Vertu Motors posts record FY revenues, but profits drop

Automotive retailer Vertu Motors posted slightly better than expected full-year pre-tax profits on Wednesday amid record revenues.

In the year to 28 February, revenue rose to a record £4bn from £3.6bn a year. Meanwhile, adjusted pre-tax profit declined to £39.3m from £80.7m, but Vertu noted that this was "slightly ahead" of market expectations.

The company recommended a final dividend of 1.45p per share, taking the full-year dividend to 2.15p, up 26.5% on the previous year.

Chief executive Robert Forrester said: "The year was critical for the group as we undertook our largest ever acquisition and generated over £4bn of revenues for the first time. The Helston businesses have now been integrated into our systems platform. The acid test was how our core group and new dealerships performed in March and April and I am delighted to report that the trading result post year end has been encouraging and gives confidence for the year ahead.

"The reported results reflect a strong profit and excellent cash performance, both ahead of expectations."