£32m automobile salesman revs up by means of his Stoneacre Motor Group

A motor mechanic who rose to turn out to be one of many richest automobile salesmen within the UK made one other £32 million final yr by means of his Stoneacre Motor Group.

Richard Teatum, 66, arrange the agency in 1994 and constructed it into one of many UK’s greatest motor sellers.

He is the only real proprietor of the corporate, which posted income of £32 million within the yr to April 30, in accordance with filings on Companies House. 

This is considerably lower than the £43 million it made the earlier yr when the agency benefited from an uncommon situation, when an increase in second-hand automobile costs meant the worth of the automobiles on its books elevated reasonably than fell as is often the case.

At that point there have been semiconductor shortages and excessive demand for used automobiles following the pandemic.

Growth: Richard Teatum arrange Stoneacre Motor Group in 1994 and constructed it into one of many UK’s greatest motor sellers

Teatum mentioned buying and selling was roughly the identical in each years. Turnover final yr rose from £1.31 billion to £1.36 billion.

The drop in revenue in 2023 was partly attributable to increased prices. Profits are anticipated to fall to £24 million within the yr ending in April 2024, Teatum informed The Mail on Sunday. Stoneacre, primarily based in South Yorkshire, has 63 websites in England and Wales. It bought greater than 24,500 new automobiles and 31,500 used automobiles final yr.

An more and more necessary a part of the enterprise is its restore and servicing arm. Turnover at its accident restore centres elevated by 34 per cent and web revenue was up by 40 per cent.

Teatum took a wage of about £1.2 million final yr and he reinvests income again into the corporate.

The publicity-shy multi-millionaire made headlines in 2022 when he purchased a stake in vogue retailer Joules shortly earlier than it collapsed.

‘I observe plenty of firms and I assumed it was a chance,’ he mentioned. ‘It was just a little little bit of a big gamble. ‘I assumed it could do properly, nevertheless it did not.’

Teatum was beforehand a big shareholder in used automobile vendor Vertu Motors, which is listed on the inventory market.

Geoffrey Warren, the proprietor of Cargiant, which claims to be the world’s largest dealership, is called Britain’s wealthiest automobile salesman with a fortune of £2.6 billion, in accordance with the Sunday Times Rich List.

Stoneacre’s figures come as business chiefs warned that the automobile market has shrunk completely as a result of a combination of residence working, the shift to web zero and the diminished availability of lower-priced fashions.

The Society of Motor Manufacturers and Traders final week mentioned that demand was nonetheless decrease than earlier than Covid, and financial and social modifications meant households have been much less more likely to need to personal a number of automobiles.

SMMT boss Mike Hawes mentioned he by no means anticipated gross sales to return to pre-pandemic ranges.