Now Motors profits under pressure due to Hyundai growth
29 March 2020
Stevenage-based Now Motors saw profits before tax fall from £445k to £400k for the year ending 31 December 2019.
Despite Kia sales growing 10% and used sales rising 11%, its Hyundai Richmond business remains “in its infancy”.
Posting a 1.2% return on sales, the directors say this will remain under pressure for the next three years as the Hyundai division grows.
Labour sales were flat due to “staffing disruption” at its Stevenage business. Acquisitions including the assets of Letchworth Suzuki, now refranchised to Hyundai, saw turnover grow from £24m to £32m.
The directors are also seeking further acquisition opportunities.
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