Pleo
What they do
leo provides a comprehensive solution for managing all aspects of business spending. With smart corporate cards and intuitive software, Pleo streamlines expense tracking and categorization while also simplifying recurring expenses, invoicing, and accounts payable/receivable, and is now evolving its suite of f inancial tools to include cash management tooling. This all-in-one platform empowers businesses to take control of their entire cash flow process with ease and efficiency.
Organizations benefit from seamless management of spending, while finance teams save time with automation, leading to more efficient operations and real-time data analysis.
Pleo currently monetizes its product in two ways: through a SaaS fee, and transaction fees on spend on the platform.
Why Kinnevik invested in Pleo
Pleo addresses a significant market opportunity in spend management, handling billions in transactions annually. Its asset-light, scalable business model, combined with a product-led growth strategy, makes it well positioned to disrupt an outdated category.
The business model is attractive given the predictability that comes from having recurring software revenues and de facto recurring transaction revenues. Pleo also shows high net revenue retention as companies increase their usage over time.
Their product-led growth strategy allows for a low-touch go-to-market approach, enabling customers to effortlessly onboard themselves and scale their usage, thereby increasing average revenue per account as their needs evolve.
Kinnevik was drawn to the company’s strong founding team, led by co-founder Jeppe Rindom, and the potential to expand its ecosystem across the spend management value chain. Pleo is delivering exceptional results:
- 65 percent annual recurring revenue CAGR 2020 to 2025
- Less than 1 percent revenue churn, per Q4’25
- 80 percent gross margin per Q4’25
- Over 42,500 active customers per Q4’25, across multiple markets
To continue to create value, Pleo focuses on:
- Continuing to grow its partnerships ecosystem in accounting, consulting, and technology
- Consolidating the company’s leadership position in its still fragmented core European markets
- Expanding through the value chain, pushing deeper into spend and evolving its product suite into a true all-in-one finance tool for businesses
Key information
- The leading pan-European spend management platform
- EUR 164m Annualized Recurring Revenue in Q4’ 25
- 65% ARR CAGR 2020-2025
- Over 80% gross margin in Q4’ 25
- Over 42,500 customers, handling billions in annual expenses
- Operating in 7 core markets
News in the quarter
- Released a research report with insights from 3,000 financialdecision-makers, exploring the pressures on finance teams to make decisions based on non-standardized and incomplete data, highlighting the core benefit of using Pleo’s system
- As part of its evolving suite of financial tools, the company launched a cash management offering giving finance teams complete visibility of company finances inside and outside of Pleo
- Following the launch of Pleo Embedded last quarter, they are seeing strong pick-up in the market
