Pendragon weathers end of scrappage scheme as its earnings and volumes rise

CAR dealer Pendragon reported a higher first-half profit yesterday, helped by an increase in used-vehicle volumes, and said it continues to perform in line with expectations for the year despite the end of the car scrappage scheme.

Britain’s largest motor retailer said like-for-like used-car volumes rose 13.2 per cent over the last year.

But the company, whose Stratstone dealerships sell premium models such as Maserati and Mercedes-Benz, said performance at this division was below the first half of 2010, with retail registrations falling almost 13 per cent.

Pendragon posted a pre-tax profit of £17.7m compared with £15.7m a year ago. But revenue for the six months to June was two per cent lower at £1.77bn. The dealer’s £75.2m right issue this month was taken up by just 67 per cent of shareholders.