Morgan Motor Company has announced it increased its profits in 2018 by almost 100 percent, making it the third year in a row that the sports car manufacturer has turned a profit.
Morgans numbers are looking good at the end of 2018, with a year-end pre-tax profit of £3.4million. The year before, it was £1.73million, thereby making 2018’s numbers a 95 percent increase.
What got Morgan to such a good place in 2018? The big numbers are associated with a combination of strong prices for the run-out Aero GT and Plus 8 50th Anniversary models, in conjunction with a streamlining of production at the factory. Increases in profit margins come from strong prices coupled with lower production costs – a win-win formula.
With this in mind, consider the fact that Morgan production was actually down by the end of last year, given that production was winding up on all the V8-engined models.
While the passing of the naturally-aspirated V8 is a sad end to a glorious era for Morgan, the only way is up. The last three years have seen Morgan invest as much as £6.3million in research in development. A new bonded aluminium platform should underpin a range of new sports cars, including the ‘Wide Body’ that the company has teased recently.
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“Morgan Motor Company’s continuing success can be attributed to three essential ingredients: our skilled workforce, our strategic vision and our heritage,” said Morgan managing director Steve Morris. “Our results in 2018 have been extremely impressive and give us the solid foundation to move forwards into an important year for the business.”
“We have waved a fond farewell to our iconic V8 models and are looking forward to entering the most exciting chapter yet, as we celebrate our 110th anniversary, with a new ‘Wide Body’ sports car due this year.”