Pendragon reports profit boost

Car retailer Pendragon has announced profits of up to £4.9m to £38.9m before tax in 2013. New UK retail sales grew 18 % on a like for like basis.

Trevor Finn, Pendragon CEO, said: “Continued strong performance in the used, aftersales and new sectors has generated a material step forward in profitability. Underlying profit before tax is up 21% in the period and the Group continues to achieve record used performance, with volume growth of 7%.

“The Group is in a strong position with its leading UK retail business, strong balance sheet and the continued delivery of strategy in the used vehicle sector.

Pendragon also reported an increase in aftersales, the organisation’s largest area of profitability, by 3% in the second half of 2013 following a trend in new car sales, with used performance continuing to outperform the market with volume up 7% like for like.

Website visitors grew by 22%, reflecting a surge in online visitors to the firm’s sites.

The organisation also announced underlying earnings per share of 2p had increased to 2.3p, as well as, a 21% increase in underlying profit before tax from £7.8 million to £44.2 million.

Finn added: “We would like to thank our teams for helping deliver a strong performance in 2013 and we look forward to their continued engagement and commitment in 2014. We are confident that 2014 will be another year of good performance, with Group performance in line with expectations for the year.”