Sixt Leasing SE / Key word(s): Half Year Results/Forecast
Sixt Leasing SE: Significant decline in earnings in Q2 2020 due to additional risk provisioning as well as reduction of the earnings forecast for 2020
Pullach, 20 July 2020 - In the course of the regular review of the residual values of its leasing fleet completed today, Sixt Leasing SE has identified a need for additional risk provisioning in the mid single-digit million euro range.
As consequence of the resulting negative earnings effect, the Management Board currently expects that consolidated earnings before taxes (EBT) for the first half of 2020 will amount to EUR 2.9 million, thus deviating significantly from the EBT for the same period last year (HY 1 2019: EUR 14.1 million). In addition to the increase in risk provisions, these 2020 half-year results also take into account one-off transaction-related costs in the low to mid single-digit million euro range in connection with the completion of the public takeover offer by Hyundai Capital Bank Europe GmbH, which has since been completed.
Against this background, the Management Board assumes that the earnings forecast for the current financial year published on 20 March 2020 cannot be realised as expected and that the 2020 annual result will also be burdened by further one-off transaction-related costs in the second half of 2020 to the extent expected. Furthermore, the Management Board continues to expect a slight increase in the group's contract portfolio, and consolidated operating revenues for the 2020 financial year to be approximately on the previous year's level.
As planned, Sixt Leasing SE will publish its half-year financial report for 2020 on 12 August 2020.
Note: "Consolidated operating revenue" is not a financial figure according to IFRS. Information on the composition of consolidated operating revenues can be found on pages 37 and 38 of the Sixt Leasing SE annual report 2019 (available at https://ir.sixt-leasing.de).
20-Jul-2020 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Sixt Leasing SE
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+49 (0)89 - 744 44 - 8 5169
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