Auto Trader reports eight-figure profit hike

Digital automotive marketplace Auto Trader plc saw its pre-tax profits leap year on year by more than £61m in the six months to September.

The firm’s profit before tax rose to £74.7m during the period, up from £13.1m in 2014.

Operating profit, meanwhile, stood at £82.9m, a year-on-year increase of £15.4m, while revenue grew by £10.7m to hit £138.2m.

The number of cars advertised for sale through Auto Trader, which has offices in Manchester and London, grew to 427k in the six months to September, up from 409k in H2 2015.

The chief executive of Auto Trader Group, Trevor Mather, said: “Auto Trader has delivered a strong first half performance, as retailers, consumers and manufacturers alike are increasingly recognising the value of our marketplace.

“We continue to grow our audience of car buyers and develop products to add value to our retailers, helping them remain competitive and make informed decisions based on real-time market data, allowing them to buy and sell the right stock at the right price.”

The firm also reported growth in the number of adverts viewed, with the monthly total rising by 9% to 240m, up from 220 in previous six-month period.

Mr Mather continued: “We believe there is substantial opportunity to grow the business based on the increasing importance of the internet for automotive advertising, and the growing use of data to improve the efficiency and effectiveness of the industry.”

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