VERTU Motors - one of the region's largest companies - has revealed record revenues as a host of acquisitions helped drive growth at the motor trader.

For the year to the end of February Gateshead-based Vertu, which trades under names including Bristol Street Motors, reported revenue of £2.33bn, compared with £2.1bn the previous 12 months.

Pre-tax profits were also up from £20.9 million to £25.9 million.

During the year, the company continued to expand its network of dealerships by adding 16 new operations including Audi, Honda, Volkswagen, Mercedes-Benz, Jaguar and Land Rover. Since the year end a further £35m has been raised to fund more acquisitions for the ambitious firm.

Vertu firm saw revenue increase by 16.8 per cent to £2.4 billion and profits before tax up to £26m. Driving the growth was an 11 per cent increase in new car retail sales, an 8.4 per cent rise in Motability business, fleet sales up by 0.9 per cent, commercial vehicle sales up 32.3 per cent and used car sales rising by 13 per cent.

Chief executive Robert Forrester said: “We have delivered significant revenue growth, which together with tight control of costs, has resulted in record profitability.

“This profitability, combined with strong cash flow, gives the Board the confidence to significantly increase the dividend.

“We are particularly pleased with our aftersales performance.

“The last three years of strong new car sales, coupled with the Group’s success in selling service plans to used car customers, provides the Group with good visibility of this recurring high margin income stream.

“We have added further strength to the operational management team to support future growth and we continue to review a number of further acquisition opportunities.”

“Our acquisitions have been integrated quickly and efficiently and are performing encouragingly. March and April have been good months. We see a stabilisation of the new car market at these high levels. The Board looks to the future with confidence.”