Full Year Trading Update

RNS Number : 5343V

Motorpoint Group plc

06 April 2023

 

6 April 2023

Motorpoint Group PLC

("Motorpoint" "Company" or the "Group")

Full Year Trading Update

Motorpoint Group PLC, the UK's leading independent omnichannel vehicle retailer, provides an update on its trading performance for the year ended 31 March 2023.

FY23 Highlights:

· Record revenue of c.£1,437m, up c.9% helped by vehicle mix and price inflation

· Profit before taxation expected to be broadly break even

· Market share (0-4 year vehicles) for the 12 months to December 2022 grew strongly to 3.5% (December 2021: 2.7%)

· Balance sheet remains strong with c.£5m cash at year end, and significant borrowing headroom

· New Chief Technology Officer, Tom Tang joined in March to accelerate our digital transformation

· New store to open in Ipswich in May 2023

· Net Promoter Score remained at an industry leading 84

Strategy Update

As reported in January, the Group continued to make strong progress on its targeted strategic investments in FY23 in order to meet the medium-term growth objectives - over £1 billion in e-commerce sales and over £2 billion in total sales - and to better position the Company for the long-term with a lower cost base, a stronger brand, and improved customer experiences.

Tom Tang joined Motorpoint as Chief Technology Officer in March. Tom has over 20 years of experience in technology leadership and has led technology organisations with his recent roles as CIO, Alliant Energy, CTO - Customer Experience, Sainsbury's and CIO, Argos.   Tom is an advocate of the benefits of AI capabilities which benefit the customer and employee, advancing the goals of the business. 

Our new store in Ipswich will open in May 2023, our 20^th store, up from 13 locations three years ago.

Mark Carpenter, Chief Executive Officer of Motorpoint Group PLC commented:

"Whilst the impact of higher interest rates and inflation will continue into FY24, new car registrations rose 18% in March, with the fleet market driving this eighth consecutive month of growth, which will in turn benefit used vehicle supply. This, coupled with continued market share gains and progress on our key initiatives, will enable Motorpoint to emerge from the current environment a highly profitable market leader."

Enquiries:

Motorpoint Group PLC Mark Carpenter, Chief Executive Officer Chris Morgan, Chief Financial Officer	via FTI Consulting
FTI Consulting (Financial PR) Alex Beagley Sam Macpherson	020 3727 1000

Inside information:     This announcement contains inside information as defined in Article 7 of the retained EU law version of the Market Abuse Regulation No 596/2014 ("UK MAR") and has been announced in accordance with the Company's obligations under Article 17 of UK MAR.

Forward looking statements:     The information in this release is based on management information. This announcement includes statements that are forward looking in nature. Forward looking statements involve known and unknown risks, assumptions, uncertainties and other factors which may cause the actual results, performance or achievements of the Group to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. Except as required by the Listing Rules and applicable law, the Company undertakes no obligation to update, revise or change any forward looking statements to reflect events or developments occurring after the date of this announcement.

Notes to editors

Motorpoint is the UK's leading independent E-commerce led omnichannel vehicle retailer, focused on giving retail and trade customers the easiest, most affordable and seamless way of buying, selling and financing their car whether online, in-store or a combination of both. Through its leading B2C platform Motorpoint.co.uk and UK network of 19 sales and collection branches, the Group provides an unrivalled offering in the nearly new car market, where consumers can effortlessly browse, buy or finance their next car and collect or have it delivered directly to their homes. Motorpoint's purely online wholesale platform Auction4Cars.com sells vehicles into the wholesale B2B market that have been part exchanged by retail customers, or purchased directly from them by the Group as part of its online car buying service. Motorpoint's diversified business model, underpinned by its established brand, industry leading technology and sophisticated marketing infrastructure, always delivers the best choice, value, service and quality for customers. The Group is proud to have been recognised for nine consecutive years as one of the Top 100 Best Companies to Work For.

 

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