AHG reported $23.3 million in impairment and write-downs and a $1.8 million statutory net loss in its half-yearly results released yesterday.
Not surprisingly the economic downturn was cited as the main cause of the decline. Though analysts say the group’s underlying performance is solid with net operating profit after tax up by $18.2 million for the six month period ending December 2008, a 77 per cent increase on the previous corresponding period.
AHG replaced GE with Nissan Finance and filled the void left by GMAC’s departure using its existing panel of providers including St George Bank Automotive Finance, Toyota Finance, Mercedes Benz Finance, Capital Finance and UDC in New Zealand.
AHG shares rose 7c on the news to close at 67c yesterday.
Australian new car sales have fallen by 10.7 per cent since the economic downturn took hold.