Earnings release
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RNS Number : 3242SVertu Motors PLC27 August 2026 27 August 2026 Vertu Motors plc ("Vertu Motors", "Group", "Company") Trading Update - Full Year Results Expected to be Ahead of Market Expectations Vertu Motors, a leading UK automotive retailer with a network of 194 sales and aftersales outlets, is pleased toprovide the following update on trading ahead of the close of its financial half year ending 31 August 2026. TheGroup's interim results will be announced on Wednesday 14 October 2026. Robert Forrester, Chief Executive Officer, said: "The Group has delivered a strong trading performance in the five month period to 31 July 2026, with positivecontributions from new and used vehicles, increased fleet market share, and continued momentum in our high-margin aftersales operations. Order-take levels for the important September plate change month give the Boardconfidence that results for the full year will be ahead of market expectations. "We also welcome the Government's consultation on the ZEV Mandate, an area on which we have activelyengaged with Government for some time. We hope this will result in a more pragmatic transition toelectrification which better reflects consumer demand and prevailing market conditions. There is now anopportunity for a reset to allow the automotive sector in the UK to make a bigger contribution to economicgrowth of the UK." 5-month period ended 31 July 2026 Var to 2025 Like-for-like SMMT UKregistrations Group Revenues 4.6% Service Revenues1 3.4% Volumes: Used Retail Vehicles 4.4% New Retail Vehicles2 8.7% 13.4%Motability Vehicles 10.2% 9.4% New Fleet Cars2 and new commercial vehicles 19.9% 7.6% 1includes internal and external revenues 2includes agency volumes Trading update During the five months to 31 July 2026 (the 'Period') the Group has continued to trade strongly and above prioryear levels. New retail vehicle sales and used vehicle volumes have performed well, supported by effectivemarketing campaigns and in the case of the latter, the successful execution of the 'Value Cars by Vertu' strategy,a new initiative launched in April 2026 with the Group growing sales of older used cars. The Group hassignificantly increased its share of the fleet market. Aftersales revenue has increased in the Period andcontributed to the growth in Group profits year-on-year. Group gross margins remain stable. Operating expensescontinue to be well controlled following the actions taken prior to the start of the financial year. The Group has carefully managed working capital in H1 and anticipates net debt to be in the range of £74.0m to£77.0m at the end of August (H1 2026: £78.3m) excluding IFRS 16 liabilities. The Group continues to repurchase its own shares as part of its Share Buyback programme. 2.4m shares havebeen purchased in the financial year to date for £1.7m. This represents 0.8% of the opening share capital. Todate, 21.9% of the share capital of the Group has been repurchased since the commencement of the programmein 2018. £10.3m remains of the £12m buyback announced on 5 March 2026. Portfolio update The Group continues to review and transform its portfolio of operations and to expand its franchiserepresentation. This includes the further development of relationships with Chinese automotive Manufacturers,including the launch of the Group's first Omoda and Jaecoo outlets on 1 July 2026 in Burton. The Group has thismonth opened its first Leapmotor outlets in Harrogate and Crewe, alongside Vauxhall operations, and is workingto introduce a further Geely outlet to an operation on Teesside. The Group also commenced representation ofthe Alpine franchise in Nottingham, alongside the existing Renault and Dacia outlets, and introduced the Renaultand Dacia franchises to an existing outlet in Mansfield. The Group now operates 18 sales outlets representingChinese automotive brands including BYD and MG. Further franchise portfolio developments are expected to befinalised in the coming months with focus on Chinese brands.
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The Group has further optimised the portfolio with the closure of a loss-making Mazda outlet in York at the endof July. In addition, the Group's Sheffield Mazda operation was moved alongside Nissan, so reducing theoperational cost base of the Group. As a result of these portfolio changes, anticipated capital expenditure for the full financial year will increase by£2.0m over previously announced levels. Outlook Retail new vehicle order-take for the July-September calendar quarter is running ahead of prior year levels. Giventhe importance of September as a plate change month and quarter end for new car bonuses, the order-takelevels give the Board confidence. The Group welcomes the Government's consultation on the Zero Emission Vehicle ("ZEV") Mandate. A morerealistic trajectory would help the automotive sector in the next few years and provide greater choice toconsumers. However, the result of the consultation may still leave the industry facing unrealistically high targetsin both the car and especially the van vehicle channels in the years ahead. Given the trading trends and portfolio changes, the Board anticipates that full year results for FY27 will be ahead of current market expectations3. 3According to compiled data at 26 August 2026, the current consensus of three sell-side analysts' expectations for FY27 adjusted profit before tax is £25.5mwith a range of £24.5m to £26.1m. This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the Company's obligations under Article 17 of MAR. Vertu Motors plc Tel: +44 (0) 191 491 2121Robert Forrester, CEOKaren Anderson, CFOPhil Clark, Investor Relations Stifel (Nominated Adviser and Joint Broker) Tel: +44 (0) 207 710 7688Matthew BlawatCallum Stewart Shore Capital (Joint Broker) Tel: +44 (0) 20 7408 4090Mark Percy / Sophie Collins (Corporate Advisory)Isobel Jones (Corporate Broking) Blackdown Partners (Corporate Finance Advisor) Tel: +44 (0) 20 3807 8484Peter TraceyTom Fyson Camarco Tel: +44 (0) 203 757 4980Billy CleggTom Huddart Notes to Editors Vertu Motors is the fourth largest automotive retailer in the UK with a network of 194 sales outlets across the UK. Vertu Motors was established in November 2006 with the strategy to consolidate the UK motor retail sector. It is intended that the Group will continue to acquire motor retail operations to grow a scaled dealership group. The Group's acquisition strategy is supplemented by a focused organic growth strategy to drive operational efficiencies through its national dealership network. Vertu's Mission Statement is to "deliver an outstanding customer motoring experience through honesty and trust". Vertu Motors Group websites -https://investors.vertumotors.com/www.vertucareers.com Vertu brand websites -www.vertumotors.com
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