UK car dealership Lookers on Wednesday posted a 28 percent drop in first-half underlying pretax profit to 29.2 million pounds ($35.3 million).
The retail group has been hit as stricter emissions regulations, Brexit uncertainty and more consumers shifting to electric or hybrid vehicles dent car sales in Britain.
"Our performance for the first half reflects an ongoing backdrop of challenging UK market conditions for the sector," CEO Andy Bruce said.
Lookers said it would make a one-time cash investment of about 10 million pounds over 2019 and 2020 to fix some issues it had identified in its sales practices last year.
Costs will increase by about 3 million pounds per year from 2020 as the company puts in place a remedial plan that will include a review of its past business, establish a revised sales process and new quality checks.
The company had said last year that it found "some control issues" in its sales practices during an independent review of its internal control and audit processes, details of which it then shared with the Financial Conduct Authority (FCA).
The FCA's investigation into Lookers, which sells car brands including Volkswagen, Ford and BMW, will examine the company's sales processes between January 2016 and June 2019.