MMH noted in its H1 pre-close, ahead of results on 14 August 2018, that the group delivered positive performance despite a challenging UK new vehicle market. It expects underlying profit before tax to be higher, even against a record performance reported in H1-17.
MMH attributed the positive performance to robust trading disciplines, tight control of discretionary costs and the closure of six loss making sites. During the first five months of 2018, the group’s new car unit sales was ahead of the market (excluding certain low margin fleet business from which the group has withdrawn), while sales of used units was consistent with better operating performance. As of 30 June 2018, the group expects to have a small net debt position.
Daksh Gupta, CEO, said, “We remain cautious but given our performance to date, our expected outlook for the full year is improved. With the support of our brand partners, excellent portfolio, robust operating disciplines and strong balance sheet, I am confident the Group remains very well positioned for the future.”