UK car distributor Inchcape has reported lower revenue and profit for FY2025, with a new £175m ($232.25) share buyback.
For the year ending 31 December 2025, income from continuing operations fell 2% to £9.10bn from £9.26bn.
Operating profit from continuing operations fell 6% to £526m, while operating margin fell 30 basis points to 5.8%.
Gross profit for the period fell 37% to £273m but basic earnings per share rose 9% to 72.5p.
Full-year dividends rose 13% to 32.3p per share, in line with the 40% adjusted core EPS payout policy.
Asia-Pacific (APAC) reported a 15% drop in revenue to £2.54bn and a 23% drop in adjusted operating profit to £182m.
Europe and Africa recorded 8% revenue growth to £3.26bn, with adjusted operating profit up 6% to £151m.
Americas delivered revenue of £3.30bn, up 1%, while adjusted operating profit rose 11% to £230m.
During the year, Inchcape won 10 distribution contracts and acquired Icelandic distributor Askja for £35m.
It completed a £250m purchase in March 2026 and announced a further £175m programme.
Inchcape Group CEO Duncan Tait said: “During a transformative year in the automotive sector in FY2025, Inchcape’s diversified and scalable business model delivered results in line with our mid-term targets, reporting double-digit EPS growth.
“Our performance in 2025 was driven by good momentum in our Americas and Europe and Africa regions and we are taking measures to address the challenges in APAC.”
For FY2026, the company expects organic volume growth to reach the lower end of its 3%-5% guidance range, weighted towards the second half.
It forecasts adjusted operating margins of around 6%, free cash flow turnover of nearly 100%, and EPS growth of more than 10%, supported by continued momentum in the Americas and Europe and Africa and management actions in APAC.
“Inchcape posts FY25 profit cut, launches £175m buyback” was originally created and published by Just Auto, a brand owned by Global Data.
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