Lookers posts record FY profit, lifts dividend

Car dealer Lookers' shares fell more than 2% despite a 46% surge in full-year pre-tax profit to a record £91.8m, from £62.8m.

It proposed a final dividend of 2.36p a share, which led to a total of 3.64p, up 17%.

"I am pleased to announce an excellent set of year end results," said chief executive Andy Bruce, noting profit had now risen for eight consecutive years.

"Generating shareholder value through acquisitions is one of the things we do best. We will be making more acquisitions and have the balance sheet strength to do so," said Bruce.

He added that Lookers had made a good start to the current financial year and had a healthy order book for the delivery of new cars in the important month of March.

"Our strategy of acting as a consolidator -- and growing organically -- leaves us ideally placed for growth and increased earnings in 2017 and beyond."

During the year the company disposed of 10 underperforming dealerships.

At 11:49 GMT, shares in Lookers were down 2.15% to 125.25p each.