Hargreaves Lansdown

Vertu Motors FY revenues boosted by acquisitions

Mon 01 March 2021 11:10 | A A A

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(Sharecast News) - Automotive retailer Vertu Motors said on Monday that its full-year trading performance was in line with forecasts of around £23.0m at the adjusted pre-tax profit level.

Vertu said group revenues grew 4.1% year-on-year, reflecting the impact of "significant acquisition activity" last year, with 29 outlets added to its portfolio since 1 January 2020.

The AIM-listed firm stated it had delivered growth in like-for-like used vehicle margins and gross profit generation, despite seeing like-for-like new retail vehicle volumes declining 13.3%, in line with the market, thanks to a 34% jump in new commercial volumes.

Like-for-like service revenues from retail customers were up 5.3%.

Chief executive Robert Forrester said: "Despite the impact of these national lockdowns and regional lockdowns throughout December, the group's strong marketing activity, use of omnichannel retailing functionality and cost control have meant that a creditable trading performance was attained in the period.

"Notwithstanding the Government's recently announced roadmap, the outlook remains uncertain given continuing COVID restrictions, although Brexit uncertainty is now behind us and the pound's recent strengthening should help to make cars more affordable to UK buyers."

As of 1110 GMT, Vertu shares were down 0.43% at 39.13p.

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