CEO has kind words for trucks impact on impending record performance
Truck sales will be in the mix as vehicle vendor AP Eagers foresees another bumper financial year.
While car sales have underpinned recent successes, trucks have been somewhat disappointing.
But that appears about to change, given CEO Martin Ward address at the listed group’s annual general meeting.
“With a good but static performance from South Australia and a significant improvement in trucks, our core existing businesses are once again in record turnover and profit territory,” Ward says.
He adds that, at the end of April, the company “is sitting 9 per cent up in both revenue and profit year on year”, compared with its last full-year result.
“As May and June represent the two biggest trading months of the year and we are in the middle of a federal election it is still too early to forecast our June 30th half year result,” Ward says.
“However as long as market conditions remain similar to the first four months of the year we would be hopeful of matching or exceeding the current growth percentage for the half year.”
Though there were no details on the trucking segment boost, chairman Tom Crommelin did note the positive impact of last year’s Birrell Motors Group purchase, which brought in Tasmanian Isuzu, Volvo, Mack and UD business.
“We are also delighted that the previous owners and operators, Marcus Birrell and Sergio Buccilli, will continue to operate the businesses under AP Eagers ownership, with their expertise to support a platform for further accretive growth in the Victorian and Tasmanian markets,” Ward says.
To that will be added Crampton Automotive Group and its Queensland Isuzu sales through Port City Autos.
Ward says this contract was signed last week and completion is expected on July 1.
Meanwhile, AP Eagers is more than happy with its shareholding in highly profitable rival Automotive Holding Group (AHG), which it casts as giving exposure the Western Australian market.