8:26 am, December 12, 2022
Bosses at dealer group Hawkins Motors say the firm is in a strong financial position after announcing record profits and sales in 2022.
Documents published via Companies House show that the Cornish outfit enjoyed a stellar period in the 12 months to the end of June.
Increased demand for used vehicles saw sales soar, allowing profits and turnover to reach unprecedented levels for the group.
The accounts show that Hawkins’ turnover rose by close to 20 per cent to reach £106.43m, compared to £89.56m in the previous 12 month period.
The increased revenues allowed the Car Dealer Top 100 firm to return sky-high profits, with the company making £5.23m before tax.
That figure dwarfs the £3.42m the outfit made in 2021 and represents Hawkins’ most profitable year yet.
Despite the success, directors’ renumeration decreased to £197,635 in 2022 opposed to £220,795 in 2021. Meanwhile, employee wages rose from £6.18m to £6.59m.
With the pandemic now in the past, Hawkins also stopped claiming furlough cash after benefitting from £154,214 in government grants last year.
The firm ended the period covered in the accounts with nine dealerships throughout Cornwall, including one Nissan franchise acquired this year.
In a statement included in the accounts, director William Hawkins, said: ‘The company has achieved record sales during the previous 12 months, a trend that appears to be reflected in the motor trade in general.
‘New vehicle stock has been more difficult to obtain, although for this reason the demand for used vehicles has skyrocketed and led to inflated used vehicle values.
‘This, coupled with a change in consumer spending first seen in the prior year of customers investing instead of other luxuries, has led to improved margins.
‘The company experienced growth across all areas of the business, the commercial offering remains strong alongside a busy parts department.
‘The company has reported an increase in its net profit for the year.
‘Looking forward, the company holds a significant order book for new vehicles and it appears stock availability will become less of an issue. Targets set by manufacturers are realistic and take this into account.
‘At present the company trades from nine different locations throughout Cornwall and holds six different franchises as well as having a centralised parts hub. The directors believe that this diversification provides the best model for continued success.’
