Leading motorcycle insurance broker Carole Nash improved sales in a declining overall market during its 2012 financial year, but profit fell owing to kick-start funding for business expansion.
Carole Nash’s revenue increased by 4.8 per cent to £26.2m, against an estimated drop of the total number of bikes insured for use on UK roads from 1.3 million to 1.2 million. But pre-tax profit declined by 13.6 per cent to £5.1m and net profit was down by 9.3 per cent to £3.9m.
The company attributed this decrease to its investment of almost £1m in setting up a new Cherished Car division.
Commenting on the results, chief executive David Newman said: “That Carole Nash secured significant sales growth against that backdrop, and within an ever-more competitive market, speaks volumes about the brand’s strength, our proposition and the effectiveness of our strategic and tactical marketing activity.”
In relation to the newly-established Cherished Car unit, he added: “We’re happy to commit such significant resources because we are confident we can secure strong and profitable growth within the classic and performance car markets.”
Sales up, profit down at Carole Nash
