Grenke AG, the German-based financier for global SMEs, posted Group earnings of €26.2 million in the first half of 2025 (H1 2024: €45.0 million), reflecting planned higher expenses for claims settlement and risk provisions. The loss rate averaged 1.7% for the half-year, up from 1.1% a year earlier, but improving from Q1’s 1.9% to 1.7% in Q2.
Leasing division powers growth – New leasing business rose 9.8% in Q2 to €867.4 million, lifting lease receivables to €6.9 billion (Dec 31, 2024: €6.5 billion). This performance keeps Grenke on track to hit its full-year leasing target of €3.2–3.4 billion.
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Q2 momentum builds – Net interest income climbed 11.6% year-on-year to €100.9 million, driven by higher interest income (+€24.7 million to €165.0 million). Operating income from leasing and service businesses rose €17.0 million to €162.8 million, while operating expenses grew by a controlled €9.3 million, bringing the cost-income ratio down to 56.1% – well within the <60% target.
Operational resilience – Despite a €47.1 million hit from claims and provisions due to elevated insolvencies, Grenke delivered a Q2 operating result of €22.5 million and Group earnings of €16.0 million, marking a quarter-on-quarter profit recovery.
Strategic progress in leasing footprint – Grenke finalised the takeover of its Chile leasing franchise and is set to acquire operations in Latvia and Canada, completing a multi-year consolidation of original franchise partners for around €70 million.
CEO Dr Sebastian Hirsch: “The Q2 profit rebound signals a turning point. Leasing growth is solid, our cost discipline is paying off, and we remain on course for our full-year targets.”
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By GlobalDataCFO Dr Martin Paal: “We’ve passed the peak in losses and are managing costs in line with plan. This gives us confidence heading into the second half.”
2025 guidance reaffirmed – Group earnings expected at €71–81 million; leasing new business at €3.2–3.4 billion.
