Trading Statement

Vertu Motors, a leading UK automotive retailer with a network of 194 sales and aftersales outlets, is pleased to provide the following update on trading ahead of the close of its financial half year ending 31 August 2026. The Group's interim results will be announced on Wednesday 14 October 2026.

Robert Forrester, Chief Executive Officer, said:

"The Group has delivered a strong trading performance in the five month period to 31 July 2026, with positive contributions from new and used vehicles, increased fleet market share, and continued momentum in our high-margin aftersales operations. Order-take levels for the important September plate change month give the Board confidence that results for the full year will be ahead of market expectations.

"We also welcome the Government's consultation on the ZEV Mandate, an area on which we have actively engaged with Government for some time. We hope this will result in a more pragmatic transition to electrification which better reflects consumer demand and prevailing market conditions. There is now an opportunity for a reset to allow the automotive sector in the UK to make a bigger contribution to economic growth of the UK."

5-month period ended 31 July 2026 Var to 2025

1 includes internal and external revenues

2 includes agency volumes

Trading update

During the five months to 31 July 2026 (the 'Period') the Group has continued to trade strongly and above prior year levels. New retail vehicle sales and used vehicle volumes have performed well, supported by effective marketing campaigns and in the case of the latter, the successful execution of the 'Value Cars by Vertu' strategy, a new initiative launched in April 2026 with the Group growing sales of older used cars. The Group has significantly increased its share of the fleet market. Aftersales revenue has increased in the Period and contributed to the growth in Group profits year-on-year. Group gross margins remain stable. Operating expenses continue to be well controlled following the actions taken prior to the start of the financial year.

The Group has carefully managed working capital in H1 and anticipates net debt to be in the range of £74.0m to £77.0m at the end of August (H1 2026: £78.3m) excluding IFRS 16 liabilities.

The Group continues to repurchase its own shares as part of its Share Buyback programme. 2.4m shares have been purchased in the financial year to date for £1.7m. This represents 0.8% of the opening share capital. To date, 21.9% of the share capital of the Group has been repurchased since the commencement of the programme in 2018. £10.3m remains of the £12m buyback announced on 5 March 2026.

Portfolio update

The Group continues to review and transform its portfolio of operations and to expand its franchise representation. This includes the further development of relationships with Chinese automotive Manufacturers, including the launch of the Group's first Omoda and Jaecoo outlets on 1 July 2026 in Burton. The Group has this month opened its first Leapmotor outlets in Harrogate and Crewe, alongside Vauxhall operations, and is working to introduce a further Geely outlet to an operation on Teesside. The Group also commenced representation of the Alpine franchise in Nottingham, alongside the existing Renault and Dacia outlets, and introduced the Renault and Dacia franchises to an existing outlet in Mansfield. The Group now operates 18 sales outlets representing Chinese automotive brands including BYD and MG. Further franchise portfolio developments are expected to be finalised in the coming months with focus on Chinese brands.

The Group has further optimised the portfolio with the closure of a loss-making Mazda outlet in York at the end of July. In addition, the Group's Sheffield Mazda operation was moved alongside Nissan, so reducing the operational cost base of the Group.

As a result of these portfolio changes, anticipated capital expenditure for the full financial year will increase by £2.0m over previously announced levels.

Outlook

Retail new vehicle order-take for the July-September calendar quarter is running ahead of prior year levels. Given the importance of September as a plate change month and quarter end for new car bonuses, the order-take levels give the Board confidence.

The Group welcomes the Government's consultation on the Zero Emission Vehicle ("ZEV") Mandate. A more realistic trajectory would help the automotive sector in the next few years and provide greater choice to consumers. However, the result of the consultation may still leave the industry facing unrealistically high targets in both the car and especially the van vehicle channels in the years ahead.

Given the trading trends and portfolio changes, the Board anticipates that full year results for FY27 will be ahead of current market expectations3.

3 According to compiled data at 26 August 2026, the current consensus of three sell-side analysts' expectations for FY27 adjusted profit before tax is £25.5m with a range of £24.5m to £26.1m.

Robert Forrester, CEO Karen Anderson, CFO Phil Clark, Investor Relations

Mark Percy / Sophie Collins (Corporate Advisory) Isobel Jones (Corporate Broking)

Billy Clegg Tom Huddart

Vertu brand websites - www.vertumotors.com