UK's Vertu Motors H1 profit rises, sees strong FY27
UK's Vertu Motors H1 profit rises, sees strong FY27
Overview
UK automotive retailer's H1 revenue rose 3.4% yr/yr to record £2.60 bln
Adjusted profit before tax up 19% yr/yr; adjusted EPS increased to 5.71p
Outlook
Vertu Motors expects FY27 results to be above current expectations
Company plans further cost efficiencies through technology adoption and energy saving systems
Company remains cautious on consumer demand due to inflation and interest rate uncertainty
Result Drivers
GROSS PROFIT GROWTH - Co said gross profit increased in all channels, with aftersales and fleet segments contributing to profit growth
COST CONTROL - Co maintained tight control of operating expenses, keeping costs as a percentage of revenue slightly down despite inflation
CHINESE BRAND EXPANSION - Co expanded its network of Chinese automotive brand outlets, contributing to portfolio growth and new car market share
Company press release: ID:nRSN8259Ya
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Revenue |
| GBP 2.60 bln |
|
H1 Net Income |
| GBP 17.80 mln |
|
H1 Adjusted EBIT |
| GBP 34 mln |
|
H1 Adjusted Pretax Profit |
| GBP 23.80 mln |
|
H1 Free Cash Flow |
| GBP 17.50 mln |
|
H1 Gross Profit |
| GBP 290.60 mln |
|
H1 Operating Expenses |
| -GBP 256.60 mln |
|
H1 Pretax Profit |
| GBP 24.20 mln |
|
Analyst Coverage
The one available analyst rating on the shares is "buy"
The average consensus recommendation for the auto vehicles, parts & service retailers peer group is "buy"
Wall Street's median 12-month price target for Vertu Motors PLC is GBp95.00, about 17% above its October 13 closing price of GBp81.20
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 12 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)