase in Adjusted market multiple (5% movement) | $ 626 | $ 920 |
Profit or loss Decrease in Adjusted market multiple (5% movement) | $ (626) | $ (920) |
Nature and extent of risk ari_3
Nature and extent of risk arising from financial instruments (Details) - CAD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Commitments – principal repayments | ||
Debentures (Note 13) | $ 38,266 | $ 39,794 |
2023 [Member] | ||
Commitments - operational | ||
Lease payments | 1,297 | |
Accounts payable | 5,686 | |
Accruals and other | 15,296 | |
Interest – Credit facility (Note 12) | 5,689 | |
Interest – Debentures (Note 13) | 2,886 | |
Total commitments - operational | 30,854 | |
Commitments – principal repayments | ||
Debentures (Note 13) | 2,215 | |
Total Commitments Principal Repayments | 2,215 | |
Total contractual obligations | 33,069 | |
2024 [Member] | ||
Commitments - operational | ||
Lease payments | 1,206 | |
Interest – Credit facility (Note 12) | 5,689 | |
Interest – Debentures (Note 13) | 2,743 | |
Total commitments - operational | 9,638 | |
Commitments – principal repayments | ||
Debentures (Note 13) | 2,358 | |
Total Commitments Principal Repayments | 2,358 | |
Total contractual obligations | 11,996 | |
2025 [Member] | ||
Commitments - operational | ||
Lease payments | 1,240 | |
Interest – Credit facility (Note 12) | 2,845 | |
Interest – Debentures (Note 13) | 1,953 | |
Total commitments - operational | 6,038 | |
Commitments – principal repayments | ||
Credit facility (Note 12) | 46,180 | |
Debentures (Note 13) | 35,085 | |
Total Commitments Principal Repayments | 81,265 | |
Total contractual obligations | 87,303 | |
2026 [Member] | ||
Commitments - operational | ||
Lease payments | 1,255 | |
Total commitments - operational | 1,255 | |
Commitments – principal repayments | ||
Total Commitments Principal Repayments | 0 | |
Total contractual obligations | 1,255 | |
2027 [Member] | ||
Commitments - operational | ||
Lease payments | 789 | |
Total commitments - operational | 789 | |
Commitments – principal repayments | ||
Total contractual obligations | 789 | |
Thereafter [Member] | ||
Commitments - operational | ||
Lease payments | 683 | |
Total commitments - operational | 683 | |
Commitments – principal repayments | ||
Total contractual obligations | $ 683 |
Nature and extent of risk ari_4
Nature and extent of risk arising from financial instruments (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of detailed information about financial instruments [line items] | ||
Description for effect on foreign exchange rates | As at December 31, 2022, a 5% increase or decrease in the U.S. dollar exchange rate would increase or decrease the unrealized exchange gain (loss) by $314 (December 31, 2021 – $1,533). | |
LIBOR [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Increase decrease In credit facility expense due to change in basis point | $ 287 | $ 225 |
Credit Facility - Liquid [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
LIBOR | 4.32% | 0.11% |
Nature and extent of risk ari_5
Nature and extent of risk arising from financial instruments (Details 1) $ in Thousands, $ in Thousands | Dec. 31, 2022 CAD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CAD ($) | Dec. 31, 2021 USD ($) |
Disclosure of detailed information about financial instruments [line items] | ||||
Cash | $ 29,268 | $ 67,762 | ||
Derivative financial liabilities | $ 419 | $ 12,688 | ||
Foreign Currency Risk [Member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Cash | $ 3,553 | $ 29,032 | ||
Investment portfolio | 5,958 | 9,954 | ||
Derivative financial liabilities | (310) | (10,008) | ||
Debentures | $ (4,562) | $ (4,792) |
Equity (Details Narrative)
Equity (Details Narrative) $ / shares in Units, $ / shares in Units, $ in Thousands | 12 Months Ended | |||||||||||||||||||||
Jan. 03, 2023 shares | Dec. 28, 2022 CAD ($) $ / shares shares | Jun. 30, 2022 CAD ($) $ / shares shares | Jun. 18, 2022 shares $ / shares | Jun. 17, 2022 $ / shares | Mar. 31, 2022 shares $ / shares | Mar. 30, 2022 $ / shares | Dec. 23, 2021 shares $ / shares | Dec. 13, 2021 CAD ($) shares | Dec. 13, 2021 USD ($) shares | Sep. 30, 2021 CAD ($) $ / shares | Feb. 24, 2021 CAD ($) shares | Feb. 24, 2021 USD ($) shares | Oct. 07, 2020 $ / shares shares | Dec. 31, 2022 CAD ($) shares granted | Dec. 31, 2021 CAD ($) granted shares | Dec. 31, 2021 $ / shares shares | Dec. 31, 2020 CAD ($) shares | Jan. 01, 2023 CAD ($) shares | Jun. 15, 2021 shares | Jun. 04, 2021 shares | Apr. 16, 2021 shares | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Stock shares repurchased during the period shares | 1,000,000 | 800,000 | ||||||||||||||||||||
Share repurchase average price per share | $ / shares | $ 0.67 | $ 1.19 | ||||||||||||||||||||
Stock shares repurchased during the period value | $ | $ 672,000 | $ 955,000 | $ 2,364,000 | |||||||||||||||||||
Common stock shares issued | 74,977,540 | 76,693,859 | 76,693,859 | |||||||||||||||||||
Number of shares issued | 378,774 | 2,791,904 | 2,807,577 | |||||||||||||||||||
Incremental modification expense arising from stock options | $ | $ 530,000 | |||||||||||||||||||||
Stock based compensation | $ | $ 8,712,000 | $ 11,683,000 | $ 2,041,000 | |||||||||||||||||||
Number of options granted | granted | 100,000 | 17,500 | ||||||||||||||||||||
Proceeds from exercise of warrants | $ | $ 0 | $ 6,375,000 | $ 2,011,000 | |||||||||||||||||||
Treasury Share Reserve [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Number of shares in entity held by entity | 303,816 | 303,816 | 303,816 | |||||||||||||||||||
Moka [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Number of equity settled share based payment transactions | 366,343 | 366,343 | ||||||||||||||||||||
Performance based options [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Number of options granted | granted | 1,260,000 | |||||||||||||||||||||
Postmedia Agreement [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Proceeds from exercise of warrants | $ | $ 1,696,000 | |||||||||||||||||||||
Number of share options exercised in share-based payment arrangement | 1,312,787 | |||||||||||||||||||||
Postmedia Agreement [Member] | Events after reporting period [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Common stock shares issued | 1,546,120 | |||||||||||||||||||||
Exercise price of warrants | $ / shares | $ 1.292 | |||||||||||||||||||||
Postmedia Agreement [Member] | Entering into significant commitments or contingent liabilities [member] | Extension Of Post Media Agreement Upto Thirty First December Two Thousand And Twenty Four [member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Amount previously payable now no longer payable | $ | $ 263,000 | |||||||||||||||||||||
Postmedia Agreement [Member] | Entering into significant commitments or contingent liabilities [member] | Extension Of Post Media Agreement Upto Thirty First December Two Thousand And Twenty Four [member] | XTSE | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Class of warrants or rights issuable | 267,000 | |||||||||||||||||||||
Postmedia Agreement [Member] | Effective January 1, 2020 [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Class of warrants or rights vested during the period | 116,667 | |||||||||||||||||||||
Outstanding warrants issued | 233,333 | |||||||||||||||||||||
Revenue share payment received | $ | $ 263,000 | |||||||||||||||||||||
RSU [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
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. | |||||||||||||||||||||
Stock based compensation | $ | $ 8,604,000 | $ 10,838,000 | ||||||||||||||||||||
Warrants [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Outstanding warrants issued | 1,990,231 | 1,990,000 | 1,990,000 | 5,035,000 | ||||||||||||||||||
Debenture Warrants [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Outstanding warrants issued | 1,183,965 | 1,184,015 | 1,184,015 | |||||||||||||||||||
Warrants issued | 4,479,392 | |||||||||||||||||||||
Exercise price of warrants | $ / shares | $ 2.03 | |||||||||||||||||||||
Number of warrants exercised and converted in to common shares | 3,295,427 | |||||||||||||||||||||
Number of warrants converted in to common shares | 50 | 3,617,737 | ||||||||||||||||||||
Proceeds against warrant exercised into common shares | $ | $ 100 | $ 6,375,000 | ||||||||||||||||||||
Debenture Warrants [Member] | Warrants Expired During The Period [member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Class of warrants or rights expired during the period | 1,183,965 | |||||||||||||||||||||
Non-executive Employees [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Exercise price, share options granted to employees | $ / shares | $ 4.42 | |||||||||||||||||||||
Number of options granted | 1,413,282 | |||||||||||||||||||||
Non-executive Employees [Member] | Performance based options [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Exercise price, share options granted to employees | $ / shares | $ 1.11 | |||||||||||||||||||||
Number of options granted | 1,648,673 | |||||||||||||||||||||
Non-executive Employees [Member] | Stock Options And Performance Based Stock Options [member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Incremental modification expense arising from stock options | $ | 127,000 | |||||||||||||||||||||
Non-executive Employees [Member] | Stock Options [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Exercise price, share options granted to employees | $ / shares | $ 1.11 | $ 3.61 | $ 5.56 | |||||||||||||||||||
Incremental modification expense arising from stock options | $ | $ 130,000 | |||||||||||||||||||||
Number of options granted | 230,559 | 1,714,655 | ||||||||||||||||||||
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] | ||||||||||||||||||||||
Warrants expiration period | February 2024 | |||||||||||||||||||||
Bottom of range [member] | Non-executive Employees [Member] | Performance based options [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Exercise price, share options granted to employees | $ / shares | $ 3.61 | |||||||||||||||||||||
Bottom of range [member] | Non-executive Employees [Member] | Stock Options [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Exercise price, share options granted to employees | $ / shares | 3.61 | |||||||||||||||||||||
Top of range [member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Warrants expiration period | June 2025 | |||||||||||||||||||||
Top of range [member] | RSU [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Common shares issuable under plan | 500,000 | |||||||||||||||||||||
Top of range [member] | Non-executive Employees [Member] | Performance based options [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Exercise price, share options granted to employees | $ / shares | 4.42 | |||||||||||||||||||||
Top of range [member] | Non-executive Employees [Member] | Stock Options [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Exercise price, share options granted to employees | $ / shares | $ 4.42 | |||||||||||||||||||||
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) 3,800,000 | |||||||||||||||||||||
Stock option granted shares | 3,800,000 | |||||||||||||||||||||
Minimum percentage of common shares reserved for future issuance | 15% | |||||||||||||||||||||
Description of Conversion of stock option upon exercise | the Company granted performance-based stock options that vest monthly over a two-year period starting on January 1, 2022. | Each option entitles the holder to receive one Common Share upon exercise. | ||||||||||||||||||||
Maximum contractual term | eight years | |||||||||||||||||||||
Stock option maturity date | January 2023 to December 2030 | |||||||||||||||||||||
Description of vesting requirements for share-based payment arrangement | These options generally vest either immediately or monthly over a three-to-four-year period. | |||||||||||||||||||||
Stock Option Plan [Member] | Top of range [member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Common shares issuable under plan | 97,000 | |||||||||||||||||||||
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 | 0 | ||||||||||||||||||||
Outstanding warrants issued | 0 | 0 | ||||||||||||||||||||
Common Shares [member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Number of shares issued | 6,111,112 | 6,111,112 | 5,346,536 | 5,346,536 | 1,524,759 | 1,524,759 | ||||||||||||||||
Proceeds from issuing shares, Net | $ | $ 16,804,000 | |||||||||||||||||||||
Proceeds From Issuance Of Common Stock Net of Issuance Costs | $ 32,555,000 | $ 25,300 | $ 62,833,000 | $ 49,700 | ||||||||||||||||||
Proceeds from issuance of shares ,Gross | $ 35,175,000 | $ 27,500 | $ 67,718,000 | $ 54,000 | ||||||||||||||||||
August 24, 2023 [member] | Postmedia Agreement [Member] | Effective January 1, 2020 [Member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Class of warrants or rights expected to vest | 116,667 | |||||||||||||||||||||
Warrants Issued In Connection With Brokerage Services [member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Warrants issued | 572,883 | |||||||||||||||||||||
Warrants Issued In Connection With Brokerage Services [member] | Bottom of range [member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Weighted average exercise price warrants granted | $ / shares | $ 5.63 | |||||||||||||||||||||
Warrants Issued In Connection With Brokerage Services [member] | Top of range [member] | ||||||||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||||||||
Weighted average exercise price warrants granted | $ / shares | $ 12.63 |
Equity (Details)
Equity (Details) - Stock Options [Member] - $ / shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Options outstanding shares, Beginning | 8,924 | 4,977 |
Options outstanding, Options issued | 3,456 | 5,410 |
Options outstanding, Exercised | (47) | (810) |
Options outstanding, Forfeited | (2,711) | (653) |
Options outstanding shares, Ending | 9,622 | 8,924 |
Weighted average grant date fair value, Options issued | $ 1.06 | $ 4.76 |
Weighted average grant date fair value, Exercised | 1.22 | 1.7 |
Weighted average grant date fair value, Forfeited | 3.56 | 6.19 |
Weighted average exercise price, Beginning | 4.64 | 3.07 |
Weighted average exercise price, Options issued | 1.41 | 7.47 |
Weighted average exercise price, Exercised | 1.59 | 1.77 |
Weighted average exercise price, Forfeited | 3.51 | 6.24 |
Weighted average exercise price, Ending | $ 3.03 | $ 4.64 |
Options exercisable, Beginning | 3,036 | 2,965 |
Options exercisable, Ending | 3,709 | 3,036 |
Weighted average exercise price options exercisable, Beginning | $ 3.93 | $ 3.47 |
Weighted average exercise price options exercisable,Ending | $ 3.74 | $ 3.93 |
Equity (Details 1)
Equity (Details 1) - Stock Options [Member] | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Expected life | 5 years | 5 years |
Expected dividend yield | 0% | 0% |
Bottom of range [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Risk-free interest rate | 1.73% | 0.58% |
Expected volatility in market price of shares | 87% | 84% |
Expected forfeiture rate | 0% | 0% |
Top of range [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Risk-free interest rate | 3.41% | 1.46% |
Expected volatility in market price of shares | 91% | 87% |
Expected forfeiture rate | 15% | 15% |
Equity (Details 2)
Equity (Details 2) - RSU [Member] - shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Restricted share units, Beginning | 42 | 77 |
Restricted share units, Converted | (40) | (30) |
Restricted share units, Expired | 0 | (5) |
Restricted share units, Ending | 2 | 42 |
Equity (Details 3)
Equity (Details 3) - Warrants [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Options outstanding shares, Beginning | 1,990,000 | 5,035,000 |
Options outstanding, Warrants issued | 573,000 | |
Options outstanding, Warrants exercised | (3,618,000) | |
Options outstanding shares, Ending | 1,990,231 | 1,990,000 |
Weighted average exercise price, Beginning | $ 4.6 | $ 1.8 |
Weighted average exercise price, Warrants issued | 11.25 | |
Weighted average exercise price, Warrants exercised | 1.76 | |
Weighted average exercise price, Ending | $ 4.6 | $ 4.6 |
Warrants exercisable, Beginning | 1,757,000 | 4,386,000 |
Warrants exercisable, Ending | 1,874,000 | 1,757,000 |
Weighted average exercise price options exercisable, Beginning | $ 5.04 | $ 1.88 |
Weighted average exercise price options exercisable,Ending | $ 4.8 | $ 5.04 |
Equity (Details 4)
Equity (Details 4) - Warrants [Member] | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Expected dividend yield | 0% |
Expected forfeiture rate | 0% |
Bottom of range [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Risk-free interest rate | 0.25% |
Expected life | 3 years |
Expected volatility in market price of shares | 93% |
Top of range [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Risk-free interest rate | 0.95% |
Expected life | 3 years 6 months |
Expected volatility in market price of shares | 102% |
Related party transactions (Det
Related party transactions (Details Narrative) - CAD ($) $ in Thousands | 12 Months Ended | |||
Jun. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Stock options granted | 2,419,482 | 1,260,000 | ||
Stock options fair value | $ 2,553 | $ 3,651 | ||
Investments value | 24,989 | 103,821 | $ 0 | |
Coinsquare Ltd [Member] | ||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Common shares acquired | 1,300,000 | |||
Common shares acquired value | $ 1,300 | |||
Investments value | 1,300 | 1,300 | ||
Recruiting Firm Owned By The Spouse Of A Member Of The Companies Board Of Directors [member] | Recruiting Fees For Recruitment Services Received [member] | ||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Services received related party transactions | 142 | 54 | ||
Company Owned By A Member Of The Companies Board Of Directors [member] | Marketing Expenses For Sponsorship [member] | ||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Services received related party transactions | 188 | 153 | ||
Debentures [Member] | ||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Due to related parties | 306 | 322 | ||
Interest on debenture | $ 25 | $ 26 | ||
Interest rates | 8% | 8% |
Related party transactions (D_2
Related party transactions (Details) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Related Party Transactions Details [Abstract] | ||
Salary and short – term benefits | $ 2,192 | $ 1,529 |
Stock-based compensation | 3,129 | 2,616 |
Termination benefits | 1,224 | 0 |
Total | $ 6,545 | $ 4,145 |
Cash flow changes from financ_3
Cash flow changes from financing activities (Details) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | $ 481,353 | $ 198,119 | $ 232,592 |
Cash flows | (3,079) | 125,864 | (37,325) |
Conversion/ Other | 173 | 156,132 | 1,794 |
Unrealized exchange loss | 429 | (14) | (116) |
Fair Value/ Amortization | 93 | 1,252 | 1,174 |
Non-cash changes in financing activities ending | 478,969 | 481,353 | 198,119 |
Credit facility [Member] | |||
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | 44,983 | 37,644 | 76,472 |
Cash flows | 1,197 | 7,339 | (39,050) |
Fair Value/ Amortization | 222 | ||
Non-cash changes in financing activities ending | 46,180 | 44,983 | 37,644 |
Lease liability [Member] | |||
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | 3,948 | 4,336 | 5,208 |
Cash flows | (668) | (660) | (444) |
Conversion/ Other | 272 | (428) | |
Non-cash changes in financing activities ending | 3,280 | 3,948 | 4,336 |
Debentures [Member] | |||
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | 39,794 | 40,658 | 44,039 |
Cash flows | (2,050) | (2,053) | (399) |
Conversion/ Other | (49) | (3,175) | |
Unrealized exchange loss | 429 | (14) | (116) |
Fair Value/ Amortization | 93 | 1,252 | 309 |
Non-cash changes in financing activities ending | 38,266 | 39,794 | 40,658 |
Convertible debentures [Member] | |||
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | 8,751 | 12,373 | |
Conversion/ Other | (8,751) | (4,265) | |
Fair Value/ Amortization | 643 | ||
Non-cash changes in financing activities ending | 8,751 | ||
Share capital [Member] | |||
Ifrs Statement [Line Items] | |||
Non-cash changes in financing activities beginning | 392,628 | 106,730 | 94,500 |
Cash flows | (1,558) | 121,238 | 2,568 |
Conversion/ Other | 173 | 164,660 | 9,662 |
Non-cash changes in financing activities ending | $ 391,243 | $ 392,628 | $ 106,730 |