ABG - Earnings call transcript Q3 2024 | Asbury Automotive Group, Inc.

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Operator

Greetings, and welcome to the Asbury Automotive Group Third Quarter 2024 Earnings Call. [Operator Instruction].

As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Chris Reeves, Vice President of Finance, Treasurer. Thank you, sir.

begin. may You

Chris Reeves

good and Thanks, morning. operator,

Michael Earnings As noted, results be Automotive was recorded release XXXX will issued earlier and is for call Group's Asbury's replay quarter Quarter Asbury being available to later and Welcome press morning today's this third The Call. this Third detailing afternoon. website Vice investors.asburyauto.com. Vice with and Dan and our Senior me Executive posted Officer. Chief are David is Officer; Senior at on today of Welch, Operations; Chief Financial and President our President President Participating our Hult, our Clara,

our the conclusion available we At questions. the up call any for questions of be remarks, will will open and follow-up for later

Before call begin, discussion must likely the statements. that during today we the remind to we you is contain forward-looking

statements nature, than historical are forecast other financial projections subject are which which current uncertainties. include are expectations, of in and those to Forward-looking each which may statements significant

results from XXXX filings XX-Q today. information disclaim certain Form earnings cause filed of any statements. the our risks including December time, the SEC see XX-K reports responsibility on our quarterly update earlier to may forward-looking subsequently and that release please our for materially We year to actual with issued time to statements ended For and expressly differ from the Form regarding these

measures In rules may addition, call. under defined financial certain be non-GAAP SEC as discussed on this

our GAAP on of non-GAAP financial such measures provide measures any As most by reconciliations rules, the directly SEC required comparable we applicable to website.

our Hult. website, highlighting It my hand is have over the now also updated results. CEO, quarter David? We our pleasure third on David an presentation to investors.asburyauto.com, posted investor to our call

David Hult

third Good quarter Chris. morning, to you, everyone. earnings call. our Thank Welcome

team pace in faced and families business. Hurricane pleased our against set to to of our new at and particular, for their challenges exposure quarterly the and moderate, vehicle credit vehicles Operationally, for overall performance I'm Stellantis. with gross impacted really and to their particular, As ongoing the by used In our quarter, and has those given unique sequential the the decline in resiliency. I Milton. them we individuals achievement saw for started some continues profitability, in of headwind our look Stellantis results we growth Helene both profit notable a be a

To XX give you some will of some incentives, a of more the locations excess on hope however, inventory context, vehicle declines over gross which seeing XX% we new them and seen volume XXXX. we've from profit resolve of Stellantis are stance with QX our down year-over-year challenges. to XX% recently per Encouragingly, aggressive begin take

as traction. improved costs our Our finally, of percentage to profit show business SG&A a gross quarter-over-quarter, And is the take of service and gaining business continues parts that efforts healthy growth. our showing out to

store mentioned our But affected and I at performance. For South impacted and Helene In some most models Georgia Toyota, order and profitable in-demand sale on volumes BMW of stop earnings certain Carolina. start we events several for the per extended operations the meaningful share adjusted quarter, of Lexus $X.XX. as vehicles. call, in the Florida, the on unique Hurricane our a of had delivered impact

up between $X.XX Highlands on days later their two $XXX between stores models The vehicles these were quarterly to many more BMWs, used closures told, impactful operations. traffic damage and we new and resulted items, gross passed. Most units our team stop have stop of would storm to With per the our members and the our popular Hurricane The incurred even estimate their in storm Temporary storm resulted $X.XX although the for and the adjusted earnings all we the All however, and closed leading safe $X.XX negative fixed in results. and impact be business estimate homes in immediately TX and reduced fewer store to nearly and quarter. share. were along share. for third unit models the Lexus sales. early fewer effects sale Helene, per pre we that property. of have the afterwards, to after with customer various lost orders importantly, of trends with doors Based been in Toyota these new sale healthy for or Excluding quarter for our on path the share per been storm the profit from our per earnings this estimate in the margins. X,XXX share sold opened

between our impact $X.XX was quarter and third per share. estimated share per The $X.XX to earnings negative

degrees fourth locations all we're for longer As to the Milton, believe of Several a section greater experienced impact and flooding, from extensive. vehicle are be in various water loss Other varying stores it also fourth A and outages. sale Helene. orders. our was closed will of stop and compared better The business and wind to locations timely manner. Separate preventing size from number to the damage to dealership larger quarter quarter a higher Hurricane of we this effects our Hurricane financial than reopening Helene. of from relates we power had parcel more impact of storm operation inventories magnitude of path our damage locations the working while to understand the the on footprint the extended the hurricane, them placed still the and assessing over event, store

provide with fourth of stop Toyota, stop order call. during Honda Lexus sale models. their models, This and earnings more for details along sale certain for ongoing several of BMW quarter is inclusive the our recent We'll the additional popular

in consolidated up a results a and up XX.X%. $X.X profit revenue, quarter. year-over-year, margin We had profit gross X% billion third of $XXX of generated million, the for XX% gross our for Now

a Our XX.X% same-store on basis. adjusted gross of SG&A and adjusted profit XX.X% as an was all-store percentage

delivered share was X.X%, was per adjusted $X.XX, We operating adjusted our and EBITDA margin of adjusted earnings million. $XXX our

we bringing million. the from quarter, third million, shares Honda $XX one store our our center. launched to as divested of quarter, optimize Tekion ongoing we pilot the four year-to-date through fourth service approximately one Chevrolet shares with And we to in During XX the for long-awaited total In $XXX efforts shared XXX,XXX and part portfolio. stores quarter, October finally, our our repurchased XXX,XXX nearly our in in

over Dan, delivering hand before to thank our performance. I the want for Now you solid to call members another say I again to team

be our Florida the part and overall getting dedication serve. Given running Southeast, the recent and they our have recovery the members our to heavy couldn't stores proud which of them. and effort, team major back impacts presence Their a of communities in to in and small had the up just is more storms I

operational discuss our Dan Dan? performance. Now will

Dan Clara

everyone. Thank morning, you, and good David,

First, I to members. I grateful team would say also like how our am of

experience guest-centric our Our you. motor the members rose Thank to retail. to team through deliver the major storms occasion in most

from Now year-over-year. year-over-year, revenue performance performance with impact Same-store in to affecting the strong and models. vehicles. name was we dealerships sales of of moving and Lexus in by Hyundai includes BMW Toyota, in which stop [indiscernible] challenges volume TCA same-store new offset the to a Stellantis,plus flat with Mercedes-Benz stated unless Starting our saw demand otherwise. few, for

gross changes unit. their represent early we encouraged incentivizing meaningful it it volume on per vehicle Unfortunately, the to great our days, we Lexus seen brands. with impact XX% sale a new are And and and stop to is led as by relates have profit revenue terrific are and product. our Stellantis, Toyota lately of on partners unit while

New profit better moderated $X,XXX average anticipated. gross was per decline we sequential than as vehicle GPU we

supply day of new the September same-store at variation among Our days was brands. XX end with wide

vehicles. used to Turning

profit retail volume unit quarter gross year-over-year per X% decreased Used $X,XXX. unit and Third was

On basis, unit gross slightly per a quarter-over-quarter used profit increased.

have will we over until the the As volume. balance the of chasing unit quarter, profitability gets profit. we to mentioned we levels, and back in historical gross of more prioritize used volume assessed prior vehicles pool And

We adjust to and conditions. to evaluate continue will our market approach

an Shifting Our at was We same-store quarter. supply X,XXX F&I of F&I. the quarter. in the used XX PVR end of day to the earned days

in Our results the second line quarter holding of XXXX. with

As to quarter, year-over-year. was headwind see $X,XXX, the into be the throughout It vehicle the nearly $XX decrease. we of number deferred XXXX the certain F&I from and impactful of will expected, year-over-year Michael these TCA quarter. PVR factors decrease the more to provide We stabilizing this per on of total total front-end contributed headwinds view $XX margin it more yield same-store was in this was headwind brands to for revenue third our In given XXXX. and encouraging TCA. details half front-end

Moving to service. parts and

noted, David were we progress service our parts and As pleased of with business. the

Our with in same-store up parts X%, was and markets. service gross several hurricane even profit disruptions

same-store of profit gross I'd revenue increases For pay of the year expansion like basis prior earned margin by margin a quarter. points an mix. quarter, further operations and up driven customer in versus same-store fixed XXX our provide we to our pay XX.X%, quarter, up within progress revenue bucket on revenue level, operations. customer sales this pay customer At the in XX%, the store pay visibility customer X%. was being parts and was service made

gross now fixed And our shifting performance operations. to profit within

operations our Western and year-over-year. growth expansion. pleased contributed labor momentum service Our largest I X%. businesses XX%, customer the of X% and generated wholesale growth the progress were XX% that and in of the overall especially With respectively. warranty, gross profitable portion collision fixed am stores are These customer of were of pay smaller most In year. unit profile with to margin piece XX%. profit down gross mix business, pay the margin impact and a this up The business, we lower parts and profit

members make transparent the for XX% X,XXX our team retailed units, by quarter, were And encouraged experience approximately easier finally, factor increase leaders Clicklane online, the over sales especially approximately sold, you, a performance XX,XXX and last in a helping units the a guests. car differentiating for XX% and year-over-year. we year. in with and us buying for Thank more through in-store We increase new

to I will our Michael? performance. now call hand the to financial over discuss Michael

Michael Welch

walk give Thank you, team and the $XXX also more $X.XX through of was detailed perseverance overview to for through like EPS will their for the financial performance hurdles to was quarter. faced I adjusted I quarter. the my a million adjusted would this thanks and us quarter. net Overall, income members now Dan. our we

million. estimate However, impact excluding various tax, have earnings and gain opening $X.XX storm damage million been quarter to of per on as net XXXX of for third the hill would excludes Adjusted for the $X remarks, sales. to David share share his of the mentioned divestitures quarter the and when we related losses net $X.XX income stop adjusted in the third $X per net our from

net by percentage as ] a Adjusted of at net million acquisition and encouraged the anticipated the Koons gross XX.X%, efforts fees brand performances anticipate the the from real sequential are second costs. improvement lower over on income of Jim headwinds the a given related contain the excludes quarter to third companies. automotive of quarter. -- for a team XXXX gain grosses, certain SG&A of on vehicle adjusted We million impact the the in $X sale a fourth quarter, in Hurricane estate activity. for came and Adjusted the of SG&A Milton sell attack percentage Despite mid-XXs income of stop our the net ongoing to of profit basis $X [ and be professional we the to

estimates for rate plan $XX generated the next the income $XX morning million was $XX rate million year and on adjusted to anticipate year website. quarter posted TCA outlined have across the quarter, the $XX Florida this operating results million year-to-date. TCA and tax million Koons pretax The takes adjusted year-to-date. cash the third years income approximately year on for puts markets million be XX.X%, flow to to of full the and anticipate basis. pretax of between full the next our few generated adjusted PCA tax be in and pretax We the in and presentation $XX We offer we a and for We XX.X%.

$XXX we purchase, $XXX spent to and between estate end anticipate on million expenditures and the capital million. real Excluding we year year-to-date, $XXX million

cash credit cash flow $XXX ended and plan used accounts year-to-date. excluding the care available million $XXX and floor quarter comprised We million total for cash, was facility on with revolving offset liquidity Auto. of our of Free both

reflects which adjusted transaction was the capital share September, buybacks. ratio at X.Xx of Our strategic to end in deployment our the quarter leverage net of

and seek rigorous our to opportunities create continue investments. across shares M&A We and capital allocation approach with organic

results prepared strong guest-centric In to closing, for the be concludes retailer. our This most thank you, team our mission delivering members once remarks. again automotive support

to and the turn call take questions. the now over Operator? your operator will We

Operator

[Operator Instructions].

Murphy with comes America. John Our first from Bank question of

John Murphy

Really in a and quarter the of of face lot good here. adversity

the on first I environment mean as stores, like to the GPUs. spillover how significant new to but like just market, the really creating sounds of had that. -- in mean overall the with the Just to some impact. think it's how you on impact just so this I Atlanta manage risk starting do David, it it's you you're help that? sort seem Stellantis the about better about the factory. and in any mean, I it's far, you from doesn't think think curious But

David Hult

thoughts, John, inventory. sure -- when Stellantis, it, I'll we of Dan and lot basically high methods. a I'm on incentive day incentives, coupon with the about last give everyone out you will peers, incentives, A supply were all the think came and my they had of including the put you in. more taking jump traditional quarter, our think which In

chose stores because for to, high day at most a we were more part, supply. the take Our inventory already not

to of our use. chose a we competitors quarter, take that inventory coupons the had more for So were at more disadvantage to a because competitive lot

will that last impacting to been But going lot little a to management probably on content building been our their They're the as models. had, sense help. they've months, -- in my fourth faster. business. that? concept, the anything rooftops, and but they've well that still eliminated stores we with perspective, XX pressure product quarter add with pressure of has a them They're time think vehicles changes don't company. move with the with unique And that we're want and other Stellantis the XX puts is haven't if a right that just volumes I over they're engaging the figure margins a It's to of from entry-level able So also they our incentives that the out. It in size the and also it has there's our coupon it things impact XXX early good put on you know other material taking our to Dan, on unfortunately

Dan Clara

when the price for put is add new that seeing I'll the money when lately guest, they be response transactional the better a that we're David is we're that become the used what for from mentioned, can John, starting see to just to that incentives they better slightly guest.

to of allowing us And the is it move so therefore, some units.

of announced special In week, November. they addition interest starting week, rates going as of in just end some to -- that, last last

we're its early seeing. I stated, like excited days, in So we're it's but what with

John Murphy

X,XXX Okay. than about And pretty the just it side, remarkable. to talked settle going in this getting better just opposed think follow-up X,XXX the fearing what of it's we do a like were it's range on a little It that estimating and people How then we're that forward? into. XXXX. X,XXX Stellantis face it's the seems you think people -- been I to the stickier in range GPU on better than of ultimately you to mean as have the might about

David Hult

supply. Titan to again, you the say, day our group, when would low really down X% mix. brand break look I the have is at of revenue [ Yes. peer Lexus, you very ]

units at the luxury our and when port even you And those So luxury high up quarter with very being a obviously best. with broken solely are We as add backwards segments -- XXX% we're held of And well. look domestic you domestic, were Mercedes when other the anything brands. as Stellantis. good margins. was then units the showing as had margin? down, on to Dan, and want side, backwards up far the those

Dan Clara

domestic other pretty domestics, at too, that Well, just say, even on you as well. partners, our other look when there steadily holding are I the would margins

the what lot stated encouraged is X,XXX mix our think David definitely I is by we're to So what we're that there. contributing GPU. portfolio But it also of a seeing on

John Murphy

one service provide on good bump run, I last about but potential probably negative How the that? side. come how warranty on And think are does a stop do you and service. one pretty the through? fast just then parts other mean, And short and parts sales benefit that

Dan Clara

that and I then David, I'm start, I'll sure anything add we'll forget.

John, are there sales now, we -- as sure of. several on I'm aware So right you're have going stop

million really and a availability announced reimbursement those Highlander come T-X. from there to equation soon for to And your on consumer the the we're fix It into also rates getting, Some shops. that the Lexus nice as that going are of the when parts just going and for when paying well. margin it. see depends then we question should parts gross Toyota the see depends of how profit recall the of notices It be really their to of going is be side to available is of our $X.X available to we're that hours, the as to to that them, some are and there's some the sent fixes, warranty the they're

throughput. the have We

I to would QX, QX definitely serve going but I it to as XXXX but for all that see to into ready our recalls. in that the would we expect expect well complete started guests, We're of as we're move

David Hult

We'll from fix say Titan agree would I came that sale, Lexus, bit Honda I yet. out of they the just a Yes. and with believe, don't with little last get week, -- tailwind Dan. a a but have stop warranty the

it's kind impact that to will early So too predict of what have.

Operator

next with Gupta comes Rajat Our JPMorgan. question from

Rajat Gupta

Just were and Or the with some would turned something the to out hurricanes, is harder the cars made sales? the the business. had on used stop follow-up September. just those on anything I And late those the a flag there fixes the just else the we it hurricane, to if than impact door done you on from maybe it impact it get of for your sale get more in from you magnitude car look that and out be impact, it of Was peers the stock exposed higher at do sales seems much experienced. fact there like have might to the what to stop you because the

David Hult

to in saying not Lexus the right fix It's literally the the Michael, by coming to Rajat, third I'm did that start give come for quarter. but Toyota I'll and now. going

into so and it's fourth parts we're wasn't to. hurricane available even to through end of at So about But them it, before the a aside, October yet, performing fixers fix see we third there stop-sell. haven't to the address and the but quarter, quarter, the started even there starting wasn't in

You obviously can't sell the either. vehicles

Michael Welch

Yes.

So Florida, markets we shut And perspective and multiple across Greenville, from and markets. on that customer business closing a just got we the Atlanta hit the up in multiple because hurricane, stores in us. had down the for exposure into

stores late sales of a in And from And so impacted. so those is was really the that's very the markets. just perspective. to mainly a not quarter, on storm that recover way little It impact -- was there that there's damage those in specific

don't some fourth you recovery get demand. that have quarter. there get flooding and we sales to in and benefit things will Milton, probably the is When So to there that fourth on some the provide quarter some

On the just us, than most we're like the a in for this stop higher percentage sale groups. of Toyota

that And from so vehicles have then that perspective. new we a the from statement, used those just took get internal profit the SG&A sales, used and the would trading of have vehicles flow-through. with then that down the the you gone And just kind income you gross vehicle so

is is higher of reason our exposure rest majority that the Lexus of space. just the So the we're to versus peer the Toyota

David Hult

speak. same run been prior in just And it. the And sale to season, just higher coming so assume you're the the would rate stop summer it selling models Rajat, because have that going reality, to took into and we those through of

approach. our a So conservative we think took from we perspective,

Rajat Gupta

of sure about the just just Understood. also some think see on should like next by stop might that we you the to stores was the business, curious the decline. same-store sales trade in perhaps might in shortages around turn That's that that doing impacted the light especially the off-lease business And where Understood. be hurricane to X% year, fourth recovery used operations of quarter, and anything I'm there? car But the here else we ins. of helpful. the how start

David Hult

so or I'll and profit back I we're and to Last We assessing profit. go think not was back them then better chase Sure. start backwards whether decided in gross there have, quarter, chase think, peers as -- far one jump I based being most volume still gross far to Dan can I to only sales. of going that as unit on we're go to already the us than volume in. said announced

the sell. rather We profit. sense I is we're would cars year gross poll with maintain quarter-over-quarter. But don't normal becomes I margin Dan, perspective, sales every it able away, as our everything because not improved chase more And wanted. any more expenses and hurricane, we which think have lost off-lease a we margin us conservative makes for our much think coming, the to the again, we on as on and focus until thoughts? still with we volume So to sales car the unit the be from that we with

Dan Clara

that our trying focusing this from just you else you one and David, with question we hand is is highest and what auctions on we -- as and your of and at that you acquisitions on know, away the brings do the We very our low one -- that the to of local with a that agree bidding end on the wins we customers, what all I to holding business. make because have expand the process margin side it margin. usually about the are doing trade-ins really the card with stay

increase to department. the continue acquiring trades, inventory So capturing and we place in work on to the processes service have through

when the like more then maximize right are the have back, can assess time trying car on side aggressive I is forward. available stated to the and And loaner volume those utilize move the to availability margin pool we on the when our also cars it. comes inventory if come out. just will We that of get we we it of call, to as

Operator

Our Liquid, next from comes Jeff question Stephens.

Unknown Analyst

were ] your also talk you impact the quarter. that best you of to your with this could may of you was about forward? curious potential and think [ and the Tekion against how going of Could percent disproportionately peers. SG&A respect your go once where highlight even test rollout influence amongst is that's I growth quarter impressive very up a was That guys. Congrats this X.X%,

Michael Welch

you. Jeff, Yes, thank

be 'XX pressure still that launch new vehicle the the things the put with doing bit we'll on we're the the with that have next of a side, and as as year. down SG&A There from PVRs think once bolt-ons. our will in and that really give and do of the rolling we kind pull a in we little benefits the out long if in employees, the hopefully us we bit declining rolled 'XX will over just but XXs 'XX, things in more to of many become to of the 'XX in little transitioning see Tekion, CDK opportunity not we that SG&A and we cost term don't much a below of able number we be we out. But there, number late get On the from have 'XX, just Tekion just productive pull but little that cost those terms into back rollouts 'XX number bit into the an overlap perspective, way. to There's back

Unknown Analyst

stronger us GPU a then came F&I. one the quick Street than which on is just in And on can XXXX, at estimated.

you the to grow have BTC the which Or kind XXXX Is guiding impact off Given negative base the a term. that from still you're case? short of? of TCU low or would would be been this have going guys

Michael Welch

as TCA let a also the the on answer large out, already side deferral our deferral I'll operational meaningful then TCA overall more stores then just TCA consolidated and impact weigh have level. from of continue market. Koons 'XX headwind store the out will Dan roll the impact and 'XX and in lower but So at the thing the that in rolled take market we'll Florida we because the and just we've PVR in

F&I So the an perspective. from 'XX and years hefty be will 'XX PVR

David Hult

hit 'XX should XX where start Dan? the second us think really for And sizable And it tailwind become then 'XX. be specifically, opposite of to a the we will half a into direction. goes

Dan Clara

operational nothing really has From an changed. standpoint,

that bottom We car. experience a purchasing to during coach of a sure them, continue provide of process the great guest the XX% our focus to we when continue them, on train final make stores,

Operator

Craig Group. from Hallum Capital Ryan question with Our comes next Sigdahl

Ryan Sigdahl

Looking Slide what helpful standpoint breakdown what breakout ICE, at a of be. versus from EVs XX, sales mix are the would curious

David Hult

got you Dan, that?

Dan Clara

Yes. I'll one give me here. second just

going you give an you don't color like the to that's if breakdown that on certainly So okay to of can have EV later. with you. give move And on down start I'm and you seeing specific to to to holding But pretty going the on sales some and with just a GPUs I then on you the I luxury break I'm on with side have I'd the standpoint, it domestic. example. Lexus. color. I some I But luxury of and give by imports do I'll from can give good I some the -- we're GPUs, brand, percentage-wise, it, BMW

one our front-end we a partners, So GPU. run $X,XXX about of

X,XXX front the GPUs. is EVs, all of throughout little into mix end of then to -- we in that that in when the some an And a a number EVs. inforce is in number go we're it's our a negative the standpoint, And in From decline in of number some But very domestics, starting range. steeper see a bit them. it's cases, a

do at substantially -- have EVs flat are look some that for different. them we when is versus ICE So the to and compared example, of pretty we Nissan

the on readily the from perspective I EV, back sales of that -- have And impact in Specifically, negative would just overall, my a that because we're to in numbers breakdown -- bear if at GPUs have PVR. charts don't a some of to I'm we me available. the see drop. look you exact I Hyundai here a the with Honda, impact looking seeing and sorry, we also Nissan an But get at

Ryan Sigdahl

Helpful.

externalities that insurance vehicle my Instead, proceeds will cetera? any coming seen thinking compared. impact. in, You ask question. answered and demand, second GPUs, Hurricane into I positive I pricing, GPUs was the move going about Have you pricing, to used et how

David Hult

go. we Go No, ahead. Yes, have. you

Dan Clara

go No, ahead.

David Hult

was would there vehicles say I more in Yes. Milton. just certainly lost

tailwind the in on side western replacement fourth Florida. be of quarter should certainly the vehicles, some So there with

Michael Welch

And insurance related have pretty the perspective, and that we'll from claim an damage settle damage inventory the we'll quickly. property insurance to the

a claims companies know, BI just the insurance with take you while. As

later. or I wouldn't And until expect so any recovery mid-'XX BI

Operator

Instructions]. [Operator

comes next question with from Our Jefferies. Bret Jordan

Bret Jordan

order service sustainable? as that new that that units something seasoned? breaks sort powertrain, Or will lower you BEV the out of and do repair slide think revert technology that's the premium is is butt of little this that a more bit these On by working get

David Hult

David Bret, Dan in. is jump and this can

logically, I think, correct. you're

there's going a of creates add Feb. forward. a lot years should a you closer these It you higher lot move on just I in lot be out And king dollars of to cold. probably as of few as vehicles worked more get think you There's and get of in disruption. the just technology wind a weather

So the near car term, of the when through in And the averaging at our the of we're age I one park it's shows miles and out in the there look that's slides coming park, service XX,XXX over drive. car think good. you that

not we're XX,XXX well the warranty is period, during above it. servicing just So

we're doing good a retaining them. job So at

only but stay the to down over go we next and parts Frequency BEVs market, Dan, come at strong anything we pretty the mix different add? will time, look come are dollars We retention should service with and the XX X to of And to believe between higher. to still years going all want to think products. is numbers up. margins they you the continue the as

Dan Clara

nothing have I to No, add.

Bret Jordan

that's Obviously, shorter on Okay. change something in this question I is for term? a structural there to that And secular? think, that's everybody. across Or tied collision. demand? Is then been Is soft, something a collision real

David Hult

market. It doesn't It matter less scratching one, matter the is all experiencing year-over-year. state that everywhere the on doesn't We're it. our head That's Brett.

our total these there's Some it's are not the over this business, Curious turns it -- more our there's hosting but the also But not are obviously because how so losses as affect cars total all. Dan? either. hasn't business seeing claims not many affects and changed collision it we're so higher losses competitors to we're more because because values higher, are the our business it's parts dollar technology trend been parts year, only see a seeing really out in and year-over-year. more time, at are all

Bret Jordan

X%, customer I guess, plus service much as And ticket Right. pay versus marks guess was on just housekeeping a question that and car count. a I traffic how

Dan Clara

rail our look was a from count payer was up specifically, X% we X% luxury Brett, at -- customer pay The this if from up is Dan. X%. a count. total customer of import And

Operator

from David next with Morningstar. Our question comes Whiston

David Whiston

morning. Good Thanks.

Just concerned if curious you either negative XXXX? or equity right brands, import -- domestic for at all in the is especially for if and now

Dan Clara

share it is. seeing that that. as down Yes, in offset to a David, negative situation. of down money are our We're it equity this And a obviously, in fair cases, some definitely more of is a of consumers payment lot requiring, Dan. is

a forward. definitely, we move as concern So slight

David Whiston

with import customer versus one seeing you set like more Are brand particular domestic? brand it --

Dan Clara

with domestic, weighted will see I business. the the more definitely a imports the in Yes, of I side has within really heavily see that you it We but protected. but domestic, -- nobody bit We been tell more little mean, we in it is domestic in see it every luxury. into

David Hult

scores held credit add, has would resilient. up have us. I thing One They've for been been strong well. Lending

So us we this holding to loans our at don't consumers. see point being able from back any headwind acquire for

David Whiston

your you of end post need debt is can ratio Do M&A? down balance Or normalizing your the your the high on go near more doing either And you sheet, before to way? Profits some target pay are range. feel shortage. chip Okay. leverage

Michael Welch

mean, opportunity some I deploy this we saw an buybacks. to to share quarter, capital

so the deploy for and opportunities we leverage little elected those up towards buy a The to the net think [indiscernible]. we And as shares. we look ticked those in to future, -- continue the bit. leverage generate, do We we cash can

Operator

There are the comments. no this would back time. to closing I turn David Hold questions now further like over at floor to for

Dan Clara

I mind you to X% jump do if EV sales. X% for the total the close, I Ryan our in, on have you between is of before David, sales numbers

David Hult

call. you. in Have day. quarter and fourth a discussing Thank great you. This the early today's to We today 'XX. Thank concludes your participation look appreciate Okay. forward

Operator

today's teleconference. concludes This

disconnect you lines may at You Thank this your time. for your participation.

Asbury Automotive (ABG) 29 Oct 242024 Q3 Earnings call transcript