9:55 am, May 24, 2018
INCHCAPE Group has announced that group revenue is up to £2.99bn in its trading results for Q1 2018.
Group revenue roser by 2.9 per cent at actual currency and 6.2 per cent at constant currency.
Meanwhile, distribution revenue increased 4.1 per cent at actual currency and 9.5 per cent at constant currency.
Finally, retail revenue saw a 1.9 per cent actual currency improvement, equating to 3.6 per cent in constant currency.
The UK and Europe saw the lowest profit increase – up a mere 1.1 per cent – compared with 4.4 per cent in Asia, 11 per cent in Australasia and 31.3 per cent in the emerging markets.
The group’s outlook for the year hasn’t changed, with overall year-to-date performance remaining broadly consistent with the trends it expected for its 2018 profits.
In terms of distribution businesses, Inchcape expects a strong performance across its value drivers and easing comparatives following a challenging period for retail. The firm also predicts a solid year-on-year profit growth due to its Central America distribution acquisition.
Stefan Bomhard, CEO of Inchcape, commented: ‘I am pleased with the strategic progress we have made in the period, despite a challenging market backdrop in some regions. Our performance over the first four months of 2018 is reflective of the trends we had anticipated.
‘Sales performance has been solid, with strength in emerging markets and Australasia off-setting weaker performance in the UK and Europe. Our distribution profit performance has remained strong, with a good performance in Asia, despite the current downturn in new car sales in the Singapore market. Vehicle margins remain under pressure in both the UK and Australian markets.
‘In March, we were pleased to announce the acquisition of a Suzuki-focused distribution business in Central America, our sixth distribution deal in 24 months. I’m excited by the opportunities that a stronger presence in the region and globally enables. We look forward to the future with confidence.’
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