23 April, 2008 – Stockport Tyre Company has big plans for expansion
National Tyre and Autocare, a car repair chain with headquarters in Stockport, has planned for national expansion after exceeding their £100million turnover target.
The privately-owned company, which operates 205 garages from its Stockport headquarters, will invest more than £12m over the next five years to open more than 100 more sites.
It is aiming to close the gap on rivals Qwik-fit and ATS, the largest players in the replacement tyre and exhaust market.
More than 100 people work at the company’s head office at the Acorn Business Park.
A further 200 people work within its 40-plus garages in its north west heartland.
Executive chairman Alan Revie (pictured), one of three shareholders in the business, said the company was looking to grow all over the country, but with a particular focus on the West Midlands, London and the Home Counties.
In the north west it is looking for sites in Oldham, Warrington and Knutsford and also in Merseyside and Liverpool.
Mr Revie said today: "We want to open 115 new sites in the coming years. We already serve more than one million customers a year and want to grow our successful business further.
"We have advertised for sites fairly extensively, and we have opened three already, signed terms for seven and are in negotiations for another nine. We don’t think that’s at all bad, considering we’re only in the first quarter of the year."
National’s expansion plans will create around 500 jobs. Its current workforce is 1,400.
The company, part of the Glasgow-based Axle Group, also revealed strong trading figures for 2007 today.
Turnover jumped 16 per cent from £87.7m to £101.6m. In the same period, operating profits more than doubled from £1.45m to £3.3m.
Mr Revie, who revealed the expansion plans would be funded from within the group’s own resources, said: "2007 marked another year of significant progress for the company, and this creates a wonderful platform to launch our ambitious growth plans.
"Taking into account our current performance and our expansion plans, we believe that a further 50 per cent growth in sales is achievable over the next five years and we are determined to realise that ambition."
Mr Revie said National was not seeing any signs of a consumer downturn, because replacement car tyres and exhausts were a ‘necessary spend’, but there was some evidence of customers switching from premium tyre brands such as Continental and Dunlop to cheaper brands.
"We have products for every budget," he added.
Source: Manchester Evening News