German IT finance provider Grenkeleasing
expects strong growth for the remainder of this year after
reporting a 44.8 percent increase in net profit for Q1 2011.
Net profit in Q1 2011 was €8.4m, up from €5.8m
in Q1 2010. Grenkeleasing explained that the emphasis on growth
after the end of the financial market crisis and the focus on
increasing new business were reflected in a sharp rise in earnings
in Q1 2011.
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Total operating income jumped by 31.5 per cent
to €28.4m after €21.6m in Q1 2010.
The negative impact from the settlement of
claims and risk provisioning fell from €9.5m in Q1 2010 compared to
€8.1m Q1 this year – a drop of 14.7 percent. Irrespective of the
usual fluctuations during the quarter, Grenkeleasing said this
decline shows that the loss rate has dropped significantly from the
cyclical high point of the last recession.
“Our expansion strategy is continuing in full
swing,” said Wolfgang Grenke, chairman of the board of directors of
Grenkeleasing.
Grenke added that in Q1 2011 the Grenke Group,
including its franchise partners increased its new business by
almost 28 percent.
Grenkeleasing has forecast a consolidated net
profit of between €33m to €36m for the current fiscal year.
nick.huber@vrlfinancialnews.com
