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AA profit falls 38% in H1; gives potential buyers more time to table takeover offer

By BFN News | 08:44 AM | Tuesday 29 September, 2020


Roadside assistance AA said profit fell by more than a third as its roadside business was hurt by the impact of government-imposed lockdowns. AA also said it had given a consortium of funds more time to make a offer to buy the company. The deadline for TowerBrook Capital Partners and Warburg Pincus International to make takeover offer or walk away was extended to 27 October from 29 September 2020. For the six months ended 31 July, pre-tax profit fell 38% to £26 million year-on-year as revenue slipped 2.6% to £478 million. The membership base fell to 3.15 million from 3.19 million and average income per memeber was down 1.2%, owing to the initial impact of the lockdown which led to fewer new member sales and reduced demand for European breakdown cover,' the company said. 'As we look ahead, despite the continued uncertainty and challenges of COVID-19, we are reiterating our full year guidance of delivering a robust performance in FY21 (year ending 31 January 2021), only slightly below that of the prior year , demonstrating our confidence in our resilient and flexible business model,' it added. At 8:44am: (LON:AA.) AA Plc share price was +0.28p at 29.68p Story provided by StockMarketWire.com

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