Member Article

29% pretax profit leap marks record half year for Vertu Motors

Gateshead-based automotive retailer Vertu Motors plc has reported record half year profits.

Announcing its interim results for the six months ended 31 August 2017, Vertu’s pretax profits made a 29.4% leap from £18.7m last year to £24.2m.

The business, which boasts a network of 124 sales and aftersales outlets across the UK, posted revenues of £1.45bn with its like-for-like service revenues up 4.4%, continuing a long term growth trend.

Robert Forrester, Chief Executive, elaborated on the record results and touched on upcoming expansion plans.

Mr Forrester explained: “The board is pleased to see further growth in used car volumes and aftersales revenues against a backdrop of the weakness of Sterling reducing the supply and increasing the prices of new cars.

“Pleasingly, underlying operating expenses reduced year on year in the Period as a result of management focus at a time of increasing costs across the industry.

“Our group’s net cash position, strong property portfolio and very low level of used vehicle stock financing places us in a unique position to take advantage of consolidation opportunities and to continue to increase returns to shareholders.

“The board is confident that opportunities to expand the business will arise in the next 18 months and these are likely to be at more attractive valuations.”

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