Marshall Motor still on track despite 'challenging' conditions

11th Oct 2018 08:44

(Sharecast News) - Marshall Motor Holdings held faith with its full year expectations as the company reported on Thursday that continued new vehicle market decline is being mitigated by operational discipline.The motoring services outfit's board had anticipated a decline in new vehicle registrations in September, a key month for registration plate changes, and remains "cautious" ahead of expected disruption to supply in the year's fourth quarter.As well as operational discipline, measures taken in 2017 to manage costs within the AIM traded company's dealership portfolio have also helped the company weather the storm, said Marshall.Other disruptive factors noted by Marshall, which achieved record underlying profit before tax in the first half of the year, include economic uncertainty, confusion surrounding diesel vehicles and the impact of a 'new worldwide harmonised light vehicle test procedure' that was introduced on 1 September.However, with the support of car manufacturers, a strong balance sheet and robust operating disciplines, the company's board was confident that it remained "very well positioned for the future".Currently, Marshall's businesses comprise a total of 101 franchises covering 23 car brands, operating from 84 locations across 26 counties in England."The group continues to invest in selected property assets to support its brand partners and offer customers an excellent retail environment whilst remaining focused on maintaining a strong balance sheet. Ongoing developments of a new Jaguar Land Rover facility on freehold land in Lincoln and a new Ford store on long leasehold land in Cambridge are scheduled to complete in the New Year," said a statement from Marshall.Marshall's shares were down 0.71% at 140.00p at 0847 BST.