The Equipment Leasing & Finance Foundation released the results of its first quarterly COVID-19 Impact and Recovery Survey, revealing equipment finance companies’ work-from-home practices and performance of portfolio metrics, including deferrals, defaults and originations.
The COVID-19 Impact and Recovery Survey was revised and expanded from the ELFF’s COVID-19 Impact Survey of the Equipment Finance Industry, which was launched in May 2020, in order to reflect longer-term effects of the pandemic’s impact on equipment finance companies.
Survey Highlights
Work from Home
Deferrals
Defaults
Originations
“The COVID-19 Impact and Recovery Survey is the kind of timely, in-depth, forward-looking research the foundation is committed to bringing to the industry,” Tom Ware, a trustee of the ELFF and the organization’s research committee chair, said. “These survey results show the strength and resilience of the equipment finance industry overall in coming through the pandemic and the ways in which our workforce will continue to be impacted long after.”
COVID-19 Impact and Recovery Survey Comments from Industry Leadership
“Short term, we are still seeing the impacts from [the Paycheck Protection Program]. Medium term, we expect some winners and losers along asset classes, and long term, we are optimistic about the business community and investment in assets,” David Normandin, CLFP, president and CEO of Wintrust Specialty Finance, said.
“We see an uptick in the short term as vaccinations are rolled out. Hopefully we can reach herd immunity in the second half of the year and approach a level of activity consistent with the pre-pandemic economy,” Steve Grant, CFO of Americorp Financial, said.
“The equipment finance industry generally will continue to grow along with the economy in the short, medium and long term. However, with the Biden administration’s emphasis on infrastructure, it is likely that we will see an increase beyond the general economy,” Jonathan Ruga, CEO of Sentry Financial, said.
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