Grenke AG — Earnings Release 2001

Nov 13, 2001

News Details

Ad-hoc | 13 November 2001 07:54

Grenke Leasing AG english

GRENKELEASING AG reports – earnings per share jump by 34.4 percent Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– Baden-Baden, November 13, 2001: GRENKELEASING AG reports a jump in earnings per share of 34.4 percent over the first nine months of 2001. GRENKELEASING AG posts earnings before taxes of EUR 13m for the first nine months of 2001. This corresponds to an increase of 41.7 percent in contrast to a comparative figure of EUR 9.2m in the previous year. As already reported beforehand, the group’s new business (i.e. the total acquisition costs of newly purchased leased assets) rose by 30.4 percent in the first nine months of 2001 compared to the same period of the previous year, reaching a figure of EUR 162m . A key contribution to this positive growth trend was made by GRENKELEASING’s foreign subsidiaries: The figure for foreign new business rose by 171 percent and thus represents a contribution of 22.2 percent to the group’s overall new business. At the same time the margin of new business (contribution margin 1) grew by 75 percent in the first nine months of 2001. Contribution margin 1 becomes visible during the term of a contract as the financial result in the profit and loss account. The financial result in the reporting period comes to EUR 20m in contrast to a comparative value of EUR 13.6m in the previous year. The earnings situation has continued to develop favourably. After-tax profits increased by 16.7 percent to EUR 8.7m (comparative value in the first nine months of 2000: EUR 7.5m – comprising extraordinary proceeds of EUR 1.0m). The GRENKELEASING group will for the first time publish full-scale IAS annual accounts (IAS = International Accounting Standards) for the year 2001. This is why several key figures reflecting the business result were more narrowly defined and newly determined. This change produces a slightly higher posting of profits before taxes in the current year. The above-mentioned comparative figures for the previous year have been correspondingly adjusted. DVFA earnings per share rose from EUR 0.48 to EUR 0.64. The full nine month report 2001 is available under www.grenkeleasing.de Investor – IR-Service. The Board of Management If you have any queries, please contact: GRENKELEASING AG,Renate Hauss Rheinstrasse 219, 76532 Baden-Baden Tel: 07221/5007-204 E-mail: investor@grenke.de Internet:www.grenkeleasing.de end of ad-hoc-announcement (c)DGAP 13.11.2001 Issuer’s information/explanatory remarks concerning this ad-hoc-announcement: GRENKELEASING has successfully held its own against an increasingly tight market environment: Compared to Q3 2000, the figure for new business rose by 27.5 percent in the third quarter, having posted 21.1 percent in Q2. The stability of the leasing arrangements we offer as a financing instrument also becomes clear by looking at the distinctly higher growth rate, over 40 percent, which has developed in the aftermath of September 11, even if this is partially attributable to a temporary basis effect. The earnings position of the group developed largely according to plan over the first nine months of 2001. Additional costs amounting to around EUR 0.6m arose in connection with the reviewing of acquisition opportunities (EUR 0.2m of which was incurred in Q3). What is more, we are investing in the extension of our data networks and data processing systems as well as in the organic growth of our company through the establishment of new branch offices at home and abroad. This additional expenditure is money well spent – of that we are fully convinced”, says Wolfgang Grenke, chairman of the board of GRENKELEASING AG. In rendering the accounts of a leasing company pursuant to IAS (International Accounting Standards) the following key figures have to be computed: proceeds from the capitalisation of leasing receivables; interest income; expenses arising from the retirement of receivables. Since the GRENKELEASING group will for the first time publish consolidated full-scale IAS annual accounts (IAS = International Accounting Standards) for the year 2001, these key figures were more narrowly determined. This results in a lower capitalisation of costs at the start of the contract, higher interest earnings over its duration, and higher costs upon retirement of the receivable. The comparative figures of the previous year were adjusted and brought into line with the more closely defined figures mentioned above. The opening up of a branch office in Memmingen has increased the company’s presence at national level to a total of 17 branch offices. The number of foreign branch offices has risen to a total of eight: three branch offices in France and one each in Switzerland, Austria, Italy, the Czech Republic, and Spain. A further subsidiary in the Netherlands will start operations within the next few days. The number of employees rose from 216 to 225 (weighted average on a full-time basis). GRENKELEASING AG is Germany’s nationwide market leader in small-ticket IT leasing, i.e. for products such as PC’s, notebooks, copiers, printers, or software up to an acquisition value of EUR 25,000. Since April 4, 2000 the company has been quoted on the Neuer Markt (market segment for high-growth companies) of the Frankfurt securities exchange and is thus the first leasing company in this segment of the exchange. Information on the company and its products is available on the Internet under http://www.grenkeleasing.de. ——————————————————————————– WKN: 586590; Index: Listed: Neuer Markt in Frankfurt; Freiverkehr in Berlin, Bremen, Düsseldorf, Hamburg, Hannover, München und Stuttgart 130754 Nov 01