Brief: ALD/Leaseplan Releases Financial Objectives For 2026

Ayvens SA

18/09/2023 06:25

Sept 18 (Reuters) - ALD  ALDA.PA :
    * RELEASES ITS STRATEGIC PLAN AND FINANCIAL OBJECTIVES TO
2026
    * ALD SA/LEASEPLAN STRUCTURAL TRANSITION FROM OWNERSHIP TO
USERSHIP IS EXPECTED TO ACCELERATE, LIFTING EUROPEAN USERSHIP
MARKET FROM 4.9 MILLION VEHICLES IN 2021 TO 9.5 MILLION VEHICLES
IN 2030, I.E. +7.7% CAGR COMPARED TO 2021
    * ALD | LEASEPLAN ANTICIPATES THAT INFLATION WILL REMAIN
HIGH IN
2023 BEFORE IT GRADUALLY NORMALIZES IN 2024
    * INTEREST RATES ARE EXPECTED TO PEAK IN 2023 AND REMAIN AT
A HIGH
LEVEL, LEADING TO MODEST GDP GROWTH IN WESTERN EUROPE
    * FINANCIAL OBJECTIVES 2026: EARNING ASSETS CAGR OF 6%
BETWEEN
2023 AND 2026
    * EXPECTS INFLATION ON OVERHEADS AND COST OF REGULATION: +10
PERCENTAGE POINTS
    * 2026 TARGETS: OUTCOME COST/INCOME RATIO (EXCLUDING USED
CAR
SALES RESULTS) OF C. 52% IN 2026, FROM 56%15 IN 2022
    * ALD | LEASEPLAN’S FINANCIAL OBJECTIVES 2026: TOTAL ANNUAL
PRE-TAX SYNERGIES CONFIRMED AT EUR 440 MILLION BY 2026, WITH
PROGRESSIVE  RAMP-UP: EUR 120 MILLION BY 2024, EUR 350 MILLION
BY 2025, AND THE FULL AMOUNT OF EUR 440  MILLION BY 2026
    * GROUP HAS ACCESS TO A SIGNIFICANT BASE OF DEPOSITS,
AMOUNTING TO
EUR 11 BILLION AS AT 30 JUNE 2023
    * ALD | LEASEPLAN’S FINANCIAL OBJECTIVES 2026: TARGET CET1
RATIO
AT 12% AND TOTAL CAPITAL RATIO AT 16%
    * FOR 2026 AIMS DIVIDEND PAYOUT RATIO AT 50%
    * ALD | LEASEPLAN’S FINANCIAL OBJECTIVES 2026:  RETURN ON
TANGIBLE
EQUITY IN THE RANGE OF 13%-15% IN 2026, AT THE HIGH END OF THE
FINANCIAL  SECTOR
    * GROUP EXPECTS TO ISSUE ANNUALLY EUR 4-5 BILLION BONDS
THROUGH
ALD S.A., EUR 1-1.5 BILLION SECURITIZATION WHILE INCREASING ITS
RETAIL DEPOSITS BASE BY C. EUR 1 BILLION P.A
    * TOTAL CUMULATED COSTS TO ACHIEVE OF EUR 525 MILLION OVER
2022-2025. AFTER EUR 128 MILLION  ACCOUNTED FOR IN 2022, ALD |
LEASEPLAN EXPECTS THESE COSTS TO REACH A PEAK IN 2023 AND 2024 
(EUR 170 MILLION AND EUR 190 MILLION RESPECTIVELY), BEFORE THEY
GO DOWN TO EUR 37 MILLION  IN 2025

Source text for Eikon:  ID:nGNE7mJ3F8 
Further company coverage:  ALDA.PA 

 (Gdansk Newsroom)
 ((gdansk.newsroom@thomsonreuters.com; +48 58 769 66 00;))