Grenke AG — Earnings Release 2001

Feb 26, 2002

News Details

Ad-hoc | 26 February 2002 08:29

Grenke Leasing AG english

GRENKELEASING AG Announces Dividend Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– Baden-Baden, February 26, 2002: GRENKELEASING AG moves from strength to strength. GRENKELEASING AG posts consolidated earnings before taxes (EBT) of EUR 19.5m for the financial year 2001, corresponding to a 58 percent increase compared to previous year. After-tax profits improved by 25 percent to EUR 12m. As already reported beforehand, the group’s new business (i.e. the total acquisition costs of newly purchased leased assets) rose from a figure of EUR 178m in 2000 to EUR 235.6m in 2001. This signifies an increase of 32 percent. In keeping with the changed regulations of the Neuer Markt (market segment for high-growth companies at the Frankfurt Stock Exchange), GRENKELEASING AG has for the first time drawn up consolidated annual financial statements according to the IAS (International Accounting Standards), making it eligible for an exemption from German Commercial Code (HGB) accounting. This is why several key figures reflecting the business result – in particular deferred taxes – were more narrowly defined and newly determined. A comparison with the figures of the annual financial statements for 2000 which are based upon a reconciliation statement is only possible to a limited degree. In order to nevertheless make the present financial statements and the upcoming quarterly statements comparable, the company has additionally also recomputed the values of the previous year pursuant to the rules of the IAS. This produces a rise in EBT of 56 percent and an increase in after-tax profit of 40 percent. Earnings per share rose from EUR 0.68 to EUR 0.89. The stand-alone balance sheet of the AG shows a profit of EUR 11.5m. This means that the loss brought forward from the previous year – particularly attributable to the IPO costs – could be balanced out, leaving a net balance sheet profit of EUR 2.2m. Since the current year also promises a positive trend in the stand- alone balance sheet, the company intends to distribute a dividend for the first time in 2002. The full Annual Report 2001 is available under http://www.grenkeleasing.de Investor – Figures. The Board of Management – GRENKELEASING AG end of ad-hoc-announcement (c)DGAP 26.02.2002 Issuer’s information/explanatory remarks concerning this ad-hoc-announcement: GRENKELEASING AG, Rheinstrasse 219, D-76532 Baden-Baden – Renate Hauss Ext.: +49-(0) 7221/5007-204 Fax: +49 (0) 7221/5007-203 E-mail: investor@grenke.de IAS-compliant financial statements differ from financial statements drawn up according to the German Commercial Code (HGB) in many respects. Thus, for example, a releasing contract is usually not to be shown as a rental contract but as a loan agreement. Consequently this does not generate rental revenue but returns income interest. A further particularity is the item deferred taxes. Financial statements pursuant to IAS are supposed to fully reflect the future tax burden of all items posted in the balance sheet. For this purpose the book value of each balance sheet item is compared with its tax-assessment value. The difference between these amounts is the basis for assessment for deferred taxes which – in keeping with the present tax rate – are computed at 38.5 percent. Ultimately the taxes on current earnings are thus already completely deducted, even if they partially do not accrue until future periods in time – i.e. they are deferred. Despite the weakness of the general economic situation, the group was able to post high growth rates with respect to its new business. “The opening of a third branch office in France (Lyon), the establishment of subsidiary companies in Spain (Barcelona) and in the Netherlands (Venlo), and two acquisitions in Italy (Milan) and the Czech Republic (Prague) means that the number of our foreign branch offices has again grown. In addition to this, we have built up the cross- border business to the Danish market with our partner HP. Our European expansion is being vigorously pursued,” explains Wolfgang Grenke, Chairman of the Board of GRENKELEASING AG. With the opening of a branch office in Memmingen the company’s national presence was increased to 18 branch offices, distinctly expanding the company’s market leadership in the small-ticket IT leasing sector in Germany. The number of foreign branch offices has risen to nine. In addition to its three branch offices in France, the company has a respective subsidiary in Switzerland, Austria, Italy, the Czech Republic, Spain, and the Netherlands. The other distribution channels were successfully expanded. Partnerships with renowned manufacturers of hardware and software products in the IT industry, such as HP, Microsoft, Sharp, Toshiba, and Maxdata, were complemented at regional level. Additions in this respect were Oki in Austria and Develop in Germany. The Internet subsidiary WEBLEASE NETBUSINESS AG has entered into new partnerships with e-commerce shops in Germany, Switzerland, France, and the Netherlands, providing new shopping basket solutions, and has set up further e- lease services. The number of employees rose from 149 in 2000 to 210 (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 listed on the Neuer Markt (market segment for high-growth companies at the Frankfurt Stock Exchange). Information on the company and its products is available on the Internet under http://www.grenkeleasing.de ——————————————————————————– WKN: 586590; ISIN: DE0005865901; Index: Listed: Neuer Markt in Frankfurt; Freiverkehr in Berlin, Bremen, Düsseldorf, Hamburg, Hannover, München und Stuttgart 260829 Feb 02