Arval reports strong business growth in 2024 half-year results

Arval, a global player in full-service vehicle leasing and mobility solutions, has reported its financial results for the first half of 2024, showcasing solid growth and resilience in a gradually normalising market for used vehicles.

Key highlights include:

• Financed fleet: Increased by 6.4% to 1.75 million vehicles worldwide.
• Financial outstanding: Up by 20.9% compared to H1 2023.
• Gross operating income: €1,445.6 million, down 6.9% year-over-year due to the normalisation of used vehicle prices.
• Net income: €688.8 million, reflecting a 10.6% decline from H1 2023.

The company’s fleet expansion was driven by robust demand across both corporate and retail segments. The corporate segment’s fleet grew to 1,163,233 vehicles (+6.3%), while the retail fleet surged to 532,827 vehicles (+9.5%). Notably, Arval’s electric vehicle (EV) portfolio saw exceptional growth, with a 38.9% rise in electrified vehicles, reaching 508,949, including a 64.7% increase in battery electric vehicles.

Arval’s commitment to the energy transition is evident through its expansion of EV offerings and partnerships, including a strategic agreement with Chinese automaker BYD. The company also launched Arval Charging Services, a comprehensive EV charging solution for both businesses and individuals, and established Arval Energy, focused on smart charging and energy storage solutions through innovations like Vehicle-to-Grid (V2G) technology.

Despite a 6.9% decline in gross operating income, the company saw strong underlying growth, particularly in financial and service margins, which offset the impact of softening used car prices. Excluding the impact of vehicle sales, gross operating income rose by 14.2%, demonstrating Arval’s ability to navigate changing market dynamics. Operating expenses were well-controlled, rising by only 4.1%, while the cost of risk remained low at 18 basis points, showing prudent financial management.

“Arval delivered a strong performance in the first half of 2024, with a financed fleet of 1.75 million vehicles, up by 6.4% compared to 30 June 2023, and with financial outstanding increasing by 20.9%. In a context of gradual normalisation of used vehicle prices, our gross operating income showed good resilience thanks to the increase in our financial outstanding.”

Looking ahead, Arval is continuing to expand its 2025 Arval Beyond strategy, with a focus on sustainable mobility solutions. By the end of 2024, Arval aims for 80% of its fleet to be connected, highlighting its focus on digital transformation and fleet management efficiency.