Motorpoint returns to profit, reinstates dividend after strong sales growth

Published 12/06/2025, 07:28
Motorpoint returns to profit, reinstates dividend after strong sales growth

LONDON - Motorpoint Group PLC (LSE:MOTR) reported a return to profitability for the fiscal year ended March 31, 2025, with profit before taxation of £4.1 million compared to a loss of £10.4 million in the previous year.

The UK vehicle retailer saw revenue increase to £1.17 billion, up from £1.09 billion in fiscal 2024, according to a press release statement issued Thursday. The company attributed the improvement to a 13.9% increase in retail vehicle sales to 59,900 units.

Motorpoint announced it would reinstate dividends with a proposed final payment of 1.0 pence per share, following a period with no dividend distributions.

Gross profit rose to £90.8 million from £73.1 million a year earlier, while gross profit margin improved to 7.7% from 6.7%. The company reduced its average inventory holding period to 43 days from 45 days.

Market share in the 0-6 year old vehicle segment increased to 2.37% from 2.11% in the previous fiscal year, representing a 12.3% year-over-year improvement.

"I am extremely pleased with our performance in FY25," said Mark Carpenter, Chief Executive Officer of Motorpoint. "This successfully laid the foundations for growth and in FY25 resulted in double digit year on year volume growth, significant gains in market share, faster stock turn, and a welcome return to profitability."

The company opened its 21st store in Norwich in December 2024 and invested £4.7 million to relaunch its original store in Derby.

Motorpoint reported that positive momentum has continued into the current fiscal year, with retail volume growth across April and May 2025, though it remains cautious about consumer confidence in the near term.

The company completed a 3.6 million share buyback program during fiscal 2025 and announced a further 3 million share repurchase program that commenced after the fiscal year ended.

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