Super Group flags half-year profit rise amid robust UK car sales
Resilient sales and cost-cutting efforts have put the transport and logistics group on track for a rise in pretax profit
Transport and logistics services company Super Group said on Wednesday that a robust sales performance at its UK dealerships and cost-cutting efforts have put it on track for an increase of interim profits to end-December.
Pretax profit is expected to rise between 9.8% and 14.3% to end-December, the group said in a trading update, a rise of up to R127.3m.
Revenue from operations grew 5.8% to R20bn year on year in the period, Super Group said, reflecting strong sales performances in the Supply Chain Europe and Dealerships UK, in particular.
Dealerships UK enjoyed a good sales demand over the four-month period to November 5, when lockdown measures in that country took effect, according to the statement.
The group has 28 dealerships in the UK, according to information on its website, 21 Ford dealerships, four Kia, and three Mazda dealerships.
Its Supply Chain Europe business operates across 45 countries across Europe, offering shipment services, as well as consulting services.
The UK contributed 25% of group revenue to end-June, Europe 8%, and SA 54%, with SA operations including vehicle rentals, bus rentals and car dealerships.
SA operations continue to be affected by lockdowns, Super Group said, but it was benefiting from cost-cutting and other measures, such as ensuring businesses are operating appropriately “to current levels of demand”.
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