Auto1 increases sales in the fourth quarter of 2021 - share price nevertheless slumps

Auto1 has issued its fourth-quarter figures and a forecast for fiscal 2022. Despite record results, the share slumped afterwards.

Auto1 increased its revenue to 1.55 billion euros in the fourth quarter of 2021. This represents a 99 percent increase in sales compared to the fourth quarter of 2020. Full-year sales also grew by 69 percent and amounted to around 4.8 billion euros. The reason for the strong growth is high customer demand.

The Autohero used car platform in particular grew strongly: while around 4,200 cars were delivered to private individuals in the fourth quarter of 2020, the figure for the fourth quarter of 2021 was already just under 13,900 vehicles. The used car platform for wholesalers accounted for the largest share of sales at 1.3 billion euros. "2021 was an extremely strong year for us - a year that started with our successful IPO and ended with record figures, both in terms of revenue and gross profit," says Auto1 co-founder and CEO Christian Bertermann. "We will build on that and continue to develop the best platform to buy and sell cars online."

However, the Ukraine war is putting a damper on the strong growth: for the current fiscal year, Auto1 expects sales of between €5.7 billion and €6.8 billion, an increase of 19 to 42 percent. Already, Auto1 is noticing "an increase in volatility and a clouding of the consumer climate" in its Central and Eastern European markets, according to the quarterly report. "The future impact on Auto1 Group's business will depend on the duration, extent and intensity of the conflict." The stock price plunged after Wednesday's announcement. At 2:30 p.m., the stock bottomed out at 9.29 euros. In the morning, the share still opened at 11.70 euros.