The Group has delivered £8.1bn, up 15% organically (excluding currency effects and net M&A) and up 18% reported versus prior year. This has been driven by robust consumer demand following a prolonged period of supply shortages.
Operating margin is 5.1%, up 100bps versus 2021. This is owing to a combination of higher vehicle gross margins, driven largely by the combination of robust consumer demand and supply shortages.
PROFIT BEFORE TAX AND ADJUSTING ITEMS
In 2022 this increased 50% to £373m, reflecting the strong improvement in revenue and operating profit.
FREE CASH FLOW
The Group delivered free cash flow (FCF) of £380m, an increase of 39% on 2021 and representing a conversion of operating profit of 92%, exceeding the long-term average of 60-70%.
RETURN ON CAPITAL EMPLOYED
ROCE for the period was 41%, compared to 28%² for the equivalent period last year. This increase was primarily driven by the recovery in Group profits.
1 Alternative performance measure, see page 206 in the 2022 Annual Report.
2 Restated, page 142 in the 2022 Annual Report.