Marshall Motor hikes dividend 33% amid modest adjusted profit growth
Source - SMW
Marshall Motor Holdings booked a rise in annual profit, despite falling sales, after it shut six loss-making dealerships.
Pre-tax profit for the year through December rose 48% to £18.7m, though underlying profit, which stripped out one-offs like pension charges, rose by a more modest 1.2% to £25.7m.
Revenue fell 2.0% to £2.19bn, though like-for-like revenue rose 1.2%.
Used and after sales revenue both rose, but were offset by a fall in new car sales owing to new testing regulations and concerns about diesel engines.
Marshall Motor declared a full-year dividend of 8.54p per share, up 33% on-year.
'Despite challenging new and used car markets, the group performed strongly,' chief executive Daksh Gupta said.
exceeding last year's record result at continuing underlying PBT level with overall like-for-like revenue growth.
'The board notes the latest forecast by The Society of Motor Manufacturers and Traders for a further decline in the new car market in 2019 and is cognisant of the potential impact that the UK's withdrawal from the European Union may have.'
'The board therefore remains cautious about the economic outlook for 2019.'
'Our order book for the important March plate-change period is, however, encouraging and our outlook for the full year remains unchanged.'
At 9:16am: (LON:MMH) Marshall Motor Holdings PLC share price was +6.5p at 165p