DGAP-News

GRENKELEASING AG: GRENKELEASING increases profits by 13 % - Seite 2

Having posted a small negative result in the previous year, the profit from
disposals was positive again at EUR 2.0 million in 2010 and was thus almost
at the level of the pre-crisis year 2008.

In total, operating income increased by 15.8 % to EUR 96.8 million in 2010
(previous year: EUR 83.6 million). The increase in personnel expenses
remained well below average at 11.5 % and was mainly due to the current
development in salaries (variable remuneration). The number of employees
rose by 6.1 %.

In addition to the limited impact of the first-time consolidation of GRENKE
BANK AG and GRENKEFACTORING GmbH for a full twelve-month period, operating
expenses also reflect the acceleration in the push for growth in 2010 in
particular. Accordingly, selling and administration expenses especially
have increased significantly, at 20.7 %. We deliberately factored in this
increase to support the strong expansion in new business and to prepare for
further growth.

Earnings before taxes amounted to a total of EUR 36.5 million in 2010,
following the reduction in the previous year caused by the recession
(previous year: EUR 33.6 million), an increase of 8.6 %. Net profit was up
13.1 % at EUR 27.8 million (previous year: EUR 24.6 million). Earnings per
share came to EUR 2.03 after EUR 1.80 in 2009.

The GRENKE Group traditionally holds a substantial equity base, with the
strategic target set at 16 %. This provides the basis for our high rating
and grants us access to attractive refinancing opportunities. During the
very difficult years for the international financial sector caused by the
recent crisis, the equity ratio was systematically increased well above
this level owing to risk considerations. At the end of the fiscal year it
stood at 17.2 %. GRENKE therefore possesses a good base which allows for
further strong growth in the future and also for proposing a dividend of
EUR 0.70 per share for the fiscal year 2010 (previous year: EUR 0.60), that
is, an increase in line with the increase in the net profit.

´At the end of the worst recession in post-war history, we can say that our
finely honed scoring process to evaluate credit risks arising from lease
agreements has fully proved itself. We are very confident regarding the
fiscal year 2011. Growth in fiscal year 2010 has been driven by the
extraordinary concurrence of the relatively low base of the recessionary
year 2009 with the very rapid economic upturn in 2010 and little
competitive intensity in our international markets and we therefore expect
growth to normalise in 2011. Notwithstanding this, we again expect to