Car dealer group TG Holdcroft increased its profit by nearly £900,000 in 2020 despite turnover falling.
TG Holdcroft (Holdings) Limited reported profit before tax was up, in the 12 months ending December 31, 2020, to £5.1m from £4.24m in 2019.
In a statement , it pointed out how the government support had been vital to this success in the business.
Turnover in the business dropped from £448.9m to £347.4m in the year, while new car retail units dropped by 23.6 per cent, new car corporate units were down 43.5 per cent and used car retail units were down by 14.8 per cent.
It said: ‘The unprecedented level of support has been vital to both our group and our employees throughout the pandemic and will have saved many livelihoods along the way.’
However, the group added that it entered 2021 with ‘quiet optimism’.
Holdcroft operates 23 dealerships, seven of which are Hyundai but it also represents Honda, Renault, Nissan, Dacia, Mazda, Mitsubishi, Volvo and Isuzu.
It warned that ‘the road ahead is still very uncertain’ and highlighted that ‘the vehicle market in the UK is highly competitive and margins continue to be under pressure’.
It added that it plans to provide an ‘innovative service’ to its existing clients while further exploiting online platforms ‘to develop in a profitable way, in what remains to be an extremely price sensitive market’.
Image credit: TG Holdcroft Crewe / Google Maps