Eagers Automotive (APE) H1 2025 earnings summary

Executive summary

• Achieved record half-year revenue of $6.5 billion (or $6,496.7 million), up 18.9% year-over-year, with balanced growth from core businesses, acquisitions, and joint ventures.

• Underlying profit before tax rose 8.3% to $197.7 million, and underlying EBITDA/EBITDAI increased 11.6% to $296.7 million, both exceeding prior guidance.

• Statutory net profit after tax was $134.2 million, up 8.8% year-over-year, with interim fully franked dividend of 24.0 cents per share maintained.

• New and used car deliveries increased 22% and 16.7% respectively, driving market share gains, with NEV market share rising to 34%.

• Growth driven by a balanced mix of organic expansion and acquisitions, supported by operational resilience and cost efficiency.

Financial highlights

• Revenue reached $6.5 billion, up $1 billion from the prior period, with underlying EBITDA/EBITDAI margin at 4.6% (down from 4.9% in 1H24).

• Statutory profit before tax was $193.4 million, up 6.7% year-over-year.

• Statutory profit after tax was $134.2 million, up from $123.4 million in 1H24.

• Net corporate debt reduced to $447.2 million (or $474.2 million), with gearing improved to 0.82x.

• Operating cash flows were $506.8 million, supporting liquidity of $1,077.9 million at period end.

Outlook and guidance

• Full-year revenue expected to reach at least $13 billion, with continued market share gains and strong industry conditions.

• Expects further revenue growth for full year 2025, surpassing initial expectations, supported by improving market conditions and contributions from acquisitions and greenfield operations.

• Margins expected to remain strong, with potential upside as acquisitions and new business units mature.

• Focus remains on disciplined execution, sustainable optimization, and leveraging the Mitsubishi Corporation alliance.

• Easy Auto 123 and NEV leadership to drive further growth, with BYD volumes expected to exceed 40,000 for the year.