(MENAFN- ProactiveInvestors)
Car dealer () cheered investors this morning by delivering record annual revenues and profits along with a double digit dividend boost.
Profit before tax in the year to February rose 32.9% to a record £21mln the Gateshead-based motor retailer said while revenue rose 23% to £2.1bn.
Higher automobile sales from its Bristol Street Motors Farnell and Macklin Motors forecourts helped the performance as did increases in the of number of customers on its service plans.
Meanwhile in the post-year end period March and April trading performance has been ahead of current targets.
Sales of new cars over both months were up 4.3% on a like-for-like basis while used car volumes were 6.2% higher.
Virtu said plate changes meant March was the highest UK registrations month for new cars this century.
On the back of the strong performance the group has decided to pay a total dividend of 1.05p per share up 31% from the 0.8p paid the year before.
"The group is delivering a strong trading performance driven through its successful acquisition growth strategy and improvements in its underlying organic performance” said chief executive Robert Forrester.
“Many businesses within the dealership portfolio in the group have the potential to achieve enhanced margins.”
The company opened ten new outlets in the year taking the total to 116 and has acquired or opened a further 14 since the year-end.
Broker N+1 Singer said 2014 results are fractionally ahead of expectations and current trading is encouraging in all divisions including used cars.
“Although depreciation rates have worsened after a period of abnormal resilience Vertu indicates conditions look more typical now rather than reflecting a hard landing. This should be well received.”
Shares were 2p higher at 59p.
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