The newly-renamed Turners Group has delivered a half-year result – which the company linked in its earnings statement to the building of its new multi-channel sales model.
For the six months ended 30 June 2014, Turners reported revenues of $49.6 million, an increase of 19% on the previous first half year, and a Net Profit After Tax of $2.27 million, a 6% increase on HY13.
The Fleet and Finance divisions continue to show strong growth and were both up by more than 35% compared to the previous first half year. While revenue from Auction sales was down slightly – the company says it is still showing a recovering following the loss of the IAG insurance contract.
The increase in retail versus wholesale customers and the more personal retail sales channels were the primary drivers behind the 41% increase in revenues from the Finance division, with the loan book growing to $30.5 million as at 30 June 2014.
In his statement, chairman Michael Dossor says conditions were good for the public buying cars.
“Market conditions are moving in favour of customers purchasing used vehicles with a strong New Zealand dollar, heavy discounting on new cars and an influx of imports from Japan leading to a surge in supply,” Dossor says. “This is having a positive flow on effect for Turners and we expect good trading conditions for the second half of our financial year.”
He announced expansion for their Christchurch base.
“To meet the increasing demand from customers, we will be expanding our operations in Christchurch by establishing a separate site for damaged vehicle storage, trucks and machinery sales,” Dossor says.
