Struggling automotive retailer Bapcor has seen its ongoing turnaround stifled by challenging conditions, while celebrating the momentum it has gathered so far.

This positive momentum – which comes after a 370 per cent increase in the company’s losses – showed growing sales from February to April.

Among said growth, retail sales increased by 2.8 per cent across the period.

“We are pleased with the positive momentum of the turnaround, which has been delivered through decisive actions we’ve taken to improve pricing, stock availability, and team engagement,” Chris Wilesmith, MD and CEO of Bapcor, said.

Wilesmith was appointed to his position at Bapcor in January, following the resignation of Angus McKay. He has been vocal about the opportunity to change the financial fortunes of the company with more than 1000 retail locations in Australia, New Zealand and Thailand; the largest company in its sector across the Asia Pacific region.

But the rate of progress looks to be slowing, as Bapcor said that “trading conditions have materially deteriorated since late March”, citing the Middle East conflict and rising interest rates.

“As a result of the impact of this deterioration, Bapcor has reduced its earnings guidance,” the company added.

Wilesmith said he will “continue driving initiatives” through May and June in spite of these challenges. Bapcor now expects the combination of lower confidence among business and consumers, higher fuel and supply costs, and depreciation of Australia and New Zealand’s currencies to damage its outlook.

This has changed the company’s guidance to predict an underlying EBITDA (Earnings Before Interest, Tax, Depreciation and Amortisation) between $144 million and $150 million for the full financial year. Its prior disclosure to the ASX in February forecast this figure to be between $150 million and $160 million.