EAGERS Automotive has posted record first half revenue of $6.5 billion, up 18.9 per cent on the previous corresponding period and more than $20 million more than the previous record.

The six-month result was achieved on business optimisation initiatives and market share growth, especially gains in new-energy vehicles where Eagers has a 34 per cent market share, said company CEO Keith Thornton.

The company said operating profit before tax was $197.7 million, an increase of $15.2 million on the same half in 2024 when it announced $182.5m.

Keith Thornton – Eagers CEO

“Eagers’ record first half revenue, including $1.0 billion in growth delivered in just six months, demonstrates our ability to leverage our scale; the quality of our OEM brand partnerships; and our unique business units to drive growth and continue to outperform relative to the industry,” Mr Thornton said.

“Our EBITDAI was a record half-year result. Adjusting for year-end incentives, the result was more than $30 million above the first half in 2024 and $20 million higher than the previous record.

“To achieve this at the bottom of the industry cycle is a very pleasing result, demonstrating the benefits of our multi-year business optimisation initiatives.

“These initiatives have delivered outperformance relative to the market and form the foundation of an ever more resilient business.”

The Eagers report shows an underlying return on sales margin of 3.0 per cent against an industry trend that averaged lower margins.

“Pleasingly, we combined continued market share gains in the broader new-vehicle market with material gains in the new-energy vehicle (NEV) market where we now have 34 per cent market share, cementing our unique strategic position as a leading retail partner for the NEV transition,” he said.

Mr Thornton added that aside from its main new-vehicle retail division, there was a record performance from its used-vehicle business, easyauto123. This had a profit before tax increase of 33 per cent over the previous corresponding period, which was attributed to its vehicle sourcing channels and benchmark operating model.

He also said the alliance with Mitsubishi Corporation will show potential growth initiatives.

Osborne Park AutoMall

Eagers will pay a fully-franked interim dividend of 24c a share for the six-month period, the same dividend received by shareholders in the first half of FY2024.

In his outlook, Mr Thornton said further revenue growth was expected because of improving market conditions.

He also saw income increasing on improved contributions from ongoing integration and optimisation of large-scale acquisitions and from maturing greenfield operations.

“In the second half of the year, we expect to continue to grow our share in an improving market and deliver further revenue,” he said.

“In an industry undergoing generational change, we anticipate that consolidation, rationalisation and evolution will continue at pace.

“Into this dynamic we expect Eagers to emerge as a net winner by focusing on growth initiatives that enable our strategy and respond to the challenges and opportunities of the changing market.

“With our market-leading NEV position, innovative pre-owned business, easyauto123, and the new strategic alliance with global investment powerhouse Mitsubishi Corporation, we have the platform to deliver on unique growth opportunities in Australia and overseas.”