Vertu Motors Share Discussion Threads

[b3842517] 29/5/2015 08:05

Motoring here today :)

[mortimer7] 26/5/2015 10:45

Very heartening to see the rise of over 10% from the day before results on 12th May to what has been a recent 12 month high.
Hope it kicks on from here.

[r ball] 23/5/2015 05:12

I suppose the headwind is PPI tailoff. it always amused me that the average PPI claim award of £3k was the same as a deposit on a new car!

[tiggertiger] 22/5/2015 21:23

I get the feeling that the ride upwards starts here. This has now broken through 60p, next resistance at 80p.

[miikke] 13/5/2015 22:55

Very pleased with the overall results. The leadership of this company is in my view excellent. Hope this brilliant progress continues.

[miikke] 13/5/2015 17:01

Yes, the earnings per share increase seems 'fairly ordinary'- is that true?

[smicker] 13/5/2015 15:20

Probably due to the fact that new shares are continually being issued. Approx 15% increase this year and i'm sure many of these come straight to market as soon as the lockup runs out.

[tiggertiger] 13/5/2015 09:10

Totally agree Mortimer. Been building my stake in this over the past year. All the KPI,s improving consistently month on month yet share price has been static for well over a year. This has potential to hit £1 this year.

[mortimer7] 13/5/2015 08:47

This day last year the closing share price was 59p. Around the same level it is today.
Since then, NAV has increased substantially, PBT similarly, as have virtually all the main financial KPI's as illustrated in todays results. Additionally for this trading year outlook, (with additional outlets)
"the Board is confident the Group will grow both profits and the business this year".

So to me it's quite simple, buying now at the same share price as 12 months ago is a bargain.

[flyfisher] 13/5/2015 08:10

I see it a little different guys, with lower second half gross margins and higher opex resulting in pre tax margins below 0.9% in the second half, a marked deterioration on last years second half.
I did not expect upward opex pressure in the current environment and was surprised that the share price opened up.

[waspfactory] 13/5/2015 08:10

Nice business, very happy to hold on to these. Surprised by the muted response to these terrific results, share price only up 2%!

[qackers] 13/5/2015 07:52

Result out. Dividend up 31.3%

from statement

Current trading and outlook

The Group has traded ahead of the current year financial plan as well as significantly ahead of the prior year in March and April ("the post year-end period"). Improving sales volumes and aftersales contributions, together with an increased contribution from recently acquired dealerships have enabled the Group to drive profits forward again.

The post year-end period includes March which remains the most significant month for the profitability of UK automotive retail as a consequence of the plate change and its impact on new car demand and the seasonality of servicing. March 2015 saw the highest UK new car market in terms of registrations of any month this century and April registrations were the strongest for a decade. In the post year-end period, the Group's new retail sales volumes on a like-for-like basis rose 4.3% against a 2.7% growth in UK new car registrations to private buyers, hence the Group outperformed and gained market share. New vehicle like-for-like gross margins were stable. Increased volume delivered an overall increase in the Group's new vehicle total gross profit on a like-for-like basis.

Group fleet and commercial new vehicle sales delivered improved profitability due to strengthening margins, and the market continues to show significant growth in volumes year on year.

The Group's like-for-like used retail volumes were up 6.2% in the post year-end period despite the impact of cheaper, finance-led new car offers leading to some used car customers buying new cars. Used car supply is increasing as the new car market grows and part exchange levels coming into the used car market rise. This leads to a potential for lower used car margins, but also for higher used car volumes. The Group reacted early to these changing market conditions and implemented rigorous stock management and pricing disciplines. Like-for-like used car margins declined from 10.8% to 10.4% as expected and the successful drive to increase volume led to overall record levels of used car profitability.

Group aftersales profitability increased on a like-for-like basis in the post year-end period due to higher revenues and margins. Overall aftersales margins rose from 44.9% to 46.0% with service, accident repair centres and parts all showing revenue and margin increases. Petrol forecourt sales declined due to falling fuel prices but margin again increased.

Service like-for-like revenues rose 7.2% in the post year-end period and continued to benefit from the successful customer retention initiatives being executed by the Group. The Group now has over 71,000 customers paying monthly for service and MOT service plan packages and this, together with a growing 0-3 year old vehicle parc, is leading to increased revenues in the higher margin service channel.

Profitability was also improved by the dealerships acquired last year for which this was their first March within the Group.

Given trading in March and April and the encouraging improvements we are seeing in the acquired businesses, the Board is confident the Group will grow both profits and the business this year."

[18bt] 13/5/2015 07:51

Results look good and strong divi increase. Seems fair set for anther year.

[red_shed2000] 13/5/2015 07:50

Well we knew the results would be good it was the forward looking statement I was looking for....and boy am I happy with that!

Surprised this hasn't flown this morning so picked up a few more.

Good luck all

[mortimer7] 11/5/2015 10:17

Large volume of trading today ahead of Wednesdays results. share price up as well.

[bradders190] 08/5/2015 16:01

Results next week lets hope we see some movement ..........

[mortimer7] 07/5/2015 08:33

SMMT new car regn stats out this morning for April:
UK new car registrations rise 5.1% to 185,778 units as strongest April for a decade sees fleets and private buyers buoyed by high levels of confidence.

[look alive] 06/5/2015 13:26

I think Black Rock are still selling. It is gradually being absorbed.

[farmsted] 06/5/2015 13:11

Who's buying ? big share deals and no price movement

[mortimer7] 01/5/2015 09:13

Carcraft closure:

[mortimer7] 01/5/2015 07:56

2 more acquisitions announced this morning.
"Bury Land Rover is an earnings enhancing acquisition that will further support the profit growth of the Group in the short and medium term. Bradford Jaguar will complement our successful Land Rover operation in Bradford and will strengthen our Farnell brand in the North".

[mortimer7] 28/4/2015 14:26

The past couple of years performance and strategic acquisitions have been excellent and should ensure a strong growth platform for VTU within the sector, even when the motor retail sector growth diminishes.

I think the underlying problem causing lack of share price uplift here is the demographic make up of the principle shareholders. There are at least 12 institutional investors with more than over 3% holding, totalling over 60%.
These guys will be looking for steady growth and a strong balance sheet. In turn this reduces the likelihood of volatility upwards in the share price.
Reassuring for PI's and long termers, but not exciting.

Results 13 May might spark something.

[look alive] 28/4/2015 14:15

Black Rock have been selling .No doubt this has been holding them back.

[waspfactory] 28/4/2015 13:45

CAMB flying, come on VTU, must be a re-rating soon, surely.