Eagers chief executive Keith Thornton says the second half of 2024 will be challenging as the automotive retail giant navigates external cost pressures, OEM inventory levels, and lower consumer confidence.
In August, Eagers reported a half-year revenue of AUD 5.5 billion for FY24, up 13.4% on FY23. Still, underlying profit before tax dropped to AUD 182.5 million from AUD 207.4 million in the previous half-year.
But Thornton says the company is well positioned with the growth of the BYD retail joint venture in Australia, the growth of the easyauto123 used car retail operation across Australia and New Zealand, and improving performance from its recent acquisitions.
Thornton says the company continues to review growth opportunities and recently fortified its liquidity position to capitalise on any compelling options.
The Eagers board recently reviewed Thornton’s fixed remuneration, set at AUD 1.6 million (excluding superannuation) for the next financial year, and a short-term cash incentive of up to AUD 800,000.
More to follow in the next magazine issue of Autotalk.
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