AIM-listed Cambria Automobiles has posted its half-year results this morning showing 5% growth in turnover to £184.2m and pre-tax profits ahead of plan.
The dealer group, ranked 20 in the AM100, reports a pre-tax profit of £2.6m, slightly ahead of the prior year's performance.
Underlying EBITDA increased 14% to £3.8m, and net debt has been slashed from £9.6m to £4.9m, with gearing down to 27% from 60%.
That, plus £8m cash and a £5m credit facility puts Cambria in a position to make selective acquisitions in line with its focus on buying underperforming dealerships to improve.
Mark Lavery, chief executive, said: “We are delighted to announce another strong trading performance for the half year, which has seen Cambria deliver growth through the continued integration of the businesses acquired during our 2010 financial year.
"Cambria’s continuing businesses have shown improved profitability year on year, whilst we have continued to invest in the businesses acquired in 2010 including a major refurbishment of the Maidstone property for Mazda and Honda.
"These acquisitions now have the foundations to improve their financial performance in line with our strategy. Our prudent approach to balance sheet management and costs places Cambria in a strong position to take advantage of acquisition opportunities as they arise”.
Operating performance highlights:
- New vehicle unit sales decreased 10% year on year to 3,882 from 4,290, offset by higher profit per unit
- New car units sales increased 30% adjusted for exclusion of 1,297 scrappage units delivered in the 6 month period to 28 February 2010
- Used vehicle unit sales increased 14% year on year to 7,016 generating a 9% increase in gross profit
- Aftersales revenues increased by 10% and gross profits increased by 11%
- Maidstone freehold property significantly redeveloped during the period for Mazda and Honda
- Blackburn property development completed during the period in order to add Alfa Romeo and a further Renault franchise onto the Blackburn motor park facility alongside Volvo and Fiat
> View the trading statement (pdf) here.