Turnover rises at vehicle leasing and fleet management firm in difficult year
Truck-to-car vehicle leasing and fleet management company, Zenith, has reported an “exceptionally challenging year” for its sector as it publishes annual results for the year ended 31 March 2024.
Turnover for the Leeds-headquartered business was £788.4m, up 16.1% year-on-year, (FY23: £679m) but adjusted gross profit was £134.4m down 8.5% year-on-year (FY23: £147m). Adjusted EBITDA was £62.1m, down 21.8% (FY23: £79.4m).
Zenith’s total fleet was up 1% to 170,000 vehicles, while its overall funded fleet grew 2% to 77,000 vehicles.
Tim Buchan, chief executive officer, said: “This has been an exceptionally challenging year for the automotive sector, with much uncertainty about the ban on ICE (Internal combustion engine) vehicles, including the five-year delay to the 2030 deadline.
“I’m proud of the way we are responding to the challenges, finding ways to mitigate the risks and impact on our business.
“Extending leases within our existing Battery Electric Vehicle (BEV) fleet, launching new products to new markets and ensuring our fleet has a healthy balance of BEVs and ICE vehicles, all help to meet the needs of our customers while driving the success of our own business.”
Zenith adds that the funded fleet in its Corporate division grew 8%, driven by growth in the business’s corporate schemes, particularly salary sacrifice.
Meanwhile, the company’s Commercial division grew its managed fleet by 19.4%, following several new contract wins and increased its Mobile Service Unit fleet to provide more flexible support for customers.
