NEWS RELEASE | 950 Echo Lane, Suite 100 Houston, TX 77024 |
AT GROUP 1: | President and CEO | Earl J. Hesterberg | (713) 647-5700 | |||
| SVP, CFO and Treasurer | Robert T. Ray | (713) 647-5700 | ||||
| Manager, Investor Relations | Kim Paper Canning | (713) 647-5700 | ||||
AT Fleishman-Hillard: | Investors/Media | Russell A. Johnson | (713) 513-9515 |
FOR IMMEDIATE RELEASE
TUESDAY, NOV. 1, 2005
TUESDAY, NOV. 1, 2005
GROUP 1 AUTOMOTIVE REPORTS THIRD-QUARTER RESULTS
HOUSTON, Nov. 1, 2005 — Group 1 Automotive, Inc. (NYSE: GPI),a Fortune 500 specialty retailer, today reported third-quarter net income of $21.6 million, or $0.88 per diluted share, compared with a net loss of $9.6 million, or $0.42 per diluted share, in the third quarter of 2004.
Summary Results of Operations (Unaudited)
(In millions, except per share amounts)
(In millions, except per share amounts)
| Three Months Ended | Nine Months Ended | |||||||||||||||
| September 30, | September 30, | |||||||||||||||
| 2005 | 2004 | 2005 | 2004 | |||||||||||||
Revenues | $ | 1,570.2 | $ | 1,532.4 | $ | 4,544.2 | $ | 3,994.3 | ||||||||
Gross Profit | $ | 243.1 | $ | 229.9 | $ | 707.7 | $ | 611.8 | ||||||||
Income from Operations | $ | 47.3 | $ | 1.7 | $ | 127.3 | $ | 69.9 | ||||||||
Income before Cumulative Effect of a Change in Accounting Principle | $ | 21.6 | $ | (9.6 | ) | $ | 54.1 | $ | 16.6 | |||||||
Diluted Earnings per Share before Cumulative Effect of a Change in Accounting Principle | $ | 0.88 | $ | (0.42 | ) | $ | 2.24 | $ | 0.71 | |||||||
Third-Quarter Results
Total revenues for the third quarter increased 2.5 percent to $1.6 billion. Gross profit increased 5.8 percent from the prior-year period to $243.1 million, reflecting a 50 basis point increase in gross margin to 15.5 percent. Income from operations was $47.3 million in the third quarter, resulting in an operating margin of 3.0 percent.
Total revenues for the third quarter increased 2.5 percent to $1.6 billion. Gross profit increased 5.8 percent from the prior-year period to $243.1 million, reflecting a 50 basis point increase in gross margin to 15.5 percent. Income from operations was $47.3 million in the third quarter, resulting in an operating margin of 3.0 percent.
On a same store basis, excluding the six New Orleans-area dealerships affected by Hurricane Katrina, revenues grew 1.6 percent. This increase was highlighted by increases in each of the company’s four businesses. Same store gross profit, excluding New Orleans, increased 5.0 percent, reflecting increases of 11.9 percent in total used vehicles, 6.3 percent in parts and service, 2.5 percent in new vehicles, and 2.0 percent in finance and insurance. Same store gross margin, excluding New Orleans, increased by 50 basis points to 15.6 percent. Excluding New Orleans, same store selling, general and administrative (SG&A) expenses as a percentage of gross profit declined by 490 basis points, reflecting both the above-noted increase in gross profit, as well as a
Group 1 Automotive, Inc.
reduction in SG&A expenses from 12.0 percent of revenues to 11.6 percent of revenues. Same store operating margin, excluding New Orleans, was 3.4 percent.
As noted above, the company reported third-quarter net income of $0.88 per diluted share, compared with a net loss of $0.42 per diluted share in the third quarter of 2004. These results include certain asset impairments and hurricane-related losses and charges, as described below.
During the third quarter, the company recorded approximately $0.10 per diluted share in asset impairments associated with the pending disposition of certain of the company’s dealership assets in California. In the third quarter of 2004, the company recorded a $1.26 per diluted share charge related to the impairment of goodwill at its Atlanta platform.
The company estimates that the total financial impact of Hurricanes Katrina and Rita in the third quarter was $0.22 per diluted share. This amount includes insurance deductibles, clean up and repair costs, asset impairments, other direct operating losses and the estimated impact of lost sales as a result of the storms at each of the company’s New Orleans, Beaumont, Texas, and Houston-area dealerships.
As previously announced, four of Group 1’s six New Orleans-area dealerships have resumed operations after being closed for approximately two weeks following Hurricane Katrina. Two dealerships remain closed. As a result of the damage sustained at one of these closed dealerships, the company has terminated its facility lease and is exploring alternatives for returning the dealership to full operation. Group 1’s two Beaumont dealerships have resumed operations after temporary closures due to Hurricane Rita.
“Despite the challenges of two hurricanes during the quarter, our profitability improved across the board. I am especially pleased with our gross profit increases in our used vehicle and parts and service operations,” said Earl J. Hesterberg, Group 1’s president and chief executive officer. “Our results were also impacted by the employee-pricing programs offered by some automobile manufacturers. Although this helped to boost new vehicle sales and reduce inventories in July and August, we have experienced a significant reduction in domestic-brand sales and traffic since early September. It now appears unlikely that overall industry sales levels will soon return to those seen in the summer months, and we remain cautious about the fourth quarter.”
Year-to-Date Results
For the first nine months of 2005, total revenues grew 13.8 percent to $4.5 billion. New vehicle revenues grew 13.9 percent and total used vehicle revenues grew 11.9 percent, while parts and service and finance and insurance revenues grew 19.0 percent and 10.1 percent, respectively. On a same store basis, again excluding the company’s New Orleans-area dealerships, revenues were up 2.2 percent from 2004. Same store operating margin, excluding New Orleans, was 3.0 percent.
For the first nine months of 2005, total revenues grew 13.8 percent to $4.5 billion. New vehicle revenues grew 13.9 percent and total used vehicle revenues grew 11.9 percent, while parts and service and finance and insurance revenues grew 19.0 percent and 10.1 percent, respectively. On a same store basis, again excluding the company’s New Orleans-area dealerships, revenues were up 2.2 percent from 2004. Same store operating margin, excluding New Orleans, was 3.0 percent.
Income before the cumulative effect of a change in accounting principle for the nine-month period was $54.1 million, or $2.24 per diluted share, compared with $16.6 million, or $0.71 per diluted share, in 2004. The 2005 results include the above-noted asset impairments and hurricane-related financial impact other than the impact of lost sales, as well as a $0.04 per diluted share charge related to compensation and other costs associated with the company’s CEO transition. The 2004 results included a $1.25 per diluted share charge related to the impairment of goodwill at the company’s Atlanta platform and a $0.17 per diluted share charge related to the March 2004 redemption of the company’s 10 7/8 percent senior subordinated notes.
Acquisition / Disposition Update
In August, Group 1 acquired Chrysler and Jeep franchises in Beaumont, Texas, to augment its existing autoplex dealership in that market. These two franchises are expected to generate $9.4 million in estimated annual revenues. Including this acquisition, the company has acquired seven franchises with total estimated annual
In August, Group 1 acquired Chrysler and Jeep franchises in Beaumont, Texas, to augment its existing autoplex dealership in that market. These two franchises are expected to generate $9.4 million in estimated annual revenues. Including this acquisition, the company has acquired seven franchises with total estimated annual
Group 1 Automotive, Inc.
revenues of $118.1 million during 2005. The company noted that it does not anticipate closing any additional acquisitions for the remainder of the year.
On Oct. 17, the company disposed of its Lincoln-Mercury dealership in Edmond, Okla. The dealership had 2004 revenues of approximately $21.8 million.
Company Strategy
Group 1 also announced several strategic initiatives it will pursue over the next year. These initiatives include expansion of used vehicle and parts and service sales, implementation of a used vehicle inventory management software system, rationalization of dealership management system suppliers from three to two, and implementation of a standard chart of accounts. To execute these initiatives and drive greater operational synergies and process consistency, Group 1’s field management structure is being revised from its current structure of 13 platform leaders to five regional vice presidents, who will report directly to Hesterberg. This change will take effect Jan. 1, 2006.
Group 1 also announced several strategic initiatives it will pursue over the next year. These initiatives include expansion of used vehicle and parts and service sales, implementation of a used vehicle inventory management software system, rationalization of dealership management system suppliers from three to two, and implementation of a standard chart of accounts. To execute these initiatives and drive greater operational synergies and process consistency, Group 1’s field management structure is being revised from its current structure of 13 platform leaders to five regional vice presidents, who will report directly to Hesterberg. This change will take effect Jan. 1, 2006.
Additionally, Group 1 anticipates disposing of dealerships representing at least $120 million in annual revenues during the next 14 months and expects to return to an acquisition level of at least $300 million in estimated revenues per year beginning in 2006.
Finally, the company advised that it will target an annual earnings-per-share growth rate of at least 15 percent during the next three to five years.
Management’s Outlook
Group 1 reaffirmed its 2005 full-year earnings-per-share guidance of $2.75 to $2.80 provided by the company earlier this month. The guidance is based on weighted average diluted shares outstanding of 24.1 million. It excludes the impacts of any future acquisitions or dispositions and any cumulative effect of a change in accounting principle.
Group 1 reaffirmed its 2005 full-year earnings-per-share guidance of $2.75 to $2.80 provided by the company earlier this month. The guidance is based on weighted average diluted shares outstanding of 24.1 million. It excludes the impacts of any future acquisitions or dispositions and any cumulative effect of a change in accounting principle.
Third-Quarter Conference Call
Group 1 will hold a conference call to discuss its third-quarter results and company strategy today at 10 a.m. EST. The call will be simulcast live on the Internet at www.group1auto.com through the Investor Relations section. A replay will be available for 30 days.
Group 1 will hold a conference call to discuss its third-quarter results and company strategy today at 10 a.m. EST. The call will be simulcast live on the Internet at www.group1auto.com through the Investor Relations section. A replay will be available for 30 days.
A telephonic replay will be available following the call through Nov. 8, by dialing: 800-405-2236 (domestic) or 303-590-3000 (international), with passcode: 11041320#.
About Group 1 Automotive, Inc.
Group 1 owns 94 automotive dealerships comprised of 142 franchises, 32 brands and 30 collision service centers located in California, Colorado, Florida, Georgia, Louisiana, Massachusetts, New Hampshire, New Jersey, New Mexico, New York, Oklahoma and Texas. Through its dealerships and Internet sites, the company sells new and used cars and light trucks; arranges related financing, vehicle service and insurance contracts; provides maintenance and repair services; and sells replacement parts.
Group 1 owns 94 automotive dealerships comprised of 142 franchises, 32 brands and 30 collision service centers located in California, Colorado, Florida, Georgia, Louisiana, Massachusetts, New Hampshire, New Jersey, New Mexico, New York, Oklahoma and Texas. Through its dealerships and Internet sites, the company sells new and used cars and light trucks; arranges related financing, vehicle service and insurance contracts; provides maintenance and repair services; and sells replacement parts.
Group 1 Automotive can be reached on the Internet at www.group1auto.com.
| This press release and the attached schedules contain financial measures that have not been calculated in accordance with U.S. generally accepted accounting principles, or GAAP. As required by SEC rules, the company has provided in the attachments to this press release reconciliations of these measures to the most directly comparable GAAP measures. |
Group 1 Automotive, Inc.
This press release contains “forward-looking statements,” which are statements related to future, not past events. In this context, the forward-looking statements often include statements regarding our goals, plans, projections and guidance regarding our financial position, results of operations, market position, pending and potential future acquisitions and business strategy, and often contain words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks” or “will.” Any such forward-looking statements are not assurances of future performance and involve risks and uncertainties that may cause results to differ materially from those set forth in the statements. These risks and uncertainties include, among other things, (a) general economic conditions, (b) the level of manufacturer incentives, (c) the future regulatory environment, (d) our ability to obtain an inventory of desirable new and used vehicles, (e) our relationship with our automobile manufacturers and the willingness of manufacturers to approve future acquisitions, (f) our cost of financing and the availability of credit for consumers, (g) our ability to complete acquisitions and the risks associated with acquisitions, and (h) our ability to retain key personnel. These factors, as well as additional factors that could affect our forward-looking statements, are described in our Form 10-K under the headings “Business—Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” We urge you to carefully consider this information. We undertake no duty to update our forward-looking statements, including our earnings outlook.
FINANCIAL TABLES TO FOLLOW
Group 1 Automotive, Inc.
Consolidated Statements of Operations
(Unaudited)
(Dollars in thousands, except per share amounts)
Consolidated Statements of Operations
(Unaudited)
(Dollars in thousands, except per share amounts)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||||
| 2005 | 2004 | % Change | 2005 | 2004 | % Change | ||||||||||||||||||||
REVENUES: | |||||||||||||||||||||||||
| New vehicle retail sales | $ | 977,492 | $ | 962,021 | 1.6 | % | $ | 2,791,812 | $ | 2,451,916 | 13.9 | % | |||||||||||||
| Used vehicle retail sales | 279,484 | 265,544 | 5.2 | 819,816 | 737,541 | 11.2 | |||||||||||||||||||
| Used vehicle wholesale sales | 98,439 | 101,551 | (3.1 | ) | 301,419 | 264,848 | 13.8 | ||||||||||||||||||
| Parts and service | 165,017 | 154,285 | 7.0 | 487,534 | 409,588 | 19.0 | |||||||||||||||||||
| Finance and insurance | 49,737 | 49,006 | 1.5 | 143,648 | 130,442 | 10.1 | |||||||||||||||||||
| Total revenues | 1,570,169 | 1,532,407 | 2.5 | % | 4,544,229 | 3,994,335 | 13.8 | % | |||||||||||||||||
COST OF SALES: | |||||||||||||||||||||||||
| New vehicle retail sales | 907,731 | 895,634 | 1.4 | % | 2,594,379 | 2,280,237 | 13.8 | % | |||||||||||||||||
| Used vehicle retail sales | 243,756 | 232,779 | 4.7 | 715,978 | 647,018 | 10.7 | |||||||||||||||||||
| Used vehicle wholesale sales | 100,248 | 104,132 | (3.7 | ) | 303,702 | 270,026 | 12.5 | ||||||||||||||||||
| Parts and service | 75,316 | 69,978 | 7.6 | 222,473 | 185,232 | 20.1 | |||||||||||||||||||
| Total cost of sales | 1,327,051 | 1,302,523 | 1.9 | % | 3,836,532 | 3,382,513 | 13.4 | % | |||||||||||||||||
| GROSS PROFIT | 243,118 | 229,884 | 5.8 | % | 707,697 | 611,822 | 15.7 | % | |||||||||||||||||
| SELLING, GENERAL AND ADMINISTRATIVE EXPENSES | 186,216 | 182,682 | 1.9 | % | 560,853 | 489,309 | 14.6 | % | |||||||||||||||||
| DEPRECIATION AND AMORTIZATION EXPENSE | 4,597 | 4,086 | 12.5 | % | 14,522 | 11,241 | 29.2 | % | |||||||||||||||||
| IMPAIRMENT OF GOODWILL AND LONG-LIVED ASSETS | 4,987 | 41,373 | (87.9) | % | 4,987 | 41,373 | (87.9) | % | |||||||||||||||||
| INCOME FROM OPERATIONS | 47,318 | 1,743 | 2,614.7 | % | 127,335 | 69,899 | 82.2 | % | |||||||||||||||||
| OTHER INCOME (EXPENSE): | |||||||||||||||||||||||||
| Floorplan interest expense | (9,259 | ) | (6,813 | ) | 35.9 | % | (27,998 | ) | (17,660 | ) | 58.5 | % | |||||||||||||
| Other interest expense, net | (4,344 | ) | (4,697 | ) | (7.5 | ) | (14,174 | ) | (13,627 | ) | 4.0 | ||||||||||||||
| Loss on redemption of senior subordinated notes | — | — | — | — | (6,381 | ) | (100.0 | ) | |||||||||||||||||
| Other income (expense), net | 87 | 1 | 8,600.0 | 95 | (63 | ) | (250.8 | ) | |||||||||||||||||
| INCOME (LOSS) BEFORE INCOME TAXES | 33,802 | (9,766 | ) | (446.1) | % | 85,258 | 32,168 | 165.0 | % | ||||||||||||||||
| PROVISION (BENEFIT) FOR INCOME TAXES | 12,176 | (151 | ) | (8,163.6) | % | 31,143 | 15,582 | 99.9 | % | ||||||||||||||||
| INCOME (LOSS) BEFORE CUMULATIVE EFFECT OF A CHANGE IN ACCOUNTING PRINCIPLE | 21,626 | (9,615 | ) | (324.9 | ) | 54,115 | 16,586 | 226.3 | |||||||||||||||||
| CUMULATIVE EFFECT OF A CHANGE IN ACCOUNTING PRINCIPLE, NET OF TAX BENEFIT OF $10,231 | — | — | — | (16,038 | ) | — | — | ||||||||||||||||||
NET INCOME (LOSS) | $ | 21,626 | $ | (9,615 | ) | (324.9) | % | $ | 38,077 | $ | 16,586 | 129.6 | % | ||||||||||||
DILUTED EARNINGS (LOSS) PER SHARE: | |||||||||||||||||||||||||
| Income (loss) before cumulative effect of a change in accounting principle | $ | 0.88 | $ | (0.42 | ) | (309.5) | % | $ | 2.24 | $ | 0.71 | 215.5 | % | ||||||||||||
| Cumulative effect of a change in accounting principle | — | — | — | (0.66 | ) | — | — | ||||||||||||||||||
| Net income (loss) | $ | 0.88 | $ | (0.42 | ) | (309.5) | % | $ | 1.58 | $ | 0.71 | 122.5 | % | ||||||||||||
| Weighted average diluted shares outstanding | 24,570,979 | 22,946,245 | 7.1 | % | 24,149,585 | 23,427,035 | 3.1 | % | |||||||||||||||||
Group 1 Automotive, Inc.
Consolidated Balance Sheets
(Unaudited)
(Dollars in thousands)
Consolidated Balance Sheets
(Unaudited)
(Dollars in thousands)
| September 30, | December 31, | |||||||||||
| 2005 | 2004 | % Change | ||||||||||
ASSETS: | ||||||||||||
| CURRENT ASSETS: | ||||||||||||
| Cash and cash equivalents | $ | 33,528 | $ | 37,750 | (11.2) | % | ||||||
| Contracts in transit and vehicle receivables, net | 137,000 | 172,402 | (20.5 | ) | ||||||||
| Accounts and notes receivable, net | 89,114 | 76,687 | 16.2 | |||||||||
| Inventories | 686,694 | 877,575 | (21.8 | ) | ||||||||
| Deferred income taxes | 17,691 | 14,755 | 19.9 | |||||||||
| Prepaid expenses and other current assets | 17,395 | 26,046 | (33.2 | ) | ||||||||
| Total current assets | 981,422 | 1,205,215 | (18.6 | ) | ||||||||
| PROPERTY AND EQUIPMENT, net | 176,033 | 160,297 | 9.8 | |||||||||
| GOODWILL | 373,530 | 366,673 | 1.9 | |||||||||
| INTANGIBLE FRANCHISE RIGHTS | 169,185 | 187,135 | (9.6 | ) | ||||||||
| OTHER ASSETS | 25,570 | 27,900 | (8.4 | ) | ||||||||
| Total assets | $ | 1,725,740 | $ | 1,947,220 | (11.4) | % | ||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY: | ||||||||||||
| CURRENT LIABILITIES: | ||||||||||||
| Floorplan notes payable | $ | 634,830 | $ | 848,260 | (25.2) | % | ||||||
| Acquisition line of credit | 25,000 | — | N/A | |||||||||
| Current maturities of long-term debt | 948 | 1,054 | (10.1 | ) | ||||||||
| Accounts payable | 99,561 | 108,920 | (8.6 | ) | ||||||||
| Accrued expenses | 99,469 | 91,528 | 8.7 | |||||||||
| Total current liabilities | 859,808 | 1,049,762 | (18.1 | ) | ||||||||
| LONG-TERM DEBT, net of current maturities | 158,185 | 156,747 | 0.9 | |||||||||
| ACQUISITION LINE | — | 84,000 | (100.0 | ) | ||||||||
| DEFERRED INCOME TAXES | 27,030 | 33,197 | (18.6 | ) | ||||||||
| OTHER LIABILITIES | 27,156 | 24,288 | 11.8 | |||||||||
| Total liabilities before deferred revenues | 1,072,179 | 1,347,994 | (20.5 | ) | ||||||||
| DEFERRED REVENUES | 27,040 | 32,052 | (15.6 | ) | ||||||||
| STOCKHOLDERS’ EQUITY: | ||||||||||||
| Common stock | 244 | 239 | 2.1 | |||||||||
| Additional paid-in capital | 273,112 | 265,645 | 2.8 | |||||||||
| Retained earnings | 357,008 | 318,931 | 11.9 | |||||||||
| Accumulated other comprehensive loss | (218 | ) | (173 | ) | 26.0 | |||||||
| Deferred stock-based compensation | (3,625 | ) | — | N/A | ||||||||
| Treasury stock | — | (17,468 | ) | (100.0 | ) | |||||||
| Total stockholders’ equity | 626,521 | 567,174 | 10.5 | |||||||||
| Total liabilities and stockholders’ equity | $ | 1,725,740 | $ | 1,947,220 | (11.4) | % | ||||||
BALANCE SHEET DATA: | ||||||||||||
| Working capital | $ | 121,614 | $ | 155,453 | (21.8) | % | ||||||
| Current ratio | 1.14 | 1.15 | (0.9 | ) | ||||||||
| Long-term debt to capitalization | 20 | % | 30 | % | ||||||||
Inventory days supply:(1) | ||||||||||||
| New vehicle | 57 | 70 | (18.6) | % | ||||||||
| Used vehicle | 28 | 29 | (3.4 | ) | ||||||||
| (1) | Inventory days supply equals units in inventory as of the end of the period, divided by unit sales for the month then ended, times 30 days. |
Group 1 Automotive, Inc.
Additional Information — Consolidated
(Unaudited)
Additional Information — Consolidated
(Unaudited)
| Three Months Ended | Nine Months Ended | |||||||||||||||||
| September 30, | September 30, | |||||||||||||||||
| 2005 | 2004 | 2005 | 2004 | |||||||||||||||
| NEW VEHICLE UNIT SALES GEOGRAPHIC MIX: | ||||||||||||||||||
Platform | State(s) | |||||||||||||||||
| Ira Motor Group | Massachusetts | 14.4 | % | 13.1 | % | 13.5 | % | 13.1 | % | |||||||||
| Houston Metro Platform | Texas | 14.1 | 13.7 | 14.5 | 14.5 | |||||||||||||
| Bob Howard Auto Group | Oklahoma | 12.2 | 11.8 | 11.9 | 12.4 | |||||||||||||
| Miller Automotive Group | California | 12.3 | 12.9 | 12.9 | 11.9 | |||||||||||||
| Maxwell Automotive Group | Texas | 7.7 | 7.9 | 7.6 | 8.0 | |||||||||||||
| West Central Platform | TX, CO, NM | 8.8 | 9.9 | 9.3 | 10.5 | |||||||||||||
| Group 1 Florida | Florida | 6.4 | 5.5 | 6.1 | 6.2 | |||||||||||||
| Bohn Automotive Group | Louisiana | 4.4 | 6.1 | 5.2 | 6.7 | |||||||||||||
| Peterson Automotive Group | California | 4.5 | 5.3 | 4.3 | 2.6 | |||||||||||||
| Group 1 Atlanta | Georgia | 5.3 | 4.7 | 4.9 | 5.3 | |||||||||||||
| Courtesy Auto Group | Texas | 4.9 | 5.0 | 4.6 | 5.5 | |||||||||||||
| David Michael Motor Group | New Jersey | 2.9 | 2.7 | 2.8 | 2.8 | |||||||||||||
| Hassel Auto Group | New York | 2.1 | 1.4 | 2.4 | 0.5 | |||||||||||||
| 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | |||||||||||
| NEW VEHICLE UNIT SALES BRAND MIX: | ||||||||||||||||||
| Toyota/Scion/Lexus | 28.6 | % | 27.7 | % | 28.6 | % | 27.5 | % | ||||||||||
| Ford | 19.6 | 19.7 | 18.8 | 21.1 | ||||||||||||||
| DaimlerChrysler | 15.6 | 14.4 | 15.0 | 13.9 | ||||||||||||||
| Nissan/Infiniti | 10.7 | 10.8 | 11.2 | 10.7 | ||||||||||||||
| GM | 8.9 | 10.9 | 10.1 | 11.0 | ||||||||||||||
| Honda/Acura | 9.7 | 8.8 | 9.4 | 9.8 | ||||||||||||||
| Other | 6.9 | 7.7 | 6.9 | 6.0 | ||||||||||||||
| 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | |||||||||||
| NEW VEHICLE UNIT OTHER MIX: | ||||||||||||||||||
| Domestic | 39.2 | % | 40.0 | % | 38.5 | % | 41.9 | % | ||||||||||
| Import | 45.8 | 46.2 | 46.1 | 45.4 | ||||||||||||||
| Luxury | 15.0 | 13.8 | 15.4 | 12.7 | ||||||||||||||
| 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | |||||||||||
| Car | 46.3 | % | 43.1 | % | 45.8 | % | 42.5 | % | ||||||||||
| Truck | 53.7 | 56.9 | 54.2 | 57.5 | ||||||||||||||
| 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | |||||||||||
Group 1 Automotive, Inc.
Additional Information — Consolidated
(Unaudited)
(Dollars in thousands, except per unit amounts)
Additional Information — Consolidated
(Unaudited)
(Dollars in thousands, except per unit amounts)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||||
| 2005 | 2004 | % Change | 2005 | 2004 | % Change | ||||||||||||||||||||
REVENUES: | |||||||||||||||||||||||||
| New vehicle retail sales | $ | 977,492 | $ | 962,021 | 1.6 | % | $ | 2,791,812 | $ | 2,451,916 | 13.9 | % | |||||||||||||
| Used vehicle retail sales | 279,484 | 265,544 | 5.2 | 819,816 | 737,541 | 11.2 | |||||||||||||||||||
| Used vehicle wholesale sales | 98,439 | 101,551 | (3.1 | ) | 301,419 | 264,848 | 13.8 | ||||||||||||||||||
| Total used | 377,923 | 367,095 | 2.9 | 1,121,235 | 1,002,389 | 11.9 | |||||||||||||||||||
| Parts and service | 165,017 | 154,285 | 7.0 | 487,534 | 409,588 | 19.0 | |||||||||||||||||||
| Finance and insurance | 49,737 | 49,006 | 1.5 | 143,648 | 130,442 | 10.1 | |||||||||||||||||||
| Total | $ | 1,570,169 | $ | 1,532,407 | 2.5 | % | $ | 4,544,229 | $ | 3,994,335 | 13.8 | % | |||||||||||||
GROSS MARGIN: | |||||||||||||||||||||||||
| New vehicle retail sales | 7.1 | % | 6.9 | % | 7.1 | % | 7.0 | % | |||||||||||||||||
| Used vehicle retail sales | 12.8 | 12.3 | 12.7 | 12.3 | |||||||||||||||||||||
| Used vehicle wholesale sales | (1.8 | ) | (2.5 | ) | (0.8 | ) | (2.0 | ) | |||||||||||||||||
| Total used | 9.0 | 8.2 | 9.1 | 8.5 | |||||||||||||||||||||
| Parts and service | 54.4 | 54.6 | 54.4 | 54.8 | |||||||||||||||||||||
| Finance and insurance | 100.0 | 100.0 | 100.0 | 100.0 | |||||||||||||||||||||
| Total | 15.5 | % | 15.0 | % | 15.6 | % | 15.3 | % | |||||||||||||||||
GROSS PROFIT (LOSS): | |||||||||||||||||||||||||
| New vehicle retail sales | $ | 69,761 | $ | 66,387 | 5.1 | % | $ | 197,433 | $ | 171,679 | 15.0 | % | |||||||||||||
| Used vehicle retail sales | 35,728 | 32,765 | 9.0 | 103,838 | 90,523 | 14.7 | |||||||||||||||||||
| Used vehicle wholesale sales | (1,809 | ) | (2,581 | ) | 29.9 | (2,283 | ) | (5,178 | ) | 55.9 | |||||||||||||||
| Total used | 33,919 | 30,184 | 12.4 | 101,555 | 85,345 | 19.0 | |||||||||||||||||||
| Parts and service | 89,701 | 84,307 | 6.4 | 265,061 | 224,356 | 18.1 | |||||||||||||||||||
| Finance and insurance | 49,737 | 49,006 | 1.5 | 143,648 | 130,442 | 10.1 | |||||||||||||||||||
| Total | $ | 243,118 | $ | 229,884 | 5.8 | % | $ | 707,697 | $ | 611,822 | 15.7 | % | |||||||||||||
UNITS SOLD: | |||||||||||||||||||||||||
| Retail new vehicles sold | 34,355 | 33,991 | 1.1 | % | 96,909 | 87,864 | 10.3 | % | |||||||||||||||||
| Retail used vehicles sold | 17,826 | 17,707 | 0.7 | 52,509 | 50,318 | 4.4 | |||||||||||||||||||
| Wholesale used vehicles sold | 13,832 | 13,831 | 0.0 | 39,520 | 36,515 | 8.2 | |||||||||||||||||||
| Total used | 31,658 | 31,538 | 0.4 | % | 92,029 | 86,833 | 6.0 | % | |||||||||||||||||
GROSS PROFIT (LOSS) PER UNIT SOLD: | |||||||||||||||||||||||||
| New vehicle retail sales | $ | 2,031 | $ | 1,953 | 4.0 | % | $ | 2,037 | $ | 1,954 | 4.2 | % | |||||||||||||
| Used vehicle retail sales | 2,004 | 1,850 | 8.3 | 1,978 | 1,799 | 9.9 | |||||||||||||||||||
| Used vehicle wholesale sales | (131 | ) | (187 | ) | 29.9 | (58 | ) | (142 | ) | 59.2 | |||||||||||||||
| Total used | 1,071 | 957 | 11.9 | 1,104 | 983 | 12.3 | |||||||||||||||||||
| Finance and insurance (per retail unit) | 953 | 948 | 0.5 | 961 | 944 | 1.8 | |||||||||||||||||||
OTHER: | |||||||||||||||||||||||||
Adjusted used gross margin(1) | 12.1 | % | 11.4 | % | 12.4 | % | 11.6 | % | |||||||||||||||||
Adjusted used gross profit per retail unit(2) | $ | 1,903 | $ | 1,705 | 11.6 | % | $ | 1,934 | $ | 1,696 | 14.0 | % | |||||||||||||
| SG&A expenses | $ | 186,216 | $ | 182,682 | 1.9 | % | $ | 560,853 | $ | 489,309 | 14.6 | % | |||||||||||||
| SG&A as % revenues | 11.9 | % | 11.9 | % | 12.3 | % | 12.3 | % | |||||||||||||||||
| SG&A as % gross profit | 76.6 | % | 79.5 | % | 79.3 | % | 80.0 | % | |||||||||||||||||
| Operating margin | 3.0 | % | 0.1 | % | 2.8 | % | 1.7 | % | |||||||||||||||||
| Pretax income margin | 2.2 | % | (0.6) | % | 1.9 | % | 0.8 | % | |||||||||||||||||
| Floorplan interest | $ | (9,259 | ) | $ | (6,813 | ) | 35.9 | % | $ | (27,998 | ) | $ | (17,660 | ) | 58.5 | % | |||||||||
| Floorplan assistance | 9,691 | 9,499 | 2.0 | 27,527 | 24,457 | 12.6 | |||||||||||||||||||
| Net floorplan benefit (expense) | $ | 432 | $ | 2,686 | (83.9) | % | $ | (471 | ) | $ | 6,797 | (106.9) | % | ||||||||||||
| (1) | Adjusted used gross margin equals total used vehicle gross profit, which includes net wholesale loss, divided by used vehicle retail sales revenues. The profit or loss on wholesale sales is included in this number, as these transactions facilitate retail vehicle sales and are not expected to generate profit. | |
| (2) | Adjusted used gross profit per retail unit equals total used vehicle gross profit, which includes net wholesale loss, divided by retail used vehicle unit sales. The profit or loss on wholesale sales is included in this number, as these transactions facilitate retail vehicle sales and are not expected to generate profit. |
Group 1 Automotive, Inc.
Additional Information — Same Store(1)
(Unaudited)
(Dollars in thousands, except per unit amounts)
Additional Information — Same Store(1)
(Unaudited)
(Dollars in thousands, except per unit amounts)
| Three Months Ended September 30, 2005 | Three Months Ended September 30, 2004 | Percentage Change | ||||||||||||||||||||||||||||||||||||
| Same Store | Same Store | Same Store | ||||||||||||||||||||||||||||||||||||
| excluding New | excluding New | Same | New | excluding New | ||||||||||||||||||||||||||||||||||
| Same Store | New Orleans | Orleans | Same Store | New Orleans | Orleans | Store | Orleans | Orleans | ||||||||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||||||||||||||||
| New vehicle retail sales | $ | 952,583 | $ | 40,559 | $ | 912,024 | $ | 962,021 | $ | 54,875 | $ | 907,146 | (1.0) | % | (26.1) | % | 0.5 | % | ||||||||||||||||||||
| Used vehicle retail sales | 272,865 | 9,329 | 263,536 | 265,544 | 13,545 | 251,999 | 2.8 | (31.1 | ) | 4.6 | ||||||||||||||||||||||||||||
| Used vehicle wholesale sales | 96,783 | 3,661 | 93,122 | 101,551 | 4,780 | 96,771 | (4.7 | ) | (23.4 | ) | (3.8 | ) | ||||||||||||||||||||||||||
| Total used | 369,648 | 12,990 | 356,658 | 367,095 | 18,325 | 348,770 | 0.7 | (29.1 | ) | 2.3 | ||||||||||||||||||||||||||||
| Parts and service | 161,667 | 4,780 | 156,887 | 154,285 | 7,141 | 147,144 | 4.8 | (33.1 | ) | 6.6 | ||||||||||||||||||||||||||||
| Finance and insurance | 49,272 | 2,119 | 47,153 | 49,006 | 2,768 | 46,238 | 0.5 | (23.4 | ) | 2.0 | ||||||||||||||||||||||||||||
| Total | $ | 1,533,170 | $ | 60,448 | $ | 1,472,722 | $ | 1,532,407 | $ | 83,109 | $ | 1,449,298 | 0.0 | % | (27.3) | % | 1.6 | % | ||||||||||||||||||||
GROSS MARGIN: | ||||||||||||||||||||||||||||||||||||||
| New vehicle retail sales | 7.1 | % | 5.8 | % | 7.2 | % | 6.9 | % | 4.8 | % | 7.0 | % | ||||||||||||||||||||||||||
| Used vehicle retail sales | 12.8 | 13.8 | 12.8 | 12.3 | 12.8 | 12.3 | ||||||||||||||||||||||||||||||||
| Used vehicle wholesale sales | (1.8 | ) | (0.2 | ) | (1.9 | ) | (2.5 | ) | (3.4 | ) | (2.5 | ) | ||||||||||||||||||||||||||
| Total used | 9.0 | 9.9 | 9.0 | 8.2 | 8.6 | 8.2 | ||||||||||||||||||||||||||||||||
| Parts and service | 54.3 | 55.5 | 54.3 | 54.6 | 59.5 | 54.4 | ||||||||||||||||||||||||||||||||
| Finance and insurance | 100.0 | 100.0 | 100.0 | 100.0 | 100.0 | 100.0 | ||||||||||||||||||||||||||||||||
| Total | 15.5 | % | 13.9 | % | 15.6 | % | 15.0 | % | 13.5 | % | 15.1 | % | ||||||||||||||||||||||||||
GROSS PROFIT (LOSS): | ||||||||||||||||||||||||||||||||||||||
| New vehicle retail sales | $ | 67,725 | $ | 2,336 | $ | 65,389 | $ | 66,387 | $ | 2,618 | $ | 63,769 | 2.0 | % | (10.8) | % | 2.5 | % | ||||||||||||||||||||
| Used vehicle retail sales | 35,063 | 1,290 | 33,773 | 32,765 | 1,734 | 31,031 | 7.0 | (25.6 | ) | 8.8 | ||||||||||||||||||||||||||||
| Used vehicle wholesale sales | (1,759 | ) | (8 | ) | (1,751 | ) | (2,581 | ) | (162 | ) | (2,419 | ) | (31.8 | ) | (95.1 | ) | (27.6 | ) | ||||||||||||||||||||
| Total used | 33,304 | 1,282 | 32,022 | 30,184 | 1,572 | 28,612 | 10.3 | (18.4 | ) | 11.9 | ||||||||||||||||||||||||||||
| Parts and service | 87,778 | 2,652 | 85,126 | 84,307 | 4,252 | 80,055 | 4.1 | (37.6 | ) | 6.3 | ||||||||||||||||||||||||||||
| Finance and insurance | 49,272 | 2,119 | 47,153 | 49,006 | 2,768 | 46,238 | 0.5 | (23.4 | ) | 2.0 | ||||||||||||||||||||||||||||
| Total | $ | 238,079 | $ | 8,389 | $ | 229,690 | $ | 229,884 | $ | 11,210 | $ | 218,674 | 3.6 | % | (25.2) | % | 5.0 | % | ||||||||||||||||||||
UNITS SOLD: | ||||||||||||||||||||||||||||||||||||||
| Retail new vehicles sold | 33,643 | 1,492 | 32,151 | 33,991 | 2,058 | 31,933 | (1.0) | % | (27.5) | % | 0.7 | % | ||||||||||||||||||||||||||
| Retail used vehicles sold | 17,490 | 686 | 16,804 | 17,707 | 1,002 | 16,705 | (1.2 | ) | (31.5 | ) | 0.6 | |||||||||||||||||||||||||||
| Wholesale used vehicles sold | 13,625 | 647 | 12,978 | 13,831 | 900 | 12,931 | �� | (1.5 | ) | (28.1 | ) | 0.4 | ||||||||||||||||||||||||||
| Total used | 31,115 | 1,333 | 29,782 | 31,538 | 1,902 | 29,636 | (1.3) | % | (29.9) | % | 0.5 | % | ||||||||||||||||||||||||||
GROSS PROFIT (LOSS) PER UNIT SOLD: | ||||||||||||||||||||||||||||||||||||||
| New vehicle retail sales | $ | 2,013 | $ | 1,566 | $ | 2,034 | $ | 1,953 | $ | 1,272 | $ | 1,997 | 3.1 | % | 23.1 | % | 1.9 | % | ||||||||||||||||||||
| Used vehicle retail sales | 2,005 | 1,880 | 2,010 | 1,850 | 1,731 | 1,858 | 8.4 | 8.6 | 8.2 | |||||||||||||||||||||||||||||
| Used vehicle wholesale sales | (129 | ) | (12 | ) | (135 | ) | (187 | ) | (180 | ) | (187 | ) | (31.0 | ) | (93.3 | ) | (27.8 | ) | ||||||||||||||||||||
| Total used | 1,070 | 962 | 1,075 | 957 | 826 | 965 | 11.8 | 16.5 | 11.4 | |||||||||||||||||||||||||||||
| Finance and insurance (per retail unit) | 964 | 973 | 963 | 948 | 905 | 951 | 1.7 | 7.5 | 1.3 | |||||||||||||||||||||||||||||
OTHER: | ||||||||||||||||||||||||||||||||||||||
Adjusted used gross margin(2) | 12.2 | % | 13.7 | % | 12.2 | % | 11.4 | % | 11.6 | % | 11.4 | % | ||||||||||||||||||||||||||
Adjusted used gross profit per retail unit(3) | $ | 1,904 | $ | 1,869 | $ | 1,906 | $ | 1,705 | $ | 1,569 | $ | 1,713 | 11.7 | % | 19.1 | % | 11.3 | % | ||||||||||||||||||||
| SG&A expenses | $ | 182,346 | $ | 10,905 | $ | 171,441 | $ | 182,682 | $ | 8,923 | $ | 173,759 | (0.2) | % | 22.2 | % | (1.3) | % | ||||||||||||||||||||
| SG&A as % revenues | 11.9 | % | 18.0 | % | 11.6 | % | 11.9 | % | 10.7 | % | 12.0 | % | ||||||||||||||||||||||||||
| SG&A as % gross profit | 76.6 | % | 130.0 | % | 74.6 | % | 79.5 | % | 79.6 | % | 79.5 | % | ||||||||||||||||||||||||||
| Operating margin | 3.0 | % | (6.8) | % | 3.4 | % | 0.1 | % | 2.4 | % | 0.0 | % | ||||||||||||||||||||||||||
| Floorplan interest | $ | (9,010 | ) | $ | (603 | ) | $ | (8,407 | ) | $ | (6,813 | ) | $ | (379 | ) | $ | (6,434 | ) | 32.2 | % | 59.1 | % | 30.7 | % | ||||||||||||||
| Floorplan assistance | 9,622 | 416 | 9,206 | 9,499 | 567 | 8,932 | 1.3 | (26.6 | ) | 3.1 | ||||||||||||||||||||||||||||
| Net floorplan benefit (expense) | $ | 612 | $ | (187 | ) | $ | 799 | $ | 2,686 | $ | 188 | $ | 2,498 | (77.2) | % | (199.5) | % | (68.0) | % | |||||||||||||||||||
| (1) | Same store amounts include the results for the identical months in each period presented in the comparison commencing with the first month we owned the dealership and, in the case of dispositions, ending with the last month we owned it. Same store results also include the activities of the corporate office. | |
| (2) | Adjusted used gross margin equals total used vehicle gross profit, which includes net wholesale loss, divided by used vehicle retail sales revenues. The profit or loss on wholesale sales is included in this number, as these transactions facilitate retail vehicle sales and are not expected to generate profit. | |
| (3) | Adjusted used gross profit per retail unit equals total used vehicle gross profit, which includes net wholesale loss, divided by retail used vehicle unit sales. The profit or loss on wholesale sales is included in this number, as these transactions facilitate retail vehicle sales and are not expected to generate profit. |
Group 1 Automotive, Inc.
Additional Information — Same Store(1)
(Unaudited)
(Dollars in thousands, except per unit amounts)
Additional Information — Same Store(1)
(Unaudited)
(Dollars in thousands, except per unit amounts)
| Nine Months Ended September 30, 2005 | Nine Months Ended September 30, 2004 | Percentage Change | ||||||||||||||||||||||||||||||||||||
| Same Store | Same Store | Same Store | ||||||||||||||||||||||||||||||||||||
| excluding New | excluding New | Same | New | excluding New | ||||||||||||||||||||||||||||||||||
| Same Store | New Orleans | Orleans | Same Store | New Orleans | Orleans | Store | Orleans | Orleans | ||||||||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||||||||||||||||
| New vehicle retail sales | $ | 2,468,519 | $ | 131,738 | $ | 2,336,781 | $ | 2,451,916 | $ | 154,593 | $ | 2,297,323 | 0.7 | % | (14.8) | % | 1.7 | % | ||||||||||||||||||||
| Used vehicle retail sales | 744,430 | 37,921 | 706,509 | 737,541 | 42,085 | 695,456 | 0.9 | (9.9 | ) | 1.6 | ||||||||||||||||||||||||||||
| Used vehicle wholesale sales | 271,292 | 13,839 | 257,453 | 264,848 | 13,653 | 251,195 | 2.4 | 1.4 | 2.5 | |||||||||||||||||||||||||||||
| Total used | 1,015,722 | 51,760 | 963,962 | 1,002,389 | 55,738 | 946,651 | 1.3 | (7.1 | ) | 1.8 | ||||||||||||||||||||||||||||
| Parts and service | 428,878 | 18,392 | 410,486 | 409,588 | 20,542 | 389,046 | 4.7 | (10.5 | ) | 5.5 | ||||||||||||||||||||||||||||
| Finance and insurance | 133,500 | 7,385 | 126,115 | 130,442 | 7,869 | 122,573 | 2.3 | (6.2 | ) | 2.9 | ||||||||||||||||||||||||||||
| Total | $ | 4,046,619 | $ | 209,275 | $ | 3,837,344 | $ | 3,994,335 | $ | 238,742 | $ | 3,755,593 | 1.3 | % | (12.3) | % | 2.2 | % | ||||||||||||||||||||
GROSS MARGIN: | ||||||||||||||||||||||||||||||||||||||
| New vehicle retail sales | 7.0 | % | 5.7 | % | 7.1 | % | 7.0 | % | 5.1 | % | 7.1 | % | ||||||||||||||||||||||||||
| Used vehicle retail sales | 12.8 | 13.1 | 12.8 | 12.3 | 11.7 | 12.3 | ||||||||||||||||||||||||||||||||
| Used vehicle wholesale sales | (0.8 | ) | (0.4 | ) | (0.9 | ) | (2.0 | ) | (3.1 | ) | (1.9 | ) | ||||||||||||||||||||||||||
| Total used | 9.1 | 9.5 | 9.1 | 8.5 | 8.1 | 8.5 | ||||||||||||||||||||||||||||||||
| Parts and service | 54.3 | 56.3 | 54.2 | 54.8 | 59.5 | 54.5 | ||||||||||||||||||||||||||||||||
| Finance and insurance | 100.0 | 100.0 | 100.0 | 100.0 | 100.0 | 100.0 | ||||||||||||||||||||||||||||||||
| Total | 15.6 | % | 14.4 | % | 15.7 | % | 15.3 | % | 13.6 | % | 15.4 | % | ||||||||||||||||||||||||||
GROSS PROFIT (LOSS): | ||||||||||||||||||||||||||||||||||||||
| New vehicle retail sales | $ | 172,892 | $ | 7,468 | $ | 165,424 | $ | 171,679 | $ | 7,866 | $ | 163,813 | 0.7 | % | (5.1) | % | 1.0 | % | ||||||||||||||||||||
| Used vehicle retail sales | 95,104 | 4,958 | 90,146 | 90,523 | 4,934 | 85,589 | 5.1 | 0.5 | 5.3 | |||||||||||||||||||||||||||||
| Used vehicle wholesale sales | (2,290 | ) | (62 | ) | (2,228 | ) | (5,178 | ) | (421 | ) | (4,757 | ) | (55.8 | ) | (85.3 | ) | (53.2 | ) | ||||||||||||||||||||
| Total used | 92,814 | 4,896 | 87,918 | 85,345 | 4,513 | 80,832 | 8.8 | 8.5 | 8.8 | |||||||||||||||||||||||||||||
| Parts and service | 232,749 | 10,357 | 222,392 | 224,356 | 12,215 | 212,141 | 3.7 | (15.2 | ) | 4.8 | ||||||||||||||||||||||||||||
| Finance and insurance | 133,500 | 7,385 | 126,115 | 130,442 | 7,869 | 122,573 | 2.3 | (6.2 | ) | 2.9 | ||||||||||||||||||||||||||||
| Total | $ | 631,955 | $ | 30,106 | $ | 601,849 | $ | 611,822 | $ | 32,463 | $ | 579,359 | 3.3 | % | (7.3) | % | 3.9 | % | ||||||||||||||||||||
UNITS SOLD: | ||||||||||||||||||||||||||||||||||||||
| Retail new vehicles sold | 87,671 | 4,966 | 82,705 | 87,864 | 5,843 | 82,021 | (0.2) | % | (15.0) | % | 0.8 | % | ||||||||||||||||||||||||||
| Retail used vehicles sold | 48,688 | 2,812 | 45,876 | 50,318 | 3,116 | 47,202 | (3.2 | ) | (9.8 | ) | (2.8 | ) | ||||||||||||||||||||||||||
| Wholesale used vehicles sold | 36,503 | 2,342 | 34,161 | 36,515 | 2,527 | 33,988 | (0.0 | ) | (7.3 | ) | 0.5 | |||||||||||||||||||||||||||
| Total used | 85,191 | 5,154 | 80,037 | 86,833 | 5,643 | 81,190 | (1.9) | % | (8.7) | % | (1.4) | % | ||||||||||||||||||||||||||
GROSS PROFIT (LOSS) PER UNIT SOLD: | ||||||||||||||||||||||||||||||||||||||
| New vehicle retail sales | $ | 1,972 | $ | 1,504 | $ | 2,000 | $ | 1,954 | $ | 1,346 | $ | 1,997 | 0.9 | % | 11.7 | % | 0.2 | % | ||||||||||||||||||||
| Used vehicle retail sales | 1,953 | 1,763 | 1,965 | 1,799 | 1,583 | 1,813 | 8.6 | 11.4 | 8.4 | |||||||||||||||||||||||||||||
| Used vehicle wholesale sales | (63 | ) | (26 | ) | (65 | ) | (142 | ) | (167 | ) | (140 | ) | (55.6 | ) | (84.4 | ) | (53.6 | ) | ||||||||||||||||||||
| Total used | 1,089 | 950 | 1,098 | 983 | 800 | 996 | 10.8 | 18.8 | 10.2 | |||||||||||||||||||||||||||||
| Finance and insurance (per retail unit) | 979 | 949 | 981 | 944 | 878 | 949 | 3.7 | 8.1 | 3.4 | |||||||||||||||||||||||||||||
OTHER: | ||||||||||||||||||||||||||||||||||||||
Adjusted used gross margin(2) | 12.5 | % | 12.9 | % | 12.4 | % | 11.6 | % | 10.7 | % | 11.6 | % | ||||||||||||||||||||||||||
Adjusted used gross profit per retail unit(3) | $ | 1,906 | $ | 1,741 | $ | 1,916 | $ | 1,696 | $ | 1,448 | $ | 1,712 | 12.4 | % | 20.2 | % | 11.9 | % | ||||||||||||||||||||
| SG&A expenses | $ | 499,708 | $ | 28,946 | $ | 470,762 | $ | 489,309 | $ | 26,216 | $ | 463,093 | 2.1 | % | 10.4 | % | 1.7 | % | ||||||||||||||||||||
| SG&A as % revenues | 12.3 | % | 13.8 | % | 12.3 | % | 12.3 | % | 11.0 | % | 12.3 | % | ||||||||||||||||||||||||||
| SG&A as % gross profit | 79.1 | % | 96.1 | % | 78.2 | % | 80.0 | % | 80.8 | % | 79.9 | % | ||||||||||||||||||||||||||
| Operating margin | 2.8 | % | (0.5) | % | 3.0 | % | 1.7 | % | 2.3 | % | 1.7 | % | ||||||||||||||||||||||||||
| Floorplan interest | $ | (25,007 | ) | $ | (1,782 | ) | $ | (23,225 | ) | $ | (17,660 | ) | $ | (1,106 | ) | $ | (16,554 | ) | 41.6 | % | 61.1 | % | 40.3 | % | ||||||||||||||
| Floorplan assistance | 25,956 | 1,480 | 24,476 | 24,457 | 1,582 | 22,875 | 6.1 | (6.4 | ) | 7.0 | ||||||||||||||||||||||||||||
| Net floorplan benefit (expense) | $ | 949 | $ | (302 | ) | $ | 1,251 | $ | 6,797 | $ | 476 | $ | 6,321 | (86.0) | % | (163.4) | % | (80.2) | % | |||||||||||||||||||
| (1) | Same store amounts include the results for the identical months in each period presented in the comparison commencing with the first month we owned the dealership and, in the case of dispositions, ending with the last month we owned it. Same store results also include the activities of the corporate office. | |
| (2) | Adjusted used gross margin equals total used vehicle gross profit, which includes net wholesale loss, divided by used vehicle retail sales revenues. The profit or loss on wholesale sales is included in this number, as these transactions facilitate retail vehicle sales and are not expected to generate profit. | |
| (3) | Adjusted used gross profit per retail unit equals total used vehicle gross profit, which includes net wholesale loss, divided by retail used vehicle unit sales. The profit or loss on wholesale sales is included in this number, as these transactions facilitate retail vehicle sales and are not expected to generate profit. |