Motor Trader The award-winning and longest running UK magazine for car retailing professionals. Your first stop for News, Jobs and Reports for the motor industry.
The UK business of Group 1 was hit in the third quarter by uncertainty from the ‘political turmoil’ surrounding Brexit.
Total same store UK revenues fell 2.3% to $547.6m (£425m) while gross profit decreased 8.7% to $59.6m.
It said continued weakness in consumer confidence and the overall car market due to Brexit continued to exert downward pressure on new vehicle sales volumes and margins.
Worldwide the group reported 2019 third quarter net income of $38m on record revenues of $3.1bn.
“Our achievement of new quarterly records for total revenue and adjusted earnings per share in a flat US new vehicle sales market, as well as a UK market in political turmoil, is a testimony to the strong operating execution of our entire team – especially in the US,” said Earl J Hesterberg, Group 1’s president and chief executive officer.
The company’s UK operations account for 18.7% of its total revenues and 14 % of total gross profit. In October it opened a four-story flagship Beadles Jaguar-Land Rover dealership in north west London.
This increases its Jaguar-Land Rover dealership count to four in the UK. The Beadles business is expected to generate approximately £67m annual turnover.