Grenke surpasses €3bn in leasing new business for 2024

grenke AG, a global financing partner for small and medium-sized enterprises (SMEs), has announced a record-breaking achievement in its leasing new business, surpassing €3 billion for the first time in its history. With this success, the company reached its ambitious full-year target of €3.0–3.2 billion in 2024, marking an 18.4% increase over the previous year.

The company reported total leasing new business of €3,057.0 million for 2024, up from €2,581.3 million in 2023. grenke also delivered robust profitability growth, with its contribution margin 2 (CM2) increasing by 21.6% year-on-year to €518.5 million. This resulted in a higher CM2 margin of 17.0%, up from 16.5% in 2023, exceeding annual expectations.

“This milestone represents a significant step on our ambitious growth path. We are proud to have reached this new level and will carry this momentum into 2025, he added.

“Particularly in the final quarter, we were able to significantly increase our CM2 margin to 17.4%, despite the strong growth in volume. This performance lays a solid foundation for our earnings growth in 2025, which will continue to be shaped by risk provisions around our historical average level.”

In the fourth quarter of 2024, grenke recorded a 17.6% year-on-year increase in leasing new business, reaching €858.4 million. CM2 growth outpaced business volume growth, rising by 27.3% to €149.2 million. The CM2 margin for the quarter climbed to 17.4%, compared to 16.1% in Q4 2023.

Growth across all segments

grenke’s diversified portfolio fuelled growth across all object categories. Notably, the machinery and equipment segment accounted for 16.4% of new leasing contracts in Q4 2024, up from 15.4% the prior year. Key growth drivers included industrial machinery, workshop equipment, and office and hospitality installations.

The company also expanded its international reach, increasing its network of specialist reseller partners to 39.4 thousand, compared to 36.2 thousand at the end of 2023. The direct sales channel accounted for 17.1% of total leasing new business, maintaining its share from the previous year.

Regional highlights

Western Europe (excluding the DACH region) was the strongest performing area, with 11.3% growth in Q4 2024, contributing €224.2 million to new leasing business. France led the region, representing 19.8% of total leasing new business.

Southern Europe followed, with Italy driving a 16.1% increase in regional volume, contributing €200.8 million. The DACH region, led by Germany, posted a 22.0% growth to €194.4 million. Northern/Eastern Europe grew by 21.0%, while emerging markets, including the USA, Canada, and Australia, achieved a combined 25.5% increase.

Rising demand for leasing solutions

grenke experienced growing demand for leasing solutions in 2024, with lease applications rising 9% to approximately 160,000 in Q4. The number of new lease contracts climbed 7% year-on-year to 81,000, with an average ticket size of €10,638, up from €9,676 in Q4 2023.

Deposit and factoring businesses thrive

grenke’s deposit business saw a 37.7% increase, reaching €2,230.6 million by year-end. The factoring business grew by 1.8% to €234.6 million in Q4 2024, while lending new business in the microcredit segment totalled €10.5 million.

grenke’s full annual report for 2024 will be released on March 13, 2025.