Pendragon raises profit outlook as supply issues deemed “not as bad”

By:

Add as a preferred source on Google
On Thursday, Pinewood reported revenue of £24.5m from its software unit, while its discontinued car business brought in £4.3bn in 2023.
On Thursday, Pinewood reported revenue of £24.5m from its software unit, while its discontinued car business brought in £4.3bn in 2023.

UK motor retailer Pendragon has raised its profit outlook for the full year for the second time in less than two months.

After initially lifting it from between £55m and £60m to approximately £70m on 7 October, the group said this morning its underlying profit for the full year to 31 December 2021 has gone up to £80m.

The company explained that the current supply chain issues were not as bad as once thought, with the shortfall of cars being lower than what was initially expected in October and November.

“In addition, we are continuing to see robust performance in used vehicles following successful implementation of the group’s strategy, which continues to drive improved gross profit per unit, underpinned by favourable market conditions,” Pendragon said in a statement.

“The overall group performance continues to be supported by cost and efficiency savings realised through the successful delivery of the strategy.”