StockMarketWire.com - Auto retailer Motorpoint Group said it expected to post growth in adjusted annual profit of around 10%, despite a weaker second half.

Revenue for the year through March was seen rising 6% on-year.

'Whilst the second half of the financial year has seen more modest growth, we expect to have continued to increase market share over the year,' Motorpoint said.

Gross margins per unit had softened 'slightly', which the company said reflected strong vehicle supply availability in the market.

'This availability has allowed the group to start the new financial year with a broad and competitive stock offering,' it added.

Turning to its outlook, Motorpoint said its flexible stock sourcing model meant it was well positioned to continue to grow market share in the UK nearly new used car market.

'That said, in light of the continued volatile political environment and consumer uncertainty, the board remains cautious on the outlook for the financial year ahead,' it added.

'In spite of this the board expects to make further progress in revenue and underlying profit, but notes that there will be an around £2m profit headwind in the 2020 financial year from historic deferred extended guarantee income.'




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