Following negotiations, AMA Group (ASX:AMA) has finalized a new pricing model for Capital S.M.A.R.T.

under its Motor Repair Services Agreement (MRSA) with Suncorp.

The concluded negotiations have set the pathway for a range of operational initiatives by AMA Group through fiscal year 2024.

The new pricing arrangement, which is applicable for all repair bookings from July 1, re-establishes an annual pricing review process with a clear re-pricing mechanism.

AMA Group anticipates a contribution to its EBITDA in the range of A$32 - 36 million from Capital S.M.A.R.T.

on a post-AASB 16 basis in FY24.

Revised FY24 guidance is predicted to be between A$86 and A$96 million normalised, post-AASB 16 EBITDA.

The group’s long-term financial goals remain unchanged.

AMA Group is a leading provider of vehicle accident repair services, operating a number of brands across multiple divisions.