FREE MEMBERSHIP Includes » ABL Advisor eNews + iData Blasts | JOIN NOW ABLAdvisor Gray ABLAdvisor Blue
 
Skip Navigation LinksHome / News / Read News

Print

ELFA: July New Business Volume Rises 2% Y/Y, 5% YTD

August 23, 2022, 07:00 AM
Filed Under: Equipment Finance News

The Equipment Leasing and Finance Association’s (ELFA) Monthly Leasing and Finance Index (MLFI-25), which reports economic activity from 25 companies representing a cross section of the $900 billion equipment finance sector, showed their overall new business volume for July was $10.1 billion, up 2 percent year-over-year from new business volume in July 2021. Volume was down 2 percent from $10.3 billion in June. Year-to-date, cumulative new business volume was up 5 percent compared to 2021.

Receivables over 30 days were 1.6 percent, up from 1.5 percent the previous month and down from 1.9 percent in the same period in 2021. Charge-offs were 0.18 percent, up from 0.15 percent the previous month and unchanged from the year-earlier period.

Credit approvals totaled 78.0 percent, down from 78.1 percent in June. Total headcount for equipment finance companies was down 2.8 percent year-over-year.

Separately, the Equipment Leasing & Finance Foundation’s Monthly Confidence Index (MCI-EFI) in August is 50, an increase from 46.1 in July.

ELFA President and CEO Ralph Petta said, “Industry performance continues to show solid growth. Despite higher interest rates, continued supply chain disruptions, and higher inflation, the equipment finance industry continues to deliver value to businesses who rely on it to acquire necessary capital equipment to run their operations. Equipment finance providers leverage a positive credit environment and abundant liquidity to help these businesses grow and prosper.”

Michael Romanowski, President, Farm Credit Leasing, said, “We continue to see robust interest from agribusinesses and producers as they look to expand operations and lock in low long-term rates. Demand is outstripping supply as we continue to experience equipment delivery delays due to continued supply chain challenges. Solar leasing remains attractive, and we expect continued interest with the passing of the Inflation Reduction Act."

For more equipment finance industry news, visit Equipment Finance Advisor







Comments From Our Members

You must be an ABL Advisor member to post comments. Login or Join Now.