Sign up
Tech Capital

Motorpoint sales rise 9% but monitoring consumer confidence closely

Sales in the half year to September will be about 9% higher than a year ago
cars
Uncertainty over consumer confidence is an issue

Second-hand car vendor Motorpoint Group PLC (LON:MOTR) is mulling a 13th outlet despite recent turbulence in the new car market and worries over consumer confidence.

The group said it was closely monitoring the consumer mood due to political and economic uncertainties, but trading over this year so far had been healthy.

READ: Motorpoint exceeds its own expectations as revenue jumps in full-year results

Motorpoint is the UK’s largest independent dealer with 12 outlets and concentrates on nearly new vehicles up to two years old.

Sales in the half year to September will be about 9% higher than a year ago.

The breadth and quality of its stock were also strong going into the second half, said Motorpoint, adding it had been encouraged by the recent trading performance.

Motorpoint believes it can further increase market share and is looking at potential sites for the new outlet.

The outlook for car sales overall has been clouded recently due to worries over lending and consumer finances.

Figures yesterday from the Society of Motor Manufacturers showed new sales dropped by a fifth in September, though this was blamed on new emission standards hitting the availability of cars.

Dips in new cars sales take time to trickle through into prices for second-hand cars.

Shares in Motorpoint were unchanged at 203p.

PhilW.jpg


Register here to be notified of future Company articles
View full profile View Profile
View All

© tech Capital 2018

Tech Capital, a subsidiary of Proactive Investors, acts as the vanguard for listed tech companies to interact with institutional and highly capitalised investors.
Headquartered in London, Tech Capital is led by a team of Europe's leading analysts and journalists, publishing daily content, covering all key movements in the Technology market.