Aldermore Share Discussion Threads

[ariane] 28/9/2023 08:38

Euronext Paris 03:36:59 2023-09-28 am EDT






7.210 EUR -0.89%

[the grumpy old men] 27/9/2023 08:31

Euronext Paris 03:28:32 2023-09-27 am EDT






7.535 EUR -0.72%

[maywillow] 25/9/2023 14:13

Euronext Paris 12:11:27 2023-09-25 pm


ALD



7.695 EUR -3.63%

[the grumpy old men] 23/9/2023 08:44

Analysts' Consensus

Mean consensus

BUY

Number of Analysts
9

Last Close Price
7.985EUR

Average target price
15.27EUR
Spread / Average Target
+91.19%

High Price Target
22.00EUR
Spread / Highest target
+175.52%

Low Price Target
9.000EUR
Spread / Lowest Target
+12.71%

[the grumpy old men] 23/9/2023 08:39

ALD | LeasePlan releases its strategic plan and financial objectives to 2026
September 18, 2023 at 01:07 am EDT
Share

ALD | LeasePlan is releasing today its new “PowerUP 2026” strategic plan.

At this occasion, Tim Albertsen, Chief Executive Officer, and the management team will be presenting a detailed overview of ALD | LeasePlan’s ambitions and main strategic operational and financial objectives on 21 September 2023 in Paris.



“PowerUP 2026” strategic plan

The “PowerUP 2026” strategic plan follows the recent closing of the LeasePlan acquisition on 22 May 2023, which established ALD | LeasePlan’s leadership position in the mobility sector, well ahead of the ambitions stated in the previous strategic plan, “Move 2025”.

ALD | LeasePlan now ranks #1 global multi-brand and multi-channel car leasing player and #1 in 29 countries. Offering the most valuable and innovative products to all client segments, it operated a total fleet of 3.4 million1 fleet as at 30 June 2023, twice the size of its nearest competitor. ALD | LeasePlan owns the largest multi-brand Electric Vehicles (EVs) fleet in the world, at 428,000 vehicles, which reflects its leading role in the transition to sustainable mobility.

The mobility sector benefits from strong and structural growth, driven by long-term megatrends:

Structural transition from ownership to usership is expected to accelerate, lifting the European usership market from 4.9 million vehicles in 2021 to 9.5 million vehicles in 2030, i.e. +7.7% CAGR compared to 2021. All client segments are expected to grow, in particular the consumer market2;
Demand for electrification is also set to accelerate, with c. 70% of new passenger cars and light commercial vehicles expected to be electric in Europe by 20303;
Increasing digitalization, emerging ecosystems and evolving competition are creating further growth opportunities.

Against this backdrop, the combination of its undisputed leadership, powerful global operating platform and strong financial profile, provides a unique position to ALD | LeasePlan to create value in the mobility industry.

With “PowerUP 2026”, ALD | LeasePlan will leverage on the power of leadership to shape the future of mobility and achieve excellence, by executing a strategic plan articulated around 4 priorities: clients, operational efficiency, responsibility and profitability.

Clients

ALD | LeasePlan plans to launch a new brand by the end of the year, to create a powerful new identity from two highly reputed industry players.

A one-stop shop with the broadest client reach, geographical coverage and the largest distribution capabilities through more than 430 partnerships, ALD | LeasePlan is best placed to answer customers’ changing needs.

ALD | LeasePlan expects that its earning assets4 will grow strongly by +6%5 CAGR between 2023 and 2026, driven by higher-value vehicles (underpinned by the rising share of EVs6 in the funded fleet) and selective growth strategy to meet the Group’s profitability targets. Furthermore, the objective of reaching 200,000 active users of its MaaS7 platform, launched in 2022, by 2026, reflects its strong ambition to lead the transition to sustainable mobility and go beyond electrification, into MaaS.


Operational efficiency

The efficient integration of LeasePlan is key in the success of ALD | LeasePlan’s strategy. Conducted by the industry’s best leadership team and people who share the same international culture and performance mindset, the integration of LeasePlan is fully on track.

The Group’s first objectives were reached according to plan, allowing to confirm EUR 440 million annual run-rate synergies by 2026, evenly split between margin and procurement synergies on the one hand and cost synergies on the other hand.

ALD | LeasePlan expects that a substantial share of procurement synergies will stem from price and bonus improvement (c. 25% of total procurement synergies from price and bonus improvement on vehicles), while steering and cost control would also be strong sources of procurement synergies.

With “PowerUP 2026”, ALD | LeasePlan will build the most efficient scalable global operating platform and derive cost synergies from efficiency improvements in the operating processes, IT cost savings as well as direct spend savings, including on real estate. As an illustration, IT cost per vehicle would be reduced by c. 20%, while fleet / FTE8 ratio would improve by 15% in 2026 compared to 2022.

By 2026, ALD | LeasePlan will improve its Cost / Income ratio (excluding Used Car Sales results) to best-in-class level of c. 52%, from 56%9 in 2022.

Responsibility

ESG and risk management are at the core of ALD | LeasePlan’s strategy and drive every one of the Group’s actions.

ALD | LeasePlan will continue leading the way to sustainable mobility by always advising its clients about the greenest way. As a result, it targets EVs to attain 50% of new car registrations by 2026, a strong increase from 28% in 2022. By providing end-to-end solutions, the Group makes it simple for clients to choose electric and targets that 400,000 drivers will connect to its eMSP10 joint venture with ChargePoint, to be launched by the end of 2023.

“PowerUP 2026” contains ambitious decarbonization objectives. ALD | LeasePlan plans to sharply decrease the CO2 emissions of its running fleet to less than 90g/km11 on average by 2026 vs. 112g in 2022 and to decrease its internal CO2 emissions12 by -35% in 2026 vs. 2019. ALD | LeasePlan’s people make the difference and therefore the company targets to maintain a high employee engagement rate of 75% in 2026.

Meanwhile, the Group will continue managing its risks responsibly, to ensure a strong and resilient performance over the long term. Its risk management lays on solid foundations, with a robust governance framework, the leverage of its parent Societe Generale’s best-in-class policies and resources, as well as stronger risk management practices aligned with the Financial Holding Company regulated status and supervision by the European Central Bank.

ALD | LeasePlan has a strong framework in place to manage residual value risk, its largest risk, throughout the asset’s life cycle. Additionally, its global multi-channel remarketing platform (600,000 vehicles sold p.a., access to a large range of buyers in 36 countries, of which 24,000 active traders) together with growing multi-cycle lease capabilities are efficient operational risk mitigants.

Profitability

The combination of ALD and LeasePlan is highly synergetic. With “PowerUP 2026”, ALD | LeasePlan targets to achieve 13% to 15% Return on Tangible Equity13 (ROTE) by 2026, a level at the high end of the financial sector. High capital generation will contribute to a robust capital position, with target Core Equity Tier 1 (CET 1) ratio at c. 12%. Furthermore, ALD | LeasePlan targets a dividend payout ratio of 50%14 throughout the 2023-2026 period, thus providing attractive returns to shareholders.



Financial targets to 2026

ALD | LeasePlan’s operating environment changed abruptly over the recent years. The Group anticipates that inflation will remain high in 2023 before it gradually normalizes in 2024. Interest rates are expected to peak in 2023 and remain at a high level, leading to modest GDP growth in Western Europe. After a couple of years of disruptions in supply and logistic chains, new car production in Europe would normalize starting 2024 towards 2026. The shift to higher-value Electric Vehicles is expected to accelerate.

The Group applies the IFRS 3 “Business combinations” standard, whereby a Purchase Price Allocation (PPA) exercise is conducted. This exercise is currently ongoing. ALD | LeasePlan expects that the identification and recognition at fair value of acquired assets and liabilities will be completed by end 2023. Main items covered comprise the valuation of:

LeasePlan vehicles’ cash flows;
Intangible assets relating to customer relationships.

Limited impacts are expected from this PPA exercise on the opening balance sheet:

Balance sheet: limited impact given the similarities between ALD and LeasePlan’s approaches to vehicles valuation;
CET 1 capital: limited impact from upfront gain related to UCS depreciation curve alignment and intangible assets recognition;
Income statement: prudent UCS profit assumed for the purpose of the PPA. For ALD in 2026, assumptions are at c. 20% of the 2023 anticipated level (before the impact of reduction in depreciation costs).

ALD | LeasePlan’s financial objectives to 2026 reflect the company’s ambition to grow its activity strongly throughout the period, while substantially improving its operating efficiency to best-in-class levels and maintaining robust solvency levels.

Earning Assets CAGR of 6% between 2023 and 2026;
Total annual pre-tax synergies confirmed at EUR 440 million by 2026, with progressive ramp-up: EUR 120 million by 2024, EUR 350 million by 2025, and the full amount of EUR 440 million by 2026;
Total cumulated costs to achieve of EUR 525 million over 2022-2025. After EUR 128 million accounted for in 2022, ALD | LeasePlan expects these costs to reach a peak in 2023 and 2024 (EUR 170 million and EUR 190 million respectively), before they go down to EUR 37 million in 2025;
Cost / income ratio (excluding Used Car Sales results) of c. 52% in 2026, from 56%15 in 2022. The improvement is explained by:
Margin increase (inflation on car prices and fleet growth): -9 percentage points;
Synergies: -10 percentage points, only partially balanced by
Costs related to capital and liquidity optimization, regulatory and funding: +5 percentage points;
Inflation on overheads and cost of regulation: +10 percentage points.

At c. 52% in 2026, ALD | LeasePlan’s Cost / Income positions as best-in-class, allowing ALD | LeasePlan to decisively widen the gap with competitors and reinforce its financial profile.

The deviation from the previous guidance of 47%, issued on 29 November 2022, is explained by higher inflation and LeasePlan IT costs that are currently being reviewed as part of ALD | LeasePlan’s global digital architecture definition;

Return on Tangible Equity in the range of 13%-15% in 2026, at the high end of the financial sector;
Target CET1 ratio at 12% and Total Capital ratio at 16%;
Dividend payout ratio at 50%.

Thanks to LeasePlan, the Group has access to a significant base of deposits, amounting to EUR 11 billion as at 30 June 2023, thereby strongly increasing the diversification of its funding sources. Funding from parent Societe Generale, bonds and retail deposits would each account for between 25% and 30% of total funding, while securitization and commercial loans would represent c. 10% each.

An established issuer on the market, ALD | LeasePlan has the best credit ratings among multi-brand car leasing player: Moody’s A1, Standard & Poor’s A- and Fitch A-. The Group expects to issue annually EUR 4-5 billion bonds through ALD S.A., EUR 1-1.5 billion securitization while increasing its retail deposits base by c. EUR 1 billion p.a.

On successful completion of “PowerUP 2026”, ALD | LeasePlan will shape the future of mobility and address fast-growing markets from a clear leadership position, combining undisputed industry leadership, best position to capture growth and lead the transition to sustainable mobility, best-in-class operating efficiency, robust financial profile and strong track record of high profitability through the cycle.

Further details around ALD | LeasePlan’s strategic targets will be presented on 21 September 2023, when ALD | LeasePlan holds its Capital Markets Day.

About ALD | LeasePlan’s Capital Markets Day

Date: 21 September 2023, at 14.00 Paris time (13.00 London time)

Speakers:

Tim Albertsen, CEO
John Saffrett, Deputy CEO
Berno Kleinherenbrink, Deputy CEO
Patrick Sommelet, Deputy CEO and CFO

Webcast: hxxps://edge.media-server.com/mmc/p/cx7n2y8w


Agenda

21 September 2023: Capital Markets Day presentation
3 November 2023: Trading update and Q3 results
8 February 2024: Q4 and FY 2023 results

Press contact

ALD Automotive | LeasePlan
Stephanie Jonville
ALD Communication Department
Tel.: [phone]
[e-mail]


About



ALD | LeasePlan

ALD | LeasePlan is a leading global sustainable mobility player providing full-service leasing, flexible subscription services, fleet management services and multi-mobility solutions to a client base of large corporates, SMEs, professionals and private individuals. With the broadest coverage in 44 countries through direct presence, ALD | LeasePlan is leveraging its unique position to lead the way to net zero and further shape the digital transformation of the industry through innovation and technology-enabled services to enable the transformation towards large scale adoption of sustainable mobility.

With 15,700 employees worldwide, ALD | LeasePlan manages 3.4 million vehicles (at end June 2023). ALD, whose majority shareholder is Societe Generale, is the listed company on Compartment A of Euronext Paris (ISIN: FR0013258662; Ticker: ALD).

[the grumpy old men] 23/9/2023 08:36

Euronext Paris 11:35:02 2023-09-22 am EDT

ALD


7.985 EUR -2.44%

[grupo] 22/9/2023 08:52

Euronext Paris 03:50:45 2023-09-22 am EDT



8.065 EUR -1.47%

[adrian j boris] 21/9/2023 09:04

Euronext Paris 03:58:16 2023-09-21 am EDT


ALD



8.270 EUR -0.36%

[ariane] 20/9/2023 09:00

Stifel Keeps ALD Automotive at Buy, Lowers PT
September 19, 2023 at 07:56 am EDT

(MT Newswires) -- Stifel on Tuesday retained the buy rating of ALD Automotive (ALD.PA) and trimmed the price target to 19.00 euros from 20.00 euros.

Shares of the French car leasing company lost 5% in afternoon trading.

(MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: hxxps://www.mtnewswires.com/contact-us)

[ariane] 20/9/2023 08:58

Euronext Paris 0:57:08 2023-09-20 am

ALD


8.410 EUR +4.08%

[the grumpy old men] 18/9/2023 10:53

Euronext Paris 05:51:05 2023-09-18 am EDT


8.720 EUR -11.65%

[sarkasm] 18/9/2023 08:53

Euronext Paris 0:51:50 2023-09-18 am

ALD


8.500 EUR -13.88%

[grupo guitarlumber] 16/9/2023 08:01

e Euronext Paris 11:35:14 2023-09-15 am EDT



9.870 EUR -0.10%


Heres hoping it will convincingly crash the resistance barrier

[sarkasm] 15/9/2023 12:17

Euronext Paris 07:11:30 2023-09-15 am EDT


ALD



9.980 EUR +1.01%

[sarkasm] 14/9/2023 09:10

Euronext Paris 04:09:12 2023-09-14 am EDT

ALD



9.655 EUR +0.52%

[grupo guitarlumber] 13/9/2023 10:55

Euronext Paris 05:53:01 2023-09-13 am EDT


9.630 EUR +1.58%

[grupo guitarlumber] 12/9/2023 08:49

Euronext Paris - 03:47:22 2023-09-12 am EDT


ALD


9.395 EUR +0.54%

[adrian j boris] 11/9/2023 09:15

Euronext Paris - 04:14:28 2023-09-11 am EDT



9.345 EUR +0.97%

[la forge] 09/9/2023 08:38

Euronext Paris - 11:35:17 2023-09-08 am EDT


ALD



9.255 EUR +1.37%

[adrian j boris] 06/9/2023 08:43

Euronext Paris - 03:37:34 2023-09-06 am EDT





9.235 EUR +0.44%

[misca2] 05/9/2023 10:30

Euronext Paris - 0:26:10 2023-09-05 am



Intraday chart for ALD 5-day change 1st Jan Change


9.220 EUR -0.91%

[ariane] 01/9/2023 10:21

Euronext Paris - 05:19:19 2023-09-01 am EDT



9.090 EUR +1.73%

[adrian j boris] 31/8/2023 08:40

Euronext Paris - 03:38:57 2023-08-31 am EDT

ALD



8.955 EUR +0.22%

[ariane] 30/8/2023 08:37

Euronext Paris - 03:36:33 2023-08-30 am EDT

8.795 EUR -1.68%