Eco City Vehicles set to seek extra funding amid uncertainty
The company that supplies the Mercedes Vito London licensed taxi has blamed London mayor Boris Johnson and online cab-calling service Uber for falling revenue and said it would need extra funding next year.
Eco City Vehicles said trading was tough due to uncertainty caused in the London licensed taxi trade by the emergence of Uber.
It also blamed Johnson's plan to introduce zero emissions standards from 2018.
Revenue for the six months to June fell 33% to £11.4m against a year ago as new Vito taxi sales declined to 139 vehicles from 299 last time.
The Vito's share of the new London licensed taxi market fell to 24% from 44% a year ago.
Demand for the group's rental fleet has continued to grow and it has been expanded by 30 units since the end of last year to 75 units on hire at 30 June, against 45 at the end of last December.
The group said it was likely to need extra funding this year.
It added: "The board is also in the process of reviewing its strategic options for the group, although such review does not include the consideration or solicitation of bids."
Shares fell 0.24p or 36% to 0.42p at 15:53 in London.
PW