How Did Perrys Group Perform in 2025? Revenue Up, Profit Rises and New Brands Added
Perrys Group posted a resilient 2025 with revenue at £788.5m, profit before tax £2.8m and added Chinese brands to its franchise portfolio.
2025 Financial Snapshot – Revenue and Profit Grow
Perrys Group has described its 2025 year‑end results as ‘resilient’, reporting a 2.6% increase in revenue to £788.5 million, up from £768.4 million in the prior year. Profit before tax also edged higher, reaching £2.8 million compared with £2.6 million in 2024. Gross profit rose modestly to £94 million from £93.3 million.
Operating Costs and Exceptional Items
Operating expenses grew slightly to £88 million from £87.2 million. The rise was principally driven by higher National Insurance and National Minimum Wage commitments, costing the group around £1.4 million. Additional stocking charges stemmed from larger new‑vehicle inventory levels. The business also recorded £500,000 of exceptional costs linked to site closures and restructuring activities.
Strategic Franchise Review – New Brands and Exits
During 2025 Perrys continued its strategic review of the franchise portfolio. The group welcomed several new marques, notably Chinese manufacturers BYD, Omoda, Jaecoo, Geely and the Kia PBV (Passenger Battery Vehicle) line, while deepening existing manufacturer partnerships.
At the same time, under‑performing franchises were exited, including SEAT, Cupra and one Mazda location. These moves form part of a broader plan to concentrate on higher‑margin brands and optimise site profitability.
Management Commentary
Managing Director Darren Ardron said the group delivered a resilient performance against a challenging market backdrop. He highlighted the renewed focus on cost discipline, working‑capital control, margin quality and staff engagement. Ardron added that aftersales remains a core strength, providing a stable foundation for future growth, and expressed confidence that Perrys is well‑positioned to navigate ongoing market volatility into 2026.
Cash Position, Margins and After‑Sales Strength
Cash reserves improved dramatically, rising from £0.3 million at year‑end 2024 to £7.5 million in 2025. The group attributed stronger gross margins to disciplined pricing and tighter cost control.
Aftersales profit increased by 3.6% to £14.3 million, driven by solid service and parts performance. This area continues to underpin profitability and offset pressures elsewhere in the business.
Used‑Car Market – Revenue Decline but Improved Margins
The used‑car segment remained highly competitive throughout the year. Revenue fell 1.3% to £284 million, reflecting lower volumes, yet the margin per unit improved, demonstrating the group's ability to extract greater profit from each sale despite a softer market.
Looking Ahead to 2026
In its outlook, Perrys indicated that further franchise adjustments are planned for 2026, reaffirming its commitment to a leaner, higher‑margin portfolio. The group remains focused on navigating uneven consumer demand, reduced manufacturer support and volatility in fleet and Motability channels.
Overall, Perrys Group’s 2025 results illustrate a capacity to sustain modest growth and profitability while reshaping its franchise mix to align with evolving market dynamics.