Motorpoint Group PLC, a leading independent omnichannel vehicle retailer in the UK, has released its Q4 trading update for the quarter ended 31 March 2024. The company reported a strong and profitable performance, with retail volume up approximately 9% year on year and continued margin recovery. As a result, the Loss Before Tax for the full year is anticipated to be at the favorable end of management expectations. The balance sheet remains robust with no structural debt and around £9 million of cash at 31 March 2024.

The positive momentum experienced at the start of the calendar year continued through February and March, leading to a c.9% year-on-year increase in Q4 retail volume. This resulted in profitable months for January, February, and March. The company attributed this growth to the increase in consumer demand and the enhancements made to its digital presence, which generated strong website traffic. Margins gradually improved through Q4 as stock turn increased and stock affected by the Q3 correction in used car values was sold through.

Motorpoint Group PLC's cost management remains tightly controlled, with savings achieved in people costs following a rightsizing program and efficiencies resulting from technology investment. Mark Carpenter, Chief Executive Officer of Motorpoint Group PLC, expressed his delight at the easing of difficult conditions experienced in 2023 and the consistent profitability in Q4. He also expressed optimism for FY25, anticipating continued growth, increased stock turn, and improved margins as supply improves following recent new car registration growth.

The company has initiated a share buyback to repurchase and cancel up to 5 million shares, with 220,255 shares repurchased as at 31 March 2024. The announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014. It also includes forward-looking statements based on management information, highlighting the known and unknown risks, assumptions, uncertainties, and other factors that may cause actual results to differ materially from future results.