Carole Nash posts modest profit growth in tough market

CAROLE Nash the Altrincham-based specialist motorcyle insurer has reported a slight increase in profits in the face of a spending squeeze which has forced some hobbyists off the road.

The business, which is in the midst of being sold by its French parent Groupama, said profits in the year to the end of December 31 rose 1.2% to £5.9m as turnover revved 5% to £25m.

Chief executive David Newman said the resilient performance demonstrates the strength of the Carole Nash brand, in a tough market place.

He explained: “The economy has presented, and continues to present, particular challenges to the business. Motorcycling is often a lifestyle choice, a leisure rather than necessarily practical pursuit, and therefore is more adversely affected by the kind of reductions in disposable income we are seeing during the current economic squeeze.

” That we’ve secured growth, albeit modest, in such testing conditions demonstrates the power of our brand, the astuteness of our marketing and, not least, the endeavours of our dedicated staff in Altrincham and Dublin.”

Carole Nash, was sold by its founder for more than £70m in 2006. It employs 300 people, with the majority, 275, based at Broadheath near Altrincham. The remainder are in Ireland.

Mr Newman said the company had launched new added services as part of a marketing campaign.

In March it launched Carole Nash DNA+, a forensic coding security system, which it is providing as a free benefit with all its motorcycling policies. This followed a successful pilot scheme run across the last quarter of 2011which revealed high customer approval and significant uplifts in online and telephone quote enquiries.

“Carole Nash DNA+ is typical of the kind of innovative and customer-centric innovation for which we are known. It was introduced to help our customers minimise the risk of their bike being stolen and to assist in improving the very low recovery rate of stolen motorcycles, ” Mr Newman added.