Morgans may seem expensive, they are hand built and in reality, they are massive loss leaders for the factory
A quick AI generation of the breakdown of costs/revenue in building a Morgan
The company generated £48.9 million in gross revenue during its latest primary reporting year.Annual Production Volume: Morgan operates as an official "micro-manufacturer," building roughly 630 to 650 vehicles per year.
The Raw Average: Dividing £48.9 million by 640 vehicles yields a macro-average transaction value of £76,406 per car produced
The average total operating cost at the Morgan factory is approximately £111,000 to £118,000 per car produced
Of which the estimated payroll budget cost alone per car produced at Morgan is between £12,000 and £14,300.very high because of the low volume hand produced labour intensive nature of a Morgan
When looking at the UK average retail price paid for say a Morgan Plus Four, Vat alone would be about £!4000 of it
WIth a 6% to 8% of the net retail price,dealer gross profit would translate to roughly £3,800 to £5,000 of the retail sales price.
So about £18 to 20k of the Retail sales price of a Plus Four, Morgan doesn't retain or benefit from
I'm surprised Morgan is still here making cars and there's only one way prices must go and thats upward in order to survive, although a major increases in production levels may ease the losses, all my recent factory vists through my eyes demonstrate to me a lack of production space and capacity to grow that much bigger. So unless they build smarter eg subcontact some part of the build to outsiders, capacity to grow seems limited as most likely does the total world wide demand for Morgan. They could perhaps also release other areas of the factory eg stores for production, eg relocate in off site then operate a JIT parts delivery to the factory floor, but thats getting quite sophisticated for Morgan.
Hence the need for one-off high value limited production of the likes of the MIdsummer and now the Coupe that wont stretch manufacturing capacity, but significantly raise the average unit revenues and in fact maybe the way forward for Morgan ie high value, low volume exclusive limited runs.
Last edited by JohnHarris; 24/07/26 08:58 AM.
