Vertu Motors Share Discussion Threads

[wad collector] 10/5/2023 07:32

CEO just been interviewed on Radio 4 as headline on results , though they really wanted to hear his views on EVs.
Hard to predict market response to good results at the moment , seem to often fall a bit flat. "Slightly ahead "of expectations may be the focus. Close at 62p?

[blackhorse23] 10/5/2023 07:27

Mixed results, good & bad. Both , revenues up but profit down , significant debt VS no debt last year , let's see

[jaf111] 10/5/2023 07:24

Hopefully Mr Market will agree….things looking pretty good. I particularly liked the strong trading in the key months of March & April……

[microscope] 10/5/2023 07:09

Profit and cash ahead of expectations, confident for the year ahead and dividend up 26.5pc.If you don't like the sound of that, I humbly suggest you're in the wrong game!

[wad collector] 09/5/2023 22:25

Can't imagine he has not been sitting on the results for several days. Surely he wouldn't tweet anything if there was bad news coming....

[santangello] 09/5/2023 16:14

Love it JAF :)

[jaf111] 09/5/2023 16:11

Well I don’t think the CEO would be tweeting that he was putting ‘the final touches to the results’ if he wasn’t confident

🤞🤞🤞

[santangello] 09/5/2023 15:47

Either tomorrows news leaked (well someone has to know what's getting reported) or proper confident buyers coming in now.Interesting last 30 mins perhaps ?

[santangello] 02/5/2023 10:56

I have results diarised for 10 May :)

[blackhorse23] 02/5/2023 10:16

Bought some GATC today

[tomps2] 27/4/2023 14:24

Vertu Motors (VTU) Full Year 2023 webinar

Robert Forrester, CEO & Karen Anderson, CFO will present full year results for the year ended 28 Feburary 2023 followed by Q&A.

Register here: bit.ly/VTU_FY23_webinar

[alter ego] 25/4/2023 11:58

Who is ramping up production?

[santangello] 25/4/2023 11:15

We are ramping up production to try and keep up with demand from the dealerships....

[mortimer7] 05/4/2023 09:51

Total number of New car registrations for the month of March for the UK announced today. 287,825 up 18.2% on last March total of 243,479.

[blackhorse23] 27/3/2023 12:54

Switched to 888 holdings

[mortimer7] 22/3/2023 16:27

On the subject of takeovers ...
Reading Pendragon results today makes me even more appreciative of how good & well run Vertu are. Pendragon narrative full of corporate buzzwords & they managed to screw up a potential takeover.

[davebowler] 17/3/2023 08:49

Zeus-
Lithia Motors’ acquisition of Jardine Motors highlights sector value

On 25 January we noted that US franchised dealer group Lithia Motors Inc (LAD US) was in negotiations to buy a 50-site UK dealer business, Jardine Motors, for c. £300m. This deal has now been agreed, with the consideration undisclosed but reported to be between £300m-£400m. This gives Lithia a major foothold in the UK market and the Group has ambitions to expand further. Based on the historic financial information of the target, we think the acquisition highlights how undervalued the UK listed franchised dealer groups are at current levels.

¨ Lithia strategy: Lithia currently operates c. 300 sites in the US in 26 states. In its 2025 plan, first announced in early 2021, the Group set out its ambition to become a $50bn turnover retailer, quadrupling its sales from FY20 levels ($13.1bn). Lithia’s strategy includes achieving $20bn of this growth via acquisition and has now entered the UK market as part of this. The deal is expected to add annualised revenue to Lithia of over $2.1bn in 2023 (source: company announcement). The Group CEO said the deal was “more affordable than what typically find in the United States”, which we think is because of both weak Sterling relative to the US dollar and depressed valuation multiples in the UK.

¨ Target business: Jardine Motors Group operates 50 sites across the UK, employs c. 2,700 people, and is estimated to be the ninth largest dealer group in the UK, according to AM Online. Its brands are primarily luxury OEMs, including Audi, JLR, Mercedes, Porsche, McLaren, Ferrari and Aston Martin. According to latest accounts filed at Companies House for the year to 31 December 2021, the Group earned revenue of £1.6bn and underlying PBT of £24.5m (adjusting for £4.4m exceptional profit on asset disposals). At the FY21 year end, it had freehold and long-leasehold property assets of £103m and net debt (cash less bank loans) of £79.5m.

¨ Relative valuation: Jardine’s FY21 underlying PBT of £24.5m was much lower than £84.4m for Pendragon, £80.7m for Vertu (year to 28 Feb 2022), and £90.7m for Lookers. Therefore, for the relative level of historic profitability, the reported consideration of at least £300m for Jardine makes the UK listed dealer Group’s current market capitalisations (Pendragon: £241m , Vertu: £211m , Lookers: £316m) look materially undervalued. A fairer comparison would be against FY22 performance for Jardine, or forecasts for future years, but this information is unavailable. Nonetheless, we think it is unlikely that Jardine has materially improved its profitability relative to the listed dealers since FY21, as these dealer groups have continued to trade well. In our view, as we said in January, this acquisition makes the UK listed franchised dealers appear good value at current levels. With Sterling remaining weak relative to the US dollar, this deal could spark further international entrants and sector consolidation.

[bigbertie1] 15/3/2023 16:45

Announcement of new electric Ford model due 21st March should be good for Bristol Street Motors?

[fredfishcake] 07/3/2023 16:30

Dunno what's happening in the rest of the country, but I visited a number of car dealerships around Exeter yesterday. All seemed to be selling great guns with no shortage of demand and little to no discounting. Lead times varying from a month or so (Nissan) to 6 months (Toyota).

[dagoberia] 07/3/2023 15:17

I can't seem to find in the latest update any mention of dividends (value and time table)? Thanks

[davebowler] 06/3/2023 14:11

Audio note by Zeus ..

[mortimer7] 06/3/2023 09:26

SMMT published the total number of new car registrations in the UK for the month of February this morning, being 74,441. A 26% uplift on Feb 22 total of 58,594.

[pj84] 03/3/2023 20:27

Liberum: Vertu Motors is too cheap
Car dealer Vertu Motors (VTU) is too cheap given its position as a sector consolidator, says Liberum.

Analyst Sanjay Vidyarthi retained his ‘buy’ recommendation and increased his share price target from 110p to 120p. The stock added 2% to 62.5p.

The group reported a ‘robust’ full-year 2023 trading performance, which aligned with expectations. Net debt was ‘materially better than expected’ and Vidyarthi made no changes to full-year profit forecasts.

‘Management points to improving new car supply, which should drive new and used volume growth in 2023,’ he said.

‘Pricing demand remains stable overall and there has been no negative impact on demand. Reflecting better supply, we raise our full-year 2024 sales forecast, flowing through to a 10% profit before a tax increase.’

The shares currently trade on a 2023 price-earnings multiple of 6.4, which Vidyarthi said ‘is too cheap for what is the prime consolidator in the market with an excellent long-term track record’.

[shaker45] 03/3/2023 08:04

And of course MB aren't assuming that 'debt' out of the goodness of their hearts. A margin hit for vertu I guess, but worthwhile as debt level is under the microscope.