Cazoo Group who’re Europe’s main on-line automotive retailer, which makes shopping for and promoting a automotive so simple as ordering another product on-line, has introduced its monetary outcomes for the three months and 6 months ended June 30, 2022.
Alex Chesterman OBE, Founder & CEO of Cazoo stated, “I’m very pleased with what we now have achieved to this point in 2022 as we proceed to remodel the automotive shopping for and promoting expertise for shoppers. We achieved document revenues and retail unit gross sales in Q2 and grew our market share considerably, regardless of the robust macroeconomic backdrop, as the patron shift in the direction of on-line automotive shopping for continues to speed up.
Regardless of having launched solely two and half years in the past, we now have now bought over 80,000 retail models solely on-line, together with over 30,000 within the first half of this 12 months and we achieved document revenues in H1 of £628m, up 153% YoY, as shoppers proceed to embrace the choice, worth, transparency and comfort of our proposition.
While our progress stays very strong, we’re laser-focused on sustaining our robust steadiness sheet, preserving money and materially lowering the necessity for additional funding as we drive in the direction of profitability. We’re inspired by the constructive trajectory of our UK retail GPU in Q2, which was up by 150% vs Q1 2022 and we’re effectively positioned to proceed this constructive momentum within the second half of the 12 months and past.
I’m notably happy that regardless of the weak financial surroundings affecting progress in different retail companies and sectors, we now have maintained our robust momentum into Q3 with document retail unit gross sales and revenues in July, while additionally rising our UK web site stock to document ranges, highlighting the progress we now have made with our reconditioning capabilities.
Our steadiness sheet stays robust with over £575m of money and self-financed stock on the finish of June. Nonetheless, given our deal with money preservation and attaining profitability, we now have initiated a full strategic overview of our enterprise in mainland Europe, with a view to additional lowering money burn and aiming to make sure that we now have an executable plan which materially reduces any additional exterior funding requirement.”
Stephen Morana, Chief Monetary Officer of Cazoo, added, “Our Q2 efficiency offers me confidence in our plan to place Cazoo for worthwhile progress, with a relentless deal with enhancing unit economics, lowering prices and maximising liquidity. We continued to see vital income progress of 145% YoY in Q2 to £333m, pushed by a 124% improve in automobiles bought and stable uptake of our finance and ancillary merchandise. Our revenues over the primary half of the 12 months grew greater than 150% YoY to £628m, as we bought a document 30,386 retail models within the interval.
While our Q1 UK retail GPU was impacted by investments made final 12 months, we noticed a marked enchancment in Q2 of £309, in comparison with £124 in Q1 2022 and we anticipate additional appreciable progress within the second half of the 12 months. On the identical time, we now have began our course of to take prices out of our enterprise and scale back our SG&A per unit, as we make progress in the direction of reaching money movement breakeven.”