Vertu Motors flagged up the negative pressure of the ZEV Mandate on new car profitability with full year pre-tax profits down 18.1% to £20.3m on turnover ahead 1.5% to £4.83bn.
Programme to enhance portfolio with new Chinese entrant brands implemented and set to continue: Jaecoo, Omoda, Lepas, Chery and Leapmotor to be added to portfolio.
It delivered “modest used car volume growth” with pricing stability and stable gross profit per unit.
On 1 April it launched Value Cars by Vertu, an initiative to increase market share in the 7-to-14-year-old used car market. It said initial indications are that this will add incremental profits.
It gained £3.4m of insurance proceeds recognised as other income in FY26 in underlying earnings offsetting losses from the JLR cyber-attack of £3.9m.
Vertu CEO Robert Forrester said: “The group has delivered solid results against the backdrop of sector pressures from the Government’s ZEV mandate on new car profitability, as we have focused on controlling the controllables, such as aftersales and cost.
“The group is benefiting from stable management, a highly trained and committed workforce, strong cashflows funding a maintained dividend, another £12m share buyback and significant asset backing.
“The Group is therefore excellently positioned to take advantage of the inevitable opportunities that will arise as the sector continues to consolidate.”
