DGAP-News: GRENKELEASING AG / Key word(s): Miscellaneous
GRENKELEASING AG: Sustained pace of growth in new business - growth of
25 % in first nine months of 2011
05.10.2011 / 07:32
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Sustained pace of growth in new business -
growth of 25 % in first nine months of 2011
- New business in the GRENKE Group amounts to EUR 615.0 million in first
nine months of 2011 - up 25.0 % year-on-year
- Contribution margin (CM) 2 on new business in the GRENKE Group reaches
EUR 92.0 million in first nine months of 2011 and, with a CM2 of 16.3 %
(leasing business), remains very high
Baden-Baden, October 5, 2011: In the first nine months of 2011, the volume
of new business in the GRENKE Group (incl. franchise partners) - i.e. the
total of the acquisition costs of newly acquired leasing assets and the
factoring volume - amounted to EUR 615.0 million (in the first nine months
of 2010: EUR 492.0 million), corresponding to growth of 25.0 %. The dynamic
growth in new business thus also continued in the third quarter of 2011.
The contribution margin (CM) 2 on new business in the GRENKE Group amounted
to EUR 92.0 million in the first nine months of 2011. In the same period,
the CM2 margin for leasing business was increased from 16.0 % in 2010 to
16.3 %. This development demonstrates that we are continuing to implement
our growth with attractive margins.
The international segment contributed a share of 60.8 % to the GRENKE
Group's new business (previous year: 58.5 %), reflecting our rapid
expansion throughout Europe.
In the third quarter of 2011, we carried out further cell divisions as part
of our market penetration strategy in order to increase our presence on the
market. We opened our fourth UK location in Manchester and in Denmark we
carried out our first cell division in Aarhus. Further cell divisions are
planned over the course of the fourth quarter.
The trend of a significant increase in new business in the German market,
which has been observable for several quarters, was continued. In the first
nine months of 2011, new business grew by 18.2 % to EUR 241.2 million
(previous year: EUR 204.1 million).
One year ago, we launched our factoring product in Switzerland to offer
targeted financing solutions for small and medium-sized commercial
customers in the area of factoring. This targeted approach is contributing
to the positive development, with the factoring volume amounting to EUR
15.9 million in the first nine months of 2011. In Germany, we reported
growth of 53 % to EUR 44.2 million as against the previous year's level of
EUR 28.9 million.
In the first nine months of 2011, the GRENKE Group recorded a total of
159,747 leasing inquiries (ex Germany: 113,707) on the basis of which
68,169 new leasing contracts (ex Germany: 46,520) were generated. The
average value per leasing contract concluded was around EUR 8,140, which is
an increase compared with the previous year (in the first nine months of
2010: EUR 7,610).
Our conversion rate (inquiries to contracts) in the GRENKE Group (leasing
division) in the first nine months of 2011 was 43 %, thus remaining below
our target level. The conversion rate in our international markets (41 %)
remains lower than in the German market (47 %) and shows that we are still
not compromising our conservative risk orientation in individual
international markets.
All figures in EUR million
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New business 9M-2011 9M-2010 % change
GRENKE Group including franchise partners* 615.0 492.0 25.0
- of which: Germany 241.2 204.1 18.2
- of which: International 315.0 255.1 23.5
- of which: Franchise international 58.8 32.7 79.7
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* incl. Factoring
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New business 9M-2011 9M-2010 % change
GRENKE Group leasing business 554.9 463.0 19.9
- of which: Germany 197.0 175.2 12.4
- of which: International 315.0 255.1 23.5
- of which: Franchise international 42.9 32.6 31.6
|[![CDATA[|[/pre|]]]|]
|[![CDATA[|[pre|]]]|]
New business 9M-2011 9M-2010 % change
GRENKE Group Factoring 60.1 29.0 107.2
- of which: Germany 44.2 28.9 53.0
- of which: Franchise international (CH) 15.9 0.1 12,132.1
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|[![CDATA[|[pre|]]]|]
GRENKE BANK 9M-2011 9M-2010 % change
Deposits 149.3 120.9 23.4
Business start-up financing volume 0.5 0.2 112.5
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New business from leasing by international markets in EUR million
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9M-2011 9M-2010 % change
France 125.2 106.8 17.2
Switzerland 13.1 13.6 -3.4
Italy 74.4 47.4 56.8
Spain (incl. franchise) 15.8 12.6 25.3
United Kingdom 34.0 26.2 29.7
Poland 8.8 7.2 22.3
Netherlands 10.0 9.8 2.6
Portugal (franchise partner) 22.9 17.5 31.1
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The CM1 margin of the GRENKE Group's leasing operations (contribution
margin 1 at acquisition values) exceeded our target of 10 % in the first
nine months of 2011, amounting to 11.0 % or a value of EUR 61.2 million (in
the first nine months of 2010: EUR 51.0 million - comparative figure for
leasing operations). The corresponding CM2 amounts to EUR 90.6 million, up
22.5 % year-on-year.
Development of contribution margin 2 (CM2) in EUR million
|[![CDATA[|[pre|]]]|]
9M-2011 9M-2010 % change
GRENKE Group including franchise partners* 92.0 74.8 22.9
- of which: Germany 28.3 24.5 15.6
- of which: International 54.6 44.0 24.1
- of which: Franchise business 9.1 6.4 42.6
international
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* incl. Factoring
|[![CDATA[|[pre|]]]|]
9M-2011 9M-2010 % change
GRENKE Group leasing business 90.6 74.0 22.5
- of which: Germany 27.3 23.6 15.5
- of which: International 54.6 44.0 24.1
- of which: Franchise business 8.8 6.4 37.5
international
|[![CDATA[|[/pre|]]]|]
|[![CDATA[|[pre|]]]|]
9M-2011 9M-2010 % change
France 21.6 19.0 13.9
Switzerland 2.6 2.9 -10.1
Italy 11.4 6.8 67.1
Spain (incl. franchise) 2.6 2.0 31.2
United Kingdom 7.1 5.2 37.1
Poland 1.1 0.8 29.4
Netherlands 1.9 1.9 1.8
Portugal (franchise partner) 5.1 3.5 46.7
|[![CDATA[|[/pre|]]]|]
The profit margin in relation to the factoring volume of EUR 60.1 million
amounted to 2.27 % (first nine months of 2010: 2.24 %). This margin is
based on the average period of a factoring transaction, which was approx.
37 days (first nine months of 2010: approx. 31 days).
'In the third quarter, we matched the positive development of new business
in the first half of 2011. We therefore continue to anticipate growth in
new business in the GRENKE Group of more than 20 %. We are increasing our
presence on the market by means of further cell divisions in order to
ensure future growth,' comments Wolfgang Grenke, Chairman of the Board of
Directors of GRENKELEASING AG, describing the business strategy.
'The 25 % growth in new business in the first nine months of 2011 was
achieved with continued attractive and risk-appropriate contribution
margins. With a CM2 level of 16.3 % in the first nine months of 2011, we
are up slightly on the previous year. We are stabilising operating income
with our contribution margin management and these favourable margins will
have a positive impact on our earnings,' explains Dr. Uwe Hack, Deputy
Chairman of the Board of Directors of GRENKELEASING AG.
On November 3, 2011, the company is to publish the full quarterly financial
report as per September 30, 2011.
Should you have any queries, please contact:
Renate Hauss
Phone: +49 7221 5007-204
Fax: +49 7221 5007-112
E-mail: investor@grenke.de
Internet http://www.grenke.de; http://www.grenkebank.de,
http://www.grenkefactoring.de
The GRENKE Group
The GRENKE Group is a broadly diversified provider of financial services
for small to medium-sized enterprises and for private retail clients.
The GRENKE Group comprises companies which operate in fifteen European
countries, all being part of the consolidated GRENKELEASING corporate
group. In addition the GRENKE Group is represented in eight further
countries in Europe by way of a franchise system. Including its leasing
franchise partners and its factoring franchise partner in Switzerland, the
GRENKE Group is represented at 23 locations in Germany and a total of 51
locations internationally.
The range of services offered by the GRENKELEASING Group (not including
franchise partners) covers small-ticket IT leasing and factoring and -
through GRENKE BANK AG - classic online banking services.
GRENKE BANK AG has been part of the GRENKELEASING Group since the beginning
of 2009.
The bank- and vendor-independent GRENKE Group holds a leading market
position in Europe in the field of small-ticket IT leasing for products
such as PCs, notebooks, copiers, printers or software of relatively low
asset value. Its range is rounded off by Car Leasing from one of its
franchise partners.
GRENKELEASING AG is listed on the Prime Standard of the Frankfurt
Securities Exchange and is part of the SDAX.
The shares of GRENKELEASING AG are listed on the SDAX of the Frankfurt
Securities Exchange under the identification code GLJ, ISIN DE0005865901.
Information on the GRENKE Group and its products is available for download
on the Internet, at http://www.grenke.de, http://www.grenkebank.de,
http://www.grenkefactoring.de.
End of Corporate News
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05.10.2011 Dissemination of a Corporate News, transmitted by DGAP - a
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Language: English
Company: GRENKELEASING AG
Neuer Markt 2
76532 Baden-Baden
Germany
Phone: +49 (0)7221 50 07-204
Fax: +49 (0)7221 50 07-112
E-mail: investor@grenke.de
Internet: www.grenke.de
ISIN: DE0005865901
WKN: 586590
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, München,
Stuttgart
End of News DGAP News-Service
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141276 05.10.2011
DGAP-News: GRENKELEASING AG: Sustained pace of growth in new business - growth of 25 % in first nine months of 2011
| Source: EQS Group AG