Ayvens (AYV) H2 2024 earnings summary

Executive summary

• Achieved solid Q4 and FY 2024 results, with strong operational and financial performance, improved margins, and cost reductions, driven by successful LeasePlan integration and expanded commercial franchise.

• LeasePlan integration milestones met, delivering EUR 121 million in synergies, with IT and legal integration completed in key countries and treasury streamlined.

• Net income group share was EUR 160 million in Q4 and EUR 684 million for FY 2024, down 10.1% year-over-year but a sharp turnaround from Q4 2023 loss.

• Maintained high regulatory and asset risk standards, confirmed by ECB's SREP review.

• PowerUP 2026 targets confirmed, with 2025 guidance published as an intermediary step.

Financial highlights

• Underlying margins reached 541 bps in Q4 and 532 bps for 2024; Leasing & Services margins at EUR 675 million in Q4 (+44.9% YoY) and EUR 2,697 million for 2024 (+33.1% YoY).

• Used car sales result per vehicle was EUR 1,267 in Q4 2024 and EUR 1,455 for 2024; total UCS result for FY 2024 at EUR 908 million, down 15.8% YoY.

• Cost-to-income ratio improved to 60.2% in Q4 and 63.2% for 2024, outperforming guidance.

• CET1 ratio stood at 12.6% at year-end, stable versus Q3, with a proposed dividend of EUR 0.37 per share (50% payout).

• Earning assets grew by 2.9% year-over-year to EUR 53.6 billion.

Outlook and guidance

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

• 2025 UCS results before depreciation expected at EUR 700-1,100 per unit; after depreciation, EUR 300-700 per unit.

• 2025 cost-to-income ratio (ex-non-recurring) expected at 57-59%.

• CTA for 2025 guided at EUR 115-125 million.

• Focus for 2025 on finalizing integration, resuming fleet growth, and maintaining high ESG standards.