Contents Foreword Management report Corporate governance
Consolidated Financial Statements
Company Financial Statements
Pillar 3
Each year, DLL conducts a survey of its global vendor finance
partners for our Food Agriculture, Healthcare, Clean
technology, Office technology and Construction, Transportation
and Industrial business lines. With over 3,000 partners in more
than 30 countries responding, their Overall Satisfaction levels
remained quite strong, as evidenced by 84% of the respondents
reporting that they were 'Satisfied' or 'Very Satisfied' with the
service and support they receive from DLL. Moreover, customer
loyalty levels (Net Promoter Score) and continued to perform
well above industry benchmarks.
In November 2016, DLL surpassed its competition and won
the Leasing Life Vendor Finance Provider Award (for more info
please see here). This award can be seen as a validation of
DLL's business strategy and focus on customer satisfaction and
business development.
Worldwide activities
The core of DLL's international activities is vendor finance,
which supports manufacturers and distributors in selling more
products and services to their end-customers by means of
leasing and finance solutions. DLL's vendor finance business
model is built on more than 45 years of experience and
focuses on establishing and maintaining long-term alliances in
several specialist industries. DLL offers financing options that
support customers' sales objectives, processes and distribution
channels, and enrich their value proposition in mature
markets. Additionally, they help customers get a foothold and
grow market share in emerging markets. DLL has continually
optimised the model to adapt to changes in the accounting
and regulatory environment. The ability to deliver such
global solutions has helped DLL successfully establish new
partnerships with many leading manufacturers.
The largest market for vendor finance within DLL is Food
Agriculture, followed by Construction, Transportation, Industrial,
and Office technology. More information about the industry
expertise of DLL can be found here.
While vendor finance is its core business, DLL provides leasing,
factoring and consumer finance in the Netherlands. Consumer
finance goes through Rabobank brands and Freo, an online
provider of consumer credit, which stands for diligent, beneficial
and fair lending. In 2016, Freo received five stars from MoneyView,
the maximum product appreciation, for its 'Doorlopend Krediet'
(revolving credit) product in the categories Price and Product.
The total consumer loan portfolio on 31 December 2016 totalled
EUR 1.5 (1.4) billion.
In the Netherlands consumer finance (including Freo), factoring
and leasing via Rabobank, are expected to be transferred to
Rabobank in 2017. We intend to expand these activities, and in
2016 we spent time preparing for this transfer.
As facilitating and financing the frontrunners in sustainability
is a KPI within Rabobank's sustainability programme, SST, DLL
offers frontrunners specific knowledge and products to develop
their circular economy ambitions.
Clean technology: Financing energy efficiency and
alternative energy use
In 2016, the volume of new business within the Clean
technology group unit increased by 9.5% to EUR 303 million.
In line with the strategy of DLL, the unit has a diverse portfolio
with activities in renewable energy, energy efficiency, lighting,
water and waste management. The energy efficiency business,
in particular, continued to grow in 2016, thanks to the success
of the retail approach.
Lease portfolio decreased by 2%
Excluding the sale of Athlon Car Lease, which reduced the
total portfolio by EUR 3.5 billion, DLL experienced strong year
over year portfolio growth of 7.7% in its core vendor finance
business. A similar level of growth (7.9%) was realised within
the portfolio of leases with Rabobank customers, as well as
factoring and consumer financing activities in the Netherlands.
Lease portfolio by division
at year-end 2016
H Food Agri 34%
H Construction, transportation
and industrial 20%
H Office technology 17%
Financial solutions 12%
Healthcare and clean technology 9%
Consumer finance 4%
Other 4%
43 Our output and impact: improving performance
