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Ahead of announcing its final results for the year ended 31 March 2024, Motorpoint Group has highlighted the strength and profitability of its Q4 performance.
This is the result of continued margin recovery and retail volume up by around 9% year on year.
Mark Carpenter, Motorpoint Group CEO, said: “I am delighted that the difficult conditions experienced in 2023 have eased in Q4 and, combined with our focus on driving operational excellence through a programme we call Brilliant Basics, has meant that Q4 was characterised by consistent profitability.”
Brilliant Basics refers to a lean cost base, faster stock turn and lower prices. Motorpoint’s positive momentum which continued through February and March is also in part attributed to this.
Consumer demand picked up and Motorpoint was able to benefit from enhancements to its digital presence which generated further website traffic.
Key takeaways regarding Motorpoint’s performance include favourable Loss Before Tax figures for the full year and robust balance sheets with around £9m of cash at 31 March.
In addition, share buyback has been initiated to repurchase and cancel up to 5 million shares. As at 31 March, 220,255 were repurchased.
Carpenter added: “We are achieving growth, increasing stock turn and improving margins, and this is expected to continue into FY25 as supply improves following recent new car registration growth. I am therefore optimistic for FY25 and look forward to Motorpoint making the most of the growth opportunities ahead.”