9th Sep 2021 10:28
(Alliance News) - Lookers PLC on Thursday reported a record interim profit on the back of sustained high demand for car-based travel amongst consumers.
The car dealer posted a pretax profit for the six months ended June 30 of GBP50.7 million, swung from a GBP50.4 million loss a year before, albeit in a 2020 period severely affected by the pandemic with showrooms forced to shut.
Revenue for the period rose 37% year-on-year to GBP2.15 billion from GBP1.57 billion a year previously, despite the closure of showrooms throughout the first quarter of this year.
Despite the positive results, Lookers did caution that ongoing vehicle supply restrictions combined with uncertainty from Covid-19 will continue to cause challenges going forward.
"We have delivered a record performance in the first half despite significant Covid-19 related disruption. Demand has continued to be strong as we see a sustained preference for car-based travel amongst consumers," commented Chief Executive Mark Raban.
Looking ahead at the second half, Lookers said that trading during July and August remained strong, exceeding expectations, primarily driven by unprecedented used vehicle margins. The order book for September and the remainder of 2021 remains strong, Lookers added.
The group reiterated plans to resume dividend payments as soon as possible, and said it would review the position in 2022 when releasing full-year results.
In separate news, Lookers announced the appointment of Oliver Laird as chief financial officer from November 15. Laird was previously finance director with First Direct Bank, Cooperative Insurance and UK General Insurance Ltd. Ian Bull was named as the new non-executive chair, effective October 1. Bull is currently a director at Domino's Pizza Group PLC and Dunelm Group PLC.
Lookers shares were trading up 0.1% at 69.00 pence each in London on Thursday morning.
By Will Paige; [email protected]
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