June 18 (Reuters) - Car dealership Inchcape said on
Friday its current-year earnings will beat market estimates,
helped by an uptick in demand following easing of
The company, which sells new and used cars, including
premium brands including BMW, Audi and Mercedes-Benz, said it
expects 2021 profit before tax to be significantly higher than
the market consensus of 216 million pounds.
That would still be lower than pre-pandemic annual earnings
of 326 million pounds, but better than the profit of 129 million
pounds for 2020.
The company's shares were expected to be up between 2% and
7%, according to premarket indicators.
Inchcape, however, warned that chip shortages and the
pandemic remained major sources of uncertainty as it heads in to
the second half of the year, adding that the impact to the
company has been limited so far.
A global pandemic-driven trend towards digitisation is
fuelling unprecedented demand for semiconductors, causing a
shortage of these chips for the auto industry, including for UK
car dealers already suffering in the wake of Brexit.
(Reporting by Muvija M in Bengaluru; Editing by Shounak