Brief: Grenke Operating Income Rises – Net Profit Reduced By Extraordinary Currency And Interest Rate Effects in Q1 2023

Grenke AG

11/05/2023 06:08

May 11 (Reuters) - GRENKE AG  GLJn.DE :
    * OPERATING INCOME RISES – NET PROFIT IN THE FIRST QUARTER
OF 2023
REDUCED BY EXTRAORDINARY CURRENCY AND INTEREST RATE EFFECTS
    * Q1 - OPERATING INCOME UP 9.1 PERCENT IN Q1 TO EUR 99.6
MILLION(Q1 2022: EUR 91.3 MILLION)
    * Q1 - EXTRAORDINARY CURRENCY AND INTEREST EFFECTS REDUCE
QUARTERLY NET PROFIT TO EUR 15.9 MILLION(Q1 2022: EUR 20.5
MILLION)
    * Q1 - 2023 FORECAST CONFIRMED: CONTINUED DOUBLE-DIGIT
GROWTH
TREND FOR PAST SIX CONSECUTIVE QUARTERS
    * CEO - IN ANY CASE, GRENKE WILL BE ABLE TO GRADUALLY PASS
ON
HIGHER INTEREST RATES TO MARKET, WITH A TIME LAG OF A FEW MONTHS
    * IN EARLY APRIL 2023, OUR GROWTH IN NEW LEASING BUSINESS
WAS
STRONG AGAIN IN Q1 OF THIS YEAR AND, AT EUR 610.2 MILLION,
EXCEEDED LEVEL IN SAME QUARTER OF PREVIOUS YEAR BY 22.2 PERCENT
(Q1 2022: EUR 499.2 MILLION)
    * PORTFOLIO OF OVER ONE MILLION CURRENT LEASE CONTRACTS
FEATURING
A TOTAL VOLUME OF EUR 9.1 BILLION (Q1 2022: EUR 8.8 BILLION) IS
FOUNDATION FOR OUR FUTURE INCOME
    * WITH ALMOST EUR 38 MILLION IN NEW BUSINESS IN PAST YEAR
AND A
FORECAST FOR STRONG GROWTH, AUSTRALIA IS ONE OF GRENKE'S FUTURE
CORE MARKETS
    * IN Q1 OF 2023, STAFF COSTS INCREASED BY EUR 8.3 MILLION
COMPARED
TO SAME QUARTER OF PRIOR YEAR TO EUR 41.3 MILLION (Q1 2022: EUR
33.0 MILLION)
    * COST-INCOME RATIO (CIR) EQUALLED 57.1 PERCENT IN Q1 OF
2023,
COMPARED TO 57.6 PERCENT IN Q4 OF 2022 (Q1 2022: 52.5 PERCENT)
    * Q1 - GRENKE GROUP'S TOTAL ASSETS AMOUNTED TO EUR 6.8
BILLION
(DECEMBER 31, 2022: EUR 6.4 BILLION)
    * Q1 - LARGEST BALANCE SHEET ITEM, CURRENT AND NON-CURRENT
LEASE
RECEIVABLES, INCREASED SLIGHTLY TO EUR 5.3 BILLION AS OF
REPORTING DATE
    * Q1 - EQUITY RATIO WAS AT A CONSISTENTLY HIGH LEVEL OF 19.4
PERCENT (DECEMBER 31, 2022: 20.8 PERCENT) AND WAS THUS
COMFORTABLY ABOVE SELF-SET TARGET OF AT LEAST 16.0 PERCENT
    * OUTLOOK - BOARD OF DIRECTORS REAFFIRMS ITS OUTLOOK
ANNOUNCED ON
MARCH 16, 2023 FOR A VOLUME OF NEW LEASING BUSINESS IN 2023
FINANCIAL YEAR IN RANGE OF EUR 2.6 BILLION AND EUR 2.8 BILLION.
    * OUTLOOK - DESPITE EXTRAORDINARY EFFECTS, BOARD OF
DIRECTORS
EXPECTS CONSOLIDATED GROUP NET PROFIT IN 2023 TO BE WITHIN
COMMUNICATED FORECAST RANGE OF EUR 80 MILLION TO EUR 90 MILLION

Source text for Eikon:  ID:nEQ6YWFp6a 
Further company coverage:  GLJn.DE 

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