Motor group Johnson & Perrott sees return to pre-tax profits
Motor group Johnson & Perrott returned to pre-tax profits last year, ending two years of pre-tax losses.
In accounts just filed to the Companies Office, the Cork-based firm recorded a pre-tax profit of €2.88m in the 12 months to the end of December.
Losses were €884,023 in 2011.
Profits are up despite a drop in revenues, which decreased by 25pc from €83.7m to €62.3m after the firm sold its Avis rent- a-car franchise in March last year.
The accounts show that the firm recorded a profit of €750,000 on the sale of the franchise that contributed to the overall profit of the group.
However, the numbers employed by the group last year decreased from 231 to 142 with redundancy packages to former employees costing €476,944.
This redundancy payout was offset by a €293,000 pension settlement and curtailment gain.
The accounts disclose that two directors, James Thornton and James Robert Whittaker, resigned from the board last year and termination payments to directors last year totalled €226,659.
Remuneration to directors declined from €565,528 to €361,605.
The profit last year takes account of €7.1m in non-cash depreciation costs.
According to the directors' report, they state that they "are confident that the long-term growth the group had achieved up until the start of the current economic difficulties will recommence following the restructuring of its activities and the putting in place of a more robust business model".
The directors state that their primary focus for 2013 is to improve the profitability of the dealership business.
The report adds: "While the financial results from continuing operations for 2013 will be lower than in 2012, the directors are confident that the group now has the prospect of long- term sustainable profit and substantial growth prospects across its core business."