Pendragon share price crashes after profit warning
Nottingham-based car retailer Pendragon has seen its share price drop by almost a quarter after issuing a profit warning yesterday (12 June).
Nearly 24% has been wiped off the value of the company with shares dipping to 17.4p by mid-morning. By close of trading last night, prices had rallied slightly to 18.2p.
The news comes after Pendragon said it expects to make a small loss for 2019, with the first-half of the year expected to be “significantly loss making” ahead of returning to overall Group profitability for the second-half.
The news comes after the company, which trades as Evans Halshaw and Stratstone, said it would undertake a “review of the operational and financial prospects” of the firm after posting a loss of £2.8m for the three months to 31 March.
Pendragon said the figure was around £10m lower than it expected and was brought about by “challenging trading conditions” over the period.