UniCredit Leasing recorded good financial results in 2005 which preserved the Company’s market leader position in equipment leasing, informed Mr. Melih Mengü, Chairman & CEO. According to such results, the Company concluded leases amounting to EUR 147 million, i.e. an increase of 84% compared to year 2004. In the same time, the total leases on the market – according to the figures issued by the Banking Leasing Association – grew only by 40%, that is from EUR 1.4 to 2.0 billion. The Company recorded a net profit of EUR 5.20 million (under IAS) i.e. an increase of 225% compared to year 2004. In 2006, the sales target is EUR 200 million, which represents a 36% increase compared to 2005, whilst the market expectation is between 10% and 15%.
The portfolio breakdown of UniCredit Leasing Romania S.A according to type of the leased asset is the following: industrial equipment 50%, vehicles 45% and real estate 5%. Total assets of the Company at 31.12. 2005 were EUR 189.4 million, compared to EUR 105.4 as of 31.12.2004, i.e. an increase of 65%. Further, during 2005, the share capital of UniCredit Leasing increased from USD 10 million to EUR 15 million, the highest value on the Romanian leasing market.
In 2005, UniCredit Leasing Romania S.A. developed a national network by opening 12 offices in Arad, Bacau, Braila, Brasov, Cluj-Napoca, Constanta, Craiova, Iasi, Oradea, Sibiu, Targu Mures and Timisoara. Further, due to the increase in the business volume, the staff increased to 82 compared to 65 as of 31.12.2004. During 2006, 17 new branches will be opened.
UniCredit Leasing Romania S.A. provides mid- and long-term financing for equipment leasing, vehicle leasing, real estate leasing and sale-and-lease-back. Among the most important criteria of selecting the leases are the feasibility of the investment project and the professional experience of the investor. The lease portfolio includes many lessees, from large multinationals to public entities, municipalities and small and medium size enterprises, all of which have grown based on the support granted by UniCredit Leasing Romania S.A. during the past 10 years. In 2005, UniCredit Leasing was awarded the public auction organised by the Ministry of Justice and the Public Ministry for EUR 20 million intended for IT equipment, and the contract was signed in early 2006. The financing of the local authorities and public institutions will be one of the targets of UniCredit Leasing in 2006.
UniCredit Leasing Romania S.A. is a founding member of the Banking Leasing Association, the professional organisation established last year, reuniting 15 leasing companies and holding approximately 60% of the total leasing market. As a result of the initiative and continuous efforts deployed in 2005 by the Banking Leasing Association, the non-banking activity was regulated by the first time in Romania by a piece of legislation enacted at the beginning of 2006.
UniCredit Leasing Romania S.A is the first leasing company incorporated in Romania, back in 1994, under the name of Romlease S.A. UniCredit Group, the main shareholder of UniCredit Leasing Romania S.A, is one of the most important financial groups in Europe, with a market value of of EUR 60 billion and total assets over EUR 750 billion. UniCredit Group owns also Locat Leasing S.p.A., the largest leasing company in Italy in terms of market share. UniCredit Group operates in Romania through UniCredit Romania Bank, HVB Bank Romania and Banca Þiriac.
