Full-year results will be ahead of expectations, says confident Pendragon

Time 7 years ago

trevor-finnPENDRAGON plc, the UK’s largest automotive retailer, has reported a strong performance for the third quarter of 2014, with operating profit up by 28.8 per cent and gross profitability up 4.9 per cent.

And the company’s two key brands, Stratstone and Evans Halshaw, are continuing to perform better than they did in 2013.

Also in the period from July 1 to October 31, 2014, aftersales and used departments increased profitability by around three per cent.

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Chief executive Trevor Finn, pictured, said: ‘We continue to grow the business and deliver against our strategy. Strong performance improvement continued across our used, aftersales and new departments in quarter three.

‘Our strategy is underpinned by our competitive advantages which are: to be number one online; leverage our superior IT; complete our national footprint to increase customer touch-points; and offer customers value.

‘Given the continued strong performance in quarter three, we will be ahead of expectations for the full year.’

In an interim management statement the company also reported:

  • Visitors to, and increased by 16.8% in the period.
  • New department profitability increased in line with the market.
  • Used gross profit grew by 3.5 per cent, with gross margin improving in both Evans Halshaw and Stratstone.
  • Aftersales gross profit grew by 2.9 per cent, benefiting from the improving vehicle parc.

Looking at the market in general, the company inidicated that it expects new car registrations to stabilise in 2015.

And it concluded: ‘As the largest and leading automotive retailer in the UK, we continue to deliver strong results in the third quarter of the year.

‘Overall, our business continues to deliver against our strategy of growth within the used and aftersales sectors, maintaining a balanced portfolio whilst delivering first-class customer service.’

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Dave Brown's avatar

Dave, production editor on Car Dealer Magazine, is a journalist with more than 30 years' experience in the worlds of newspapers, magazines and public relations.

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