Market confidence has improved since December 2013 and looks set to continue, according to European leasing trade body Leaseurope and consultants Invigors.
In a shared Leaseurope and Invigors European Business Confidence Survey of over 100 respondents, 90% expected new business volumes to increase while 2% anticipated a decline, said the firms.
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The survey said expectations on the level of bad debt remain at a similar level to the previous survey with the majority of participants (62%) forecasting that bad debt will remain unchanged over the coming 6 months.
57% expect no change in profit margins, while 29% predict that margins will decrease in their organisations, the same as in the previous survey in December 2013.
The results also show over 58% of survey respondents forecast that net profits for their business will increase over the same period, again a similar percentage to that recorded last December.
Industry expectations on a number of key indicators covering service levels, expenditure and staffing also indicate improvements for the second half of 2014, and over half of respondents (57%) said their organisations are targeting expansion. Growth was focused on asset classes such as vehicles, agriculture and technology as well as geographic expansion within and outside of Europe.
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By GlobalDataRichard Ryan, EMEA partner at Invigors, said; "Business sentiment in the European asset finance industry remains bullish as the economic outlook and business finances continue to improve. Nearly 70% of respondents in the June survey are more optimistic about the prospects for the next six months, up from 60% last December."
By Brian Cantwell
