8:43 am, September 23, 2014
THE AA has announced ‘solid’ maiden interims results today for the six months ended July 31 – just a few weeks after the management buy-in last June.
First half group revenues were up 1.6 per cent to £491.7m while trading EBITDA was up 3.9 per cent to £211.8m.
However, profit before tax was impacted by on-going financing costs due to the significant recapitalisation of the company in 2013 and other one off.
The AA says it continues to perform satisfactorily and the board expects the full-year to be in-line with market expectations.
Bob Mackenzie, executive chairman, said: ‘These results demonstrate the stability and hugely cash-generative characteristics of this business.
‘Since arriving at the AA less than three months ago, the new executive team has focused on getting to know the business in detail, assessing the business operations and infrastructure and developing the strategy for future long term growth. Progress has been made on all fronts but there is more to be done.’
He added: ‘In terms of the future, our task is to better capitalise on the strength of the AA brand; make the right investments to enhance our service to members and customers, and reduce the leverage of the business. These are the objectives we have set ourselves to deliver long-term value to our investors. The business continues to perform satisfactorily and the board expects the full-year to be in line with market expectations.’
