Annualized net losses in KBRA’s headline equipment loan and lease index increased 26 basis points (bps) month-over-month (MoM) in August to 0.84%. The increase in the headline index is driven by increased annualized net losses in our Large Ticket sub-index, which moved 48 bps higher due to increased defaults in transactions with high concentrations in trucking collateral. Meanwhile, the Small-Medium Ticket net losses fell 8 bps during the month.
The 60+ day delinquency rate improved 8 bps MoM in our headline index and 27 bps in our Small-Medium Ticket sub-index. However, the observed metric increased 6 bps MoM in our Large Ticket sub-index. The improvement in our headline and Small-Medium Ticket indices was primarily driven by a few 2023 and 2024 vintage transactions secured by computer-related equipment. Current index values as well as MoM and year-over-year (YoY) changes are presented in the table below.
The data shown in this report and other indices metrics can be found