Peoples Motor Group has announced pre-tax profits of £1.6 million in 2011, making it the second most successful year since the company was established 28 years ago.

The 2.2% increase in sales over 2010 largely came from an improvement in the fleet and business-to-business sector, resulting in a £3.1 million growth in turnover to £144.3 million.

Peoples' chairman Brian Gilda said: "By any standard, this was an impressive result against the background of the deepening economic gloom. Higher unemployment, pay freezes, the crisis in the Eurozone and record petrol and diesel prices all contributed to what was a difficult and challenging year. Despite the uncertain economic conditions, the management and staff of Peoples were determined not only to ride out the storm, but deliver the best possible results. This we undoubtedly did."

Peoples invested heavily in its facilities and staff during 2011, with some of 2010's profits being used to rebuild its Speke dealership opposite the John Lennon Airport on Merseyside. It has also upgraded its IT, telecommunications and customer relationship management systems in order to offer 'unprecedented' levels of advice and support to customers.

Gilda expects 2012 to be 'a challenging year' but says that Peoples is 'well prepared for it'. He believes that an investment in class-leading aftersales technology will ensure the dealer group can continue to look after customers, and also believes that new vehicles coming on stream from Ford, notably the 1.0-litre EcoBoost petrol engine in the Focus and a zero-emission Transit Connect Electric model, will keep consumer interest high.

Peoples operates six Ford dealerships in Bootle, Prescot, Falkirk, Livingston and Edinburgh in Scotland and Speke in Liverpool, all offering news and used car and van sales as well as Motability sales.