IAN H Cameron, the Perth-based company behind the UK’s longest-running Volvo dealership, has hiked profits beyond £400,000, driven by a 10 per cent increase in turnover.

The business, which trades as Strathmore, lifted pre-tax profits to £406,225 in the year ended May 31, new accounts at Companies House show. Strathmore, whose relationship with Volvo stretches back to early1958, had booked a pre-tax profit of £367,222 in the prior year.

“The directors are pleased to report another successful trading year with a 10.3 per cent overall increase in turnover and an improved profit before tax compared with the previous year,” said chairman Ian Douglas Cameron in his strategic review of the business.

Profits rose at Ian H Cameron came as turnover at the family-owned firm jumped to £17.6m from £15.9m the year before. The balance sheet was described as “strong” with net current assets of £2.9m at May 31, in line with the prior year.

The accounts show that shareholders received interim dividends of £347,800 during the year, compared with £130,000 last time. Ian H Cameron is ultimately owned by Cameron (Group) Perth, whose shareholders are listed in its annual return at Companies House as Cameron family members as well as the Cameron Family 1998 Trust.

Mulling the outlook for the business in the accounts, Mr Cameron adds in his review: “The business environment is expected to remain competitive and challenging in the future.

“However, the directors are satisfied that the company is in a strong position to meet future developments in the retail motor sector.”

Mr Cameron added: “The company has continued to meet staff development and training targets in line with Volvo requirements.”

Directors’ pay for the year increased to £84,342 from £79,600, the accounts show, while total staff costs rose to £919,500 from £880,553 as average employ numbers grew by two to 38.