Source - Alliance News

Vertu Motors PLC on Wednesday said the integration of Helston Garages Group Ltd lifted its half-year revenue, and expects to meet current market expectations for the financial year.

The Gateshead, England-based car dealership company said in the six months ended August 31, revenue climbed 21% to £2.42 billion from £2.00 billion the year before. This was driven by the successful integration of Cornwall-based car dealer Helston, which it acquired in December last year. The purchase added 28 franchised sales outlets to Vertu.

The firm added that revenue growth was also aided by a £159.9 million increase delivered in its Core business due to ‘new and used average vehicle sales prices’.

Pretax profit jumped 12% to £30.1 million from £26.9 million a year prior.

Vertu upped its interim dividend by 21% to 0.85 pence from 0.70p in the first half of financial 2023.

Looking ahead, the car dealership said it expects its full year profit to be in line with current market expectations.

Chief Executive Officer Robert Forrester said: ‘The consistent strategies around digitalisation, cost efficiency, smart capital allocation and the development of our management and colleagues is providing a firm grounding to deliver value to our shareholders. The interim dividend increase of [21%] shows the group’s financial strength and the progress being made. Trading in the key month of September was strong reflecting the plate change in new cars.’

Shares in Vertu were 1.9% higher at 71.45 pence each in London on Wednesday at around midday.

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