Car production boom puts STVA UK results into overdrive

The recent rise in the new car market across Europe helped STVA UK achieve a near 10% rise in turnover and a 13% rise in pre-tax profit last year, the Bristol-based car transport specialist has reported.

Turnover in the year to the end of December reached £37.6m (2013: £34.3m); while pre-tax profit rose to £1.36m (2013: £1.2m), at the Motor TRansport Top 100 company.

The bimodal car transporter said in its annual financial report that the 9.3% rise in UK new car registrations during the year was a key factor in the rise, leading to increases in volumes from existing customers and new contract wins that together boosted total volume of vehicles moved by 11%.

Gross profit margin during the year was reduced by 1.2%, however, due to increased traction and wagon hire costs, it added.

The firm, which is ultimately owned by the French railway operator SNCF and is part of a group that moved 2 million vehicles via its 725-strong truck fleet and 850,000 more by rail during 2014, noted that it had “no substantial direct competitor” for its rail-based services.

However it added that it faced “considerable competition” in the road haulage side of the business.

None of STVA UK’s directors was available for comment.

According to the SMMT, the UK market for truck registrations has enjoyed an equally strong time of it in the first six months of this year.