Changan UK swings to profit, funds global expansion

The takeaways

Changan UK swung to a £1.7m operating profit as turnover rose 23% to £10.2m
The core operation recorded a trading loss, supported by £2.1m of other operating income
The UK arm was used to establish joint ventures in Mexico, Germany, and the Netherlands

Changan Uk R & D Centre Limited [1]

07295448 · Parent-only

Operating from changanuk.com, the company serves as the British research and development arm of Chinese automotive manufacturer Changan Automobile, focusing on advanced powertrain design, electrified technologies, and localised vehicle development for the European market.

International base

Line	FY24	FY23	YoY
Profit & loss
Turnover	£10.2m	£8.3m	▲ +23%
Gross profit	£3.2m	£2.5m	▲ +28%
Admin expenses	£3.6m	£3.9m	▼ −8%
Operating profit	£1.7m	−£816k	▲ +307%
Profit before tax	£1.7m	−£815k	▲ +308%
Net profit	£936k	−£883k	▲ +206%
Cash & balance sheet
Cash	£3.3m	£4.1m	▼ −18%
Net assets	£27.9m	£27m	▲ +3%
People & pay
Avg. headcount	61	61	▲ −0%
Staff cost	£5.6m	£5m	▲ +13%
Director pay	£0	£0

The British research arm of the Chinese automaker swung to a £1.7m operating profit, alongside a 23% bump in turnover and a slight trimming of administrative expenses. Beneath the headline figure, however, the core operation recorded an underlying trading loss, supported by £2.1m of other operating income to bridge the gap. A notable detail lies in the strategic report: the filing notes the UK entity spent the year serving as an international base, establishing new subsidiaries and joint ventures in Mexico, Germany, and the Netherlands. Meanwhile, the total staff cost rose 12% to £5.6m while headcount held flat at 61, pushing the staff cost per employee north of £91k.

Nothing quite like a powertrain lab doubling as an international holding company.

Sources

Changan Uk R & D Centre Limited (07295448)