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88element • • • News Release Amounts in $ CAD unless otherwise noted Element Reports First Quarter Results Reflecting Solid Progress in Advancing Strategic Priorities Q1 adjusted operating income of $ 137.3 million was a 6.2 % increase over Q1 2020 and equivalent to $ 0.22 on a per share basis Through strong FX headwinds , Q1 net revenue grew ~ 1 % year - over - year ; 4.4 % before the impact of changes in FX AOI growth significantly outpaced net revenue growth in the quarter , showcasing the Company's transformed , highly scalable operating platform Q1 pre - tax return on common equity improved 30 basis points quarter - over - quarter to 14.3 % and Element anticipates further ROE enhancement throughout 2021 The Company further reduced its cost of funds with issuances of US $ 500 million of 3 - year 1.60 % senior unsecured notes and US $ 750 million of vehicle management asset - backed term notes - each achieving the Company's best - ever pricing in those markets Element returned $ 104.5 million to shareholders in the quarter by repurchasing 7,844,886 common shares for cancellation pursuant to the Company's normal course issuer bid ( NCIB ) . Subsequent to quarter - end , Element repurchased 3,486,300 more common shares in the month of April , returning an additional $ 50.0 million to shareholders TORONTO , ON , May 11 , 2021 - Element Fleet Management Corp. ( TSX : EFN ) ( " Element " or the " Company " ) , the largest pure - play automotive fleet manager in the world , today announced financial and operating results for the first quarter ended March 31 , 2021 reflecting solid progress advancing its strategic priorities . Element's market - leading business generated adjusted operating income ( AOI ) of $ 137.3 million or $ 0.22 per share for the quarter an $ 8.0 million or 6.2 % increase year - over - year ; 10.8 % before FX . AOI growth was driven by net financing revenue growth in all geographies and servicing income growth in ANZ and Mexico , coupled with a $ 3.7 million or 3.3 % quarter - over - quarter decrease in global adjusted operating expenses . The increase in AOI significantly exceeded net revenue growth , showcasing the Company's highly scalable operating platform . Coupled with Element's capital - lighter business model , AOI growth improved pre - tax return on common equity by 30 bps over prior quarter , to 14.3 % . Element reported net income of $ 95.5 million or $ 0.20 per share for the quarter , an $ 16.2 million or 20.4 % improvement over Q1 2020 and $ 17.2 million or 21.9 % improvement over Q4 2020 . " We are encouraged by what we saw this first quarter in terms of business performance post- Transformation , " said Jay Forbes , President and Chief Executive Officer of Element . " We grew year - over- year net revenues - fueled by 35 % and 22 % growth in ANZ and Mexico , respectively - and used our scalable operating platform to convert this revenue growth into even greater adjusted operating income growth . We used both service revenue growth and syndication to advance our capital lighter business model , improving our return on common equity . And we continued to generate solid cash flow , $ 133 million of which was returned to shareholders in the quarter by way of dividends and share buy backs . " Page 1 of 12