Zigup Plc Regulatory News (ZIG)

21 May 2025

ZIGUP PLC

("ZIGUP" or the "Group" or the "Company")

Pre-close Trading Update

FY2025 performance ahead of market expectations

The FY2025 financial year ended well, capitalising on strong demand for our rental products in both geographies, particularly in Spain. As a result, we expect to finish the year modestly ahead of market expectations when our full year results are announced, scheduled for 9th July 2025.

Our investment in fleet has continued in H2, as we continue to replace older vehicles and grow the Group's rental fleets, with closing Vehicles on Hire up 6% on the prior year. As vehicle supply has normalised so have disposal profits and we expect this to continue into FY2026.

Our Claims & Services businesses delivered an improved performance on the first half; hire lengths have now substantially moderated from post pandemic tailwinds. The business continues to offer differentiated solutions to customers, signing a number of contract extensions including with DLG and adding new insurance and broker partners in the period.

We expect our prudent leverage to be in line with guidance at just below 1.8x. 

Martin Ward, CEO commented:

'The strength of ZIGUP's business model continues to be reflected in the performance delivered across FY2025, with a strong Group result from our diversified businesses at different stages in their cycles. It is also seen in the high levels of support and demand from our lenders, allowing us to refinance with extended maturities out to beyond 2030 on improved commercial terms.

With strong structural growth drivers including the shift to outsourcing and demand for our technology-enabled services, we start the new financial year with confidence for underlying growth opportunities. 

Outstanding customer engagement scores reflect our focus on simplifying and enhancing customer service, and the recent King's Award for Enterprise is testament to the efforts we make to support our colleagues and nurture the next generation of automotive technicians, as we seek to deliver sustainable growth for all stakeholders.'

For further information contact: 

Ross Hawley, Head of Investor Relations +44 (0) 1325 528769

Burson Buchanan

Chris Lane/Jamie Hooper/Verity Parker +44 (0) 207 466 5000

Notes to Editors:

About ZIGUP

ZIGUP is the leading integrated mobility solutions provider, with a platform providing services across the vehicle lifecycle to help people keep on the move, smarter. The Group offers mobility solutions to businesses, fleet operators, insurers, OEMs and other customers across a broad range of areas from vehicle rental and fleet management to accident management, vehicle repairs, service and maintenance. 

The mobility landscape is changing, becoming ever more connected and ZIGUP uses its knowledge and expertise to guide customers through the transformation, whether that is more digitally connected solutions or supporting the transition to lower carbon mobility through providing EVs, charging solutions and consultancy. We are proud to be a King's Award for Enterprise 2025 holder, recognised for our commitment to Promoting Opportunity and supporting social mobility. Awarded for our efforts to draw fresh young talent into our industry, we are dedicated to attracting and retaining the next generation of automotive technicians by offering accessible pathways for individuals from all backgrounds to succeed and thrive.

The Group's core purpose is to keep its customers mobile, smarter - through meeting their regular mobility needs or by servicing and supporting them when unforeseen events occur. With our considerable scale and reach, ZIGUP's mission is to offer an imaginative, market-leading customer proposition and drive enhanced returns for shareholders by creating value through sustainable compounding growth. The Group seeks to achieve this through the delivery of its new strategic framework of Enable, Deliver and Grow.

ZIGUP supports its customers through a network and diversified fleet of over 130,000 owned and leased vehicles, supporting over 1 million managed vehicles, with over 180 branches across the UK, Ireland and Spain and a specialist team of over 8,000 employees. We are a trusted partner to many of the leading insurance and leasing companies, blue chip corporates and a broad range of businesses across a diverse range of sectors. Our strength comes not only from our breadth of our award-winning solutions, but from our extensive network reach, our wealth of experience and continual focus on delivering an exceptional customer experience. Further information regarding ZIGUP plc can be found on the Company's website: www.zigup.com