German financing firm GRENKE, which caters to small and medium-sized businesses, has generated a new leasing business worth €587.4m in the second quarter of 2022.
The figure represents a surge of 47.4% year-on-year (YOY).
Go deeper with GlobalData
In Q1 2022, the financing firm registered a growth of 36.5%, and in Q4 2021 it was 22.1%
In the Germany, Austria, and Switzerland (DACH) region, GRENKE’s new leasing business saw yearly growth of 26% at €139.9m.
During the same period, the business recorded a growth of 36.5% in Western Europe – excluding DACH.
In the Southern Europe region, the new business grew most by 73% on yearly basis.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataIn Northern and Eastern Europe, the new leasing business saw growth of 63% and the other regions achieved a rise of 56.8% in contrast to the same quarter of 2021.
During the quarter under review, Grenke received a total of 138,261 leasing inquiries, which led to the demand for leasing products.
The firm concluded 72,192 new leasing contracts in Q2 2022 with a conversion rate of 52%.
For the same period, Grenke Bank’s receivables business in the factoring area reported new business with a purchased volume of receivables of €191.5m. It represents a growth of 9.3% based on Q2 2021’s performance.
Due to Covid and sales organisation, the German factoring business fell by 25% to €42.3m (Q2 2021: €56.4m), whereas, in the international market, it rose by 25.6%.
Grenke Bank’s new lending business, which was €6.1m in Q2 2021, increased by 123% to €13.6m in Q2 2022.
During the quarter, the contribution margin 2 (CM2) increased by 29.2% to €93.2m from the previous year’s €72.1m.
For the same period, the contribution margin 1 (CM1) was €61.4m, 30.1% more than the quarterly value of the previous year (€47.2m).
Grenke CFO Sebastian Hirsch said: “Our business remains highly profitable. Firstly, because the strong increase in our new business leads to a significant increase in the contribution margin. Secondly, we will pass on the higher interest rate level to the market with a manageable time lag – as in all previous phases of interest rate increases.”
