Wed, 05 Oct 2022 | BUSINESS NEWS
Car retailer Vertu Motors has said that it is planning further acquisitions after reporting strong first half results, despite facing an array of challenges. During the six months ending August 31 2022, Vertu grew its scaled franchise dealership group and began Toyota operations in the West of Scotland.
In July, the company completed the acquisition of online retailer Wiper Blades and, looking forward, it says that it has a strong pipeline of potential acquisitions, noting the high degree of fragmentation within the market.
In a statement, company chairman Andy Goss said: "The group's excellent financial position, continued investment in its colleagues and systems and its established track record of execution gives me confidence that we will continue to deliver on our strategic objectives.”
"The group has the scale and firepower to take advantage of the considerable sector changes working in partnership with the group's manufacturer partners through accretive consolidation of this fragmented market."
During the six months to the end of August, Vertu was subjected to supply chain issues and cost pressures and saw its adjusted pre-tax profits fall from £51.8 million to £28.2 million. However, during this time, the firm was also able to grow its revenue from £1.92 billion to £1.99 billion.
The company says that it has developed an energy strategy in response to rising energy costs and adds that its second half has started strongly. The firm says that its key month of September saw strong performance, with constrained supply of new and used vehicles offset by higher margins.
Vertu Motors Chief Executive Robert Forrester (pictured above) said: "The first half has seen a strong trading performance with vehicle margin strength offsetting market driven volume shortfalls. The group continues to benefit from its focus on operational excellence around cost, conversion and customer experience aided by continued digitalisation initiatives.”
"Cashflow generation has been strong and the dividend for the first half has increased again. The business is strategically very well placed with significant firepower to expand its footprint of franchised dealerships across the UK."
Read more about M&A in the UK automotive sector.
Find businesses for sale here.
If you are looking for an exit, we can help!.
Highland Pet & Equine Supplies is a local, independent pet supplies store with an exceptional position in the Tomich Industrial Estate in Muir of Ord. The business is ideally situated to serve domestic customers from right across the Scottish Highlan...
LEASEHOLD
Unique opportunity to acquire a specialist military medals and accessories business with a substantial customer base and strong online presence.
LEASEHOLD
An exciting opportunity to acquire the business and assets of a dedicated bathroom showroom and online retailer based in the County Durham. The business specialises in the design and supply of luxury bathrooms.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.