Sonic Automotive (SAH) 8-K Same Store Revenue Grows 9% - Record Q1 Revenues

Exhibit 99.1

Sonic Automotive, Inc. Profits up 24%

Same Store Revenue Grows 9% - Record Q1 Revenues

CHARLOTTE, N.C. –April 23, 2012 –Sonic Automotive, Inc. (NYSE: SAH), one of the nation’s largest automotive retailers, today reported 2012 first quarter earnings from continuing operations of $19.5 million for a 24% increase over the prior year results. Earnings from continuing operations per diluted share increased 22% to $0.33 compared to $0.27 in the prior year quarter.

Q1 2012 Highlights – Record Q1 Same Store Revenues; Fixed Operations Revenue and Gross Revenue Growth Despite Lower Warranty Activity; Continue to Invest in Base Business

• Total Q1 revenues up 9.3% over prior year quarter

• New vehicle retail revenue up 12.1% in Q1

• Used vehicle revenue up 9.0% for the quarter

• Parts and Service revenue up 5.1% in Q1

• SG&A to gross profit % down 30 bps to 79.4% for the quarter

B. Scott Smith, the Company’s President, noted, “We are pleased with this quarter’s results. Our overall profitability increased significantly from the prior year quarter due to our strong revenue growth and continued improvement in our SG&A to gross profit metrics. The improvements in these metrics were achieved as we continue substantial investment in our information technology and training initiatives. We have cultivated a culture and team that are mature and stable, allowing us to embrace and execute these processes and technologies. Our goal remains the same, develop predictable, repeatable and sustainable processes through the use of innovative technologies and operating playbooks to create a competitive advantage benefiting Sonic Automotive now and in the years to come.”

Commenting on Sonic’s operating performance, Jeff Dyke, the Company’s EVP of Operations noted, “As a result of our operating disciplines, we achieved record first quarter revenues of nearly $2 billion with our current complement of stores. Our new vehicle retail unit volume, which increased 11.2% versus the first quarter of 2011, outpaced the new vehicle retail industry volume increase. We are excited about the possibilities of further improvement resulting from our continued focus on efficient execution of our selling and customer service processes.”

First Quarter Earnings Conference Call

Senior management will host a conference call today at 11:00 A.M. (Eastern) to discuss the quarter’s results. To access the live broadcast of the call over the Internet go to: www.sonicautomotive.com, then click on “Our Company”, then “Investor Relations”, then “Earnings Conference Calls”.

Presentation materials for the conference call can be accessed on the Company’s website at www.sonicautomotive.com by clicking on the “Investor Relations” tab under “Our Company” and choosing “Webcasts & Presentations”.

A live audio of the call will be accessible to the public by calling (877) 791-3416. International callers dial (706) 643-0958. Callers should dial in approximately 10 minutes before the call begins.

A conference call replay will be available one hour following the call for seven days and can be accessed by calling: 800-585-8367, Conference ID: 70848537, International callers dial (404) 537-3406.

About Sonic Automotive

Sonic Automotive, Inc., a Fortune 500 company based in Charlotte, N.C., is one of the nation’s largest automotive retailers. Sonic can be reached on the web at www.sonicautomotive.com.

Included herein are forward-looking statements, including statements with respect to anticipated growth in new vehicle sales, and future success and impacts from the implementation of our strategic initiatives. There are many factors that affect management’s views about future events and trends of the Company’s business. These factors involve risk and uncertainties that could cause actual results or trends to differ materially from management’s view, including without limitation, economic conditions in the markets in which we operate, new and used vehicle industry sales volume, the success of our operational strategies, the rate and timing of overall economic recovery or decline, and the risk factors described in the Company’s annual report on Form 10-K for the year ending December 31, 2011. The Company does not undertake any obligation to update forward-looking information.

Sonic Automotive, Inc.

Results of Operations (Unaudited)

(Dollars in thousands, except per share data)

		First Quarter Ended March 31,
		2012		2011
Revenues
New retail vehicles	$	1,018,536	$	908,853
Fleet vehicles		45,917		63,640
Total new vehicles		1,064,453		972,493
Used vehicles		517,052		474,555
Wholesale vehicles		45,341		35,046
Total vehicles		1,626,846		1,482,094
Parts, service and collision repair		301,748		287,100
Finance, insurance and other		59,248		49,102
Total revenues		1,987,842		1,818,296
Total gross profit		311,869		287,238
Selling, general and administrative expenses		(247,480)		(229,016)
Impairment charges		(1)		(17)
Depreciation and amortization		(11,071)		(9,895)
Operating income (loss)		53,317		48,310
Interest expense, floor plan		(4,473)		(5,365)
Interest expense, other, net		(15,080)		(15,359)
Interest expense, non-cash, convertible debt		(1,630)		(1,694)
Interest income (expense/amortization), non-cash, cash flow swaps		22		178
Other income (expense), net		19		71
Income (loss) from continuing operations before taxes		32,175		26,141
Provision for income taxes - benefit (expense)		(12,709)		(10,457)
Income (loss) from continuing operations		19,466		15,684
Income (loss) from discontinued operations		1,032		(720)
Net income (loss)	$	20,498	$	14,964
Diluted:
Weighted average common shares outstanding		64,420		65,950
Earnings (loss) per share from continuing operations	$	0.33	$	0.27
Earnings (loss) per share from discontinued operations		0.02		(0.01)
Earnings (loss) per share	$	0.35	$	0.26
Gross Margin Data (Continuing Operations):
New retail vehicles		6.2%		6.3%
Fleet vehicles		3.4%		3.1%
Total new vehicles		6.1%		6.1%
Used vehicles		7.8%		7.9%
Wholesale vehicles		0.5%		(1.3%)
Parts, service and collision repair		48.7%		49.3%
Finance, insurance and other		100.0%		100.0%
Overall gross margin		15.7%		15.8%
SG&A Expenses (Continuing Operations):
Compensation	$	147,534	$	134,802
Advertising		13,044		13,440
Rent and rent related		28,693		29,791
Other		58,209		50,983
Total	$	247,480	$	229,016
SG&A Expenses as % of Gross Profit		79.4%		79.7%
Operating Margin %		2.7%		2.7%
Unit Data (Continuing Operations):
New retail units		29,685		26,703
Fleet units		1,705		2,488
Total new units		31,390		29,191
Used units		26,547		24,895
Wholesale units		7,526		5,583
Other Data:
Continuing Operations revenue percentage changes:
New retail vehicles		12.1%
Fleet vehicles		(27.8%)
Total new vehicles		9.5%
Used vehicles		9.0%
Parts, service and collision repair		5.1%
Finance, insurance and other		20.7%
Total revenues		9.3%

Sonic Automotive, Inc.

Earnings Per Share Reconciliation (Unaudited)

(Dollars in thousands, except per share data)

	First Quarter Ended March 31, 2012
			Income (Loss) From Continuing Operations					Income (Loss) From Discontinued Operations
												Net Income (Loss)
	Weighted Average Shares		Amount			Per Share Amount		Amount		Per Share Amount		Amount			Per Share Amount
Earnings (loss) and shares		52,224	$	19,466				$	1,032			$	20,498
Effect of participating securities:
Non-vested restricted stock and stock units		-		(303	)				-				(303	)
Basic earnings (loss) and shares		52,224	$	19,163		$	0.37	$	1,032	$	0.02	$	20,195		$	0.39
Effect of dilutive securities:
Contingently convertible debt (5.0% Convertible Notes)		11,676		2,167					5				2,172
Stock compensation plans		520
Diluted earnings (loss) and shares		64,420	$	21,330		$	0.33	$	1,037	$	0.02	$	22,367		$	0.35

	First Quarter Ended March 31, 2011
			Income (Loss) From Continuing Operations					Income (Loss) From Discontinued Operations
														Net Income (Loss)
	Weighted Average Shares		Amount			Per Share Amount		Amount			Per Share Amount			Amount			Per Share Amount
Earnings (loss) and shares		52,416	$	15,684				$	(720	)				$	14,964
Effect of participating securities:
Non-vested restricted stock and stock units		-		(205	)				-						(205	)
Basic earnings (loss) and shares		52,416	$	15,479		$	0.30	$	(720	)	$	(0.02	)	$	14,759		$	0.28
Effect of dilutive securities:
Contingently convertible debt (5.0% Convertible Notes)		12,890		2,296					14						2,310
Stock compensation plans		644
Diluted earnings (loss) and shares		65,950	$	17,775		$	0.27	$	(706	)	$	(0.01	)	$	17,069		$	0.26