Australian dealerships produced an average net profit of 1.8% – measured as a percentage of sales (NP%S) – in October, according to Deloitte Australia’s latest ‘dealer profitability’ guidance.
This result was below the calendar year-to-date (YTD) NP%S level of 1.9% and also 0.3% down on the result of last month which benefited from quarterly new car incentive payments.
On a State-by-State basis the results show that for New South Wales and Australian Capital Territory combined, the average NSW/ACT dealer NP%S was 1.8% in October which was 0.7% above the October 2013 result. This can be attributed to an improvement in gross margins across new and used vehicles and service. Continue reading “Aussie dealerships improve net profit” »