8:49 am, June 19, 2025
Dealer group Perrys has posted improved profits for the first time since 2021 with bosses said to be ‘pleased’ with the firm’s performance.
The Car Dealer Top 100 firm saw its pre-tax profits slump significantly in both 2022 and 2023 but that trend has now been allayed, according to fresh accounts, recently published via Companies House.
Documents show that the Northampton-based retailer made a profit before tax of £2.61m in 2024– an 37% improvement on 2023’s £1.89m.
The result was achieved despite a dip in revenue, which fell from £794.15m to £768.43m.
Directors say that the improved was the result of better trading margins and a 4.8% increase in used vehicle volumes.
Throughout the year, the car dealer saw gross margin of 12.1% – up versus 11.3% in 2023 – while used car transaction volumes increased by 7.6% to 17,201.
Overall, the firm’s used car revenue increased by 2.1% year on year to £288m but direct profit from second-hand sales fell as a result of reduced ‘average transaction value’.
When it came to new cars, Perrys’ volumes reduced by 15.4% due to a reduction in fleet sales. The firm saw big drops in both Ford and Vauxhall volumes which fell by 17.4% and 14% respectively.
By the end of the trading period, new vehicle direct profit came in at £7.7m, a reduction of 3.7% versus 2023 due to the reduced sales volumes.
Writing in the accounts, Perrys director Christopher Thexton said: ‘The group delivered a strong performance in the year, increasing profit from aftersales, improving new car margins and increasing the volume of used vehicle sales.
‘The new car market was challenging, particularly in Ford and Vauxhall.’
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The year saw significant changes to Perrys’ dealer network, with the firm partnering with Chinese brands Jaecoo and Omoda in Aylesbury.
The group also benefitted from exceptional income following the sale of a property in Colne, which allowed its Mazda franchise operations be merged with Blackburn, offering hefty cost savings.
Overall, the firm ended the accounting period with 58 dealers, representing Vauxhall, Ford, Peugeot, Mazda, Kia, Citroen, MG, Seat, Cupra, Omoda and Jaecoo.
Vauxhall and Ford remain the company’s biggest partners although bosses say ‘relationships are constantly reviewed by the board to ensure they are delivering value to the group’.
Elsewhere, operating costs across the business increased by 3% in the year to £87.2m, with significant increases experienced in wages and salaries, which were up 6.6% to £52m.
Despite the extra costs, bosses say the firm continues to operate with a ‘people first’ approach which aims to help staff. Measures include closing on Sundays for better work-life balance.
Reflecting on 2024, Darren Ardron, managing director of Perrys, said: ‘Overall, we were pleased with the results for 2024.
‘The first half was good. Volumes and margins held up and the group achieved a very strong aftersales result, despite the headwinds that the wider industry experienced.
‘Q3 saw more pressure on new retail units and the fall in used car values added further pressure to margins.
‘During the year, the group launched several initiatives aimed at improving staff retention, focusing on continuing to improve the work-life balance of our colleagues with an aim of making Perrys an employer of choice.
‘The group was delighted to add the Omoda and Jaecoo franchises to its portfolio, too, as well as adding some current franchises into existing sites to focus more on a multi franchise strategy, allowing for greater aftersales opportunities in the years ahead.
‘We’re very much looking forward to continuing with these positive uplifts throughout 2025, with a strong start to the year already experienced.’
