Ayvens (AYV) H2 2024 earnings summary

Executive summary

• FY 2024 net income group share was EUR 684 million, with Q4 net income at EUR 160 million, marking a turnaround from the prior year's Q4 loss.

• Gross operating income for FY 2024 reached EUR 3,014 million, up 3.6% year-over-year; Q4 2024 gross operating income was EUR 713 million, up 27.3% from Q4 2023.

• LeasePlan integration progressed well, achieving EUR 121 million in synergies, with IT migrations completed in 7 countries and full consolidation for FY 2024.

• Brand and operations expanded, with Ayvens now live in 36 countries and notable commercial wins in the international corporate segment.

• Provision of EUR 93 million recorded for UK motor finance commissions, impacting 2024 margins; further developments expected in 2025.

Financial highlights

• Leasing and services margins for FY 2024 were EUR 2,697 million, up 33.1% year-over-year; Q4 2024 at EUR 675 million, up 44.9%.

• Used car sales result per unit (excluding depreciation) was EUR 1,267 in Q4 2024 and EUR 1,455 for the year; FY 2024 total UCS result was EUR 908 million, down 15.8% year-over-year.

• Cost-to-income ratio improved to 60.2% in Q4 and 63.2% for the year.

• Cost of risk for FY 2024 was 24 bps (EUR 129 million); Q4 2024 cost of risk at EUR 36 million (27 bps annualized).

• Operating expenses for FY 2024 were EUR 1,899 million, up 19.3% year-over-year; Q4 2024 at EUR 434–475 million.

Outlook and guidance

• PowerUP 2026 targets confirmed: earning assets growth of 6% p.a., pre-tax synergies of EUR 440 million, cost-to-income ratio (ex-UCS/non-recurring) at 52%, CET1 minimum 12%, 50% dividend payout, and RoTE of 13–15%.

• 2025 guidance: UCS result per unit EUR 700–1,100 (excl. depreciation), pre-tax synergies EUR 350 million, cost/income ratio (excl. UCS and non-recurring) 57–59%.

• Strategic focus on integration, sustainable growth, EV transition, and maintaining high ESG standards.