Zigup revenue rises but underlying pre-tax profit falls

(Sharecast News) - Zigup reported a 5.2% rise in underlying full-year revenue to £1.64bn on Wednesday, supported by growth in vehicle hire revenue, while reported revenue increased 2.6% to £1.86bn. Underlying EBITDA rose 8.2% to £502.6m, although underlying pre-tax profit fell 4.1% to £160.1m as vehicle disposal profits normalised and finance costs rose.

The FTSE 250 group lifted its dividend 2.3% to 27.0p and said it was confident in the outlook for FY2027, with vehicle-on-hire growth expected in both Spain and the UK & Ireland.

Chief executive Martin Ward said he was "delighted with the progress made across our business," adding that the improvement in steady-state cash generation underlined "the characteristics of the business model and the quality of earnings."

At 0859 BST, shares in Zigup were down 3.75% at 447.06p.

Reporting by Josh White for Sharecast.com.

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