Sales of new vehicles likely to be hit by economic fallout from coronavirus crisis, Ross dealer believes
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Sales of new vehicles are being hit by the continued economic uncertainty surrounding the fall-out from the Covid-19 pandemic, according to a Ross-shire car dealership.
Mackays of Dingwall made the comments in it latest accounts which show reduced turnover and pre-tax profit for the year ended December 31, 2019.
The firm operates Vauxhall franchise dealerships covering Inverness, Ross-shire, Sutherland and Caithness.
A strategic report accompanying the firm’s latest accounts stated: “The sales of new vehicles within the group continue to be adversely affected by the level of uncertainty within the general economy and the effect this has had on the local economy.”
Turnover dipped from £18,486,854 in 2018 to £18,094,156 in 2019. For the same period, pre-tax profit fell from £40,366 to £19,730.
The report added: “The directors continue to assess the changing market, including the advancement of hybrid and electric vehicle technology, to ensure that it is well placed to cope with changing customer demand.
“The directors will continue to promote the Vauxhall brand and provide an excellent range of choice for customers.”
The average number of employees at the company increased from 59 in 2018 to 60 in 2019, while staff costs went up from £1,558,418 to £1,640,102.