Vertu results, reports and presentations
| Date | Title | Results | Reports | Presentation | Webcast |
|---|---|---|---|---|---|
| 28th February 2026 | Annual Results 2026 | View results | View | Download | Watch webcast |
Annual results for the year ended 28 February 2026
Robert Forrester interview on the results
Watch the video
Highlights
- Adjusted1 profit before tax of £24.5m ahead of market expectations2 delivered despite weak new vehicle markets due to the Government's Zero Emission Mandate (ZEV) and related margin pressure.
- £3.4m of insurance proceeds recognised as other income in FY26 in underlying earnings offsetting losses from the JLR cyber-attack of £3.9m.
- Aftersales delivered strong growth, with like‑for‑like revenue and gross profit growth, now generating over 46% of Group gross profit and underpinning earnings resilience.
- Modest used car volume growth, with pricing stability and stable gross profit per unit.
- Disciplined cost control, with Core Group3 operating costs up just 1.1% year‑on‑year despite wage inflation, and a further £10m cost efficiency programme delivered to aid FY27 results.
- Robust cash generation, with £30.7m of free cash flow, bolstering an already strong balance sheet.
- Net debt4 of £61.3m as at 28 February 2026 (FY25: Net debt: £66.6m).
- Capital returns maintained, with final dividend of 1.15p per share recommended holding full‑year dividend flat at 2.05p per share (FY25: 2.05p) and £10.7m returned through share buybacks during the year. A total of £46.5m expended on the repurchase of over 21% of the Group's issued shares since the programmes began in FY18. Further £12m share buyback programme announced in March.
- Non-underlying costs of £5.1m arose as a result of dealership closures and restructuring costs to reduce the cost base of the Group. This is offset by £0.9m of non-underlying income relating to profit on disposal of surplus freehold properties and disposal of businesses.
- Surplus freehold property disposals generated cash proceeds of £5.1m and were sold at an aggregate £0.6m premium to book value in FY26. FY27 has already seen surplus property disposals of £1.5m at a premium to book value of £0.5m. Glasgow disposal, announced in Pre-close Trading update as expected to complete in March is delayed.
- Net tangible assets per share of 75.9p (FY25: 72.9p)
- Group awarded 2025 Retailer of the Year and Customer Experience award by Autotrader.
- Programme to enhance portfolio with new Chinese entrant brands implemented and set to continue: Jaecoo, Omoda, Lepas, Chery and Leapmotor to be added to.
1 Adjusted to remove non-underlying items
2According to compiled data at 30 April 2026, the current consensus of three sell side analysts' expectations for FY26 adjusted profit before tax is £24.0m with a range of £23.4m to £24.4m
3 Core Group represents dealerships that have traded for the full period from 1 March 2024
4 Excludes lease liabilities, includes used vehicle stocking loans
Current Trading and Outlook
- Strong start to FY27, trading profit for March and April 2026 was ahead of the prior year.
- The Group's resilient Aftersales operations delivered record performance and a £2.9m uplift in Core Group gross profit in March and April compared to the prior year period.
- On 1 April the Group launched Value Cars by Vertu, an initiative to increase market share in the 7-to-14-year-old used car market. Initial indications are that this will add incremental profits.
- The ZEV mandate is distorting volumes, margins and channel mix for new car and commercial vehicles, alongside elevated discounting and potential non‑BEV supply constraints. The ratcheting of targets creates more intense pressure and the Group has asked the Government to urgently bring forward its review of the ZEV mandate from 2027 to 2026.
- The impact of the Middle East conflict driving fuel price volatility, pressuring consumer confidence, disposable income and vehicle demand is being monitored. No material adverse consumer trends are visible today. BEV and hybrid vehicles are showing higher interest from customers as expected. A prolonged conflict could drive up inflation.
- Group remains well positioned, with scale advantages, disciplined execution and a strong financial position to navigate structural market adjustment and capture opportunities.
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