GRENKE AG

Latest Results (07.11.2025):

GRENKE AG’s latest financial report for Q2 2025 shows a mixed picture: while Group earnings and operating results are under pressure compared to previous periods, the company is demonstrating key improvements in its cost-income ratio and loss rate. Alongside robust interest income growth, the report highlights strategic moves including the near completion of franchise acquisitions, all of which contribute to a cautiously optimistic outlook for the full 2025 financial year.

Earnings & Loss Developments

In Q2 2025, GRENKE AG reported a loss rate improvement—falling from 1.9% in Q1 2025 to 1.7%—with first half-year Group earnings at EUR 26.2 million (compared to EUR 45.0 million in Q1-Q2 2024). This performance reflects higher expenses for settlement of claims and risk provision, as anticipated in updated plans.

Cost-Income & Operating Performance

Operating results in Q2 2025 show progress with an improved cost-income ratio of 56.1% and a 12.2% increase in the operating result before settlements, reaching EUR 71.5 million. However, the overall operating result was impacted by elevated settlement expenses, resulting in Group earnings of EUR 16.0 million for Q2 2025.

Interest & Revenue Growth

The quarter also saw a strong performance in interest income, which rose by EUR 24.7 million to EUR 165.0 million, driving net interest income up by 11.6% to EUR 100.9 million. This, along with gains in operating business driven by improved service business and disposals, led to a rise in operating income by EUR 17.0 million.

Strategic Initiatives & Future Guidance

GRENKE AG is advancing its strategic plans, with the acquisition of the remaining franchise companies in the final phase and the completion of significant deals such as the transfer of its Polish factoring company to Teylor AG. The company reaffirmed its 2025 guidance, aiming for leasing new business between EUR 3.2 and 3.4 billion and Group earnings of EUR 71 to 81 million, supported by stable equity levels and expanding lease receivables.