Arnold Clark profits soar 27 | 05 | 2013
SCOTS CAR GIANT Arnold Clark, has reported a 16.9% increase in pre-tax profits for 2012. Figures released show pre-tax profits rose to £60.5 million on a turnover of £2.48 billion in 2012. Turnover grew 10.3%.
The Glasgow-based group saw increases in both new and used car sales. While the used market grew by 4.6% to 122,398 units, there was a 10.3% increase in sales of new cars to 79,979 units. Fleet sales improved by 11.5%.
Operating profit, before goodwill amortisation, increased by 18.3% to £73m helping the group to surpass net assets of £500m for the first time.
“Last year, 2012, was an exceptional year for the group in terms of acquisitions ,with 21 additional outlets being added," Eddie Hawthrone, Arnold Clark group managing director, said. "The full positive effect of these new additions is apparent in the results.
“Our strategy is to continue to keep the group well-funded, control our costs and remain alert to any opportunities which will arise in the market place.”
While the group added five new acquisitions over the first six months of 2012, there were a further 12 sites added in the second half of the year, the largest being the Grangemouth-based John R. Weir business.
Website traffic to the group's site grew by 49% and coincided with the business making a “significant” investment in its online presence.
Particular attention was paid to increasing interaction with customers through social media and further technological advances which are providing the business with “new and innovative marketing avenues”.
“While the wider economic situation remains uncertain, the consensus in the motor industry is for modest growth in both new and used retail markets," Sir Arnold Clark, chairman, said.
“Our hard work and impressive results in recent years mean that we are confident about our ability to achieve profitable expansion, both organically and through strategic acquisitions.”
David Coulthard drives Jim Clark's iconic Lotus 25
Keep up-to-date with all the latest news by following us on twitter.com/scotcars
Jim McGill