Bolton Car Centre (BCC Group) has expressed concerns about the impact of Brexit despite a 60.7% pre-tax profit boost delivered with the help of a new Hyundai franchise.
The £69.3m turnover business achieved a 60.7% rise on profit before tax during its financial year to December 31, 2018, after it added a new Hyundai franchise on Manchester Road, Bolton, while maintaining its 4.2% profit margin with a pre-tax profit of £46,681.
But earlier this year the company disposed of Suzuki franchises for Bolton and Blackburn and its Citroen site in Wigan and the retailer is cautious about the prospect of a ‘no deal Brexit’.
Chapelhouse Motor Group acquired BCC’s Suzuki franchises in Bolton and Blackburn and its Citroen franchise in Wigan, for an undisclosed sum, in April.
Company director Michael Holt said: “This could affect demand for new car sales, with selling price rises inevitable, although used car volumes may increase.”
BCC delivered a 5.7% increase in vehicle sales during 2018.
The business said in its financial statement that sales had been slow in Q1 but additional sales incentives introduced as its manufacturer partners sought to dispose of stock ahead of the September roll-out of WLTP delivered growth in H2.
The group said that 2018 had been a challenging period adding that the closure of four franchised points following the reported financial period had been carried out to “protect long-term profitability”.
It added: “This is expected to be achieved by focussing on the company’s core operations at locations that are both profitable and provide opportunities for growth.
BBC Group now represents Citroen in Blackburn and Bolton, Hyundai in Bury and has a used car operation on the Isle of Man.
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