Peter Vardy reports £5.8m profit and shows ambition for the future

Time 3:43 pm, September 24, 2019

PETER Vardy has posted a set of strong annual figures for 2018, laying the foundations for future growth by the Glasgow-based automotive group.

The retailer – which holds franchises for BMW, Jaguar Land Rover, Porsche and Vauxhall and also operates Peter Vardy Car Stores in Glasgow and Dundee, put in a robust performance in 2018, leading to 4.4 per cent increase in used car sales for the year. Aftersales revenues also held strong, leading to a four per cent rise in group turnover to £468 million.

Despite difficult market conditions, gross profit margins remained in line with the previous year at 12.7 per cent. The group continued to operate above its objective of £500,000 of retained profit per outlet, leading to a small increase to £5.8 million in retained profit after tax.

Chief executive Peter Vardy, pictured, said the 2018 figures illustrate the company’s resilience, with the ability to maintain a strong performance amid difficult trading conditions for the industry as a whole. This allowed the group to continue its programme of investment with the opening of its second Porsche showroom in Perth, giving Peter Vardy exclusive coverage in the north of Scotland.

Positive results

‘Our focus heading into 2018 was on two areas – driving used vehicle performance and maximising aftersales opportunities – and I am pleased to report positive results on both fronts,’ Vardy said.

‘We are continuing to pursue our six-point strategy for growth, and are actively seeking expansion in both the physical and digital markets. The fact that we were working on our 2030 vision and strategy plans back in 2018 gives you an idea of the scope of our ambitions.’

Set up as a single dealership in Perth in 2006, Peter Vardy Group has grown to 14 dealerships across Scotland employing more than 800 people.

Looking to the future, Vardy said the group aims to take the lead in digital innovation and transformation, with heavy investment in e-commerce sales and aftersales products. The company intends to sell half of its vehicles online by 2023, with a target of 60 per cent of all service bookings coming through online channels in the same year.

The group also continued its programme of good works during 2018, with the completion of its two-year OneChild initiative to help children in Uganda which raised over £1 million.

The group has now expanded the One Child programme to support charities in Scotland. All colleagues within the organisation continue to participate in the company’s Giving Back agenda, spending one day of their induction at one of Peter Vardy’s partner charities.

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Dave Brown's avatar

Dave, production editor on Car Dealer Magazine, is a journalist with more than 30 years' experience in the worlds of newspapers, magazines and public relations.

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