Our Company Our Vision & Strategy Proven business ... - Inchcape

Broad geographic spread2011 trading profitScale operations in 26 markets, with 21 of these inthe world’s fast growing economies of Asia Pacificand the Emerging Markets.Exciting growth opportunities in Asia Pacific and theEmerging Markets, where Inchcape generates 68%of its trading profit.**Source: Inchcape Annual Report and Accounts 2011Our ResultsIn 2011 Inchcape delivered a robust set of results asthe Group continued to strengthen its profitabilityand balance sheet while focusing on itsdifferentiated customer service strategy and growingmarket share around the world.Group sales decreased by 1.0% to £5.8bn for thefull year to 31 December 2011 largely as a result ofrestricted supply from Japan following theearthquake and Tsunami, however strong costactions enabled the Group to deliver improvedmargins.In the new car segment Inchcape continued tobenefit from the strong pricing power of the portfolioof leading premium and luxury brands in Asia Pacificand Emerging Markets; in the aftersales segmentwhich represents c.50% of gross profit, gross marginremained strong for global service and partsoperations.Full Year 2011 Results£m 2011 2010 changeSales 5,826.3 5,885.4 (1.0)%OP* 244.4 225.5 8.4%RoS* 4.2% 3.8% 40bpsPBT* 227.7 214.0 6.4%Basic adj. EPS* 35.5p 32.0p 10.9%Net cash (debt) 243.5 205.8* Adjusted to exclude the impact of exceptional itemsCompound revenue growth of 5.5% over thelast ten yearsThis robust profit performance in 2011 givesInchcape confidence in the Group’s earnings growthpotential moving forward. Given this strongperformance, the Board recommended a finaldividend of 7.4p per share.