Accounts press conference 2018: Deutsche Leasing improves results
New business increases to 8.9 billion euros
Economic result reaches 153 million euros
Growth and good results in terms of international business
DAL enjoying success with major projects
During the 2016/17 financial year (reporting date 30.09.2017), the Deutsche Leasing Group enjoyed further growth, securing new business worth 8.9 billion euros. The progress made in terms of international business in 22 countries beyond Germany was particularly pleasing, with new business here increasing by 12 per cent to 2.2 billion euros. DAL Deutsche Anlagen-Leasing (DAL) also saw an increase in new business of 14 per cent to 1.6 billion euros.
The most important sales channel remains the joint business with savings banks, which accounts for over 40 per cent of new business.
Deutsche Factoring Bank (in which a majority stake was secured in 2016) achieved significant growth and increased its factoring volume by 10 per cent to 17.1 billion euros as of the reporting date of 31.12.2017. There was also an above-average increase in net income for the year due to favourable developments in terms of risk.
S-Kreditpartner (SKP), a joint venture between Deutsche Leasing and Landesbank Berlin involving car and consumer finance, increased its lending volume by 23 per cent to 5.8 billion euros by the end of the financial year (31.12.2017).
'In a year when competition increased and policymakers kept interest rates low on the one hand, but both the German and global economy performed well on the other, we managed again to secure a good result,' pointed out Kai Ostermann, Chair of the Board of Management of the Deutsche Leasing Group, at the accounts press conference in Bad Homburg. 'Our efforts over the past year have made us even better placed to serve both our customers and the market. This is why we also want to continue to develop our position as a preferred asset finance partner for our customers and the savings banks and achieve organic growth.'
Net profit for the year for the Deutsche Leasing Group grew by 5 per cent to 72 million euros, while the economic result increased by 3 per cent to 153 million euros. The net asset value increased by 4 per cent to over 1.9 billion euros. Equity, including contingency reserves as per sections 340f and 340g of the German Commercial Code, increased from 1,100 million euros in the previous year to 1,188 million euros.
Distribution to shareholders amounts to 35 million euros, which is the same as the previous year.
Outlook for the 2017/18 financial year
Deutsche Leasing has made a positive start to the new financial year, both in Germany and abroad. Both domestic business with medium-sized companies and international business enjoyed double-digit growth (in percentage terms) by the end of the first quarter. Only the DAL business, which can be volatile and is associated with larger enterprises, is currently showing a decline, although numerous major projects are in the pipeline. The positive trend also extends to the factoring business.
In 2018, the idea is to develop and further consolidate the joint business with the savings banks in terms of both leasing and factoring.
About Deutsche Leasing
The Deutsche Leasing Group is the leading solutions-oriented asset finance partner for German medium-sized companies and offers a wide range of investment-related finance solutions (asset finance) and other complementary services (asset services). Within Sparkassen-Finanzgruppe, Deutsche Leasing is the competence centre for leasing and factoring as well as other asset finance solutions and complementary services aimed at medium-sized companies both in Germany and abroad. At an international level, Deutsche Leasing helps its German customers in 22 countries abroad including the most important export markets in Europe and also China, Russia, the USA, Canada, and Brazil.
