Dealers have started 2019 with a rise in profits, according to data collected by ASE.
Franchised dealer profits in October were up by £7,500 in October year-on-year, after a £1,500 loss in October 2017, said ASE Global.
UK dealers saw profitability increase by 74% during Q2 this year, despite a slight slip in June’s performance, according to the latest figures from ASE.
By understating its performance, there is a real danger that the motor retail industry will sow the seeds of its own demise.
Franchised dealers have continued to take a hit to their profits. Data from ASE Global shows in August the average dealership lost almost £17,000.
The average UK franchised dealer made a loss of £6,500 in July 2016, a drop of £10,000 on the performance from the prior year, when July was a profitable month.
The average UK motor retailer produced a profit of just over £42,000 in June, exactly matching the result for the same month in 2015.
The average UK motor dealer made a loss of just over £13,400 in February, matching the 2015 result.
Franchised dealers worked harder for smaller returns in 2015.
The new car market looks set to hit a record level in 2015 but dealer profitability certainly doesn’t, warns ASE Global chairman Mike Jones.
The average UK motor retailer made an average of £73,200 during the plate change month of September, according to the latest ASE figures.
Franchised dealers made an average loss of £16,000 in August, typical of the month before the plate change in September.
For the first time in 2015 UK car dealers have show a year-on-year improvement in financial performance.
The average UK motor dealership produced a small loss of £384 in May, a contrast to the £5,000 profit made in the same month of the prior year.
The average UK motor dealership produced recorded a profit of just under £93,000 in March.
The average UK motor dealer made a loss of £13,500 in February, a slight increase in the loss made in February 2014.
Budget 2015 highlights, 50 days from the general election.
Automotive Management Live: Where franchised and independent dealers will find everything they need to know about operating a modern showroom and service and repair facility fit for the digital age.
When: November 12 2020
Where: Birmingham NEC
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