Hawkins Motor Group recorded a 46.6% improve in pre-tax earnings after seeing demand for automobile purchases “skyrocket” within the post-COVID buying and selling interval.
The Cornwall-based automobile retail group celebrated success in its first full 12 months of buying and selling because it joined the Nissan franchise with the acquisition of Town & Country Nissan in its annual monetary outcomes for the 12 months to June 30, 2022.
It recorded a 46.6% rise in pre-tax revenue, from £3.64m to £5.34m, as turnover rose by 18.8% to £106.4m (2021: £89.6m) throughout the interval.
Nevertheless, the enterprise acknowledged that it had ridden a wave of success skilled within the wider sector in its buying and selling assertion.
“The corporate has achieved file gross sales throughout the earlier 12 month, a pattern that seems to be mirrored within the motor commerce generally,” it stated.
“New automobile inventory has been tougher to acquire, though for that reason demand for used automobiles particularly has skyrocketed and led to inflated used automobile values. This, coupled with a change in shopper spending first seen within the prior 12 months, of consumers investing in automobiles as an alternative of different luxuries, has led to improved margins.”
Hawkins’ assertion added: “The corporate skilled progress throughout all areas of the enterprise, the business providing stays sturdy alongside a busy components division.2
St Austell-based Hawkins is a franchise accomplice of Citroen, Hyundai, Kia and Peugeot amongst its manufacturers and added an MG dealership in Hayle, Cornwall, on the peak of the COVID-19 pandemic.
Regardless of the buoyant restoration from the pandemic main into difficult financial instances, Hawkins’ outcomes assertion indicated that it remained optimistic for the long run.
It stated: “Trying ahead, the corporate holds a major order e-book for brand new automobiles, and it seems inventory availability will grow to be much less of a problem. Targets set by producers are practical and take this under consideration.”