Redde Northgate FY24 trading finishes 'positively'

15th May 2024 08:13

(Sharecast News) - Vehicle rental and repair services business Redde Northgate said on Wednesday that it had finished FY24 "positively", continuing the trends seen in the first half, with vehicle supply continuing to improve.

Redde Northgate said its Spanish business continued to enjoy "strong market conditions" and its recent UK&I re-organisation was helping it to deliver "an increasingly seamless service" to customers.

"As a result of the continued momentum in the business, we would expect to report full-year results in early July towards the upper end of the consensus range," said Redde Northgate.

The FTSE 250-listed group stated that year-end net debt was forecast to be around £740.0m, which would equate to leverage of 1.5x, in line with the prior year. Redde also noted that it was on track to complete its third £30.0m share buy-back programme by July, and at the end of April 7.1m shares had been repurchased for a consideration of £24.8m.

Redde Northgate will also hold a general meeting on Wednesday in order to approve its proposed name change to ZIGUP, which it said will "help shift the narrative" with stakeholders towards its strategic direction of travel and "better reflect the strength and depth" of an enlarged group.

As of 0945 BST, Redde Northgate shares were up 2.21% at 417.0p.

Reporting by Iain Gilbert at Sharecast.com