Colonial Motor Company has seen a huge growth in profits in the year to June 2013 – up 17% over the same period in 2012.
Trading profit after tax for the listed firm, which retails cars, trucks, tractors and equipment, as well as distributing trucks, was $13.867m – a record result. Profit for the period is $14.8 million compared to $15.595 million last year, which included $4.489m of insurance recovery proceeds.
In the board’s report with the preliminary figures, chairman Jim Gibbons puts the success down to a “strong growing market.”
“The total market for new heavy trucks, light commercials and passenger SUVs grew, while the market for new passenger cars was neutral,” the report notes. “With products such as the DAF heavy trucks, Ford Ranger light commercial, and Mazda CX5 passenger SUV, the company had desirable products, in growing segments, on top of the growing market.”
Truck sales and servicing added to the bottom line.
“Strong sales of both DAF and Kenworth have quickly filled the new workshop at Hobill Ave,” Gibbons says. “Having all of its operation on one site while at the same time expanding its sales has driven an exceptional result from Southpac Trucks.
“Forward orders remain strong.”
The overall value of the company’s property portfolio has increased, while to sold property in Porirua.
The directors have agreed to issuing a final dividend of 21 cents per share to shareholders. The Annual General Meeting will be held in Wellington on November 1.
