Grenke AG — Earnings Release 2001

Oct 2, 2001

News Details

Ad-hoc | 2 October 2001 08:08

Grenke Leasing AG english

Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– Baden-Baden, October 2, 2001: In the first nine months of 2001 GRENKELEASING’s new business rose by 30.4 percent compared to the same period of the previous year. The margin of new business (contribution margin 1) rose distinctly by 75 percent compared to the previous year. GRENKELEASING AG posts a growth in new business (i.e. the total acquisition costs of newly purchased leased assets) of 30.4 percent to EUR 162m (9 months 2000: EUR 124m). In comparison to the previous quarter, the growth in new business picked up to 27.5 percent in Q3 (Q2 2001: 21.1 percent). The margin of new business (contribution margin 1), from which stems the financial result over the life of a contract, grew distinctly by 75 percent compared to the previous year. GRENKELEASING’s foreign subsidiaries again contributed superproportionally to the company’s performance. 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. The events in the USA and the weakening of the economy have not had an impact on the company’s new business. Over the last three weeks new business rose by 54.6 percent compared to the same period of the previous year. The company will publish its detailed nine months financial statements on November 13, 2001. The Board of Management GRENKELEASING AG, Rheinstrasse 219, 76532 Baden-Baden – Renate Hauss Tel: 07221/5007-204 Fax: 07221/5007-203 E-mail: investor@grenke.de Internet: http://www.grenkeleasing.de end of ad-hoc-announcement (c)DGAP 02.10.2001 Issuer’s information/explanatory remarks concerning this ad-hoc-announcement: In the first nine months of the current financial year GRENKELEASING received 42.9 percent more leasing inquiries than in the same period in 2000. 26.075 new leasing contracts were concluded as a result (+33 percent), generating a volume of new business of EUR 162m. The management team continues to be confident and optimistic about the future of the company. Economic slowdowns have in the past only marginally affected leasing as a means of financing. Since leasing usually has a favourable impact on the liquidity of companies, leasing has seen stronger use when times are troubled and has at least offset the lower trend towards investments on the part of companies. The improvement in margin, according to the company, is largely due to the sustained improvement in the company’s refinancing conditions on the back of the IPO which took place a year ago. The interest rate cut made by the ECB – a few days ago – has been passed on to the market, in keeping with the underlying idea of the cut, without this initially producing any benefits or downsides for the earnings situation of the company. However, the lower leasing rates promise a further improvement in new business. “We have consistently continued to pursue our growth strategy, which lies primarily in the notion of growing organically. The opening up of a branch office in Bremen increased our presence at national level to a total of 16 branch offices. The setting up of a further French branch office – in Lyon – increases our presence in France to 3 branch offices. Our entry into the promising Spanish market will be established within the next few days, with the founding of a subsidiary in Barcelona. The number of foreign branch offices has thus risen to eight. In addition to the branch offices in France, we have one each in Switzerland, Austria, Italy, the Czech Republic, and Spain. A subsidiary in the Netherlands will start operations as early as in October. Our Internet subsidiary, Weblease, has realised further shopping basket solutions (e-lease service) in Germany, Switzerland, France, and the Netherlands”, explains Wolfgang Grenke, chairman of the board of GRENKELEASING AG. 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 are 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 020808 Okt 01