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This will give us a total of 15 dealer points/
service centres from the Melbourne CBD
through the south-east corridor and the
Mornington Peninsula.
The Group also acquired Daimler Trucks in
WA and relocated our WA Fuso franchise
to the Daimler Trucks site alongside
Mercedes Benz and Freightliner.
The management team at AHG continues
to focus on driving higher levels of
productivity, efficiency and return on
capital, and consistent with that objective
we have recently announced the sale of
certain dealerships in Queensland that
were failing to meet the required key
performance indicators.
Logistics
The 2012 financial year saw substantial
growth in logistics – most notably the
acquisition and integration of both the
Harris Refrigerated Transport business
and of Covs.
This saw Revenue in the Logistics division
increase by 72.8% to $712.1 million with
EBITDA increasing 59.7% to $46.3 million.
More recently we announced the
acquisition of the Toll Refrigerated
business, which will be integrated into
Rand, giving the Group an increased
presence in refrigerated transport and
storage in the eastern states of Australia.
The acquisition of the Toll assets has
been immediately accretive in terms of
earnings per share for the Group. This
acquisition represents an example of the
Group strategy, with the complementary
nature of the business model allowing
us to quickly unlock cost synergies
and generate growth. Moreover, the
acquisition will result in greater utilisation
of Rand’s existing facilities and equipment
across our network.
AMCAP experienced a record year. Major
achievements included the migration
of the Covs Oracle IT system to the
AMCAP platform, the seamless transfer
of Holden and Ford genuine parts from
Covs to the AMCAP Distribution Centre,
and the rebranding of Covs 27 store
branch network, which presents exciting
opportunities to grow our retail parts
business in both cars and trucks.
The AMCAP and Covs businesses have
realised shared synergies and significant
cost savings for both businesses and
anticipate further benefits in FY13.
KTM Sportmotorcycles achieved record
revenue and profit backed by a new
model range and a strong Australian
dollar. KTM dealers were supported by
innovative marketing campaigns across
mainstream and social media as KTM’s
new models recorded major successes in
motocross and enduro competitions both
nationally and internationally.
The Logistics division is well placed
to drive the benefits of the Group’s
economies of scale and synergies, which
is anticipated to lead to further growth in
both revenue and profit for shareholders.
On-line marketing
No business can stand still and AHG is
conscious of the need to stay ahead
of changing consumer buying habits.
A major focus of the past year has
been on expanding our capacity to
engage with prospective customers
in the online environment in a manner
that complements our national dealer
network. During the year we developed
a new online strategy including revamped
websites and embracing a greater use
of social media, mobile technology
and the promotion of our online
brand, ahg.com.au, with the tag line
“more cars, more choice.”
People
The Group has focused strongly on
training and development of career
pathways for its people. We have a range
of programs designed to build leadership,
professionalise core functions, and
present career pathways that will attract
high-performance candidates from both
within and outside the Group.
It is critical to build and enhance
customer and supplier relationships. The
Group’s development programs have
included a specific focus on a dedicated
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