Leading automotive dealership AP Eagers Ltd (ASX: APE) has reported another strong full year result.
For the 12 months ending December 31 the company, which has seen its market capitalisation increase to over $2 billion in the past year, reported growth in all key metrics.
Here are some of the highlights:
- New vehicle sales increased 13.9% to 51,231
- Used vehicle sales increased 3.7% to 26,399
- Earnings before interest, tax, depreciation and amortisation (EBITA) excluding impairment increased by 18% to $163 million
- Underlying profit before tax increased by 19% to $126.4 million
- Net profit after tax increased 13% to $87 million
- A fully franked final dividend of 20 cents per share (cps) was declared, bringing total dividends for the full year to a record 32 cps
AP Eagers' balance sheet is in good shape with low gearing and the group holding a 19.9% strategic investment in peer Automotive Group Holdings Ltd (ASX: AHG) valued at approximately $275 million. It also has $250 million in prime real estate on the books.
While automotive manufacturing in Australia is a troubled story, many ASX-listed companies which are exposed to other areas of the automotive sector have been enjoying success.
Shares in spare parts wholesale and retail operators Burson Group Ltd (ASX: BAP) and Super Retail Group Ltd (ASX: SUL) are up 80% and 4% respectively over the past year, while four-wheel drive parts specialist ARB Corporation Limited's (ASX: ARB) share price has gained 22%.
