Renault Retail Group sees losses increase to £1.7m

By automotive-mag.com 2 Min Read

Renault Retail Group, the factory owned dealer business, turned in pre-tax losses of £1.7m in 2023 compared to losses of £611,000 the prior year.

Turnover increased 11.6% to £435.3m compared to £390.2m last time.

The group, which reports into the Renault Retail Group head office in Paris, saw its new car sales rise 18% to 14,242 units for the year.

Used car volumes fell by 13% with 7,654 retail units sold and overall vehicle margins on used vehicles fell by 10%, impacted by the decline in used car values in Q4.

The dealer group took a £360,000 hit in stock deprecation during the year.

The group said its aftersales business had performed well with a 3% cut in turnover due to the declining 1–4-year-old car parc but gross margin increased by 3%.

Fixed expenses increased by 7% and interest costs by 300% due to increases in the Bank of England base rate which rose from 3.5% to 5.25%.

Renault Retail Group is aiming to return to an average net profit on sales of 1% by 2025.

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