7:22 am, August 10, 2021
Marshall Motor Holdings today (Aug 10) posted ‘exceptional’ results for the first half of 2021 – registering a massive 426.6 per cent rise in pre-tax profit to £38.4m versus an £11.8m loss during the same period in 2020.
Its unaudited interim results for the six months ending on June 30, published via the London Stock Exchange, also show that underlying operating profit rocketed by 767.5 per cent to £42.9m versus the pandemic-hit first half of 2020 when it made a loss of £6.4m.
Revenue was up by 49 per cent topping £1bn at £1.334bn while reported profit was up by 467.8 per cent at £39.5m. Meanwhile, gross profit rose by 65.3 per cent to £157.4m.
It said it enjoyed a strong like-for-like market outperformance for new and used vehicles, with new vehicle unit sales both retail and fleet up 46.1 per cent at 25,798 against overall market registrations, which rose by 39.2 per cent.
Used vehicle sales were up by 51.7 per cent at 28,094, whereas the overall used market increased by 31.1 per cent.
Meanwhile, aftersales revenue was up by 34.8 per cent.
It received £16.438m of grant income under the Coronavirus Job Retention Scheme, all of which Marshall has said it will pay back.
During the first half of the year, Marshall said it also benefited from £4.7m from the government’s business rates holiday scheme. Business rates benefit of some £2m is expected during the second half of 2021.
Chief executive Daksh Gupta, pictured, who will be appearing on Car Dealer Live shortly, said: ‘The group’s record performance in the first half of the year was exceptional.
‘Whilst we acknowledge that this has been largely driven by unprecedented market conditions, particularly the used car market, we are proud of the contribution of our operational teams across the country for another period of strong market outperformance.
‘On behalf of the board, I would like to thank all our colleagues, as well as our brand and business partners, for their continued support.
‘There remains a high level of uncertainty over the second half of 2021 and into 2022 given well-documented vehicle supply issues, an expected realignment of used vehicle values, the timing of which is uncertain, and the continuing impact of the Covid-19 pandemic.
‘Given these uncertainties, there remains a range of possible outcomes for the year. However, the board expects that continuing underlying profit before tax for 2021 will be not less than £40m.’
The group comprises 116 franchises representing 22 brand partners, with sites in 29 counties.
