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UK's Inchcape maintains annual outlook, including impact of tariffs
June 26 (Reuters) - British car distributor Inchcape (INCH.L), opens new tab reiterated its full-year financial outlook on Thursday, banking on a resilient performance driven by steps to manage costs and inventory to offset the impact of U.S. tariffs and higher competition.
Inchcape, which exports cars for global manufacturers across 40 countries, said that tariff-related impact so far in the year through December was limited, adding that growth could tilt towards the second-half due to the cyclical nature of its sales.
The U.S. and UK signed a formal trade agreement last week, under which British car makers will be given an annual quota of 100,000 cars to be sent to the U.S. at a 10% tariff rate.
Inchcape shares were up 2.2% in early trade after it said it continues to expect "another year of growth", including "higher (earnings per share) growth".
"Investors will likely be reassured that the unchanged guidance now accommodates tariffs, as well as the operational discipline," Peel Hunt analyst Andrew Nussey said in a note.
The auto retailer reported revenue of 9.3 billion pounds ($12.76 billion) and profit of 71.3 pence per share in 2024.
Analysts, meanwhile, expect Inchcape to report 2025 revenue of 9.25 billion pounds and profit of 79.5 pence per share, according to a company-compiled consensus.
($1 = 0.7291 pounds)
