Eagers Automotive took a record 15.9% of the Australian new vehicle market in the six months to 30 June, and 17.9% in June alone, a month in which the market set an all-time monthly record of about 140,000 units.
Group revenue was $8.1 billion, up 24%, with underlying operating profit before tax of $250.4 million against $197.7 million a year earlier. The board approved a record fully franked interim dividend of 25 cents a share, from 24 cents. Statutory profit before tax was $243.1 million, up 25.7%.
Most of the profit growth came from Canada. CanadaOne Auto, in which Eagers completed a $1 billion investment on 30 April, contributed $43.2 million of underlying profit before tax from two months of ownership. Australia and New Zealand added $9.5 million, taking that segment to $207.2 million on 8% revenue growth to $7 billion.
Underlying return on sales was 3.1% at group level against 3.0% a year earlier. Australia and New Zealand ran at 3.0% and Canada at 4.2%.
“Eagers has again delivered within a challenging backdrop, characterised by an Australian market with obvious economic headwinds, a persistent, elevated interest rate environment and an industry that is undergoing historic transformation,” chief executive Keith Thornton says.
Thornton says the group is growing through both acquisition and organic channels “while protecting our strong net margins that now outperform the industry average in Australia by a record amount”, and expects that combination to deliver significant earnings per share accretion.
Gearing lifts to fund North America
The gearing ratio moved to 0.72 times at 30 June from 0.18 times at 31 December. Corporate debt net of cash rose to $674.9 million from $100 million.
Available liquidity was $2.61 billion, up from $1.79 billion at the end of December, with cash on hand of $1.17 billion. The owned property portfolio increased to $1.62 billion from $899.9 million with the addition of CanadaOne’s holdings, and total property equity is $624.5 million.
Buying in Australia, selling in New Zealand
Eagers has taken a 49% stake in Grand Motors Group, an 11-location, six-brand operation across Sydney and the Gold Coast with about $490 million in annual turnover and around 6,100 new vehicle sales a year, based on full year 2025 audited figures.
It has also acquired Audi Centre Melbourne and Audi Richmond, together about $140 million in turnover and 1,100 new vehicle sales a year, and is buying 17.5% of vehicle subscription business Karmo.
The group will sell its New Zealand franchised dealership business, nine retail and service locations across seven brands with about $325 million in annual turnover, under a non-binding term sheet with Armstrong’s Motor Group. Settlement is expected in the fourth quarter. Eagers keeps easyauto123’s three New Zealand sites.
Used vehicle target
easyauto123 is targeting 100,000 units retailed a year by FY30, from about 30,000 in FY26. Eagers puts the Australian used vehicle market at roughly $100 billion, around three times the size of the new vehicle market, citing AADA’s annual industry report.
For the second half the company expects a full contribution from Canada, continued portfolio optimisation and further acquisitions in Australia and North America.
At 15.9% for the half and 17.9% in June, Eagers is now retailing about one in six new vehicles sold in Australia, and closer to one in five in its strongest month.
