Arval fleet grows 5.7% but used car market weighs on H1 profits

Arval has reported continued fleet and financial outstandings growth in the first half of 2026, although weaker used vehicle values contributed to a significant fall in profit.

The vehicle leasing and mobility company’s financed fleet reached 1.93 million vehicles at the end of June, up 5.7% compared with the same point in 2025, while financial outstandings increased by 9.1%.

Gross revenues increased 3.7% to €10.93 billion, supported by business growth. However, gross operating income fell 23.5% year-on-year to €839.2 million as stronger leasing and service margins were offset by a weaker car sales result.

Arval attributed the deterioration in used vehicle performance to an uncertain geopolitical environment and rising fuel prices. Its car sales result and anticipated capital gains on disposals amounted to a €248.0 million loss, compared with a €78.1 million gain in H1 2025. The number of vehicles sold was also 5.4% lower year-on-year.

Excluding the car sales result, gross operating income reached €1.09 billion, an increase of 12.6% when excluding a €53 million exceptional item recorded in H1 2025.

Operating expenses increased 3.3% to €555.0 million, while the cost of risk remained moderate at €34.3 million, equivalent to 16 basis points of financial outstandings.

Operating profit fell 47.6% to €249.9 million, while profit before tax declined 56.8% to €214.0 million. Net income was €114.3 million, down 67.5% from €351.4 million in the first half of 2025.

Retail and electric fleets continue to expand

Arval’s Corporate financed fleet increased 4.1% to 1.25 million vehicles, while its Retail segment grew 9.8% to 638,173 vehicles. The individual customer segment recorded growth of 17%.

The Arval Flex fleet, which provides flexible medium-term subscriptions, declined 3.4% to 42,043 vehicles, which Arval attributed to improved vehicle availability and the return of long-term leasing delivery times to more normal levels.

Electrification also continued during the half. Arval had 772,746 electrified vehicles, including hybrids and battery electric vehicles, at the end of June, up 22.5% year-on-year. Its fully electric fleet increased 31.2% to 387,218 vehicles, while 31% of vehicles ordered during H1 were battery electric.

He added that: “Gross operating income recorded a strong increase in financial and service margins in connection with the increase in outstandings but was negatively impacted by the unfavourable effect on vehicle sales income of the decrease in the used-car market due to the uncertain geopolitical context and the rise in fuel prices.”

The half-year results precede Arval’s completion of its acquisition of Athlon on 31 July. The transaction increased the combined fleet to 2.3 million vehicles, with Arval describing the enlarged business as a European co-leader in long-term vehicle leasing.

During the second half of 2026, Arval will focus on completing its Arval 26 & Beyond strategic plan, preparing its strategy to 2030 and gradually integrating Athlon.