Vehicle leasing company celebrates growth despite tough climate

Vehicle leasing and fleet management company, Zenith, says it is continuing to growing its fleet and deliver its strategic objectives despite the challenges posed by inflation.

The Leeds-headquartered business has published its financial results for the first three quarters of the 2024 financial year, in which it reports turnover of £581.5m, up 20% year-on-year (Q3 year to date FY23: £482.6m) and gross profit of £100.4m, down 8% year-on-year (Q3 year to date FY23: £108.9m).

Zenith’s total fleet grew 3.3% year-on-year to 173,760 units, up 2.4% quarter on quarter, with its funded fleet growing 5.1% year-on-year to 78,301 units, up 0.6% quarter on quarter.

Tim Buchan, Zenith chief executive officer, said: “While inflation continues to drive up operating costs, and weaker consumer demand contributes to a decline in used vehicle prices, Zenith’s diversified offering and innovative approach has again underpinned our top line growth.

“We remain focused on ensuring the optimal efficiencies of our operations, while investing in new propositions and service solutions that can deliver the most impact.

“We have expanded our offering by opening new vertical markets such as Business Contract Hire (BCH), as well as launching a significant white-label partnership with a high street bank.

“We’ve also seen strong growth in our funded corporate company car and salary sacrifice schemes, which have increased by 10% year-on-year.”

He added that Zenith’s liquidity remains strong, with over £100m across available cash and revolving credit facilities, enabling it to continue growing its fleet.