Pre-tax profits at one of the largest car dealerships in the State, Johnson & Perrott last year increased by 59 per cent to €7.3 million.
This followed revenues at the Cork-based Johnson & Perrott Ltd last year increasing by 20 per cent to €130.84m.
According to the directors’ report, "despite the ongoing impact of Covid-19, the directors are pleased to report a very satisfactory year for 2021 with each of the group’s divisions reporting strong results".
The directors state that two factors combined to cause a significant increase in both demand for and the value of used cars which had a positive impact on profitability.
The directors state that the factors were the change in import duties leading to a significant decline in the importation of vehicles from the UK and the supply of new vehicles impacted by Covid-19 and shortage of microchips.
Used car demand
The directors also state that both of the group’s asset management divisions benefited from the strong demand for used vehicles with both divisions reporting stronger than expected profitability on the disposal of redundant vehicles.
The business -owned by the Whittaker family -has a proud history in transport here dating back to the coach building era in 1810.
The firm last year paid out dividends of €742,500 and this followed a dividend payout of €675,000 in 2020.
The group recorded operating profits of €7.8m and profits were reduced due to a combination of a €400,000 write down in investments and finance costs of €84,902.
Numbers employed decreased from 197 to 190 as staff costs increased from €9.84 million to €11.07 million.
The business last year received no Covid-19 wage subsidy payments after receiving €1.4 million under that heading in 2020.
The Group has four dealerships across three locations located on the Bandon Road in Bishopstown, on the Douglas Road in Douglas and in the Mahonpoint Retail Park at Mahonpoint - all in Cork City.
The group also has 10 leading car franchises: Cupra, Honda, Jaguar, KIA, Land Rover, MG, Opel, Peugeot, Seat and Volvo, along with Opel and Peugeot commercial franchises.
According to the directors "during the year, the strength of the balance sheet, the robust nature of the business model and the quality and commitment of our staff has enabled the group to continue to prosper despite the many challenges during the year".
At the end of December last, the group’s accumulated profits totalled €81.44 million. The group’s cash funds increased from €1.95 million to €2.33 million.
