Latest news with #AutoTraderGroup
Yahoo
3 days ago
- Automotive
- Yahoo
Auto Trader Group PLC (ATDRF) Full Year 2025 Earnings Call Highlights: Strong Revenue and ...
Group Revenue Growth: 5% increase. Operating Profit Growth: 8% increase. Basic EPS Growth: 12% increase. Core Auto Trader Revenue Growth: 7% increase. Retailer Revenue Growth: 7% increase. Average Revenue Per Retailer (ARPR): 5% increase to GBP 2,854. Cash Returned to Shareholders: GBP 275.7 million through share buybacks and dividends. Final Dividend: 7.1p per share, total dividends 10.6p per share, up 10%. Operating Profit Margin: Group margin at 63%, Auto Trader margin at 70%. Cash Generated from Operations: 5% increase. Average Number of Retailer Forecourts: Up 2% to 14,013. Live Car Stock: Up 1% to 449,000. Autorama Revenue: GBP 36.3 million. Autorama Operating Loss: GBP 4.3 million. Net Profit Before Tax: GBP 375.7 million, 9% increase. Effective Tax Rate: 25%. Net Bank Debt: Reduced to nil. Warning! GuruFocus has detected 2 Warning Sign with ATDRF. Release Date: May 29, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Auto Trader Group PLC (ATDRF) reported a 5% increase in group revenue, with Auto Trader revenue specifically growing by 7%. Operating profit grew by 8%, demonstrating strong operating leverage and effective capital policy application. The company successfully launched its Co-Driver AI product suite, which has seen strong engagement from both retailers and consumers. Auto Trader's platform strategy is robust, with over 1 billion calls to data services, benefiting more than 90% of retailer customers. The Deal Builder product saw an 82% increase in customer numbers, significantly boosting the number of deals generated. The acceleration in the speed of vehicle sales negatively impacted revenue growth, which could have been higher without this factor. Used car prices fell during the year, affecting retailer profitability despite strong consumer demand. The digital services tax impacted Auto Trader's operating profit margin, which contracted slightly. Revenue from Manufacturer and Agency customers decreased by 8% year-on-year. Autorama, a segment of the business, reported an operating loss of GBP 4.3 million, although this was a reduction from the previous year. Q: With the April '26 pricing event approaching, how will Auto Trader handle accelerated stock turn, and what products will be bundled in the event? A: Nathan Coe, CEO, explained that while the event is some time away, they consider retailer profitability and stock turn when planning. They are not planning to change their business model but may consider pricing adjustments if stock turn remains fast. The event will likely focus on Deal Builder, with no major additional products, to ensure effective implementation and engagement. Q: Can you provide more details on the FY26 stock ARPR guidance and the medium-term Deal Builder monetization plans? A: Jamie Warner, CFO, stated that the stock offer conversion is expected to align with historical rates, and they anticipate a small negative impact on stock lever. Catherine Faiers, COO, noted that Deal Builder will be a baseline version initially, with potential for future monetization through additional features like finance products. Q: What are the expectations for retailer gross margins, and how does Autorama fit into the strategy with new private sales growth? A: Catherine Faiers, COO, mentioned that retailer gross margins have been under pressure due to narrowing trade-retail price gaps and softer finance penetration. Nathan Coe, CEO, added that Autorama's focus is on leveraging the Auto Trader platform for growth, with plans to reduce reliance on balance sheet transactions. Q: How does Auto Trader view competitive threats, and what differentiates its position in the market? A: Catherine Faiers, COO, emphasized that Auto Trader's brand, consumer relationships, and data depth are key differentiators. They focus on maintaining strong marketplace foundations and leveraging proprietary data to enhance consumer and retailer experiences, which positions them well against both traditional and emerging competitors. Q: With Deal Builder becoming part of core packages, will there be additional marketing efforts, and are there plans for standalone AI products? A: Catherine Faiers, COO, indicated that while they won't significantly increase marketing spend, they will enhance Deal Builder's prominence on the platform. Regarding AI, there are opportunities to develop standalone products within their existing streams, potentially targeting specific customer segments for validation and monetization. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
3 days ago
- Automotive
- Yahoo
Auto Trader Group PLC (ATDRF) Full Year 2025 Earnings Call Highlights: Strong Revenue and ...
Group Revenue Growth: 5% increase. Operating Profit Growth: 8% increase. Basic EPS Growth: 12% increase. Core Auto Trader Revenue Growth: 7% increase. Retailer Revenue Growth: 7% increase. Average Revenue Per Retailer (ARPR): 5% increase to GBP 2,854. Cash Returned to Shareholders: GBP 275.7 million through share buybacks and dividends. Final Dividend: 7.1p per share, total dividends 10.6p per share, up 10%. Operating Profit Margin: Group margin at 63%, Auto Trader margin at 70%. Cash Generated from Operations: 5% increase. Average Number of Retailer Forecourts: Up 2% to 14,013. Live Car Stock: Up 1% to 449,000. Autorama Revenue: GBP 36.3 million. Autorama Operating Loss: GBP 4.3 million. Net Profit Before Tax: GBP 375.7 million, 9% increase. Effective Tax Rate: 25%. Net Bank Debt: Reduced to nil. Warning! GuruFocus has detected 2 Warning Sign with ATDRF. Release Date: May 29, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Auto Trader Group PLC (ATDRF) reported a 5% increase in group revenue, with Auto Trader revenue specifically growing by 7%. Operating profit grew by 8%, demonstrating strong operating leverage and effective capital policy application. The company successfully launched its Co-Driver AI product suite, which has seen strong engagement from both retailers and consumers. Auto Trader's platform strategy is robust, with over 1 billion calls to data services, benefiting more than 90% of retailer customers. The Deal Builder product saw an 82% increase in customer numbers, significantly boosting the number of deals generated. The acceleration in the speed of vehicle sales negatively impacted revenue growth, which could have been higher without this factor. Used car prices fell during the year, affecting retailer profitability despite strong consumer demand. The digital services tax impacted Auto Trader's operating profit margin, which contracted slightly. Revenue from Manufacturer and Agency customers decreased by 8% year-on-year. Autorama, a segment of the business, reported an operating loss of GBP 4.3 million, although this was a reduction from the previous year. Q: With the April '26 pricing event approaching, how will Auto Trader handle accelerated stock turn, and what products will be bundled in the event? A: Nathan Coe, CEO, explained that while the event is some time away, they consider retailer profitability and stock turn when planning. They are not planning to change their business model but may consider pricing adjustments if stock turn remains fast. The event will likely focus on Deal Builder, with no major additional products, to ensure effective implementation and engagement. Q: Can you provide more details on the FY26 stock ARPR guidance and the medium-term Deal Builder monetization plans? A: Jamie Warner, CFO, stated that the stock offer conversion is expected to align with historical rates, and they anticipate a small negative impact on stock lever. Catherine Faiers, COO, noted that Deal Builder will be a baseline version initially, with potential for future monetization through additional features like finance products. Q: What are the expectations for retailer gross margins, and how does Autorama fit into the strategy with new private sales growth? A: Catherine Faiers, COO, mentioned that retailer gross margins have been under pressure due to narrowing trade-retail price gaps and softer finance penetration. Nathan Coe, CEO, added that Autorama's focus is on leveraging the Auto Trader platform for growth, with plans to reduce reliance on balance sheet transactions. Q: How does Auto Trader view competitive threats, and what differentiates its position in the market? A: Catherine Faiers, COO, emphasized that Auto Trader's brand, consumer relationships, and data depth are key differentiators. They focus on maintaining strong marketplace foundations and leveraging proprietary data to enhance consumer and retailer experiences, which positions them well against both traditional and emerging competitors. Q: With Deal Builder becoming part of core packages, will there be additional marketing efforts, and are there plans for standalone AI products? A: Catherine Faiers, COO, indicated that while they won't significantly increase marketing spend, they will enhance Deal Builder's prominence on the platform. Regarding AI, there are opportunities to develop standalone products within their existing streams, potentially targeting specific customer segments for validation and monetization. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
3 days ago
- Business
- Yahoo
Auto Trader Group Full Year 2025 Earnings: In Line With Expectations
Revenue: UK£601.1m (up 5.3% from FY 2024). Net income: UK£282.6m (up 10.0% from FY 2024). Profit margin: 47% (up from 45% in FY 2024). The increase in margin was driven by higher revenue. EPS: UK£0.32 (up from UK£0.28 in FY 2024). We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. All figures shown in the chart above are for the trailing 12 month (TTM) period Revenue was in line with analyst estimates. Earnings per share (EPS) was also in line with analyst expectations. Looking ahead, revenue is forecast to grow 6.3% p.a. on average during the next 3 years, compared to a 8.2% growth forecast for the Interactive Media and Services industry in the United Kingdom. Performance of the British Interactive Media and Services industry. The company's shares are down 13% from a week ago. While earnings are important, another area to consider is the balance sheet. See our latest analysis on Auto Trader Group's balance sheet health. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Business
- Yahoo
Auto Trader Group Full Year 2025 Earnings: In Line With Expectations
Revenue: UK£601.1m (up 5.3% from FY 2024). Net income: UK£282.6m (up 10.0% from FY 2024). Profit margin: 47% (up from 45% in FY 2024). The increase in margin was driven by higher revenue. EPS: UK£0.32 (up from UK£0.28 in FY 2024). We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. All figures shown in the chart above are for the trailing 12 month (TTM) period Revenue was in line with analyst estimates. Earnings per share (EPS) was also in line with analyst expectations. Looking ahead, revenue is forecast to grow 6.3% p.a. on average during the next 3 years, compared to a 8.2% growth forecast for the Interactive Media and Services industry in the United Kingdom. Performance of the British Interactive Media and Services industry. The company's shares are down 13% from a week ago. While earnings are important, another area to consider is the balance sheet. See our latest analysis on Auto Trader Group's balance sheet health. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
4 days ago
- Business
- Yahoo
Auto Trader Group (LON:AUTO) sheds 11% this week, as yearly returns fall more in line with earnings growth
It's been a soft week for Auto Trader Group plc (LON:AUTO) shares, which are down 11%. But the silver lining is the stock is up over five years. In that time, it is up 41%, which isn't bad, but is below the market return of 51%. Although Auto Trader Group has shed UK£868m from its market cap this week, let's take a look at its longer term fundamental trends and see if they've driven returns. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. During five years of share price growth, Auto Trader Group achieved compound earnings per share (EPS) growth of 7.8% per year. So the EPS growth rate is rather close to the annualized share price gain of 7% per year. That suggests that the market sentiment around the company hasn't changed much over that time. In fact, the share price seems to largely reflect the EPS growth. You can see below how EPS has changed over time (discover the exact values by clicking on the image). We know that Auto Trader Group has improved its bottom line lately, but is it going to grow revenue? You could check out this free report showing analyst revenue forecasts. It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. As it happens, Auto Trader Group's TSR for the last 5 years was 49%, which exceeds the share price return mentioned earlier. And there's no prize for guessing that the dividend payments largely explain the divergence! Auto Trader Group shareholders are down 2.0% for the year (even including dividends), but the market itself is up 7.5%. However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. On the bright side, long term shareholders have made money, with a gain of 8% per year over half a decade. If the fundamental data continues to indicate long term sustainable growth, the current sell-off could be an opportunity worth considering. Before deciding if you like the current share price, check how Auto Trader Group scores on these 3 valuation metrics. If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on British exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
