Hot off the press – McLaren Automotive records second consecutive year of profitability just four years after opening its first retailer
For the brand, 2014 sales increased 18 percent over 2013, another year of growth
Already a sustainable business investing in its future and people. The USP for the brand clearly is an expanding range of luxury sports cars designed, engineered and made in the UK…and intending to stay that way.
The incredible story of McLaren Automotive continues with the announcement of a second consecutive year of profitability four years since the company opened its first retailer. The achievement is considered unprecidented in today’s motor industry. The company has also recorded its fourth year of sales growth and is predicting more following the launch this year of a quartet of new models – two of which are already sold out – and the establishment of a three tier product structure reinforcing its future as a British based manufacturer of luxury sports cars, and only luxury sports cars.
Led by Chief Executive Officer Mike Flewitt, in 2014, the company generated an operating profit of £20.8m (2013: £12.4m, + 68 percent) and a profit before tax of £15.0m (2013: £4.5m +233 percent). These profits were generated from turnover that grew from £285.4m in 2013 to £475.5m in 2014.
Following the introduction of my favourite McLaren, the 650S in Coupé and Spider form at the 2014 Geneva Motor Show where the two models were launched simultaneously, strong demand for the core McLaren model range saw sales reach 1,401 units. In addition, 248 examples of the McLaren P1™ (2013: 36) were delivered – around two thirds of car’s total 375 unit production run.
A second body-style will be introduced in 2016 followed by another in 2017, by which time the Sports Series is forecast to more than double the production output of McLaren Automotive to around 4,000 units per annum. This number, while deliberately small in industry terms, will allow McLaren to thrive and is in line with the wish of its clients that its products should forever remain a rare sight to protect not just the brand’s exclusivity but also the investment of owners.
The core McLaren range, the Super Series, continues to find new audiences. The track focused 675LT was launched in March at the International Geneva Motor Show. Limited to just 500 units globally, these all found buyers in just a couple of months.
The final and 375th example of the McLaren P1™ is due to be produced later this year. It sits alongside the track only McLaren P1™ GTR, production of which has just begun, in the third and most exclusive McLaren product tier, the Ultimate Series. To be produced in even more limited numbers, the McLaren P1™ GTR is a 1,000PS technological showcase for the brand and was displayed in production ready form earlier this year at the International Geneva Motor Show.
The North American market remained the largest market for McLaren accounting for more than 30 percent of overall sales, while sales in both Europe and the Middle East grew year-on-year by 10 percent and nine percent respectively.
As well as investing in new products, McLaren Automotive continues to care for another important asset: its people. The number of employees based across its global facilities increased by 25 percent against 2013 to a total of 1,283 employees. Of these, 33 percent are employed in engineering. This is an increase from 2013 reflecting a focus on creating a sustainable future for the brand through the constant development of new and exciting product. As production rises further, the number of people employed globally by the brand will grow even more.