2 Cheap Cars reports EV sales surge in Q4

Used vehicle retailer 2 Cheap Cars is reporting a late-year surge in electric and hybrid vehicle sales, with more than 60% of Q4 FY25 sales coming from low-emission models.

The NZX-listed company says demand rebounded strongly following regulatory changes, particularly after Clean Car Standard fees increased in December 2024.

“The rapid pace and sustained impact of both regulatory changes and foreign exchange volatility made planning particularly challenging,” the company noted in its newly released annual report, adding that procurement and logistics teams had responded swiftly to the shift.

By the final quarter of FY25, 61% of all sales were hybrid or electric — up from 48% in the previous quarter.

The company also confirmed plans to diversify vehicle sourcing by increasing domestic trade-in volumes, aiming to reduce exposure to regulatory risk and improve margin control in an evolving emissions pricing environment.

2 Cheap Cars had already reported a net profit after tax of $3.3 million for the year ending March 31 — a result in line with prior guidance but down $2.9 million from FY24.

The company described the year as “challenging and disappointing”, with revenue falling 6% to $82 million and total vehicle sales down to 7,675 units.

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