2017-07-21 | Weingarten
CHG-MERIDIAN remained on a path of growth in the first half of 2017, with the volume of lease originations increasing by €74 million – or around 15 percent – compared with the prior-year period. Thanks to innovative products and services along with increasing customer demand, the volume of leases originated rose to €583 million in the first six months of 2017 (H1 2016: €509 million). "CHG-MERIDIAN has had a successful first half of 2017, achieving broad-based and dynamic growth in the volume of lease origination in Germany and in the international markets. Thus, we are optimistic for the remaining year," said Dr. Mathias Wagner, Chairman of the Board of Management of the CHG-MERIDIAN Group. According to Dr. Wagner, there was also encouraging growth in the leases originated with healthcare and industrial technologies, which were added to the Company's technology portfolio only a few years ago.
With 37 sites in 23 countries, CHG-MERIDIAN offers non-captive solutions for the management and financing of technology investments to multinational companies, small and medium-sized enterprises, and public-sector customers. It focuses on technologies in the fields of IT, healthcare, and industry.
CHG-MERIDIAN notched up sustainable growth both in Germany and International in the reporting period. Leases originated in Germany again rose significantly, climbing by 17 percent to €289 million (H1 2016: €247 million), while the total volume of leases originated internationally was up by around 13 percent to €294 million in the first six months (H1 2016: €261 million).
The CHG-MERIDIAN Group generated a gross margin of just under €84 million in the first half of 2017 (H1 2016: €77 million), which equates to an increase of approximately 9 percent. In the first six months of this year, international business made its biggest contribution yet to the Group's overall success: The total gross margin for the markets outside of Germany rose by 21 percent to €38 million in the reporting period (H1 2016: €31 million).
The increase in the remarketing of assets at the end of their useful life and in certified data erasure continued unabated. CHG-MERIDIAN sold almost 252,000 pieces of remarketed equipment at its Technology and Service Centers near Frankfurt am Main (Germany) and in Skien (Norway), which constitutes a rise of around 23 percent (H1 2016: 205,000 assets).
More and more customers are also taking advantage of CHG-MERIDIAN's data erasure services. The certified processes are offered with various security levels depending on the sensitivity of the data. In the first six months of 2017, the number of assets undergoing certified data erasure reached a record 64,000 (H1 2016: 57,000 assets).
CHG-MERIDIAN opened up further opportunities for growth in the area of data erasure in June 2017, when it introduced a newly developed erasure process for printer systems. The Company is the first to launch a data erasure process for printer systems, certified by the TÜV product standards regulator, that can be applied to all manufacturers and models. In June, the acceptance test carried out by TÜV NORD in Germany was passed at the Technology and Service Center near Frankfurt. The advances in data erasure offered by the process will be a real benefit to all Output Solutions customers with integrated printer systems.
"This represents a useful addition to the portfolio of end-of-life products and services that we offer as an expert in the professional reconditioning and remarketing of equipment. Our intelligent solution for printer systems not only enhances our sales potential but also plays a key part in protecting the sensitive data of companies and institutions," said Dr. Wagner.
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