Pendragon profits up – but interest costs spiral
Pendragon, the Nottingham-based car retail giant, says it expects to “comfortably outperform” previous financial expectations based on a strong set of Q1 results, published this morning (April 19).
Pendragon, which operates the Stratstone and Evans Halshaw outlets, saw underlying profit before tax rise by 23% to £23m for the first three months of 2023. However, this figure was impacted by spiralling interest costs, which were up by a whopping 51.7%.
The firm said it delivered a “very strong” performance across all divisions, with its Motor Division leading the way.
Bill Berman, chief executive of Pendragon, said: “I am delighted to report a very strong performance in the first quarter, which builds on the momentum we generated last year from the progress with our strategic and operational initiatives.
“We continued to trade strongly in UK Motor, across both new and used markets, and our performance shows the benefits of the strategy we have been pursuing in recent years.
“It is really encouraging to see all of the group’s divisions in growth, particularly when considering the ongoing challenges in the external operating environment. We are seeing improving signs in the production and supply of new cars and we are focused on continuing to deliver for our customers and OEM partners in the months ahead.”
