WELCOME

SIMIQ4 Motor Industry ReviewIn association with DoneDeal

1st February 2016

Q4 2015ReviewLaunch

Brendan Howlin, T.D., Minister for Public Expenditure and Reform

WelcomeAddress

Mark Boggan President SIMI

January Sales

Mark Boggan President SIMI

Motor Industry Registrations 2016

• New Car Sales up 33%(39,812)

• LCVs up 34%,(6,589)

• HGVs up 138% (492)

• Car Hire up 38% (1,714)

Q4 2015Review

Explained

Jim Power Review Author & Economist

Ireland - GDP & GNP (S/A)

The Irish Economy in 2015• Compelling economic recovery – more broadly based• Consumer stronger, but price compression still relevant• Strong car sales +30%• Strong merchandise exports +21.2%• Labour market much better 8.8% Unemployment rate• Consumer confidence at 10-year high• Tax Revenues +10%• Construction activity improving• Q1-Q3 GDP +7%• Prospects for 2016 positive – but careful management

required as external risks are stark

Ireland-Unemployment Rate (%)

Ireland-Employment (S/A)

Consumer Confidence

The Ongoing Challenges for Ireland • Oil, € weakness, Interest Rates, US & UK growth all good for Ireland –

factors outside of our control• January difficult month for global economy - China a concern, UK & the EU• Regional balance• Satisfying demand for housing• Competitiveness – broadly defined - must be the constant focus• Preserving the FDI model• Credit model for the SME sector • Sovereign & Personal Debt• Political instability and poor policy – popular policies are rarely good

policies

• Economy is moving in right direction, but cautious management needed

Sterling v Euro

Brent Crude

The Motor Industry in 2015

• New car registrations 124,945 +29.8%• Q4 registrations +22.7% • LCVs +41.8%; HCVs +4.4%• Imported Cars -11%: down 25% from 2008

peak• Costs of motoring variable > Petrol, Diesel, Car

Prices down; Insurance Costs +30.7%• Strong revenue contribution

What is Driving Sales?

• Economic recovery• Recovery in labour market• End of fiscal adjustment process• Strong consumer confidence• Functioning credit model• Strong tourism performance• Catch-up still ongoing

The Cost of Motoring

Employment in Motor Trade: +5,100 Q3 2009

The Economic & Financial Contribution

TAX CATEGORY 2015 (€ mln) 2014 (€ mln) % CHANGE

VRT 679.05 572.31 +18.7%

VAT 511.03 392.43 +30.2%

TOTAL 1,190.08 964.74 +23.4%

Total Revenue generated by the Motorist €5.4 Billion for the Exchequer 2015

Light Commercial Vehicles

New & Imported Cars

DoneDeal Advertising – Strong Growth

Prospects for 2016

• Solid economic growth GDP +4.5%• Employment +3%• Personal Disposable Incomes +7%: boosted by

employment growth, higher earnings & Budget 2016 tax changes

• Consumer confidence set to improve further• Interest rates will remain low, credit will improve• 152,500 (+22%) in 2016• 175,375 in 2017 (+15%)

New Car Registrations

Thank You!

SIMIMember Survey Explained

Alan Nolan Director General SIMI

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

SIMI Members Survey Jan 2016

Thank You

• Quarter 4 Motor Industry Review available now at www.simi.ie/quarterlyreport

• January Registration available at www.beepbeep.ie/stats