Record results at Lookers
LOOKERS, the motor dealership and parts distribution business, continued to benefit from the consumer boom in car sales as it reported record results.
Chairman Phil White said the performance of the group’s motor division, which comprises119 franchised dealerships representing 32 marques at 70 locations nationwide, had been “outstanding”.
Revenue in the year to the end of December 31 surged from £2.06bn to £2.46bn and profits rose 26% to £48.1m.
Manchester-based Lookers, whose parts division is based in Sheffield, announced a final dividend of 1.7p per share, taking the total payout to shareholders to 2.58p, up 10%.
New chief executive Andy Bruce, who succeeded the now-retired Peter Jones on January 1, said: “”We have delivered another strong trading performance in 2013, our fifth year of successive profit growth. The motor division has produced an excellent result and the parts division has returned to growth, delivering a strong performance in improving but competitive market conditions.
“Lookers is well placed to take advantage of future growth in the new and used car markets and increased demand for aftersales and parts which gives us further confidence that we can continue to grow the business in 2014.”
The motor division was the star performer as divisional profits zoomed 34% to £42.6m, a record.
During the year Lookers sold or closed five underperforming businesses and acquired three new businesses, two of them Land Rover dealerships – one of the most popular car brands at the moment.
Looking ahead, Lookers said: “We have now had five successive years of increased profits, the majority of which have been delivered in restricted market circumstances.
“Growth in the UK new car market in 2013 was encouraging and this, together with our performance over recent years, gives us further confidence in our ability to grow the business again in 2014.
“As economic conditions improve further, we are well placed to take advantage of growth opportunities in the new and used car markets, which will also in turn increase demand for aftersales and parts, as the number of cars under three years old continues to rise.”
