Vertu Motors, parent company of Bristol Street Motors, has revealed ambitious plans for growth with expansion in the West Midlands high on its hit list.
Although both new and used car sales have fallen in the last six months, the company posted a positive set of results for the six months to August 31.
Revenue increased by seven per cent to £547 million, due to the continued growth of the business (it now has 82 outlets), while pre-tax profits were down by 16 per cent to £4.1 million.
A total of £4 million was invested in new acquisitions, including a number of freehold property purchases.
Chief executive Robert Forrester said: “We anticipated these six months would be lower in profit terms. One reason was we didn’t have scrappage and we have also increased our number of dealerships by nine per cent.
“We knew a lot would be loss making because they had started up, so we’re ahead of where we though we would be.
“Clearly the consumer environment is challenging – new and used car sales are down – but we have out-performed in sales of new cars.”
He said the company, which was founded in 2006, was in an enviable position.
“We are still profitable and still generating lots of cash. It is challenging but we are a stable company with a strong balance sheet and are in a strong position.”
Mr Forrester said when there was pressure on the industry, as in the current economic climate, more dealerships were likely to be changing hands, something Vertu would be aiming to capitalise on.
“Clearly we are very strong in the West Midlands and that is somewhere where we would look to grow our portfolio,” he said.