Phoenix’s flame burns less brightly

Phoenix, the Paisley-based car dealership, has fallen into the red following a “challenging” year in which sales fell 4.3 per cent, but has expressed confidence that market conditions will improve over the coming years.

The firm, founded by managing director John McGuire in 1993, posted a pre-tax loss of £795,427 for the year to 31 January, compared with a profit of £61,457 the previous year, accounts filed with Companies House show.

Directors said the company’s results had been hit by a provision for the sale of its loss-making BMW franchise and a write-down in the value of its Falkirk business, adding: “This reflects the difficult trading conditions we continue to face.”

Staff numbers fell from 425 to 416 and sales dipped to £143.3 million but Phoenix said the new-car market should be “reasonable” this year, with used car sales recovering in 2013.