BNP Paribas Leasing Services Sp. z o.o. (the “Company”) in cooperation with the Bank, offers its clients from micro-entrepreneurs, Personal Finance, SME and corporate segments, a wide range of leasing products. Since 2018, based on the decision of Bank’s Management Board, the Company has taken over the role of the sole entity in the Bank’s Group which provides leasing services for customers of mentioned segments, dynamically increasing the scale of its activity each year.
In view of the situation related to the COVID-19 pandemic, one of the most significant risk factors was the compliance of customers with the timely repayment of their obligations to the Company. Actions undertaken in 2020 were crucial for the Company’s situation, including extension of the repayment of instalments at the request of customers as well as intensification of repayment monitoring and debt collection activities. Because of that, the Company managed to maintain a comparable quality of its portfolio limiting the impact of the pandemic on credit risk costs. Customers to whom instalment repayments were prolonged in the previous year did not noticeably contribute to the deterioration of the Company’s portfolio quality. In 2021, there were no more circumstances that required non-standard actions to be taken, and the Company only continued to monitor customers’ payment discipline very diligently, not allowing the portfolio to deteriorate.
In 2021, despite concerns about the further development of the pandemic and its impact on the health of the economy, there was a rapid recovery of the Polish market, which, in accordance with the Company’s predictions, led to a significant increase in new sales volumes. The recovery in the leasing market was in fact much stronger than the company expected, allowing it to regularly achieve or exceed the budgeted levels of newly concluded contracts, breaking its previous monthly sales records several times over. The improvement was mainly the result of the economic recovery and the increased level of investment in the corporate sector, allowing the entire industry to record clear increases in the volume of assets financed. The automotive and agricultural machinery sectors performed very well during this period. Because of effective cooperation with the Bank and its business partners, the Company was able to realise twice the sales dynamics compared to the very good results of the entire industry reported by Polish Leasing Association in 2021.
To summarise 2021, the Company has concluded 24.9 thausand new agreements for PLN 3,455,640 thousand, which was an increase of 75% compared to the 2020.