Allane SE

Interim / Quarterly Report • Aug 25, 2021

Interim Report as of 30 June 2021

CONTENT

1. INTERIM MANAGEMENT REPORT OF THE GROUP AS OF 30 JUNE 2021	2
1.1 Group fundamentals	2
1.1.1 General disclosures	2
1.1.2 Group activities and services portfolio	2
1.2 Business report	3
1.2.1 Group business development	3
1.2.2 Business development by segments	4
1.2.3 Earnings performance	5
1.2.4 Net assets position	6
1.2.5 Financial position	6
1.2.6 Liquidity position	6
1.2.7 Investments	7
1.3 Specific events – COVID-19 pandemic	7
1.4 Report on outlook	7
1.5 Report on risks and opportunities	8
2. INTERIM FINANCIAL STATEMENTS OF THE GROUP AS OF 30 JUNE 2021	9
2.1 Consolidated income statement and statement of comprehensive income	9
2.2 Consolidated balance sheet	10
2.3 Consolidated cash flow statement	11
2.4 Consolidated statement of changes in equity	12
3. CONDENSED NOTES TO THE INTERIM FINANCIAL STATEMENTS OF THE GROUP FOR THE PERIOD FROM 1 JANUARY
TO 30 JUNE 2021	13
3.1 Information about the Company	13
3.2 General disclosures	13
3.3 Scope of consolidated entities	14
3.4 Selected explanatory notes to the consolidated income statement	14
3.5 Selected explanatory notes to the consolidated balance sheet	18
3.6 Group segment reporting	22
3.7 Related party disclosures	22
3.8 Uncertainties resulting from the COVID-19 pandemic regarding accounting and measurement
in the interim consolidated financial statements as of 30 June 2021	22
3.9 Events subsequent to the reporting date	23
4. RESPONSIBILITY STATEMENT	24

--- Due to rounding individual figures presented in this interim report may not add up exactly to the totals shown and half-year figures listed may not follow from adding up the individual quarterly figures. Furthermore, the percentage figures presented may not exactly reflect the absolute figures they relate to.

1. INTERIM MANAGEMENT REPORT OF THE GROUP AS OF 30 JUNE 2021

1.1 GROUP FUNDAMENTALS

1.1.1 GENERAL DISCLOSURES

Allane SE (the 'Company'), former Sixt Leasing SE (until 4 August 2021), is the parent company of the Allane Mobility Group, which mainly conducts its business under the business names of 'Sixt Leasing', 'Sixt Mobility Consulting', 'Sixt Neuwagen', 'autohaus24' and 'Flottenmeister'. The Company has its registered offices in Dr.-Carl-v.-Linde-Str. 2, 82049 Pullach im Isartal/Germany, and is registered in the Commercial Register of Munich Local Court under docket number HRB 227195.

The Group interim financial report is prepared in accordance with the applicable provisions of section 115 of the Wertpapierhandelsgesetz (WpHG German Securities Trading Act) as well as in compliance with the International Financial Reporting Standards (IFRS) that are applicable for interim financial reports as published by the IASB and as adopted by the EU. The Group interim financial report should be read together with the audited and disclosed IFRS consolidated financial statements for the fiscal year 2020. The latter contains a comprehensive presentation of business activities.

As of 30 June 2021, the Company's share capital amounted to EUR 20,611,593 divided in the same number of ordinary no-par-value bearer shares with a notional interest of EUR 1.00 per share. The shares are fully paid up.

As of the 30 June 2021, the largest shareholder was Hyundai Capital Bank Europe GmbH (HCBE), Frankfurt am Main, with more than 92 % of ordinary shares and voting rights.

1.1.2 GROUP ACTIVITIES AND SERVICES PORTFOLIO

The Allane Mobility Group is organised into two business units (segments), Leasing and Fleet Management.

Leasing business unit

Through its Leasing business unit, the Allane Mobility Group acts as one of the largest non-bank, vendor-neutral leasing companies in Germany. In addition, the business unit is also represented by its operative subsidiaries in France, Switzerland, Austria and the Netherlands. The Leasing business unit comprises the two business fields Fleet Leasing (corporate customer leasing) and Online Retail (private and commercial customer leasing).

In its Fleet Leasing business field, the Group offers lease financing and associated services (so-called full-service leasing) to corporate customers. Based on Allane Mobility Group's longstanding and extensive expertise in fleet procurement and fleet management, customers can expect the sustainable optimisation of the total cost of ownership of their fleets. Target customers for this business field are, on the one hand, companies with a fleet size beginning from around 80 vehicles, whose fleets are made up of different manufacturers and have a certain complexity. Thus, Allane is able to deploy its competitive strengths in a targeted fashion during independency, consulting and service. On the other hand, smaller corporate customers with a fleet size of around 20-80 vehicles are also served. The approach in this customer segment is to use standardised products and processes to professionalise fleet purchasing and management.

Allane SE operates its Online Retail business field via the two online platforms sixt-neuwagen.de and autohaus24.de. The websites give private and commercial customers (with up to 20 vehicles) the opportunity to configure the latest vehicle models from about 35 different car manufacturers, to request their individual leasing offer and to order online. With the online-based vehicle leasing for private and commercial customers Allane addresses a relatively undeveloped market in Germany.

Fleet Management business unit

Via Allane Mobility Consulting GmbH (former Sixt Mobility Consulting GmbH) and further direct and indirect subsidiaries of Allane SE, the Allane Mobility Group operates its Fleet Management business unit. So, the expertise in managing large-sized customer fleets is also offered to customers, who purchased their vehicles or leased them from other providers. The target group for this service ranges from mid-sized businesses to international corporations. Allane Mobility Consulting combines the holistic fleet management with individual brand-independent consulting, aiming to achieve measurable quality and operating cost optimisation for its customers, and thus raising the efficiency of the fleets.

1.2 BUSINESS REPORT

1.2.1 GROUP BUSINESS DEVELOPMENT

Overall, during the first half year the Allane Mobility Group performed in line with the expectations.

As of 30 June 2021, the Group's contract portfolio inside and outside Germany (excluding franchise and cooperation partners) totalled 127,200 contracts, 2.1% below the figure as of 31 December 2020 (129,900 contracts).

Consolidated revenue decreased by 0.8% during the first half of 2021 to EUR 367.3 million (H1 2020: EUR 370.3 million) compared to the same period of the previous year. This is mainly attributable to the decrease in operating revenue in the Leasing business unit. Operating revenue, which does not include the proceeds from vehicle sales, decreased by 9.3% to EUR 194.2 million (H1 2020: EUR 214.1 million. A major impact on the decline in operating revenue was attributable to the third "lockdown" due to the ongoing COVID-19 pandemic, which, in contrast to the first "lockdown" in the prior-year period, lasted longer throughout the first half-year 2021. This third "lockdown" resulted, among other things, in significantly reduced vehicle usage, causing in particular a decline in usage-related revenues, such as fuel revenues and revenue from individual service products. Moreover, leasing revenue (finance rate) decreased compared to the first half-year of 2020 due to the decline in the contract portfolio of the Leasing business unit. In addition to the aforementioned reduction in vehicle usage, the decrease in contracts also contributes to the decline in usage-related other revenue from leasing business. In contrast, sales revenue from leasing returns and marketed customer vehicles in Fleet Management increased by 10.8% to EUR 173.1 million (H1 2020: EUR 156.2 million). This increase was partly due to the fact that fewer vehicles were sold in the comparable prior-year period as a result of the extensive restrictions on stationary motor vehicle sales during the first "lockdown" caused by the COVID-19 pandemic.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) declined by 10.3% during the first half of 2021 to EUR 95.7 million (H1 2020: EUR 106.7 million). Earnings before taxes (EBT) decreased by 8.3% to EUR 2.6 million (H1 2020: EUR 2.9 million). The operating return on revenue (EBT/operating revenue) consequently came to 1.4% (H1 2020: 1.3%).

The low EBT falls within the range of expectations. As part of the regular review of the leasing fleet's residual values conducted during the previous year period, an additional risk provisioning requirement was recognized in the mid-single-digit million Euro range. During the first half of 2021 a portion of this amount was once again reversed. This is mainly due to an expected recovery in future residual values compared with the previous year's expectation, in addition to the decline in contract volumes. This was offset particularly by a market and business environment, which continued to be strongly negatively impacted by the COVID 19 pandemic as described above, the increased amortization for internally generated software products as well as transaction-related costs incurred in connection with the acquisition of the Company by Hyundai Capital Bank Europe GmbH (HCBE).

Key figures Allane Mobility-Group	H1	H1	Change
in EUR million	2021	2020	in %
Consolidated revenue	367.3	370.3	-0.8
Thereof Operating revenue	194.2	214.1	-9.3
Thereof Sales revenue	173.1	156.2	10.8
Earnings before interest, taxes, depreciation and amortisation (EBITDA)	95.7	106.7	-10.3
Earnings before taxes (EBT)	2.6	2.9	-8.3
Operating return on revenue (%)	1.4	1.3	0.1 points

1.2.2 BUSINESS DEVELOPMENT BY SEGMENTS

Leasing business unit

In the Leasing business unit, which consists of the business fields Online Retail and Fleet Leasing, the contract portfolio totalled 72,100 contracts as of the end of the first half year of 2021, a decrease of 5.7% compared to the figure recorded at the end of 2020 (31 December 2020: 76,400 contracts).

The Online Retail contract portfolio declined by 4.3% to 37,000 contracts (31 December 2020: 38,600 contracts). This was particularly burdened by a reduced number of new orders due to the economic impact of the COVID-19 pandemic.

The contract portfolio in the Fleet Leasing business field decreased by 7.1% to 35,100 contracts compared to the end of 2020 (31 December 2020: 37,800 contracts).

During the first half of 2021, total revenue of the Leasing business unit decreased over the same period last year by 1.5% to EUR 313.7 million (H1 2020: EUR 318.4 million). Operating revenue decreased by 11.7% to EUR 167.8 million (H1 2020: EUR 190.1 million). Revenue from vehicle sales increased by 13.7% to EUR 145.8 million (H1 2020: EUR 128.3 million).

During the second quarter of 2021, the business unit recorded a revenue increase of 2.1% over the same quarter last year, to EUR 152.0 million (Q2 2020: EUR 148.9 million). Operating revenue decreased by 7.1% to EUR 82.9 million (Q2 2020: EUR 89.2 million). Sales revenue increased by 15.9% to EUR 69.2 million (Q2 2020: EUR 59.7 million).

EBITDA for the Leasing business unit decreased by 9.4% during the first half of 2021 to EUR 95.2 million (H1 2020: EUR 105.1 million) compared to the same period last year. EBT increased by 62.1% to EUR 2.2 million (H1 2020: EUR 1.3 million). Accordingly, the operating return on revenue (EBT/operating revenue) came to 1.3%, up by 0.6 percentage points (H1 2020: 0.7%). For the second quarter, it came to 1.5% (Q2 2020: -3.9%). The increase in earnings before taxes (EBT) for the Leasing business unit was essentially the result of the above outlined increase in the risk provision for residual values of lease assets in first half of 2021. Above listed compensation effects are mainly affecting the Leasing business unit.

Key figures Leasing business unit	H1	H1	Change
in EUR million	2021	2020	in %
Total revenue	313.7	318.4	-1.5
Thereof Leasing revenue (finance rate)	102.6	109.5	-6.3
Thereof Other revenue from leasing business	65.3	80.7	-19.1
Thereof Sales revenue	145.8	128.3	13.7
Earnings before interest, taxes, depreciation and amortisation (EBITDA)	95.2	105.1	-9.4
Earnings before taxes (EBT)	2.2	1.3	62.1
Operating return on revenue (%)	1.3	0.7	0.6 points

Fleet Management business unit

The contract portfolio of the Fleet Management business unit totalled 55,100 contracts at the end of the first six months of 2021, which was 3.1% above the level as of the end of last year (31 December 2020: 53,500 contracts).

During the first half of 2021, the Fleet Management business unit's total revenue increased by 3.4% compared to the same period last year to EUR 53.6 million (H1 2020: EUR 51.8 million). Fleet management revenue increased by 10.1% to EUR 26.4 million (H1 2020: EUR 23.9 million). Sales revenue decreased by 2.4% to EUR 27.2 million (H1 2020: EUR 27.9 million).

Total revenue for Q2 increase by 29.2% compared to the same quarter last year to EUR 28.6 million (Q2 2020: EUR 22.1 million). Fleet management revenue increased by 28.3% to EUR 13.7 million (Q2 2020: EUR 10.6 million). Sales revenue increased by 29.6% to EUR 14.9 million (Q2 2020: EUR 11.5 million).

EBITDA for the Fleet Management business unit decreased by 66.7% during the first half of 2021 compared to the same period last year to EUR 0.5 million (H1 2020: EUR 1.6 million). EBT declined by 70.5% to EUR 0.4 million (H1 2020: EUR 1.5 million). The operating return on revenue (EBT/operating revenue) for the first six months fell by 4.7 percentage points to 1.7% (H1 2020: 6.4%). For the second quarter, it came to 3.2% (Q2 2020: 7.1%). The decline in earnings before taxes (EBT) in the Fleet Management business unit is due, among other things, to consulting expenses in connection with the application for a permit to provide payment services under the German Payment Services Supervision Act (Zahlungsdiensteaufsichtsgesetz – ZAG), a topic that is currently engaging the entire fleet management industry. In addition, this decline is also due to higher expenses incurred for software products, which were used for the first time in fiscal year 2020.

Key figures Fleet Management business unit	H1	H1	Change
in EUR million	2021	2020	in %
Total revenue	53.6	51.8	3.4
Thereof Fleet management revenue	26.4	23.9	10.1
Thereof Sales revenue	27.2	27.9	-2.4
Earnings before interest, taxes, depreciation and amortisation (EBITDA)	0.5	1.6	-66.7
Earnings before taxes (EBT)	0.4	1.5	-70.5
Operating return on revenue (%)	1.7	6.4	-4.7 points

1.2.3 EARNINGS PERFORMANCE

Consolidated revenue decreased by 0.8% during the first half of 2021 to EUR 367.3 million (H1 2020: EUR 370.3 million).

Other operating income for the reporting period decreased by 1.1% to EUR 5.4 million (H1 2020: EUR 5.4 million).

Fleet expenses and cost of lease assets increased by 0.6% to EUR 234.6 million (H1 2020: EUR 233.1 million).

Personnel expenses increased by 17.3% to EUR 24.7 million (H1 2020: EUR 21.1 million).

Other operating expenses increased by 18.9% to EUR 17.6 million (H1 2020: EUR 14.8 million).

Earnings before interest, taxes, depreciation and amortisation (EBITDA) declined by 10.3% to EUR 95.7 million (H1 2020: EUR 106.7 million). The second quarter of 2021 accounted for EUR 48.5 million of this (Q2 2020: EUR 50.4 million; -3.8%).

Depreciation and amortisation decreased period-on-period by 8.9% to EUR 89.6 million (H1 2020: EUR 98.3 million), mainly due to the lower contract volume and a lower risk provision on residual values in lease assets as in the first half of 2020.

Consolidated earnings before interest and taxes (EBIT) for the first half year came to EUR 6.1 million and were thus 27.0% lower than the same period last year (H1 2020: EUR 8.4 million). The second quarter of 2021 accounted for EUR 3.4 million of this (Q2 2020: EUR -0,0 million; >100.0%).

The Allane Mobility Group's net finance costs for the first six months improved significantly by 36.6% to EUR -3.5 million (H1 2020: EUR -5.5 million). This was mainly due to lower interest expenses resulting from the more favorable refinancing of the bond issued in fiscal year 2017, which was repaid at the end of 2020.

For the first half of 2021, the Allane Mobility Group reported a reduction in earnings before taxes (EBT) of 8.3% to EUR 2.6 million (H1 2020: EUR 2.9 million). The second quarter of 2021 accounted for EUR 1.7 million of this (Q2 2020: EUR -2.7 million; >100.0%).

Income taxes fell by 32.2% to EUR 0.8 million in the first six months (H1 2020: EUR 1.1 million).

Consolidated profit for the first six months of 2021 increased by 7.0% to EUR 1.9 million (H1 2020: EUR 1.7 million). The second quarter of 2021 accounted for EUR 1.3 million of this (Q2 2020: EUR -2.0 million; >100%).

Earnings per share – basic and diluted – for the first half of 2021 thus came to EUR 0.09 (H1 2020: EUR 0.08).

1.2.4 NET ASSETS POSITION

As of 30 June 2021, the Allane Mobility Group reports a balance sheet total of EUR 1,256.9 million, which is EUR 38.7 million, or 3.0%, less than on 31 December 2020 (EUR 1,295.6 million).

As of 30 June 2021, lease assets, which are by far the dominating item in non-current assets, decreased by EUR 42.4 million, or 3.9%, to EUR 1,050.2 million (31 December 2020: EUR 1,092.5 million). All in all, non-current assets declined by EUR 28.9 million to EUR 1,102.7 million, a reduction of 2.6% (31 December 2020: EUR 1,131.6 million).

Property and equipment increased by EUR 11.6 million, or 80.7%, to EUR 26.0 million (31 December 2020: EUR 14.4 million) mainly due to the addition of a right-of-use asset under the lease agreement for the new Berlin-Ludwigsfelde location for used car sales.

Compared with the end of last year, current assets decreased by EUR 9.8 million, or -6.0%, to EUR 154.2 million (31 December 2020: EUR 163.9 million). This is mainly due to the decrease in inventories by EUR 8.0 million and in other receivables and assets by EUR 10.0 million. In the opposite direction, the current assets, trade accounts receivable increased by 6.9%, or EUR 4.7 million, to EUR 73.9 million (31 December 2020: EUR 69.2 million).

Bank balances increased by EUR 3.9 million to EUR 6.2 million (31 December 2020: EUR 2.4 million).

1.2.5 FINANCIAL POSITION

Equity

As of 30 June 2021, Allane Mobility Group's equity totalled EUR 214.7 million, an increase of EUR 1.8 million, or 0.9% over the figure as of 31 December 2020 (EUR 212.9 million). The consolidated profit of EUR 1.9 million generated in the first half of the year was offset by the dividend payment for fiscal year 2020 in the amount of EUR 0.4 million, which was approved by the Annual General Meeting on 29 June 2021. As the dividend had not yet been paid as of 30 June 2021, it was recognized under current financial liabilities. The equity ratio increased by 0.7 percentage points to 17.1% (31 December 2020: 16.4%), which resulted first and foremost from an decrease in total assets. The decrease in total assets is mainly due to the lower level of lease assets.

Liabilities

As of 30 June 2021, the Group reported non-current liabilities and provisions of EUR 417.5 million (31 December 2020: EUR 722.5 million; -42.2%). Non-current financial liabilities fell by EUR 302.6 million to EUR 369.1 million as of 30 June 2021 (31 December 2020: EUR 671.7 million; -45.0%). This is mainly due to the bond issued in fiscal year 2018, which has to be repayed in the second quarter of 2022 and therefore as of 30 June 2021 no longer qualifies as non-current. The bond is therefore presented under current financial liabilities. In addition, reduced lease assets decreased the general financing requirement of the Allane Group.

Current liabilities and provisions as of 30 June 2021 totalled EUR 624.7 million (31 December 2020: EUR 360.2 million). The increase of EUR 264.5 million, or 73.4%, is essentially the result of higher current financial liabilities, up by EUR 244.8 million, or 92.7%, to EUR 509.0 million (31 December 2020: EUR 264.2 million), running counter to the non-current financial liabilities described above. This is mainly due to the bond issued in fiscal year 2018 described above, which is no longer to be reported under non-current financial liabilities. In addition, accounts payable increased by EUR 12.8 million or 26.8% to EUR 60.7 million (31 December 2020: EUR 47.8 million) and other liabilities increased by EUR 5.5 million, or 18.1%, to EUR 35.7 million (31 December 2020: EUR 30.2 million).

1.2.6 LIQUIDITY POSITION

For the first six months of 2021, the Allane Mobility Group reports a gross cash flow of EUR 77.7 million (H1 2020: EUR 97.3 million; -20.1%). After changes from the disposal of used leasing vehicles and investments in new leasing vehicles, as well as changes in other net assets, the net cash inflow from operating activities amounted to EUR 77.3 million (H1 2020: cash inflow of EUR 29.0 million). The higher cash inflow was due in particular to significantly higher proceeds from the sale of lease returns and the significantly lower payments for investments in lease assets.

Net cash used in investing activities amounted to EUR 6.7 million (2020: cash outflow of EUR 3.9 million), essentially due the payments for investments in intangible assets and property and equipment.

The net cash outflow from financing activities amounted to EUR 64.3 million for the first six months of 2021 (H1 2020: cash inflow of EUR 93.0 million). The cash outflow mainly results from payments for redemptions under the ABS structure and from the repayment of bank loans due to lower borrowing requirements.

Overall, cash and cash equivalents (net bank balances) as of 30 June 2021 increased by EUR 6.3 million compared to the end of 2020 following minor changes to foreign currency translations and amounted to EUR 6.2 million (31 December 2020: EUR -0.0 million (Bank balances EUR 2.3 million net of bank overdrafts EUR 2.4 million)).

1.2.7 INVESTMENTS

In the first half of 2021, the Allane Mobility Group added vehicles with a total value of EUR 177.3 million (H1 2020: EUR 207.5 million; -14.5%) to the leasing fleet. The decline is partly due to the fact that the prior-year period was positively impacted by high flotations of orders from the end of 2019, and partly to the decline in new contracts.

1.3 SPECIFIC EVENTS – COVID-19 PANDEMIC

With regard to the COVID-19 pandemic, we also refer to the risk and forecast report in the management report of the Annual Report 2020. For current developments and their impact on the Allane Mobility Group, we refer to item 3.8. "Uncertainties resulting from the COVID-19 pandemic regarding accounting and measurement in the interim consolidated financial statements as of 30 June 2021".

1.4 REPORT ON OUTLOOK

Leasing business unit

The online retail market in Germany offers the Company attractive growth potential. Allane expects vehicles to be increasingly purchased via online channels in the future. As one of the leading providers in the direct online sale of new cars, Allane is well positioned to capture the online leasing market for private and commercial customers, which is still young in Germany. The Company is constantly working to further develop the business unit's product and service offering in order to appeal to new customer groups and generate additional growth. In addition, Allane attaches great importance to the further development of its IT systems and the optimization of customer processes. This should have a positive impact on customer satisfaction and thus promote the conclusion of new and followup contracts. The company intends to explore business opportunities via car dealership channel in addition to its online channel by launching a dedicated leasing portal. The goal is to significantly increase the order volume in new car leasing for private customers. Due to these growth prospects and the ongoing digitization, the Online Retail business field is still seen as the Group's biggest growth and earnings driver.

In the Fleet Leasing business field, Allane is acting in a highly competitive market, which is dominated in Germany above all by manufacturer-dependent big leasing companies. Allane is therefore focusing in the key account segment on strengthening the longstanding customer relations and to convince existing customers with bespoke solutions and a continued high level of service quality.

Given the stiff price competition in the segment for large and medium-sized corporate customers, Allane intends to further expand its business with smaller corporate customers (20 to 100 vehicles). Local marketing experts are approaching and managing this segment to develop interesting margin potentials and further diversity the corporate customer portfolio. Against this background the Managing Board expects the share of customers with smaller fleets to increase within the business field's contract portfolio.

Fleet Management business unit

In the Fleet Management business unit, the Allane Mobility Group will continue to exploit the trend among larger corporations to outsource their fleet management so as to win over new customers. To this end, the coming years will see the expansion of business in Europe, especially by using existing customer relationships and by strengthening sales in the foreign subsidiaries. In addition, Allane will continue to focus on intelligent IT solutions in fleet management and invest continuously in the further development of the digital infrastructure and the digitization of the business model. In the long term, the business unit is to develop into a full-service provider of corporate mobility.

Financial forecast

The Managing Board confirms the outlook published on 24 March 2021. Accordingly, the Managing Board expects a slight increase in the Group contract portfolio compared to the previous year (2020: 129,900 contracts) and consolidated operating revenue in the range of previous year's figure (2020: EUR 423.3 million). With regard to EBT, the Managing Board expects a higher single-digit million euro amount (2020: EUR 9.1 million). The reason for the cautious forecast for the full year 2021 is, in addition to the operating business development in the 2021 financial year to date, primarily the ongoing COVID-19 situation. In this respect, the Company assumes that the market and business environment will continue to be strongly negatively impacted by the COVID-19 pandemic but expects business development to recover in the second half of 2021. In addition, consolidated earnings will also be burdened in the 2021 financial year by transaction-related costs in connection with the takeover of the Company by HCBE.

1.5 REPORT ON RISKS AND OPPORTUNITIES

The risk and opportunity profile of the Allane Mobility Group did not change significantly in the first half year of 2021 from the information provided in the Annual Report 2020. The report contains a detailed description of the risk and opportunity profile, the risk management system, as well as the internal control and risk management system relating to its accounting procedures.

We outlined the worldwide spread of the corona virus (SARS-CoV-2) and the corona virus illness (COVID-19) in Allane SE's Annual Report as of 31 December 2020. Since then and in the context of an increasing vaccination rate of the population, the policy measures described there have been significantly relaxed again and a general economic recovery has been evident during Q2 2021. However, this recovery varies greatly between industries and has even been panning out with negative effects. Given the emergence of virus variants, the number of infections is increasing again following the first easing of restrictions. In principle, the Allane Mobility Group considers its control and risk management organisation to be adequately equipped for monitoring and managing the Group in view of the current corona crisis. The dynamism of the potential developments, however, is hard to foresee and there is still a lack of studies and findings from the research and science community, how to deal with such an event. For this reason, the Managing Board is continuing with the increased intensity and frequency of its early warning, monitoring and control measures in this regard.

Allane SE's Managing Board believes that the strategic partnership with new major shareholder HCBE enables Allane Mobility Group to jointly exploit new growth opportunities. In addition, the Managing Board hopes that the integration of Allane Mobility Group into the group of the two international and financially strong groups Santander and Hyundai also offers the opportunity to further optimise the Company's financing structure

Pullach im Isartal, 25 August 2021

Allane SE The Managing Board

2. INTERIM FINANCIAL STATEMENTS OF THE GROUP AS OF 30 JUNE 2021

2.1 CONSOLIDATED INCOME STATEMENT AND STATEMENT OF COMPREHENSIVE INCOME

Consolidated Income Statement	H1	H1	Q2	Q2
in EUR thou.	2021	2020	2021	2020
Revenue	367,254	370,266	180,590	170,972
Other operating income	5,366	5,425	2,159	2,444
Fleet expenses and cost of lease assets	234,574	233,110	113,802	104,505
Personnel expenses	24,729	21,074	11,898	10,913
Other operating expenses	17,572	14,777	8,540	7,582
Earnings before interest, taxes, depreciation and amortisation (EBITDA)	95,746	106,729	48,510	50,415
Depreciation and amortisation expense	89,614	98,332	45,134	50,448
Earnings before interest and taxes (EBIT)	6,133	8,397	3,376	-33
Net finance costs	-3,502	-5,528	-1,726	-2,692
Earnings before taxes (EBT)	2,630	2,869	1,650	-2,725
Income tax expense	760	1,122	382	-705
Consolidated profit	1,870	1,748	1,268	-2,019
Of which attributable to shareholders of Allane SE	1,870	1,748	1,268	-2,019
Earnings per share – basic and diluted (in Euro)	0.09	0.08	0.06	-0.10

Consolidated statement of comprehensive income	H1	H1
in EUR thou.	2021	2020
Consolidated profit	1,870	1,748
Other comprehensive income (not recognised in the income statement)	390	-54
Thereof components that could be reclassified to income statement in the future
Currency translation gains/losses	-205	248
Change of derivative financial instruments in hedge relationship	770	-373
Related deferred taxes	-175	71
Total comprehensive income	2,260	1,694
Of which attributable to minority interests	595	-302
Of which attributable to shareholders of Allane SE	1,665	1,996

2.2 CONSOLIDATED BALANCE SHEET

Assets
in EUR thou.	30 Jun. 2021	31 Dec. 2020
Non-current assets
Goodwill	4,296	4,293
Intangible assets	20,717	18,709
Property and equipment	25,971	14,374
Lease assets	1,050,175	1,092,535
Financial assets	26	27
Other receivables and assets	840	888
Deferred tax assets	700	797
Total non-current assets	1,102,725	1,131,623
Current assets
Inventories	44,535	52,527
Trade receivables	73,915	69,173
Receivables from related parties	1,907	1,461
Other receivables and assets	26,694	37,499
Income tax receivables	876	897
Bank balances	6,229	2,374
Total current assets	154,155	163,931
Total assets	1,256,880	1,295,553
Equity and liabilities
in EUR thou.	30 Jun. 2021	31 Dec. 2020
Equity
Subscribed capital	20,612	20,612
Capital reserves	135,045	135,045
Other reserves	59,003	57,750
Minority interests	39	-556

Total equity	214,699	212,851
Non-current liabilities and provisions
Provisions for pensions	229	232
Other provisions	226	226
Financial liabilities	369,119	671,693
Other liabilities	11,399	13,962
Deferred tax liabilities	36,495	36,383
Total non-current liabilities and provisions	417,467	722,496
Current liabilities and provisions
Other provisions	4,419	2,855
Income tax liabilities	1,060	1,077
Financial liabilities	508,989	264,201
Trade payables	60,675	47,850
Liabilities to affiliated companies	23	21
Contract Liabilities	13,854	13,977
Other liabilities	35,695	30,226
Total current liabilities and provisions	624,715	360,206
Total equity and liabilities	1,256,880	1,295,553

2.3 CONSOLIDATED CASH FLOW STATEMENT

Consolidated cash flow statement	H1	H1
in EUR thou.	2021	2020
Operating activities
Consolidated profit	1,870	1,748
Income taxes recognised in income statement	727	1,029
Income taxes received / paid (net)	-723	-301
Financial result recognised in income statement1	3,502	5,527
Interest received	112	186
Interest paid	-5,108	-8,192
Depreciation and amortisation	89,614	98,332
Income from disposal of fixed assets	-5,798	2,003
Other (non-)cash expenses and income	-6,480	-3,051
Gross Cash flow	77,716	97,281
Proceeds from disposal of lease assets	145,849	128,284
Payments for investments in lease assets	-177,315	-207,460
Change in inventories	7,992	2,721
Change in trade receivables	-4,742	11,672
Change in trade payables	12,826	7,549
Change in other net assets	14,934	-11,003
Net cash flows from operating activities	77,260	29,043
Investing activities
Payments for investments in intangible assets and equipment	-6,680	-3,946
Net cash flows used in investing activities	-6,680	-3,946
Financing activities
Dividends paid	-	-18,550
Proceeds from bank loans (incl. ABS-transaction)	7,360	176,298
Payments made for redemption of bank loans (incl. ABS-transaction)	-61,631	-64,719
Proceeds from Financing from affiliated companies	10,000	-
Payments made for redemption of Financing from affiliated companies	-20,000	-
Net cash flows used in/from financing activities	-64,272	93,028
Net change in cash and cash equivalents	6,308	118,125
Effect of exchange rate changes on cash and cash equivalents	-9	11
Cash and cash equivalents at 1 Jan.2	-70	710
Cash and cash equivalents at 30 Jun.	6,229	118,846

¹ Excluding income from investments

² Cash and cash equivalents as at 1 January 2021 consist of bank balances (EUR 2,374 thousend) and bank overdrafts (EUR -2,444 thousand). As at 1 January 2020 cash and cash equivalents consist of bank balances (EUR 2,641 thousend) and bank overdrafts (EUR -1,931 thousand).

2.4 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

Consolidated statement of changes in equity in EUR thou.	Subscribed capital	Capital reserves	Other reserves	Equity attributable to shareholders of Allane SE	Minority interests	Total equity
1 Jan. 2021	20,612	135,045	57,750	213,407	-556	212,851
Consolidated profit	-	-	1,870	1,870	-	1,870
Other comprehensive income	-	-	-205	-205	595	390
Dividends	-	-	-412	-412	-	-412
30 Jun. 2021	20,612	135,045	59,003	214,660	39	214,699
1 Jan. 2020	20,612	135,045	74,025	229,681	-455	229,226
Consolidated profit	-	-	1,748	1,748	-	1,748
Other comprehensive income	-	-	248	248	-303	-54
Dividends paid	-	-	-18,550	-18,550	-	-18,550
30 Jun. 2020	20,612	135,045	57,469	213,125	-757	212,369

3. CONDENSED NOTES TO THE INTERIM FINANCIAL STATEMENTS OF THE GROUP FOR THE PERIOD FROM 1 JANUARY TO 30 JUNE 2021

3.1 INFORMATION ABOUT THE COMPANY

Allane SE, Pullach im Isartal, is a European Stock Corporation (Societas Europea) and the parent company of the Allane Mobility Group. The Company's registered office is at Dr.-Carl-v.-Linde-Str. 2, 82049 Pullach im Isartal/Germany and it is registered in the Commercial Register of Munich Local Court under docket number HRB 227195. The Company has been established for an indefinite period.

3.2 GENERAL DISCLOSURES

The consolidated financial statements of Allane SE as at 31 December 2020 were prepared in accordance with International Financial Reporting Standards (IFRS), as adopted by the EU and effective at that date.

The interim financial statements as at 30 June 2021 have been prepared in accordance with International Accounting Standard (IAS) 34 "Interim Financial Reporting". The accounting policies adopted in the preparation of the IFRS interim consolidated financial statements are consistent with those used in the preparation of the audited and disclosed IFRS consolidated financial statements as at 31 December 2020. The effects of new accounting standards to be applied are explained in more detail in the following chapters.

In accordance with IAS 34 "Interim Financial Reporting", the interim financial report includes a consolidated income statement and statement of comprehensive income, a consolidated balance sheet, a consolidated cash flow statement, a consolidated statement of changes in equity and these condensed notes. In addition, the IFRS interim consolidated financial statements should be read in conjunction with the IFRS consolidated financial statements as at 31 December 2020 and the notes contained therein.

The preparation of interim consolidated financial statements requires management to make assumptions and estimates that affect the reported amounts of assets, liabilities and provisions, as well as of income and expenses. Actual amounts may differ from these estimates. A detailed description of the accounting principles, consolidation methods and accounting policies used is published in the notes to the IFRS consolidated financial statements as at 31 December 2020.

The results presented in the interim financial reports do not necessarily indicate the results of future reporting periods or of the full financial year.

The above paragraphs are particularly important given the background of COVID-19.

The interim consolidated financial statements were prepared and published in euros.

The accompanying interim consolidated financial statements as of 30 June 2021 have not been audited or reviewed.

The Managing Board authorized the condensed interim consolidated financial statements for issue on 25 August 2021.

Due to rounding, it is possible that individual figures presented in the interim financial statements may not add up exactly to the totals shown and half-year figures listed may not follow from adding up the individual quarterly figures. Furthermore, the percentage figures presented may not exactly reflect the absolute figures they relate to.

The development so far does not reveal any implications, that the Allane Mobility Group underlies seasonal effects with fundamental fluctuations.

New standards and interpretations

The following accounting standards were applied for the first time in 2021:

• \ Amendments to IFRS 9 "Financial Instruments"; IAS 39 "Financial Instruments: Recognition and Measurement", IFRS 7 "Financial Instruments: Disclosures", IFRS 4 "Insurance Contracts" and IFRS 16 "Leases" – Interest Rate Benchmark Reform – Phase 2
• \ Amendments to IFRS 4 "Insurance Contracts Extension of the Temporary Exemption from the Application of IFRS 9"

These changes did not have any material impact on the net assets, financial position and results of operations of the Allane Mobility Group as of 30 June 2021.

Accounting standards published but not yet endorsed by the European Union:

• \ Amendments to IFRS 16 "Leases" in connection with corona-related lease concessions beyond 30 June 2021. The amendments were published on 31 March 2021 and are to be applied from 1 April 2021.
• \ Amendments to IAS 12 "Income Taxes" in accounting for deferred taxes in connection with lease liabilities and asset retirement or restoration obligations. These were published on 7 May 2021 and are applicable for reporting periods beginning on or after 1 January 2023.

It is expected that these changes will not have a material impact on Allane Mobility Groups's reporting.

The analyses of the potential effects of the first-time application of IFRS 17 have not yet been completed while at present their application is not expected to have any significant impact on the Group's net assets, results of operations and financial position.

3.3 SCOPE OF CONSOLIDATED ENTITIES

Since 31 December 2020, there have been no changes in the scope of consolidation of Allane Mobility Group.

3.4 SELECTED EXPLANATORY NOTES TO THE CONSOLIDATED INCOME STATEMENT

Revenue

Revenue of the Leasing business unit comprises lease income from contractually agreed leasing instalments and other income from leasing business, such as income from service components such as repairs, fuels, tyres, etc., income from claims settlements and franchise fees. In addition, the Leasing business unit reports sales revenue for used leasing assets under sales revenue generated from the marketing of leased assets.

In the Fleet Management business unit, fleet management revenue materially comprises revenue for service components and contractually agreed service fees. In addition, the Fleet Management business unit reports revenue from the sale of used customer vehicles.

Revenue is broken down as follows:

Revenue	H1	H1	Change	Q2	Q2	Change
in EUR thou.	2021	2020	in %	2021	2020	in %
Leasing business unit
Leasing revenue (finance rate)	102,557	109,480	-6.3	50,625	54,549	-7.2
Other revenue from leasing business	65,262	80,654	-19.1	32,205	34,603	-6.9
Sales revenue	145,849	128,284	13.7	69,184	59,698	15.9
Total	313,668	318,418	-1.5	152,014	148,850	2.1
Fleet Management business unit
Fleet management revenue	26,368	23,948	10.1	13,657	10,643	28.3
Sales revenue	27,218	27,900	-2.4	14,919	11,479	30.0
Total	53,586	51,848	3.4	28,576	22,121	29.2
Group total	367,254	370,266	-0.8	180,590	170,972	5.6

Leasing revenue (finance rate), other revenue from leasing business and fleet management revenue are together referred to as "operating revenue". In the reporting period, operating revenue decreased by 9.3% to EUR 194.2 million (H1 2020: EUR 214.1 million). Leasing revenues (finance rate) decreased mainly due to the reduced contract portfolio. Next to the decrease in the contract portfolio, other revenue from leasing operations decreased primarily due to the decrease in usage-related revenue, such as fuel revenue and revenue from individual service products, as a result of the COVID-19 pandemic.

Fleet expenses and cost of lease assets

Fleet expenses and cost of lease assets are broken down as follows:

Fleet expenses and cost of lease assets	H1	H1	Change
in EUR thou.	2021	2020	in %
Selling expenses1	166,719	157,901	5.6
Fuel	19,060	23,977	-20.5
Repair, maintenance and reconditioning	28,886	31,141	-7.2
Insurance	4,670	4,046	15.4
External rent expenses	2,417	2,418	-0.1
Vehicle licenses and deregistration	2,510	3,434	-26.9
Transportation	2,203	2,493	-11.6
Taxes and dues	1,674	1,495	12.0
Radio license fees	750	793	-5.3
Vehicle return expenses	1,690	2,047	-17.4
Other expenses	3,995	3,365	18.7
Group total	234,574	233,110	0.6

¹ Including impairment gains on leased assets held for sale in the amount of EUR 0.9 million. In the previous year, this figure included impairment losses on leased assets held for sale amounting to EUR 0.1 million.

Given higher sales proceeds, expenses incurred in connection with the sale of lease assets increased. Due to the offsetting decrease in service-related expenses as a result of the revenue declines described above, total expenses for fleet and leased assets increased only slightly.

Other operating expenses

Other operating expenses are broken down as follows:

Other operating expenses	H1	H1	Change
in EUR thou.	2021	2020	in %
Expenses for buildings	921	528	74.3
Other selling and marketing expenses	2,515	2,540	-1.0
Expenses from impairment of trade receivables	1,801	2,566	-29.8
Audit, legal, advisory costs, and investor relations expenses	4,291	2,494	72.1
Other personnel services	1,505	968	55.4
IT expenses	4,112	2,524	62.9
Expenses for foreign currency translation	958	335	>100
Miscellaneous expenses	1,469	2,821	-47.9
Group total	17,572	14,777	18.9

Other operating expenses increased primarily as a result of higher expenses for auditing, legal and consulting fees, and largely transaction-related IT expenses.

Expenses for depreciation and amortisation

Depreciation and amortisation expenses are explained in more detail below:

Depreciation and amortisation	H1	H1	Change
in EUR thou.	2021	2020	in %
Lease assets	85,690	96,664	-11.4
Property and equipment	1,804	1,098	64.2
Intangible assets	2,120	570	>100
Group total	89,614	98,332	-8.9

Depreciation and amortisation includes amortisation of right-of-use assets to the amount of EUR 1.3 million (H1 2020: EUR 0.9 million) in property and equipment as well as EUR 0.3 million (H1 2020: EUR 0.4 million) in lease assets. As part of the regular review of the leasing fleet's residual values conducted during the previous year period, an additional risk provisioning requirement was recognized in the mid-single-digit million euro amount. During the first half of 2021, a portion of this amount was reversed. This is mainly due to an expected recovery in future residual values compared with the previous year's expectation, in addition to the decline in contract volumes. Amortisation of intangible assets increased mainly due to the start-up of self-developed software products.

Net finance costs

Net finance costs are broken down as follows:

Net finance costs	H1	H1
in EUR thou.	2021	2020
Other interest and similar income	143	152
Other interest and similar income from related parties	22	20
Interest and similar expenses	-3,572	-5,465
Interest and similar expenses for related parties	-142	0
Other net financial result	46	-235
Group total	-3,502	-5,528

Interest and similar expenses include interest expenditure from lease liabilities of the Allane Mobility Group as a lessee to the amount of EUR 0.1 million (H1 2020: EUR 0.1 million). The decrease in interest expenses is mainly due to the favorable refinancing of the bond issued in fiscal 2017, which was repaid at the end of 2020.

Income tax expense

The income tax expense comprises current income taxes amounting to EUR 0.7 million (H1 2020: EUR 1.0 million) as well as deferred taxes of EUR 0.0 million (H1 2020: EUR 0.1 million). Based on the Group's earnings before taxes (EBT), the Group's tax rate in the reporting period is 29% (H1 2020: 39%).

Earnings per share

Earnings per share are broken down as follows:

Earnings per share		H1	H1
		2021	2020
Consolidated profit	in EUR thou.	1,870	1,748
Profit attributable to shareholders of Allane SE	in EUR thou.	1,870	1,748
Weighted average number of shares		20,611,593	20,611,593
Earnings per share – basic and diluted	in EUR	0.09	0.08

The weighted average number of shares is calculated based on the proportional number of shares per month, eventually adjusted by the respective number of treasury shares. Earnings per share are calculated by dividing the consolidated profit attributable to Group's shareholders through the weighted average number of ordinary shares outstanding. Financial instruments, that could lead to a dilutive effect, do not exist at the reporting date.

3.5 SELECTED EXPLANATORY NOTES TO THE CONSOLIDATED BALANCE SHEET

Lease assets

Lease assets decreased by EUR 42.4 million to EUR 1,050.2 million as at the reporting date (31 December 2020: EUR 1,092.5 million). The decrease in leased assets is attributable to the lower contract portfolio in the leasing segment.

Right-of-use assets

Right-of-use assets can be broken down as follows:

Line item in balance sheet of Right of use assets
in EUR thou.	30 Jun. 2021	31 Dec. 2020
Property and equipment	18,685	10,175
Lease assets	730	2,832

Rights-of-use assets in property, plant and equipment increased mainly due to the addition of a right-of-use asset under the lease agreement for the new used car sales location in Berlin-Ludwigsfelde.

Other receivables and assets

Other receivables and assets can be broken down as follows:

Other receivables and assets
in EUR thou.	30 Jun. 2021	31 Dec. 2020
Financial other receivables and assets
Finance lease receivables	1,448	6,510
Miscellaneous assets	12,172	14,369
Non-financial other receivables and assets
Other tax receivables	1,843	3,173
Insurance claims	6,599	8,636
Deferred expense	5,466	4,928
Claims for vehicle deliveries	5	771
Group total	27,534	38,387
thereof current	26,694	37,499
thereof non-current	840	888

Equity

The subscribed capital of Allane SE as at 30 June 2021 remained unchanged at EUR 20,611,593, divided up into 20,611,593 ordinary bearer shares (31 December 2020: EUR 20,611,593). The shares are no-par value shares with a nominal value of EUR 1.00 per share. At the Annual General Meeting on 29 June 2021, a dividend of EUR 0.4 million was resolved for the 2020 financial year. The payment was made at the beginning of July 2021, which is why the dividend resolved is reported under current financial liabilities as of 30 June 2021.

Authorised capital

By resolution of the Annual General Meeting of 1 June 2016, the Managing Board was authorised, to increase the share capital on one or more occasions in the period up to and including 31 May 2021 and with the consent of the Supervisory Board, by a total of EUR 6,183,477 by issuing new no-par value bearer shares in exchange for cash and/or non-cash contributions, whereby the shareholders' pre-emptive rights might have been excluded under certain conditions (Authorised Capital 2016). The authorization was not utilized.

Conditional capital

By resolution of the Annual General Meeting of 1 June 2016, the Managing Board was authorised, to issue on one or more occasions in the period up to and including 31 May 2021 and with the consent of the Supervisory Board, convertible and/or bonds with warrants registered in the name of the holder and/or bearer of up to a maximum of EUR 200,000,000 with a fixed or open-ended term and grant conversion or option rights to the holders and/or creditors of convertible bonds to acquire a total of up to 4,122,318 new ordinary bearer shares in Allane SE. The authorization was not utilized.

By resolution of the Annual General Meeting of 1 June 2016, the company's share capital was conditionally increased by up to EUR 4,122,318 (Conditional Capital 2016). The conditional capital increase served to grant shares to holders or creditors of convertible bonds and holders of options rights from bonds with warrants, as long as the conversion or option rights from the aforementioned bonds have actually been exercised or conversion obligations under such bonds had been fulfilled and to the extent that other forms of fulfilment wouldn't have been used for servicing.

Financial liabilities

The financial liabilities are broken down as follows:

	Residual term of up to 1 year Residual term of 1 to 5 years Residual term of more than 5 years
30 Jun. 2021	31 Dec. 2020 30 Jun. 2021 31 Dec. 2020		30 Jun. 2021	31 Dec. 2020
249,260	-	-	248,840	-	-
253,149	252,811	352,469	414,595	-	-
80,522	50,023	50,000	90,000	-	-
3,199	5,054	6,720	6,496	9,929	1,761
3,381	6,335	-	-	-	-
508,989	264,201	359,189	669,931	9,929	1,761

The Allane Mobility Group currently expects to use the ABS-transaction as well as bank credit lines from affiliated companies for the repayment of the bond (bond from fiscal year 2018) in the second quarter of 2022.

Other liabilities

Other liabilities are broken down as follows:

Other liabilities
in EUR thou.	30 Jun. 2021	31 Dec. 2020
Financial other liabilities
Interest rate swap	228	1,060
Payroll liabilities	161	174
Miscellaneous liabilities	14,141	12,742
Non-financial other liabilities
Deferred income	26,722	29,513
Tax liabilities	5,842	700
Group total	47,093	44,188
thereof current	35,695	30,226
thereof non-current	11,399	13,962

Additional disclosure on financial instruments

The following table shows the carrying amounts and fair values of the individual financial assets and liabilities for each individual category of financial instruments. The fair values of financial assets and liabilities that are not regularly measured at fair value but for which the fair value is to be disclosed are assigned to the measurement levels of the fair value hierarchy according to IFRS 13 in the following table.

Carrying amounts and fair values by measurement category in accordance with IFRS 9:

Financial instruments	IFRS 9 measurement	Measurement basis for fair value		Carrying amount		Fair value
in EUR thou.	category1		30 Jun. 2021	31 Dec. 2020	30 Jun. 2021	31 Dec. 2020
Non-current assets
Financial assets	FVTPL	Level 3	26	27	26	27
Finance lease receivables	IFRS 16		743	795	770	824
Interest rate derivatives	FVTPL	Level 2	7	23	7	23
Other receivables	AC		90	70
Total			866	914	804	873
Current assets
Finance lease receivables	IFRS 16		706	5,714	736	5,961
Currency derivatives	FVTPL	Level 2	40	-	40	-
Trade receivables	AC		73,915	69,173
Receivables from related parties	AC		1,907	1,461
Other receivables	AC		12,035	14,278
Total			88,602	90,626	776	5,961
Non-current liabilities
Bonds	AC	Level 2	-	248,840	-	256,912
Liabilities to banks	AC	Level 2	352,469	414,595	348,156	408,583
Lease liabilities	IFRS 16		16,650	8,258
Interest rate derivatives	Hedge Accounting	Level 2	228	1,060	228	1,060
Financial other liabilities	AC		190	143
Total			369,536	672,896	348,384	666,555
Current liabilities
Bonds	AC	Level 2	249,260	-	253,717
Liabilities to banks	AC	Level 2	253,149	252,811	252,737	253,556
Lease liabilities	IFRS 16		3,199	5,054
Liabilities to related parties	AC	Level 2	23	21
Currency derivatives	FVTPL	Level 2	-	106	-	106
Other financial liabilities	AC		3,381	6,335
Trade payables	AC		60,675	47,850
Financial other liabilities2	AC		14,112	12,665
Total			583,799	324,843	506,455	253,662

¹ FVTPL - Fair value through profit or loss, AC - At amortised cost

² The figure for other financial liabilities in the previous year included contract liabilities as of 31 December 2020.

In the table above, financial instruments are classified into three levels depending on the measurement basis. Level 1 measurements are based on prices quoted in active markets. Level 2 measurements are based on parameters other than quoted prices that are observable either directly as prices or are indirectly derived from prices. Level 3 measurements are based on models that use parameters that are not based on observable market data, but rather on assumptions. This applies in particular to the accounting treatment of financial assets that are not actively traded. These assets are measured on the basis of the financial information available on the balance sheet date.

Due to factors that change in the course of time, the reported fair values can only be regarded as indicative of the values actually realisable on the market. The fair values of the financial instruments were calculated based on the market data available at the balance sheet date and methods and assumptions described below.

For all current financial instruments, it was assumed that the carrying amount (amortised cost) is a reasonable approximation of fair value, unless not specified otherwise in the table. The fair values of the finance lease receivables reported as non-current assets and the borrower's note loans, bonds and liabilities to banks were calculated as the present values of the future expected cash flows. Standard market interest rates between -0.0% p.a. and 0.3% p.a. (previous year: between 1.1% p.a. and 1.5% p.a.) were used for discounting based on the respective maturities.

Finance lease receivables and lease liabilities are measured in accordance with IFRS 16. Financial assets whose cash flows comprise repayments and interest are allocated to the AC category and are measured at amortised cost.

The fair value of interest rate derivatives is determined by discounting the expected future cash flow over the remaining term of the contract using the current yield curves. The fair value of currency derivatives is determined on the basis of valuations of current market parameters of external financial service providers.

The change in the carrying amounts and fair values of Level 3 valuations of financial assets results from valuation effects in the period. Financial assets consist of investments and are valued on the basis of the net asset value. The result recognized in profit or loss resulted from the fair value measurement amounts to EUR 0 thousand (2020: EUR 0 thousand).

Regrouping within the levels of the evaluation hierarchies did not take place in the reporting period.

Trade receivables consist of lease instalments due immediately or in the short term (operate lease) and receivables due immediately or in the short term from full service, fleet management and vehicle sales. Furthermore, to a significant lower extent, finance lease receivables exist, which are substantially current receivables as well. The Allane Mobility Group expects that any payment difficulties and defaults due to the COVID-19 pandemic in the national economies will only be felt in the medium term, if at all. Due to the shortterm nature of our receivables portfolio, the Allane Mobility Group does not weight this scenario when calculating the expected credit loss. As part of our early warning, monitoring and control measures, we have not yet identified any significant direct impact of the COVID-19 pandemic on our receivables portfolio. The receivables from our partners are being continuously monitored and, if necessary, we are taking short-term measures to keep our risk position low. An appropriate credit assessment process is in place for new business in the future.

3.6 GROUP SEGMENT REPORTING

The Allane Mobility Group is active in the two main business units Leasing and Fleet Management. When combined, the revenue from these activities – excluding vehicle sales revenue – is also described as "operating revenue".

The segment information for the first six months of 2021 (compared with the first six months of 2020) is as follows:

By business unit		Leasing	Fleet Management		Consolidation		Group
in EUR million	H1 2021	H1 2020	H1 2021	H1 2020	H1 2021	H1 2020	H1 2021	H1 2020
External revenue	313.7	318.4	53.6	51.8	-	-	367.3	370.3
Internal revenue	0.1	-0.0	-	0.2	-0.1	-0.2	-	-
Total revenue	313.7	318.4	53.6	52.0	-0.1	-0.2	367.3	370.3
Fleet expenses and cost of lease assets	187.2	187.2	47.5	45.9	-0.1	-0.0	234.6	233.1
EBITDA1	95.2	105.1	0.5	1.6	-	-	95.7	106.7
Depreciation and amortisation expense	89.6	98.3	0.0	0.0	-	-	89.6	98.3
EBIT2	5.6	6.8	0.5	1.6	-	-	6.1	8.4
Net finance costs	-3.4	-5.4	-0.1	-0.1	-	-	-3.5	-5.5
EBT3	2.2	1.3	0.4	1.5	-	-	2.6	2.9
Investments	184.0	211.3	0.0	0.0	-	-	184.0	211.3
Assets	1,230.4	1,399.7	31.4	22.5	-6.5	-2.5	1,255.3	1,419.7
Liabilities	981.9	1,159.2	28.9	19.7	-6.2	-2.3	1,004.6	1,176.6

¹ Corresponds to earnings before interest, taxes, depreciation and amortisation (EBITDA)

² Corresponds to earnings before interest and taxes (EBIT)

³ Corresponds to earnings before taxes (EBT)

By region	Germany		International		Consolidation		Group
in EUR million	H1 2021	H1 2020	H1 2021	H1 2020	H1 2021	H1 2020	H1 2021	H1 2020
Total revenue	330.9	338.6	36.3	31.7	-	-	367.3	370.3
Investments	159.7	195.9	24.3	15.4	-	-	184.0	211.3
Assets	1,310.8	1,475.3	680.2	660.0	-735.7	-715.6	1,255.3	1,419.7

3.7 RELATED PARTY DISCLOSURES

There have been no material changes in the nature and amount of Allane Mobility Group's transactions with related parties as of 30 June 2021 compared to those reported as of 31 December 2020, except the following described. For further details please refer to the consolidated financial statements of Allane SE as of 31 December 2020 in the Annual Report 2020 (Notes to the consolidated financial statements "5.4 Related party disclosures").

The loans drawn by Santander Consumer Bank AG from the Credit Facility amount to EUR 130 million as of 30 June 2021 (31 December 2020: EUR 140 million).

During the first six months of 2021, expenses from interest and commitment fees from Santander Consumer Bank AG were recognised in the amount of EUR 0.3 million. During H1 2021, hardware in the amount of EUR 2.4 million were procured from the contract with Hyundai AutoEver Europe GmbH relating to the delivery of IT infrastructure hardware. Of the dividend payment resolved in the amount of EUR 0.41 million some EUR 0.38 million were due to Hyundai Capital Bank Europe GmbH (HCBE).

3.8 UNCERTAINTIES RESULTING FROM THE COVID-19 PANDEMIC REGARDING ACCOUNTING AND MEASUREMENT IN THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 JUNE 2021

The Company continues to assume a market and business environment impacted by the COVID 19 pandemic, but expects business development to recover in the second half of 2021. Despite the currently rebounding increase in the number of infections, in particular due to the delta variant, this assessment is based on the assumption that the current measures to combat the corona pandemic will have an effect in the further course of the year and that there will not be a fourth "lockdown" due to the current lower number of deaths and intensive care bed occupancy compared to the first and second wave of infections last year. This includes in particular the vaccination campaign launched at the end of 2020 and the current measures to increase the vaccination rate. In addition, the assessment assumes that the exit strategies from crisis mode to be worked out by the governments at federal and state level will be successful and that economic growth will continue to gain momentum in the second half of the year. Furthermore, the company assumes that the extensive financial support measures currently adopted or still to be adopted by the federal and state governments will continue to cushion the economically negative effects on the national economies. The currently very positive results from vehicle sales of Allane Mobility Group confirm and solidify our expectation that the COVID-19 pandemic will not lead to any lasting negative effect on used car prices. These assumptions were the key basis for the estimates and judgments made in the Group's half-year financial statements.

The risk provision for lease assets, which is regularly reviewed and posted, is basically a provision for future vehicle remarketing at the end of the individual lease term of the lease portfolio existing on the respective reporting date and has therefore not yet been realised on the respective reporting date. Due to the unique nature of the COVID-19 pandemic and its uncertain development, it is currently difficult to predict how used car prices will actually develop in the future. In addition to the actual vehicle remarketing results and the company's own used car price expectations, the Managing Board relies on external industry expertise to assess the development.

The assessment of the recoverability of assets such as goodwill, intangible assets under construction and deferred tax assets is based on corporate planning at a specific point in time. Particularly due to the global COVID-19 pandemic, these (partial) corporate budgets are subject to increased uncertainty. The Group's strategic orientation is currently not materially affected by the current COVID-19 situation. However, a possible fourth wave of infection in autumn 2021 could interrupt the current economic recovery or even prevent it from taking place in the foreseeable future. These developments must then be taken into account accordingly in a review of the Company's (partial) budget plans, which may result in subsequent adjustments to the values of the assets. As explained above, however, the Managing Board currently considers this scenario to be less likely. Furthermore, the Managing Board expects to benefit from the digitisation trend and the strategic partnership with the new major shareholder HCBE in the future. Overall, however, it should be noted that the actual sustainable economic consequences of the COVID-19 pandemic for the future can hardly be reliably estimated at present and that the estimates and discretionary decisions are therefore subject to increased uncertainty.

3.9 EVENTS SUBSEQUENT TO THE REPORTING DATE

The Company was renamed from Sixt Leasing SE to Allane SE by resolution of the Annual General Meeting on June 29, 2021 with the entry in the Commercial Register of the Local Court of Munich under HRB 227195 on 5 August 2021.

Mr. Donglim Shin was appointed to the Managing Board of Allane SE as the new Chairman of the Managing Board with effect from 1 July 2021. The previous Chairman of the Managing Board, Mr. Michael Ruhl, left the Managing Board of Allane SE at his own request with effect from the end of 30 June 2021.

Mr. Björn Waldow will leave Allane SE at his own request in the fall of 2021. He will be succeeded by Mr. Álvaro Hernández as CFO of Allane SE. He will move to Allane SE as a general representative as early as 1 September 2021 and will be appointed as a member of the Managing Board in October 2021.

Furthermore, no significant events, that would affect the financial position and financial performance of the Group and the Company, have occurred after the end of the second financial quarter 2021.

4. RESPONSIBILITY STATEMENT

Responsibility statement in accordance with section 115 (2) of the Wertpapierhandelsgesetz (WpHG – German Securities Trading Act) in conjunction with section 264 (2) and section 289 (1) of the Handelsgesetzbuch (HGB – German Commercial Code)

"To the best of our knowledge, and in accordance with the applicable reporting principles for interim financial reporting, the interim consolidated financial statements give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group, and the interim management report of the Group includes a fair review of the development and performance of the business and the position of the Group, together with a description of the principal opportunities and risks associated with the expected development of the Group for the remaining months of the financial year."

Pullach im Isartal, 25 August 2021

Allane SE The Managing Board

Contact

Allane SE Stefan Vogel Dr.-Carl-v.-Linde-Str. 2 82049 Pullach im Isartal, Germany

ir@allane.com

Phone +49 (0) 89/7 44 44 - 4518 Fax +49 (0) 89/7 44 44 - 85169

Website Investor Relations http://ir.sixt-leasing.com Other websites http://www.sixt-leasing.com

Issued by Allane SE

Dr.-Carl-v.-Linde-Str. 2 82049 Pullach, Germany