Turners Automotive (ASX:TRA) upgraded its earnings guidance for the financial year ending March 31, citing robust trading performance across its core business units.
The group now forecasts a net profit before tax, prior to goodwill adjustments, of approximately NZ$63 million.
The figure surpasses the previous guidance of NZ$60 million and brings the company within close range of its NZ$65 million profit target originally slated for FY28.
The financial uplift is underpinned by a highly successful summer trading period.
The Auto Retail division reported strong vehicle sales volumes alongside improved margins, driven by disciplined purchasing and strategic pricing.
Meanwhile, the finance sector reached new heights, with January and February delivering record lending activity.
Management noted that this growth was achieved while maintaining strict credit quality and securing further market share in the competitive vehicle finance segment.
However, the update also addressed the non-core EC Credit division.
Following a scheduled review, Turners anticipates a non-cash goodwill write-down between NZ$7 million and NZ$9 million.
Despite this adjustment, the underlying performance remains a record-breaker for the group.
CEO Todd Hunter expressed delight at the company's ability to outperform market cycles even amidst challenging economic conditions.