Motorpoint predicts double-digit profit growth

Motorpoint predicts double-digit profit growth

CAR supermarket Motorpoint’s underlying pre-tax profit growth for the past year should be in the region of 10 per cent, it announced today.

The group also expects to report revenue growth of more than six per cent for the year ended March 31 against the previous financial year, it said in a full-year trading update and notice of results issued ahead of its preliminary results, which will be released on June 11.

Chief executive Mark Carpenter, pictured, said: ‘The group experienced a slower second half but I am pleased that we have achieved double-digit profit growth for the full year and executed strong cost disciplines.

‘Our resilient model is demonstrated through a gross profit-to-overheads ratio of 144 per cent and a robust closing balance sheet, which is again absent of any structural debt.

‘The agility of the group’s business model enables management to react swiftly to the evolving political and economic situation and the board believes that the group is well placed to continue building on its compelling customer proposition.’

However, the group also commented: ‘That said, in light of the continued volatile political environment and consumer uncertainty, the board remains cautious on the outlook for the financial year ahead.’

In the update, it revealed that it had exchanged contracts on a new site. Its location wasn’t given but it will be its 13th vehicle supermarket and is expected to open in the second half of 2019.

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