Motor dealer Lookers said today new car sales had fallen by around a fifth in the past three months.
The Manchester-based company – which traces its history back 100 years – also said the outlook for the industry was challenging.
New car sales at Lookers' 100-plus dealerships slackened in line with the 19% decline reported by the Society of Motor Manufacturers & Traders, with a 21% slump in September.
"Trading conditions are currently very difficult, and the outlook for the industry for the remainder of the year remains challenging," chief executive Ken Surgenor said in a statement.
However, the group said the aftersales market – which covers parts distribution and service - had traded strongly throughout the third quarter.
It said it was looking at a raft of cost-cutting measures, including exiting underperforming businesses.
Lookers said it was generating cash and that its net debt position at the end of September was in line with its expectations.
Lookers shares slipped 4.4% to 21.5p.
