Diversification after many decades focused on Ford car and van sales is paying off for Gates Group, which has reported 13% revenue growth in its latest company accounts.
It reports that its 2025 turnover reached £220 million, up from £195m the previous year, while its pre-tax profit of £2,515,985 was in line with the previous year’s result of £2,554,596.
The AM100 group has operated Gates Ford dealerships for more than a century, but its directors described 2025 as “a year of momentous change for the group” as it signed up with BYD, Omoda, Jaecoo.
“In response to concerns over Ford’s strategic direction, declining market share and diminishing long-term vehicle parc, alongside recent operational challenges arising from vehicle recalls and parts supply issues, the directors took action to mitigate the risks associated with reliance on a single manufacturer, while seeking to drive sales volumes and margins to offset the group’s increased cost base,” states its report at Companies House.
Gates Group also acquired a Peugeot dealership at Braintree, now rebranded as Gates Peugeot, to which it has added the Leapmotor franchise, and it has also started a partnership with Geely.
In the report the directors proudly stated the financial results exceeded internal expectations and outperformed many peers, despite many headwinds including rising employment costs and investment in EV training and infrastructure. Gross profit margins were maintained at 13%, resulting in an 8% increase in gross profit to £26.6m.
“The group remains financially resilient, with continued growth in net asset value following strong performance in recent years and is well positioned to capitalise on future profit opportunities as they arise,” it added.
“We value the continued commitment, professionalism and strong work ethic demonstrated by our colleagues in securing another positive year, despite ongoing cost-of-living pressures and broader economic instability.
“Whilst a general pay increase for 2025 was deferred due to significant government-driven rises in employment costs, the directors have since implemented a salary increase for all staff in 2026 in recognition of their loyalty and contribution.”
Despite its multi-brand strategy, the group said it continues to maintain a solid and positive relationship with Ford, and the announcement from the Blue Oval of five new model ranges in the next few years provides a positive outlook for future performance.
Looking ahead, Gates expects to build on the strong performance of 2025, supported by full year trading with the new brands.