Dick Lovett Group achieves record turnover of £800m, but pre-tax profit drops by nearly half

The Dick Lovett Group has had an impressive year of trading, with turnover reaching over £800m for the first time in its history. Despite this milestone, the company’s pre-tax profit saw a significant decrease compared to the previous year.

In the newly published accounts for the year ended December 31, 2023, Dick Lovett Companies reported a turnover of £822.064m, a 7% increase from the previous year. This achievement was celebrated by the board as a historic moment for the group.

However, the pre-tax profit of £24.353m was down by 48% from the record figure of £47.174m in 2022. The board attributed this decrease to various factors, including lower profits for all brands except Porsche and challenges in the supply of new cars and fluctuating interest rates.

Despite these challenges, the group maintained a strong and positive cash position, with a net equity of over £170m for the first time. The board highlighted investments in dealership redevelopment and other assets, including the construction of a new Porsche dealership in Newport and the relocation of BMW and Mini dealerships in Hungerford.

The group also saw an increase in the average monthly number of employees, with most of the growth in servicing and sales roles. Directors’ remuneration decreased overall, but the highest-paid director saw an increase in their earnings.

Dick Lovett, with its roots dating back to 1959, is a well-established dealership group with a strong presence in the south-west of England and Wales. As the longest-serving official BMW partner in the UK, the company has a rich history and a strong connection to the brand.

Overall, despite the challenges faced in the past year, the Dick Lovett Group has demonstrated resilience and strategic planning to navigate the changing market conditions. With continued investments and a focus on growth, the company is well-positioned for success in the future.