Sales within the Motorpoint car supermarket group grew more than 80 per cent last year to £1.32 billion – and the business has medium-term plans to get that to £2 billion.
The “nearly new” car retailer, which has 17 stores across the UK, said the rising price of cars plus a bigger share of the market helped fuel growth.
It sold almost 98,000 cars last year, up from 67,500 a year earlier, with almost half of all sales now done online.
The average time a used car takes to sell dropped from 67 to 54 days, and gross profit per car was up to £1,446.
However the Derby-based business warned it was likely that rising inflation and worldwide vehicle supply chain challenges would cause a drop in sales over the coming months.
In results for the year to March 31 it said: “The precise extent to which these factors will impact consumer behaviour and our markets is increasingly difficult to predict.”
Motorpoint said pre-tax profits were up 121 per cent last year to £21.5 million, even after fresh investment in technology, people and marketing.
The business said it had grown its share of the second hand car market – for vehicles less than four years old – from 2.4 per cent to 3.1 per cent over the year.
It had also built its share of the market within a half hour drive of each branch to 7.7 per cent.
It plans to grow sales to £2 billion through: growing online revenues to more than £1 billion; opening 12 new sales and collection branches; building its Auction4Cars.com platform; investing more in online operations.
Chief executive Mark Carpenter said: "Motorpoint is a unique business with world class capabilities and knowledge in the used car ecosystem.
“We have always successfully adapted our business to meet every challenge and remain profitable since our inception 24 years ago.
“I am extremely pleased with the progress we have made on our medium term strategic objectives and am convinced Motorpoint will be a winner in these rapidly evolving markets.
“We are building a market leader with a disciplined operating culture, and we are confident in the plan we laid out a year ago.
“Despite the ongoing uncertainty, we will continue to invest in our business with the consumer front of mind, in order to realise our long term ambition of increased market share through price leadership, while remaining profitable.
“Our team continue to inspire me with their passion for our business and our customers and I'd like to thank them for building such an impressive business.
“We have achieved significant growth and market share gains in the year; our price leadership, strong customer service and focus on maintaining a highly engaged team will continue to substantially grow the business in the years ahead."
The business opened three new branches last year in Manchester, Maidstone and Portsmouth, with further locations secured for new branches.
