Lookers numbers hit by poor consumer confidence

12th May 2011 16:25

New and used car dealer, Lookers, said trading in the first quarter was ahead of budget but poor consumer confidence was hitting business.It warned new car sales were well down on last year, when the scrappage scheme was in its last month.Lookers said UK new car retail market was down by 18.0% compared to the previous year but the firm continued to gain market share.In contrast used car volumes increased by 6% in the quarter, with aftersales revenue in the motor division at a similar level to last year.However, Lookers said the gross profit margin improved in aftersales in the first quarter, resulting in increased profits from this area of the business.The company said it was confident the result for the half year would be in line with management expectations."Both the motor and parts divisions have produced strong trading results in the period which gives us confidence that we will continue to trade successfully this year and be in a position to take advantage of growth opportunities should they arise," said chief executive, Peter Jones.