I June 2020 – trading update

The group has confirmed that all its 117 car showrooms will re-open for business today and has also provided an update on trading.  Although this confirmed that trading had been strong before the lockdown, the group still expects to make a loss in the first half which is hardly surprising in the circumstances.  The group is looking to extend its credit facilities, as although net debt has fallen during the lockdown, it is expected to increase again once trading at the group picks up.  With no guidance on full year results being given we maintain our recommendation of HOLD.