The average UK car retailer recovered more than half of the losses suffered during a Q2 trading period devastated by the COVID-19 coronavirus lockdown, according to ASE Global.
Car retailers flocked to respond to the National Franchised Dealers Association’s (NFDA) bi-annual dealer attitude survey in larger numbers than ever before following the COVID-19 lockdown.
A 26% increase in June profits helped the average UK car dealer to claw-back COVID-19 losses which amounted to around £100,000, according to ASE’s latest market insight.
UK businesses were struggling to generate cash flow prior to the COVID-19 coronavirus, with car retailers among the nation’s worst performers, according to research published by BDO.
Car retailers across the UK reported that demand from car buyers left pent-up during the COVID-19 lockdown period had resulted in a bumper return to showroom trading on June 1.
The initial impact of the COVID-19 coronavirus pandemic resulted in a 43% decline in profitability for UK car retailers during the key March number plate change month, ASE data has revealed.
Car dealers focussing on what should have been a busy numberplate change month of March suffered a £17,500 loss for the month prior to of the outbreak of COVID-19 coronavirus, ASE has reported.
The key number plate change month of March will be pivotal in car retailers’ efforts to achieve profitability in 2020, according to sector analyst ASE.
Franchised car retailers proved more resilient than then independent used car selling counterparts during 2019’s tough trading conditions, according to the CarGurus One Voice Report.
Car dealers achieved their lowest return-on-sales (RoS) figure since 2011 in 2019 after rounding off a “tough” year with a £1,700 loss in its final month, according to ASE.
Mitchell Group has reported an 8.6% rise in turnover and 13.6% rise in profit before tax to defy a challenging car retail market at its Cheshire Oaks multi-brand dealership site in 2019.
Crown Motors joined the Suzuki GB franchise with the opening of a new dealership location within its existing Honda showroom in Hendon, Essex.
The average UK car retailer saw profitability decline by 75% year-on-year in October and is likely to end 2019 with a 9% overall reduction in overall profit, ASE has reported.
The latest car dealer profitability analysis from ASE has revealed that the average retailer experienced a £3,000 year-on-year increase in profits during September.
Substantial franchised car retail network reductions and restructuring is required if operators are to benefit from a significant increase in the profitability of operators, according to a new report published by the ICDP.
AM100 car dealer group Lookers has announced that chief executive Andy Bruce and chief operating officer Nigel McMinn are leaving at the end of this year.
The average UK car dealer lost £14,000 during August in what has been described as a “significant deterioration” on the break-even result achieved in the same month a year earlier.
July’s trading was just above break-even for the average franchised dealership, according to data from ASE.
Hatfields Group has published details of record profitability in a set of 2018 annual financial results which revealed a 7% increase in turnover and 17% growth in profit before tax.
Lookers has reported that trading toughened in the second quarter of 2019 and warned that its earnings at the mid-year point will likely be down by 25% year-on-year.
