1 week Ago By Jess Jones
Profit at car dealership Vertu Motors reversed during the first half of its financial year as UK sales of new cars stalled. In interim results filed with the London Stock Exchange, Gateshead-headquartered Vertu Motors reported a pre-tax profit of £22m for the six months to 31 August, 2024, down from the £30.1m it achieved in the same period in 2023.
Last month, the company warned of a mild hit to its half-year profit as pressure on household budgets slowed demand for new cars and electric vehicles. Shares jumped 3.7 per cent as it recorded revenue of £2.
49bn in the first half of 2025, representing a 2.9 per cent rise from £2.42bn in the year ago period.
Vertu Motors said group aftersales operations “delivered a robust performance”, delivering core group gross profit growth of £7.1m. New retail vehicle sales volumes fell 5.
9 per cent as UK market saw an 11.2 per cent decline. Chief executive Robert Forrester said: “The retail new car market declined as the government’s regulation to transition to battery electric vehicles (‘BEV’) introduced market volatility and negative effects in terms of affordability.
Vertu Motors grew retail BEV sales volumes by 10.9 per cent, which Forrester said reflected the group’s “adaptability and strong operational execution.” The business said it expects full year profits to be in line with current market expectations, while profitability in the second half is forecast to improve over prior year levels thanks to a strengthening used car market and increasing value of used vehicles.
“We are actively pursuing value accretive growth opportunities to enhance our portfolio, applying strict investment return metrics as well as returning cash to shareholders,” Forrester added..
