Sytner Group’s pre-tax profits fell 10% to £51.6m in 2025 as turnover dropped 13.2% to £6.3bn, driven largely by lower used vehicle sales.
Used vehicle retail sales volumes fell 23.7% to 90,754, while new vehicle volumes declined 10.6% to 76,016.
In accounts filed at Companies House, the group said the decline in used vehicle retail sales was particularly pronounced and was the largest contributor to the reduction in turnover.
During the year, Sytner expanded its franchise portfolio with Chery and Geely, opening eight dealerships at existing locations.
In March 2025, its Mini businesses switched to an agency model for new car sales. Under this arrangement, the group receives a fee for facilitating sales rather than recording the full selling price of each vehicle as turnover.
The group was also affected by the JLR cyber incident, which halted production for several weeks and delayed deliveries to customers.
Sytner highlighted rising costs and said tax incentives supported demand for electric vehicles among company car drivers. Weaker private demand meant additional sales incentives were needed, putting pressure on profitability.
“The market in which the group operates continues to be challenging. Total UK new car volumes remain lower than pre-Covid levels with inflation rates, that continue to lie above the Bank of England’s target, causing cost of living pressures.
“The Zero Emission Vehicle (ZEV) mandate, now in its second year, requires that 28% of new cars are fully electric. Consumer demand for electric vehicles is highest from company car drivers due to tax incentives.
“Retail customer demand is less due to the higher cost of BEV cars versus ICE and therefore additional incentives need to be offered to the customer to secure a sale, thus reducing company profitability.”
The group also highlighted the impact of employment costs.
“Increases to the National Minimum Wage and employers’ National Insurance have, like all other employers, had a significant impact on the company’s cost base,” it said.
