The company "Inchcape", the global car distributor listed in London, has announced a decline in its revenues during the first quarter of the year, while confirming its guidance for the entire year amid uncertainty regarding U.S. customs duties.
The company stated today, Thursday, that revenues for the period ending on March 31 amounted to £2.3 billion ($3.05 billion), a decrease of 5% in constant currency. At the same time, new car volumes dropped by 3%.
The company’s CEO, Duncan Tate, clarified that although demand has not currently been affected by U.S. tariffs, the group may see impacts on supply from original equipment manufacturers and the competitive environment.
Tate added: "We are taking proactive steps to support our key stakeholders, including adopting a prudent approach to managing inventory levels, ensuring we remain disciplined with respect to costs, focusing on cash generation, and maintaining our strong balance sheet."
Inchcape reaffirmed its full-year guidance and still expects another year of growth, except for potential impacts from the changing customs duties situation.
In early morning trading in Europe, the company’s shares (LON: INCH) dropped by 3.2% to 670 pence. Since the beginning of the year to date, the shares have decreased by 13%.
