1:44 pm, October 19, 2021
Inchcape Retail suffered further financial woes last year, seeing its £6.6m loss of 2019 worsen nearly TENFOLD to £65.6m.
In its annual accounts to December 31, 2020, which have just been filed with Companies House, the franchised retailer group – which has more than 100 dealers and is part of the worldwide Inchcape group – said it made a loss of £65.585m in 2020 versus £6.645m the year before, as the pandemic took grip.
Its pre-tax loss also similarly increased from £7.67m to £76.412m as revenue sank by more than £400m from £1.51bn in 2019 to £1.08bn in 2020.
Meanwhile, its operating loss widened from £4.791m to £74.1m.
That was despite it taking advantage of the furlough scheme to the tune of £11.028m as well as business rates relief during the first half of the year.
In addition, the directors and senior management of the company, which has its registered office at Birmingham Business Park, agreed to have their pay temporarily cut by a fifth.
Inchcape’s retail sites were closed for three months of the year, although trading continued via click-and-collect and aftersales carried on as well.
But a restructure saw employee numbers sink by exactly 1,000 to 2,664.
The board report, signed on its behalf by chief executive James Brearley, says: ‘The Covid-19 situation remains very dynamic, and it is unclear how the world will change once the virus has been contained.
‘Nevertheless, the impact of the virus remains material and will be closely monitored through 2021.’
As far as Brexit is concerned, it said any short-term impact would relate to supply disruption of new vehicles and parts, but it believes that is manageable.
‘The medium-term macro-economic impact on the UK also remains uncertain,’ it says, with any slowdown in economic activity or cutback of credit availability in the UK affecting its retail operations.
Its dealerships represent Audi, BMW, Jaguar, Land Rover, Lexus, Mercedes-Benz, Mini, Porsche, Smart, Toyota, Volkswagen and Volkswagen Commercial Vehicles.
Pictured via Google Street View is Inchcape’s Jaguar dealership in Chester
How did other dealer groups get on in 2020?
- William Morgan Group turns £750k loss to £1.69m profit
- Listers paid directors £7.12m during pandemic – despite claiming more than £13m in furlough
- Glyn Hopkin posts improved profit in 2020 despite being hit by pandemic
- Hendy Group announces reduced 2020 pre-tax profit of £1.11m – despite being one of few dealers to see improved turnover
- Peter Vardy sees profits rise by close to 50 per cent as dealer group comes out on top in battle against pandemic
- Rybrook Group announces reduced pre-tax profit of £3.25m for 2020
- Arnold Clark posts mighty profit of £156.5m for 2020 and now calls itself a ‘stronger’ and ‘leaner’ business
- Donnelly Group benefits from furlough scheme to make £1.46m profit in 2020 after previous loss of £2.66m
- Bells Motor Group posts improved pre-tax profit of £1.4m after claiming nearly £400,000 in furlough cash
- Motorline doubles 2020 pre-tax profits but relies heavily on government furlough cash, claiming £7.1m
- Jardine Motors Group suffers catastrophic year as £8.3m operating profit slides to £9.8m loss despite £12m-plus furlough support
- Trade Centre Group’s pre-tax profit drops by 58 per cent to £7.5m for year, thanks to pandemic
- Furrows enjoys 38 per cent profit rise after being given more than £1.5m of furlough grants
- John Clark Motor Group’s pre-tax profit more than doubles to £6.25m despite drop in sales
- Bentleys Motor Group swings from loss to profit – helped by furlough handouts
- Williams Group’s pre-tax profit soars by 114 per cent to £6m helped by £5m-plus in furlough support
- Lookers 2020 results show £14.1m profit as it emerges from turbulent year as ‘a better business’
- WR Davies notches up record year as nearly £1.5m in furlough cash helps it through pandemic
- Caffyns’ pre-tax profit soars by nearly 1,300 per cent, thanks to £1.3m in furlough grants
- Johnsons Cars pre-tax profit soars to £3.2m from £632,000 during ‘turbulent year’
- Yeomans more than doubles its pre-tax profit after claiming £2.53m in furlough grants
- Vertu Motors: ‘Impressive’ results show group made £24.6m profit last year – ahead of all predictions
