German corporate insolvencies rise in first quarter, Destatis says

BERLIN — Germany's Federal Statistical Office (Destatis) reported 6,275 corporate insolvency filings with German courts in the first quarter, up 6.5% from the same period a year earlier. March alone saw a 15.8% year-on-year increase, while consumer insolvencies rose 18.9% in March and 6% over the quarter. Creditor claims tied to corporate insolvencies fell to 9.3 billion euros in the first quarter, down from 19.9 billion euros a year earlier. Destatis officials attributed the drop to a wave of large-company filings early last year. The agency said the insolvency rate stood at 17.7 per 10,000 companies in the quarter, with logistics, accommodation and construction among the hardest-hit sectors. It did not single out the automotive industry, though consulting firm EY-Parthenon forecast that automotive and mechanical engineering would require the most restructuring in Germany amid rising energy and raw material costs, ongoing wars and weak economic activity. The same study projected easing pressure on the real estate sector.