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UPDATE 1-Car dealer Pendragon says chip shortage causing order delays

(Adds company comments on chip shortage, background)

June 30 (Reuters) - Pendragon is being forced to delay vehicle deliveries because of global semi-conductor shortages, the British car dealer said on Wednesday, while warning that supplies will remain tight in the second half of 2021.

“Whilst the extent of the impact of the well-publicised semi-conductor chip shortage is not yet clear, it is becoming increasingly apparent there is likely to be some restriction of supply during the second half of FY21,” Pendragon said.

The company joined rivals Inchcape and Lookers in sounding alarm over the chip crisis.

Still, Pendragon said it had more visibility on outlook than at the height of the pandemic, as it forecast annual underlying pretax profit between 45 million pounds and 50 million pounds, versus 8.2 million pounds last year.

For the first half, the company expects to report a profit of 30 million pounds, compared with a loss of 31 million pounds last year.

Pendragon last month faced significant shareholder discontent over its remuneration policy following a torrid year for the industry. (Reporting by Muvija M in Bengaluru; Editing by Shounak Dasgupta)

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