Founder steps back at Derby car giant as profits fall

Photo courtesy of Professional Images

Profits at Derby-based care dealership giant Motorpoint have dropped by over £5m for the year-ending 31 March 2017, despite revenues increasing by almost £100m.

Motorpoint made a profit before tax of £11.7m, down from £16.9m in 2016. However, revenues soared by 12.7% to £822m during the year.

Motorpoint has just opened its twelfth retail site in Sheffield.

Mark Carpenter, chief executive, said: “The Group continued to make progress during the year, particularly in the second half and I am encouraged by the performance of our two new site openings. Customer satisfaction scores have increased across the Group, demonstrating the effectiveness of our unique business model which is built around the cornerstones of choice, value and service.

“Whilst we remain mindful of the current uncertain economic environment, trading at the beginning of the new financial year has started to plan and continued the positive trend from Q4 FY17. We remain well placed to continue growing the Motorpoint brand and to extend our compelling, value-focused proposition to more customers across the UK. Our market leading position, combined with our focus on nurturing talent within the business and commitment to delivering exceptional customer service leave us confident about the Group’s trading prospects for the year ahead.”

The firm also announced this morning (12 June) that its founder David Shelton will be stepping back from the day-to-day running of the company to become a non-executive director. He will remain a major shareholder.

Mark Morris, chairman, said: “David was the founder of Motorpoint and has been critical to its development and success. We are pleased that he wishes to remain within the business, both during his phased reduction in working hours and subsequently as a non-executive director. We are glad to be able to retain David’s passion, experience and knowledge which will continue to support the operational management team.”

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