Lookers revenue up 6.2% to £4.3bn, current year ahead

Altrincham-based car dealership Lookers plc reported that its 2022 revenue rose 6.2% to £4.3 billion while profit before tax slipped to £84.4 million from £90 million, reflecting “extremely strong comparatives” from record performance in 2021.

Total dividend for the year rose to 3p from 2.5p.

On current trading and outlook, Lookers said it has made an excellent start to Q1 with underlying profit before tax ahead of 2022 “driven by used vehicle and aftersales revenue growth, stable margins and ongoing working capital and cost disciplines.”

Lookers said its expectations for underlying profit before tax for 2023 are now ahead of its previous expectations.

Lookers shares rose about 3%.

Lookers CEO Mark Raban said: “I am delighted to report another excellent performance achieved against a backdrop of material supply disruption, inflation and rising interest rates …

“We have strong momentum in the execution of our strategic priorities.

“Our operational optimisation agenda remains the cornerstone of our strategy and we have made demonstrable progress on our self-help initiatives.

“In addition, I am particularly pleased to see the expansion of our offerings through partnerships with a number of exciting new brands and the addition of incremental revenue streams including cosmetic repairs.

“We remain mindful of pressures faced by the consumer and on discretionary spending.

“However, we are confident in our proposition, our balance sheet and strategic focus, with significant opportunities ahead.

“With good momentum across the business, we have continued to trade strongly in Q1 2023, and the board’s outlook for underlying PBT for the current financial year is now ahead of its previous expectations.”