The business said it expects its losses to be at the lower end of what bosses had previously forecast, as it sold around 9% more in the three months to the end of March
Used car dealer Motorpoint has reported improved profit margins as customer demand for vehicles increases.
The company expects its losses to be less than previously predicted, after selling about 9% more cars in the three months leading up to the end of March.
“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,” said chief executive Mark Carpenter.
The firm revealed that it expects its pre-tax loss to be “at the favourable end of management expectations” and that it has around £9million in cash.
“Consumer demand has picked up, and we have benefitted from the numerous enhancements made to our digital presence during the past year which, among other things, is generating strong website traffic,” Motorpoint added. It gradually increased its profit margins throughout the fourth quarter.
“We are achieving growth, increasing stock turn and improving margins, and this is expected to continue into the 2025 financial year as supply improves following recent new car registration growth,” Mr Carpenter said. “I am, therefore, optimistic for the 2025 financial year and look forward to Motorpoint making the most of the growth opportunities ahead.”
