The global automotive retailer Inchcape has released a trading update for the period from 1 July 2017 to 30 September 2017. The group’s statement points to the “UK market slowing, as expected, resulting in continuing margin pressure on vehicles.”Inchcape reported £2.30bn revenue for the period a11.3% increase at constant currency. The firm said the results were in-line with expectations.
Stefan Bomhard, CEO of Inchcape plc, commented:“I am pleased with our strong third quarter revenue performance, with growth in all our regions and the benefit from our South America Distribution acquisition which continues to perform well and in line with our expectations.”
“During the third quarter we were honoured to celebrate our 50-year anniversary with Toyota, a milestone supported by our Ignite objective of becoming the Partner of Choice for our OEMs. “Overall, I am excited about the long-term growth potential of Inchcape. With a high quality global footprint and leading OEM partners, supported by our Ignite strategic objectives, we believe that we can further leverage both organic and inorganic opportunities to deliver continued momentum.”
The group’s UK and European businesses achieved revenue growth of 1.8%, with the UK market slowing. Its Eastern European experience was better, seeing strong growth supported by the Estonia BMW acquisition.
Inchcape expects to achieve constant currency growth year-on-year, when the final quarter results are posted for 2017. The firm acknowledges retail margin pressures, but expects its distribution activities to increasingly support this outlook.