TVR in the US

[SEL4.5]

Financial Times on Saturday had an article about TVR talking to the Penske Corporation about developing a partnership to sell TVR's in the US. Also had some details about TVR's recent financial performance.

See http://news.ft.com/news/industries/autos

[tvradict]

quote:In 2000, the last year for which accounts are available, the company made a pre-tax loss of £734,117 (£82,000 profit) on sales of £33m (£36.9m). The accounts of TVR Engineering, its parent company, show a net cash outflow of £1.74m from operating activities. The group ended 2000 with just £3,154 "cash at bank and in hand" and an overdraft of £1.45m.

My Student loan was bigger than the money TVR Engineering had in the bank at the end of 2000! Bloody Hell! That is worrying!!!!

[pbrettle]

Yeah but remember that most cars are built to order and the order book is looking nice and health at the moment. I doubt that this is more than a tax / investment thing.

Many companies operate the occassional loss to ensure that they dont get too hammered on corporation tax and seeing as TVR just launched a few models, they take time to turn a profit - especially as TVR take bleedin' ages to deliver them to customers!!!

The year before that they made a nice profit - wait for 2001 figures - expect to see a larger loss. I mean, the new Merc E class is out shortly and that cost a cool $1.5BN to develop. TVR launch new models for a tiny fraction of that...

Cheers,

Paul

[bjwoods]

Remember Peter Wheeler as owner, does take a large income, which can obviously vary for tax efficiency purposes. If it is your company and sole (?) share holder you never want to make huge profits (in the eyes of inland revenue)

[jpf]

Hey, why does Autocar say that TVR made 1200 cars in 2001 and FT says less than 1,000?

Which one is closer to the truth?

[kip]

TVR's financial performance will improve greatly with Penske handling distrbution in the USA!