Poltics
Thursday 15 February 2024 2:00 pm
Kwik Fit shed extra than 200 jobs as its profits nearly halved after being hit by higher product and energy costs for the duration of its most up-to-date monetary year.
The firm’s headcount reduced from 4,881 to 4,665 in the 12 months to March 31, 2023, whereas its pre-tax profits declined from £22.7m to £13.5m over the same duration.
The falls had been despite the company’s turnover rising from £507.8m to £564.2m, in accordance to newly-filed documents with Corporations House.
Kwik Fit operates vehicle repair centres and provides tyres, spend, brakes, MOT texting and vehicle servicing.
It runs extra than 600 centres and 200 cell becoming vehicles across the UK and is headquartered in Letchworth Garden Metropolis.
A observation signed off by the board stated: “Following the prior year’s transitional post-Covid performance, the firm’s shopping and selling performance continued to augment.
“Nonetheless unpleasant margin fell by 20.84 per cent, in comparison with 21.46 per cent in the prior year, reflecting higher product and energy costs.
“The administrators consider that this reflects a terrific performance, reflecting the resilience of the firm’s market position.”
Kwik Fit added that shopping and selling for the duration of the key half of of its most up-to-date monetary year was “ample”.
It stated that whereas “concerns dwell round input imprint inflation, there are indicators that this might likely additionally gradual in the the rest of the year.”
The firm was established by Sir Tom Farmer who opened the key Kwik Fit location in Edinburgh in 1971.
Kwik Fit has been owned by the ITOCHU Corporation since 2011 but has previously been in the hands of a quantity of corporations such as the Ford Motor Firm and CVC Capital Partners.
