9:03 am, March 24, 2025
Pentagon Motor Group’s parent company saw its profits slide last year, despite racking up improved new car sales.
Accounts recently filed with Companies House show that Motus Group (UK) made a pre-tax profit of £14.44m in the 12 months ending June 30, 2024 – a 9.45% dip on 2023’s £15.81m.
The result comes despite turnover being up 9.7% at £1.4bn, compared to the £1.27bn made last time out.
The accounts show that the group sold 22,901 new cars in the period covered by the accounts, representing a 5.5% improvement on 2023 when it shifted 21,698.
However, this was tempered by a 4.6% decrease in used car performance, with Motus selling 11,233 units overall.
Bosses put the decline down to constrained new car supply in 2023, which had boosted used vehicle sales.
Looking ahead, the directors admitted that the ZEV mandate could have a negative impact on next year’s results, amid ‘weak’ consumer demand for electric cars.
In a statement included in the accounts, the firm said: ‘The first three months of the new financial year have followed the trading patterns of the year to 30 June 2024.
‘In 2023, the UK Government moved the full ban on the sale of new petrol and diesel cars in the UK from 2030 to 2035.
‘From January 2024 the UK Government have imposed the Vehicle Emission Trading Scheme (VETS). VETS was imposed in place of the Zero Emissions Vehicle (ZEV) mandate.
‘The retail demand for new battery electric vehicles (BEV) is weak and this presents a considerable challenge in achieving the VETS targets for Manufacturers.
‘If unamended this regime, together with the absence of incentives for consumers in the retail market, may cause volatility and disruption in the UK new vehicle market in the near and medium term.’
Elsewhere in the accounts it is revealed that Motus’s workforce grew from an average of 2,806 to 2,934 people in 2024.
Wages and salaries rose by 7.2% to £110.88m with directors paid an increased £1.59m compared to £1.55m in 2023.
Meanwhile, interim dividends totalling £11m were declared and paid during the year, compared to £3m in the previous accounting period.
Reacting to the group’s performance overall, directors said: ‘In the year to 30 June 2024, the business performed strongly at operating profit level, the profit before tax performance is strong all be it 9% behind prior year, due to higher interest costs as a result of increased stock holdings and interest rate increases.
‘Although the macro-economic environment is weakening, the business has performed in line with expectations in the period since the year end.’
Pentagon Motor Group is run by former Peugeot MD David Peel.
It operates BYD, Vauxhall, Ford, Peugeot, Citroen, Seat, Nissan, Renault, Mazda, Dacia, Kia and Cupra dealerships in locations across the UK.
Its commercial vehicle division runs franchised dealerships for DAF, Volkswagen, Ford, Fiat, Isuzu and Maxus. The group also sells trucks.
Motus was 12th in the Car Dealer Top 100 list of most profitable car dealers last year.
