The Press and Journal (Inverness, Highlands, and Islands)
Arnold Clark:
ArnoldClark’s latest results show it paid more than £3million for Highland business Ness Motors – nearly as much as the salary of the car giant’s highest-earning boss
“Exceptional growth” in used vehicle sales sawturnover at Glasgow- based Arnold Clark hit a record £3.35billion and pre-tax operating profits rise 1.8% to £121.7million during 2015. The group sold 175,526 used vehicles, an increase of 10.8% on the previous year, boosting turnover by 2.2%, according to accounts released by Companies House yesterday. However, sales of new cars were down by 8.4%– mainly as a result of a large fleet contract not being renewed. While the rise in used vehicle sales was partly down to new sites opening, founder, chairman and chief executive SirArnoldClark, saidhe was pleased to note like-forlike sales were up by 7.9%.
The company, which has more than 200 dealerships in Scotland and England, acquired half a dozen more during 2015, including the £3million takeover of Inverness-based NessMotors in February.
Sir Arnold described the purchase of Ness Motors, with 100 staff and sites in the Highland capital, Elgin and Perth from Scott Lauder as his company’s “most significant” acquisition of the year.
Arnold Clark now has six outlets in Inverness, eight in Aberdeen, two in Elgin and one in Peterhead.
A site at Hillington, near Glasgow Aiport was also opened and has become home to Arnold Clark’s 500 head office staff.
In December, damage caused by a fire at the firm’s service centre at Girdleness Road, Aberdeen, was so severe that the building had to be fully demolished.
Servicing work was transferred to other centres in the city while the construction of a new building got under way.
Sir Arnold, who celebrates his 89th birthday next month, thanked staff in Aberdeen for handling the situation with the “utmost professionalism” and also paid tribute to customers for their “understanding and loyalty to the company.”
Looking to the current year, he said he expected the new car market to remain relatively static, with used cars experiencing similar growth to 2015. Early trading results for 2016 were “very promising.”
The accounts also revealed a salary package worth £3.5million for one of its bosses. The figure is thought to reflect the 2015 pay award to Sir Arnold.
“Sold 175,526 used vehicles, an increase of 10.8%”