Lookers increases revenues despite weak market

Pre-tax profits dropped by £100,000 to £21.3m in the six months to June 30, while revenues climbed by 1.4 per cent to £1bn in the six months to June 30.

Group sales of new cars were 5.4 per cent ahead of the market, although the market was 7.1 per cent lower this year than last, when the government’s scrappage scheme was still in place.

Used car volumes increased by five per cent, and the company said that Lookers is still winning a greater share of the aftersales market.

The firm has also continued the shake-up of its existing franchise balance, closing or selling off five brands but opening three new franchises.

Chairman Phil White said: “Our market-leading independent parts division continues to perform well and has made further improvements in profitability, which is ahead of both budget and the prior year.

“The parts division is of particular importance to the group as it is not subject to the fluctuations that can occur in the new car market and therefore generates earnings which are more resilient.”