Peter Warren Automotive Holdings Limited H1 FY24 Result Announcement

Peter Warren Automotive Holdings Limited reported a 20.4% increase in revenue for H1 FY24 compared to H1 FY23.
EBITDA saw a slight increase of 1.0%, despite challenges in new car margins.
Profit before tax (PBT) decreased by 20.4% due to rising interest costs.
The company declared an interim dividend of 8.5 cents per share, down from 11.0 cents the previous year.
Growth was driven by both organic expansion and successful acquisitions, particularly in Warwick Farm and Bathurst.
Gross margin declined by 70 basis points due to lower margins from new acquisitions and a decrease in new car margins.
Operating expenses, excluding one-off costs and new acquisitions, increased by 5.0%.
Interest costs rose significantly by $7.9m, impacting financial performance.
The Australian vehicle market is experiencing increased supply but faces model and brand misalignment with customer demand.
Peter Warren is focusing on inventory management, gross profit management, and customer experience to support results.
The company is well-positioned for the transition to New Energy Vehicles (NEV), offering 71 EV, PHEV, and hybrid models.
Peter Warren plans to continue its growth through organic means and strategic acquisitions, with the Macarthur dealerships expected to join soon.
New car supply is expected to remain high, with inventory levels increased and new car margins potentially tapering.
The company is hosting an investor conference call and webcast to discuss these results further.

This announcement is a summary of the company approved ASX announcement on 21/2/2024 and is based on facts.