Inchcape is forecasting profits of at least £300m for the full financial year, an increase of 25% driven by a strengthening distribution business.
The company is seeing ‘record orders’ for new vehicles across many of the markets it has a presence.
The group saw revenues up 13% in the first quarter as it agreed the sale of its business in Russia to local management.
Duncan Tait, Group CEO, said: “Inchcape has made a great start to 2022, with both distribution and retail delivering strong revenue growth and margins.
“Our performance was driven by a combination of robust consumer demand and price-mix tailwinds against the backdrop of continuing supply shortages.
“This was evident in both new and used vehicles, while our aftermarket business also performed well. New vehicle order books across many of our markets continue to be at record levels.
During the quarter it acquired Ditec, which gave it first-time distribution relationships with Porsche and Volvo, and added Chile to our list of distribution markets for Jaguar Land Rover.
“We are continuing to make great progress to deliver our Accelerate strategy by extending our leadership in automotive distribution, adding new distribution markets and OEMs through acquisitions and contract-wins, further developing our digital and analytics capabilities, and capturing more of a vehicle’s lifecycle value,” he said.