**Summary of Inchcape PLCs Final Results for the Year Ended 31 December 2025**
Inchcape PLC, a leading global automotive distributor, reported its preliminary results for 2025, highlighting strong performance and strategic progress. Key highlights include
**Financial Performance**
**Revenue**£9.1 billion, up 1% organically, with improved momentum in H2. Reported revenue down 2% due to currency headwinds.
**Operating Margins**Resilient at 6.2%, with adjusted PBT of £443 million and reported PBT of £406 million.
**EPS Growth**Adjusted basic EPS up 13% to 80.8p, driven by operational performance and share buybacks.
**Cash Flow**Strong free cash flow conversion of 104%, with free cash flow of £315 million.
**Strategic Progress**
**Volume Growth**Inchcape volumes up 3%, driven by market share gains and distribution contract wins.
**Contract Wins**10 new distribution contracts, including GAC AION in Greece, Iveco in Hong Kong, and XPENG in Colombia.
**Acquisition**Value-accretive acquisition in Iceland, expanding into a new market.
**Divestments**Non-core asset divestments contributed £17 million to adjusted PBT.
**Shareholder Returns**
**Share Buybacks**Completed £250 million buyback in March 2026, acquiring 9% of equity. New £175 million buyback programme announced.
**Dividends**Full-year DPS up 13% to 32.3p, in line with 40% payout ratio policy.
**Regional Performance**
**Americas**Positive momentum with supportive market conditions.
**Australia**Resilient performance
actions taken to address APAC challenges.
**Europe & Africa**Continued market outperformance.
**Outlook for 2026**
**Volume Growth**Organic growth towards the lower end of 3%-5% guidance, H2-weighted.
**Margins**Resilient operating margins of c.6%.
**EPS Growth**Expected to exceed 10%, supported by cost discipline and cash conversion.
**Free Cash Flow**Conversion of c.100%, with performance skewed towards H2.
**Medium-Term Targets**
Expectation to generate £2.5 billion in free cash flow from 2025 to 2030, deployed for disciplined capital allocation to achieve >10% EPS CAGR.
Inchcapes diversified business model and strategic initiatives position it well for continued growth and value creation in the evolving automotive sector.
