Car Giant drives into the red but sees more models leave the showrooms
CAR GIANT, the west London-based vehicle warehouse, plunged into loss-making territory last year, it emerged yesterday.
The company was down £57,000 compared to profit in 2007 of £2.4m, despite increasing the number of used cars it sold by three per cent.
It shifted nearly 50,000 hatchbacks and saloons over 12 months against a backdrop of collapsing consumer spending.
In August 2008 the Society of Motor Manufacturers and Traders said car sales were at their lowest level since 1966.
Revenues at Car Giant slid slightly to £326.5m. Operating profits shrank more dramatically, however, as the company paid down its debts.
Car Giant was set up in 1977 and claims to be the UK’s original car supermarket. It operates from a site in White City equivalent to the size of 11 Wembley Stadiums, with 2,000 used cars on display at a time and a further 3,000 in stock.
Last year the company was listed as the 59th largest private company in the UK in terms of sales.
As well as shifting vehicles it partners with high street brands Black Horse and Santander to sell extras like insurance.
In accounts filed at Companies House, finance director Michael Holahan said: “Despite intense competition in the marketplace, we believe that our ongoing investment in our cars, staff and technology will continue to provide reliable motor vehicles at competitive prices.”