North of England based Williams Motor Group battled higher costs and inflationary pressures in 2024 with pre-tax profits down -25.9% to £10m while turnover increased 6.1% to £577.2m.
The directors said it was a “strong trading performance” in the face of wage growth pressures and “stubbornly” high interest rates and higher vehicle funding costs. Its performance in 2023 had been its third highest ever.
Award winning Williams, which represents BMW, MINI, Land Rover, Jaguar and BMW Motorrad, has centres in Bolton, Liverpool, Manchester, Rochdale and Stockport.
The group noted the impact of the ZEV Mandate on the new car market with low demand from private buyers for EVs while BEV adoption in fleets was bolstered by favourable tax incentives.
“Looking ahead, the 2025 ZEV target of 28% will require nearly a 50% increase in EV sales and meeting future targets will remain a significant challenge,” it said in accounts filed at Companies House.
“Overall, our-new car volumes marginally increased during 2024, whilst margins for all brands declined throughout the year as vehicle inventories increased, resulting in reduced margins compared to last year as supply exceeded demand,” it said.
New vehicle retail turnover increased 1.8% to £200m, new corporate turnover increased 27.9% to £62m, used car volumes grew 8.1% and used vehicle turnover reduced 2.2% to £256.3m.
Williams said aftersales delivered strong growth with service direct profit up 9.8% to £7.8m. It said recruiting technician was challenging.
On current trading it said there were “some signs” that inflationary pressures were abating but it added that Q2 was more difficult.
“Quarter two is presenting signs of a tougher market, coupled with increased labour costs through National Insurance and National Minimum wage, this raises concerns for the second half of 2025,” it said.
It commented that MINI had introduced agency in March and volumes were “lower than we would like.”