Aramis Group delivers double-digit growth at the beginning of 2023
Starting from October 2022, the 2023 financial year of the leader in second-hand online sales Aramis Group will open in the best way with a turnover of + 10.8%. A performance driven largely by reconditioned vehicles. Growth prospects are reiterated.
” Thanks to the strong participation of its teams, Aramis Group continues to grow at the beginning of 2023 despite the downward trend in its various markets. The efficiency of our unique vertically integrated business model and our customer-focused corporate culture have enabled us to once again make a difference in a highly complex context. In particular, the significant work undertaken to restore activity in France, which was severely disrupted in 2022 by the drying up of the market for pre-registered vehicles, is beginning to bear fruit. The integration of two recently acquired companies, Onlinecars in Austria and brumbrum in Italy, has also started and will contribute to the consolidation of Aramis Group’s leadership in Europe. In a market environment that remains uncertain, the group is ensuring that its offering matches the expectations of customers with smaller budgets. He also wears special attention to its cost structure and inventory level to protect its financial balances. Here is the speech by the company’s two founders, Nicolas Chartier and Guillaume Paoli, announcing the results of the first quarter (October to December 2022) of their fiscal year 2023, which ends next September.
Aramis Group driven by reconditioned vehicles
In detail, during the last three months, the activity resulted in a turnover of 439.3 million euros, an increase of 10.8% in the published data and 2.5% in the historical range excluding the acquisitions made at the end of 2022 in Austria and Italy. While the French market contributed €186.3 million (+6.8% compared to Q1 2022), Spain also helped boost total revenues thanks to trade that increased by 15 .8%, to reach 92.8 million euros. On the other hand, the United Kingdom sank by 18.1%, to 74.3 million euros.
On the segment side, the results show healthy B2C activity thanks in particular to the sale of reconditioned cars. Volumes increased to 17,640 units delivered, a jump of 16.9% a year. However, this figure hides notable differences between the performance of France (+17%) or Belgium (+44%) and the poor results of the United Kingdom (–11%). As for pre-registered vehicles, the situation is serious: transactions with individuals decreased by 47.3%, to 2,402 sales. As a result, the turnover for reconditioned cars increased significantly, at +25.5% and 314.2 million euros, while the segment of pre-registered vehicles logically sank by 44.3%, to 48 .2 million euros. It should also be noted that B2B (sales of cars to professional customers), representing 12% of turnover, earned 52.6 million euros in revenue, an increase of 36.7%. “This growth is an induced effect of the increase in vehicle supplies to individuals, part of which is resold to professionals (mainly vehicles over 8 years old or 150,000 km)”, we explain. For services (5% of turnover), the activity reached 24.2 million euros (+16.4%), “The penetration rate of financing solutions remains globally stable compared to the fourth quarter of 2022, around 50% on average for the group”said Aramis.
Positive growth for 2023
A declining second-hand car market and a tense macroeconomic, geopolitical and sectoral environment limit the visibility of Aramis’ market dynamics for 2023, as the group noted in a press release. However, due to the first annual results, the company confirmed its roadmap and expects positive organic growth in its volume of reconditioned vehicles sold to private individuals. It also aims to a gradual improvement in its adjusted EBITDA throughout the year, excluding restructuring costs.