Major independent car retailer Regent Motors has had another boom year, with strong leap in turnover to $1.2 billion resulting in a hefty dividend to its owners.
Major independent car retailer Regent Motors has had another boom year, with strong leap in sales to $1.2 billion resulting in a hefty dividend to its owners.
Underscoring the strength of Western Australia’s economy, new car sales at Regent Motors drove the result, up more than 26 per cent to $644.9 million in the year ending June 30 2024 from $509.5 million the previous corresponding period.
According to Federal Chamber of Automotive Industries data, the entire WA market for the six months ending June 30 was up 9.2 per cent compared to the previous corresponding period, and was up 17.7 per cent for the year ending December 31 2023.
Owned by the Van Helvoort family and Tyson Sutton, who were both on the Business News inaugural Rich List launched earlier this year, the dealer group made a net profit of $35 million, up from $30.2 million, but paid out a much more significant dividend of almost $24.3 million compared to $2.3 million a year earlier.
Compensation to directors and other members of key management was also up substantially in the period, being $23.1 million compared to $16.4 million in the previous financial year.
The core of Regent Motors was established by Andre Van Helvoort in 1962 and has grown to become a major retailer including Scarboro Motors, Galleria Motors and a 70 per cent stake in Autoclassic alongside another industry veteran Bob Peters.
Mr Sutton became a major stakeholder in the business almost 20 years ago and is the key executive at the business. His fellow directors are Robert Van Helvoort, the son of the founder, and his daughter Phillipa, making it a third generation business at least in terms of majority ownership. David Lock is also a director and chairs the board.
The Van Helvoorts and Mr Sutton also jointly control a significant property portfolio that includes showrooms used by Regent brands.
The annual report shows Regent Motors paid $13.2 million in rent to a commonly-controlled entity, most likely the land owner Ukemi Investments, up from $7.7 million the previous year.
The scale of Regent Motors and its market strength in WA is understood to have attracted interest from other major players in the nation's automotive retailing sector, which has seen considerable consolidation over the past decade or more.
Regent Motors’ latest accounts show net assets had cracked $100 million, although the business is expected to be worth as much as four times that number, according to market speculation.
Its revenue reached the $1 billion milestone in 2023, pushing the company into the top 10 private business in WA, suqueezing out BGC Australia from that list for first time in decades.
