Auto Trader has reported a profit before tax reduction of 2% to £293.6 million (2022: £301.0 million) through 31 March 2023.
This includes a £19.1 million profit from the disposal of Webzone Limited in October 2022. Cash generated from operations was £327.4 million (2022: £328.1 million).
Revenue in the core Auto Trader business increased by 9% to £473.0 million. At Group level, revenue grew 16% to £500.2 million (2022: £432.7 million). This figure includes the Autorama business, which was acquired in June 2022, for £27.2 million in revenue.
Operating profit in the core Auto Trader business was £332.9 million, up 10% from last year. The group’s operating profit decreased 9% to £277.6 million (2022: £303.6 million), which the Group attributed to the acquisition of Autorama.
The average number of resellers on the site remained at 13,913, with a slight difference from last year. Total livestock stock on site increased 2% to an average of 437,000 cars (2022: 430,000).
Stocks of new cars fell to an average of 25,000 (2022: 29,000) as new car supply was constrained. Used car stocks have increased by an average of 3% over the year, but are 35,000 cars less than pre-pandemic levels.
Auto Trader highlights that electric vehicles remain a challenge. It said that while consumer demand for used electric vehicles remains strong, up 43.6% year-over-year in May, supply has kicked in over the last few months, up 200% year-over-year, which is causing a tough price. reductions for some retailers to clear stock.
However, the Company has reported more volatile prices in recent weeks as supply and demand imbalances begin to resolve.
Nathan Coe, chief executive officer of Auto Trader, said: “This year marked a strong financial and operational performance for Auto Trader. Given the challenging economic backdrop and historically low levels of vehicle supply, this result is a credit to our people and the close partnership we have developed with our customers.
“In addition to driving more engaged car buyers to our platform through our marketing campaigns, we have invested significantly in our products and services to empower retailers with the full scale of our data and technology. I am proud of what we have delivered and the speed at which this solution has been embraced by our partners. It gives me confidence that we are doing the right thing to enable our customers to achieve their goals.”
