Vertu Motors has reported that it expects its pre-tax earnings for the monetary 12 months ending February 28, 2021, to exceed analysts’ present £18 million forecasts.
In a Buying and selling Replace issued this morning the AM100 PLC stated that “robust advertising and marketing exercise, maximisation of omni-channel retailing and price management had meant that buying and selling efficiency within the two-month interval to 31 January 2021 continued its earlier reported constructive development”.
Vertu had beforehand introduced, in early December, that that it had traded roughly 15% above final 12 months at an adjusted PBT degree, regardless of the influence of COVID-19 ‘Lockdown 2’ in England, within the 9 months ended November 30.
Right now’s assertion stated: “Regardless of the influence of regional lockdowns all through December and the nationwide lockdown from 4 January, robust advertising and marketing exercise, maximisation of the Group’s omni-channel retailing performance and price management have meant that buying and selling efficiency within the two-month interval to 31 January 2021 continued this constructive development.
“Total revenue efficiency additionally benefited from the beforehand introduced value discount programme and the continued enterprise charges vacation on showrooms.”
Vertu did concede that “uncertainties stay” about buying and selling circumstances underneath the present ‘Lockdown 3’ regulation as February buying and selling continued to be impacted.
Nevertheless, this week noticed the group launch a drive to maximise its potential gross sales by means of ‘click on and ship’ companies.
Taking to Twitter on Monday (February 1), chief govt Robert Forrester stated: “Right now we agreed to launch free supply on new and used automobiles inside 30 miles of every of our dealerships.
“Along with a 14-day a reimbursement assure on used automobiles, our buyer proposition continues to enhance.”
The group’s value management and powerful steadiness sheet additionally allowed it to broaden in 2020.
In October it accomplished the acquisition of Sandicliffe Motor Group’s Kia dealership in Nottingham and December noticed it set up a brand new BMW Group franchise division with the completion of the long-awaited acquisition of 12 BMW, Mini and BMW Motorrad franchised motor stores from Inchcape’s Cooper BMW division.
The group can also be making a push to drive efficiencies by bringing extra of its franchised shops into shared showrooms.
Final week AM reported that its Bristol Avenue Motors division had seen a Citroën franchise added into its Macclesfield Ford dealership operation as a part of a £200,000 redevelopment of the power.
That undertaking mirrored a undertaking undertaken as a part of a £250,000 improve of its website in Worcester final August.
Forrester stated: “I imagine multi franchising dealerships needs to be pivotal to sustaining profitability of many places.
“I’m delighted with the progress we’re making on this space and which shall be carried out by the tip of 2021.”