DLL delivered a solid first-half performance, highlighted by double-digit net profit growth. The company’s focus on partnerships, specialized industry knowledge and innovation, coupled with a balanced spread of activities across geographic regions and disciplined risk management, led to continued strong results.

DLL recorded net profit of $293 million in the first six months of 2018, which represented a 17 percent increase over the prior year.

“These strong interim results were made possible by an engaged and talented workforce committed to delivering a first-class experience to our vendor partners and their end-customers,” commented Bill Stephenson, CEO and Chairman of the Executive Board. “Our deployment of innovative technologies designed to improve the ease, speed and flexibility of doing business with DLL are also paying dividends in terms of productivity gains and increased customer satisfaction.” 

 Solid growth                                                                                                        

The company’s managed portfolio balance increased by 4 percent over the prior year and totaled $37.5 billion. New business originations were down slightly when compared to first half 2017, but were impacted by the transfer of the domestic Dutch leasing and consumer finance business to Rabobank in 2017. Excluding these exceptional events and currency effects, new business originations from continuing operations also exhibited solid growth.

Consistent performance
In a highly competitive market, the company reported all key performance indicators were trending within expected ranges.

“We continue to see downward pressure on pricing and margins, particularly within the North American market,” noted Marc Dierckx, Chief Financial Officer and member of the Executive Board. “However, this trend has been offset by our disciplined management of both operating expenses and risk costs.”

The company also continued efforts to diversify its funding sources, including its second securitization in the U.S. market for $824 million.

“The securitization transaction was part of DLL’s long-term growth strategy to diversify our funding base and liquidity risk,” Dierckx said. “Going forward, we intend to pursue further transactions and will look at other opportunities to complement our primary source of funding, which continues to be our parent, Rabobank.”

Strong foundation
“I am very pleased that DLL has such a strong foundation on which to build for the future, not only delivering continued growth and profit generation, but also making a real impact with our customers by providing them with essential financial flexibility and value.” added Stephenson. “Our unrelenting focus on disruptive innovation, coupled with our people and products, will further differentiate DLL as a market leader and position us for continued success in this highly competitive market.”