4th Aug 2021 11:15
(Alliance News) - Marshall Motor Holdings PLC on Wednesday said it expects to make at least GBP40.0 million in underlying pretax profit in 2021, after it continued to perform strongly in July.
Shares in the Cambridge-based car dealer were up 8.4% to 232.00 pence each in London on Wednesday morning.
In the previous trading update on June 25, the firm said it expected to deliver underlying pretax profit for the full year "well ahead" of its historic record - the GBP29.1 million made in 2017.
That guidance was underpinned by unprecedented price rises for used vehicles and favourable demand-to-supply conditions for both new and used vehicles. But Marshall Motor also flagged a high level of uncertainty over the second half.
However, with tailwinds continuing in July and with visibility on the outlook for August and September, Marshall Motor is now confident enough to provide the GBP40.0 million figure. It calls that a "significant increase" from the previous trading update.
Nevertheless, there remains a high level of uncertainty over the second half of 2021 and into 2022 given vehicle supply issues, an expected realignment of used vehicle values and the continuing impact of the pandemic, the company said.
Results for the first half of 2021 will be announced on Tuesday next week.
By Amrit Sahota; [email protected]
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