Car Group soars after lifting first-half profit, dividend
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More news: Car Group shares surged in morning trade after the Carsales owner reported a 16% lift in first-half profit.
Shares were up 11.9% to $27.38 at 10:55am AEDT. The stock is down around 33% over the last 12 months.
Car Group posts 16% jump in first-half profit, reaffirms guidance
The news: Carsales owner Car Group reported a 16% increase in first-half net profit to $143 million and reaffirmed its full-year outlook.
The numbers: The result fell short of consensus estimates of $170.49 million, according to Visible Alpha data. Revenue grew 8% year on year to $626 million, higher than average forecasts of $619.86 million.
The company will pay an interim dividend of 42.5 cents per share, 30% franked, up 10% year on year and edging out market estimates of 41 cents.
The context: Car Group CEO William Elliott said the company is embedding AI across its products, platform and operations, calling it a "critical enabler" for the business.
Car Group has established a global AI hub in Brazil, focused on developing core agentic technology set to be scaled across the group. So far, this has included voice-controlled vehicle search and AI companions that help guide consumers through the vehicle buying and selling journey.
What they said: "Our deep integrations across the vehicle ecosystem provide us with unique data and a structural competitive advantage," said Elliott.
"This enables us to deliver smarter tools for dealers and a more seamless, trusted experience for consumers."
The source: ASX
