6th Jan 2021 08:15
(Alliance News) - Auto Trader Group PLC on Wednesday said it has continued to see an improvement in customer numbers despite the impact of the Covid-19 pandemic on the business.
The Manchester-based online automotive marketplace said demand for car buying in its third quarter ended December "remained strong". Visits to its marketplace were 20% higher than in the previous year and the company saw a continued improvement in customer numbers and stock on site during the period.
However, Auto Trader said it expects its sales volumes "to be impacted in January and February" as a result of the national lockdown in England that began this week.
Auto Trader said it will also book monthly operating losses between GBP5 million and GBP7 million due to its services being free for customers in December 2020 and in February this year.
"The group's balance sheet remains strong. At the end of December, we had drawings of GBP45 million on our GBP400 million revolving credit facility and remain substantially below our covenant requirements for both debt and interest cover," Auto Trader added.
Shares in Auto Trader were down 0.3% at 598.80 pence each in London on Wednesday.
By Zoe Wickens; [email protected]
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