7:30 am, October 10, 2025
Family-run car dealer Parkway has seen its profits almost entirely wiped out during a ‘challenging’ year in 2024.
Accounts recently filed via Companies House show that Parkway Derby Limited made a pre-tax profit of £81,322 in the 12 months to the end of last December.
The result represents a collapse of almost 95% when compared to the £1.45m the group made in 2023 – which was itself 75% down on the previous year.
Turnover also fell away for the retailer, with revenue coming in at £218.18m compared to £227.97 last time out.
The group’s 2023 accounting period was extended by a month, slightly skewing comparisons between the years, but the numbers still appear bruising for the retailer.
Bosses say that the group faced ‘notable challenges’ last year, with a ‘significant realignment in vehicle values’ resulting in reduced profit margins.
Director Sean Booth said: ‘The year 2024 presented notable challenges for the group, particularly within the used car market.
‘A significant realignment vehicle values occurred across the industry, resulting in widespread stock write-downs and reduced profit margins.’
‘New vehicle sales remained stable year-on-year, despite ongoing supply constraints affecting certain models.
‘These limitations impacted customer choice but were effectively managed through proactive sales and order planning.
‘The aftersales departments across the group, including servicing, repairs, parts sales, and warranty management, delivered a stable performance throughout 2024.
‘Early challenges due to a skills gap were addressed through targeted recruitment, workflow restructuring, and investment in staff development.
‘These efforts led to improved efficiency and performance in the second half of the year, reinforcing aftersales as a key contributor to overall profitability.’
The year saw the Car Dealer Top 100 group’s average workforce grow from 330 to 337 employees, with staff costs totalling an increased £15.03m.
Meanwhile, despite the tumbling profits, directors’ remunerations increased by more than 150% to £135,259.
Looking ahead, bosses say the early signs for 2025 are positive and the firm is hopeful of improved profits next time out.
Booth added: ‘Encouragingly, used vehicle prices began to stabilise towards the end of the year, and the company and group is now seeing improved margins in this segment.
‘This trend supports a more positive outlook for 2025. Focus will continue on refined stock acquisition strategies and agile pricing to sustain and enhance profitability.
‘The directors remain committed to managing the ongoing challenges in new vehicle supply through close engagement with manufacturer partners and adaptive sales strategies.
‘Investment in digital infrastructure, employee development, and customer experience will continue across all departments to ensure the group remains competitive and well-positioned for long-term growth.’
