Adaptable JCT600 holds profits steady despite “challenging” market

Motor retailer JCT600 has held revenues and profits steady despite a “challenging” year for the new car market.

Revenues reached £1.28bn, up 2% on last year’s £1.25bn, according to the company, although accounts have not yet landed at Companies House.

Operating profit before exceptional items rose slightly, up from £23.1m to £23.2m in the year ending 31 December 2018, said the company.

The Bradford-headquartered car retailer said that it had forseen that new car sales in 2018 would be a challenging sector. It also said they expected supply problems as a result of the new WLTP regulations, which aim to test and measure fuel consumption, CO2 and pollutant emissions from passenger cars.

Taking these challenges into consideration, the company said it had chosen to focus on its used car sales operation and aftersales services.

As a result it increased used car sales by 9% and aftersales services by 3.9%.

During the year it has invested a total of £9m in its showrooms, at Porsche Sheffield and Porsche Newcastle, in addition to a new call centre in Chesterfield.

It also acquired two Jaguar and Land Rover dealerships in Doncaster, and will be representing Rolls-Royce in Leeds.

John Tordoff, chief executive of JCT600, commented: “As a long-established Yorkshire-based business with a reputation for leading the way in the automotive sector, we are proving able to continue to outperform the market.

“While keeping customers firmly at the core of everything we do, we are nimble enough to be able to adapt to changing conditions while continuing to invest for the future.”

Nigel Shaw, group finance director at JCT600, adds: “It has been a challenging year for the new car market with supply issues caused by the introduction of the WLTP emissions regime resulting in restrictions in many brands.

“However, we have been able to focus on developing other areas of our operations, such as used car sales and aftersales services, as well as keeping a close eye on costs in order to grow our revenue.

“It’s also encouraging that despite ongoing Brexit uncertainty, customer confidence and economic performance remain relatively strong, boosted by low unemployment and interest rates.”

Founded in 1946 as Brooklands Garage on Sticker Lane, Bradford, by current chairman Jack Tordoff, JCT600 has grown from a single dealership into the largest privately owned business in Yorkshire with 48 dealerships employing 2,250 people.

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