DGAP-News: GRENKELEASING AG / Key word(s): Quarter Results
GRENKELEASING AG: All earnings components contribute to rise in income
- consolidated net profit up 8% at EUR 30.2 million
25.10.2012 / 07:09
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All earnings components contribute to rise in income - consolidated net
profit up 8% at EUR 30.2 million
* Net interest income rises by 18% in first nine months of 2012 to EUR 81.0
million (previous year: EUR 68.7 million)
* Consolidated net profit amounts to EUR 30.2 million in first nine months
of 2012 - growth of 8% on EUR 28.1 million in the previous year
* Excellent refinancing position
Baden-Baden, October 25, 2012: GRENKE enhanced the profitability of the
Consolidated Group in the third quarter of 2012, with all earnings
components contributing to this effect. Net interest income improved by 18%
in first nine months of 2012 to EUR 81.0 million after EUR 68.7 million in
the previous year. As before, this shows the high contribution margins from
new business in past quarters and the slow rise in expenses from interest
on refinancing and deposit business.
Expenses from the settlement of claims and risk provision amounted to EUR
32.5 million in this nine-month period after EUR 25.4 million in the
previous year. Although claims are generally volatile from quarter to
quarter, a rising trend has been observable for some time owing to the
difficult overall economic situation in many European countries. Our
management system focuses not on avoiding risks, but on forecasting them
accurately and appropriately taking them into account in our financing
conditions.
Net interest income after settlement of claims and risk provision
nonetheless rose by 12% to EUR 48.4 million after EUR 43.2 million in the
previous year. The rising net interest income after settlement of claims
and risk provision underscores the success of our management approach. The
loss rate in the nine-month period thus remained within our target
corridor.
Including the greater profit from insurance and new business and disposals,
operating income climbed by a total of 14% to EUR 99.3 million after EUR
87.1 million.
The nine-month period saw growth in costs resulting from the ongoing
expansion of the GRENKE Group and the preparations for the further
extension of our international presence. These are targeted investments in
our future market position.
The higher other interest expenses again resulted from our extensive bond
issues. In the third quarter, too, we took advantage of the current good
condition of the refinancing markets with several different issues with a
considerably lower total volume than in the previous quarter. This
primarily serves to reinforce our permanent presence on the capital market;
the issues would not have been necessary simply in terms of liquidity.
The operating result increased by 13% to EUR 43.1 million after EUR 38.1
million in the previous year. At EUR 42.5 million, earnings before taxes
were 12% higher than the previous year's figure of EUR 37.9 million.
Earnings per share amounted to EUR 2.21 after EUR 2.05.
At 17.8% as per September 30, 2012, the equity ratio based on our financing
volume approached its level of 18.8% at the end of the 2011 financial year
again. It remains well above our target of 16%.
These results were achieved with 656 employees as against 578 in the first
nine months of 2011 (full-time employees not including the Board of
Directors).
'The high growth of recent years with healthy margins, which is now
gradually being seen in the income statement, will continue to stimulate
net interest income in the remainder of the year. The loss rate will
increase somewhat overall, as higher claims are to be expected in
international business. This has already been taken into account in our
contribution margin 2 calculation for new business. We can therefore
reiterate our forecast of visible growth in earnings for the GRENKE
Consolidated Group. We still expect to generate a net profit of between EUR
41 million and EUR 44 million in 2012', commented Wolfgang Grenke, Chairman
of the Board of Directors of GRENKELEASING AG, on the result.
'We still have an excellent refinancing position. Following the successful
bond placements in the first half of the year, we carried out only
relatively minor refinancing in the third quarter. In October, we took
advantage of the favourable market situation and our recently upgraded good
credit rating to issue another bond of EUR 125 million. This transaction
represents GRENKE's largest issue since the EUR 200 million debut bond in
2003 and the most favourable interest coupon to date at 3.125%. In this
way, we have once again convincingly demonstrated our consistently
successful presence on the market', explained Jörg Eicker, CFO of
GRENKELEASING AG.
The full Quarterly Financial Report as per September 30, 2012 can be
accessed on the Internet at www.grenke.de INVESTOR RELATIONS - Financial
Reports - Financial Reports 2012.
Should you have any queries, please contact:
Renate Hauss
Phone: +49 7221 5007-204
Fax: +49 7221 5007-4218
E-mail: investor@grenke.de
Internet http://www.grenke.de, http://www.grenkeleasing.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 and medium-sized companies and private customers.
The range of services offered by the GRENKE Group covers small-ticket IT
leasing and factoring and - through GRENKE Bank - traditional online
banking services.
The GRENKE Group is independent of vendors and banks and 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. The GRENKE Group operates in 24 countries and
employs more than 700 staff.
GRENKELEASING AG is listed in the Prime Standard of the Frankfurt Stock
Exchange and is included in the SDAX. GRENKELEASING AG shares are listed in
the SDAX on the Frankfurt Stock Exchange with the code GLJ, ISIN
DE0005865901.
Information on the GRENKE Group and its products is available on the
Internet at http://www.grenke.de, http://www.grenkeleasing.de,
http://www.grenkebank.de, and http://www.grenkefactoring.de.
End of Corporate News
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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
Indices: SDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, München,
Stuttgart
End of News DGAP News-Service
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190103 25.10.2012
DGAP-News: GRENKELEASING AG: All earnings components contribute to rise in income - consolidated net profit up 8% at EUR 30.2 million
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