Bapcor’s strategic update sets a clear target for improved EBITDA margins of ~350bp over five years. While quantified drivers were not disclosed, in essence reducing business complexity and improving the calibre of people running the businesses should lead to better margins. Given the history as a roll-up, simplification of systems makes sense.  However, much of the margin improvement needs to come from Retail and Specialist Wholesale. There is a risk these businesses shrink to lift margins. We expect investors to wait for evidence of traction on margin improvement.