CAR Group shares fall after CEO departure announcement
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More news: CAR Group shares fell after the online car marketplace company announced its well-respected chief executive and managing director Cameron McIntyre is stepping down.
Shares in CAR Group had fallen 1.8% to $36.77 at 12:33pm AEST.
What they said: RBC Capital Markets analyst Wei-Weng Chen said “we expect investors may be disappointed given Cameron McIntyre was well liked and delivered strong shareholder outcomes during his nine-year tenure as CEO”.
However, Chen was positive on chief financial officer William Elliott’s promotion to the top job, describing him as “a natural fit for the role given his long tenure with the business”.
E&P analyst Entcho Raykovski similarly flagged that “while Cam’s departure is somewhat of a surprise, he has been in the role for nine years, and Will is a very capable replacement (and well-liked by investors)”.
CAR Group chief executive Cameron McIntyre to leave
The news: CAR Group chief executive and managing director Cameron McIntyre is stepping down and chief financial officer William Elliott will be promoted to the top job effective 15 August.
The online car marketplace company also reported estimates for its FY25 results.
The numbers: CAR Group estimates that its reported net profit after tax will be between $273 million and $277 million for FY25, which would represent between 9% and 11% growth.
Reported EBITDA is estimated to be between $618 million and $622 million, representing 9% to 10% growth compared to the previous financial year. Reported revenue is estimated to be between $1,181 million and $1,185 million which would be 7% to 8% higher.
The context: McIntyre will remain with the company over the next month to support Elliott as he transitions into the role.
The outgoing CAR Group boss has been in the top jobs since 2017 and at the company since 2007. Meanwhile, Elliott has been chief financial officer since 2020, having first joined the company in 2015.
What they said: “There is nothing more we could have asked from Cam in his time with the Group,” CAR Group chair Pat O’Sullivan said.
O’Sullivan said that under McIntyre’s leadership CAR Group has “become five times larger, is now an ASX Top 50 company and included in the MSCI Index”.
“I am privileged to have been part of the Group long enough to have participated in Cam’s appointment as CFO into a pre-IPO company.”
The source: ASX
