Inchcape (INCH) Q1 2026 TU earnings summary

Executive summary

• Q1 revenue grew 8% to £2.3bn, with organic revenue up 6% and volumes up 9% year-over-year, outperforming market growth of 6%.

• Growth driven by scaling of recent distribution contracts, share gains in multiple markets, and supportive conditions in the Americas and Europe & Africa.

• APAC underperformed due to weak premium segment, increased competition from Chinese brands, and macro softness in Australia.

• No direct business impact from Middle East disruptions, though minor logistics issues noted in Europe and Africa.

• Q1 2026 revenue performance aligned with management expectations, with continued execution of strategic initiatives.

Financial highlights

• Reported revenue up 8% to £2.3bn in Q1 2026 compared to Q1 2025.

• Organic revenue growth of 6% year-over-year.

• Volume growth of 9% outpaced organic revenue growth due to regional mix and share gains.

• Inchcape volume growth of 9% compared to market TIV growth of 6%.

Outlook and guidance

• 2026 guidance reiterated: growth at constant currency, EPS growth >10%, and operating margins around 6%.

• Free cash flow conversion rate expected at ~100%.

• Expect half-two weighted revenue and profit, with Americas and APAC management actions supporting H2.

• Organic volume growth expected towards the lower end of the 3%-5% range.