Firm performing ahead of strategy
Vardy outperforms sector in year of investment
Operating profit before amortisation and donations was £12.1 million, up from £7.8m in 2014. Turnover at the Glasgow-headquartered business rose by 11% to £437.2m compared to £393.5m in the previous year. No dividend was paid.
Underlying returns on sales, a key motor industry benchmark, were up from 2% last year to 2.7% against an industry average of 1.22%.
Average profit per dealership was £1.012 m compared to an industry average of £197,000.
The group has invested heavily in premises to support internal and manufacturer growth plans over the next five years, including £6m in Porsche Aberdeen while a new Jaguar Land Rover showroom in the city is scheduled to open next month.
Peter Vardy, chief executive, said: “The group is performing ahead of its 2020 strategy after the first year and has focused its actions on six key objectives: colleague engagement, customer, or guest as defined in our business, satisfaction, developing manufacturer relationships, achieving financial performance targets, evolving digital strategies and giving 10 per cent of profits back to charity.”
Staff engagement continues to be the group’s leading key performance indicator, he said, with “90% of colleagues proud to work for the Peter Vardy Group and more than 80% planning to remain with the group in three years’ time”.
In June the Peter Vardy Group distributed share options to its 800 employees as part of its Peter Vardy Partnership Programme.
In its drive to evolve its digital status, the business saw annual website visits surpass 2.7m, an increase of 38% on the previous year. This translated into 72,000 digital enquiries.