Group 1 Automotive Reports Record Adjusted 2016 First Quarter Earnings
HOUSTON, April 27, 2016 /PRNewswire/ -- Group 1 Automotive, Inc. (NYSE: GPI), an international, Fortune 500 automotive retailer, today reported record 2016 first quarter adjusted net income of $37.1 million, a 3.5 percent increase, and record first quarter adjusted diluted earnings per common share of $1.59, an 8.2 percent increase, on a year-over-year comparable basis for the period ended March 31, 2016.
Adjusted net income and diluted earnings per share primarily exclude $1.7 million of net after-tax adjustments for insurance deductibles associated with vehicle damage from hailstorms in the U.S., and approximately $800 thousand related to the decision to divest four stores in Brazil. On a GAAP basis, reported net income for the quarter was $34.3 million and diluted earnings per common share were $1.47. Reconciliations of non-GAAP financial measures are included in the attached financial tables.
"We are pleased with this quarter's consolidated top-line revenue growth of 9.7 percent on a local currency basis, which was driven by strong performance from our U.K. team and impressive used vehicle and service growth in our U.S. operations," said Earl J. Hesterberg, Group 1's president and chief executive officer. "The revenue growth, coupled with stability in U.S. vehicle margins allowed us to grow adjusted net income and earnings for the quarter. Additionally, given the tremendous value we saw in our recent stock price, we executed an aggressive share repurchase program, buying approximately 1.5 million shares since the end of last year."
Mr. Hesterberg also commented, "The Brazilian auto market dropped another 28 percent in Q1 due to massive political turmoil, yet our Brazilian operations held Same Store revenue flat on a local currency basis—an amazing performance. Additionally, we implemented a significant set of portfolio enhancement actions this quarter, which include the divesture of four underperforming stores and the addition of four growth franchises. These actions should largely conclude our store restructuring program and better position us to maintain profitability in Brazil this year."
Consolidated Results for First Quarter 2016 (year-over-year comparable basis)
We have included constant exchange rate growth metrics both below (shown in parenthesis) and in the financial tables that follow for ease of comparison:
- Total revenue increased 7.2 percent (9.7 percent on a constant exchange basis) to a first-quarter record of $2.6 billion; total gross profit grew 6.9 percent (8.6 percent) to $389.1 million.
- New vehicle revenues increased 5.8 percent (8.5 percent) on 3.9 percent higher unit sales. New vehicle gross profit increased 2.9 percent (5.9 percent) to $71.7 million.
- Retail used vehicle revenues increased 10.4 percent (12.6 percent) on 9.4 percent higher unit sales. Retail used vehicle gross profit improved 6.7 percent (7.8 percent) to $49.2 million as lower margins, down $38 per unit, partially offset the quarter's revenue growth.
- Parts and service gross profit increased 10.5 percent (12.2 percent) on revenue growth of 9.4 percent (11.4 percent). Same Store parts and service gross profit increased 6.5 percent (8.0 percent) on revenue growth of 5.4 percent (7.3 percent).
- Same Store Finance and Insurance (F&I) gross profit per retail unit (PRU) increased 0.7 percent (1.6 percent) to $1,385 per retail unit. U.S. F&I gross profit per unit increased $26 to a best ever record of $1,564.
- Adjusted Selling, General and Administrative (SG&A) expenses as a percent of gross profit increased 20 basis points to 74.8 percent.
Segment Results for First Quarter 2016 (year-over-year comparable basis)
- United States:The Company's U.S. revenues were $2.1 billion, an increase of 4.2 percent. The revenue growth reflects a 6.7 percent increase in retail used vehicles unit sales, as well as increases of 8.4 percent in parts and service revenue and 3.6 percent in finance and insurance revenue. This sales performance delivered gross profit growth of 5.8 percent, reflecting an 80 basis point improvement in parts and service gross margin, as well as the aforementioned growth in F&I PRU. Adjusted SG&A expenses as a percent of gross profit increased 30 basis points to 73.4 percent and adjusted operating margin was flat at 3.7 percent. The Company's U.S. operations accounted for 79.8 percent of total revenues and 85.5 percent of total gross profit.
- United Kingdom:The Company's U.K. operations accounted for 16.6 percent of total revenues and 12.0 percent of total gross profit. Total revenue increased 44.2 percent (52.4 percent) to $431.9 million, and gross profit increased 36.9 percent (44.6 percent). Revenue growth was primarily driven by 63.2 and 26.1 percent increases in new and used vehicle retail unit sales, respectively. On a Same Store basis, adjusted SG&A expenses as a percent of gross profit improved 370 basis points to 74.6 percent.
- Brazil:The Company's Brazilian operations accounted for 3.6 percent of total revenues and 2.5 percent of total gross profit. Brazil's new vehicle industry volumes declined roughly 28 percent due to continued weakness in the local economy, while the Company's Same Store new vehicle revenue was only down 6.2 percent on a constant exchange basis. Total Same Store revenue was only down 0.4 percent on a local currency basis as strong growth in used retail and parts and service mostly offset the decline in new vehicle sales.
Corporate Development
As previously announced, the Company acquired 15 franchises in the U.K. during February 2016. In April 2016, the Company acquired 2 franchises in Brazil, which include BMW and Toyota, and also began operations at the Land Rover and Jaguar open point that had been awarded last year. These acquisitions are expected to generate $595 million in estimated annual revenues.
As previously announced, the Company has disposed of a Volkswagen franchise and Toyota franchise in the U.S. Year to date, the Company has also disposed of 3 stores in Brazil, which include two Nissan franchises and a Peugeot franchise, with plans to dispose of another Peugeot store later this year. These franchises represented approximately $110 million of annual revenues.
Share Repurchase Authorization
During the first quarter of 2016, the Company repurchased 576,230 shares at an average price of $55.44 for a total of $31.9 million. Thus far in April 2016, the Company has repurchased an additional 911,207 shares at an average price of $54.87 for a total of $50.0 million. As of April 27, 2016, $68.1 million remains available under the Company's prior common stock share repurchase authorization. Purchases may be made from time to time in the open market or in privately negotiated transactions, based on market conditions, legal requirements and other corporate considerations and subject to Board approval and covenant restrictions.
First Quarter Earnings Conference Call Details
The Company's senior management will host a conference call today at 10 a.m. ET to discuss the first quarter financial results and the Company's outlook and strategy.
The conference call will be simulcast live on the Internet at www.group1auto.com, then click on 'Investor Relations' and then 'Events' or through this link: http://www.group1corp.com/events. A webcast replay will be available for 30 days.
The conference call will also be available live by dialing in 15 minutes prior to the start of the call at:
|
Domestic: |
1-888-317-6003 |
|
International: |
1-412-317-6061 |
|
Conference ID: |
6811652 |
A telephonic replay will be available following the call through May 4, 2016 by dialing:
|
Domestic: |
1-877-344-7529 |
|
International: |
1-412-317-0088 |
|
Replay ID: |
10083995 |
ABOUT GROUP 1 AUTOMOTIVE, INC.
Group 1 owns and operates 162 automotive dealerships, 213 franchises, and 37 collision centersin the United States, the United Kingdom and Brazil that offer 34 brands of automobiles. Through its dealerships, the Company sells new and used cars and light trucks; arranges related vehicle financing; sells service contracts; provides automotive maintenance and repair services; and sells vehicle parts.
Investors please visit www.group1corp.com, www.group1auto.com, www.group1collision.com, www.facebook.com/group1auto, and www.twitter.com/group1auto, where Group 1 discloses additional information about the Company, its business, and its results of operations.
FORWARD-LOOKING STATEMENTS
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, which are statements related to future, not past, events and are based on our current expectations and assumptions regarding our business, the economy and other future conditions. 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," "should," "foresee," "may" or "will" and similar expressions. While management believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting us will be those that we anticipate. Any such forward-looking statements are not assurances of future performance and involve risks and uncertainties that may cause actual results to differ materially from those set forth in the statements. These risks and uncertainties include, among other things, (a) general economic and business 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 dispositions and the risks associated therewith, (h) foreign exchange controls and currency fluctuations, and (i) our ability to retain key personnel. For additional information regarding known material factors that could cause our actual results to differ from our projected results, please see our filings with the SEC, including our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise.
NON-GAAP FINANCIAL MEASURES
This press release and the attached financial tables contain certain non-GAAP financial measures as defined under SEC rules, such as adjusted net income and adjusted earnings per share from continuing operations, which exclude certain items disclosed in the attached financial tables. As required by SEC rules, the Company provides reconciliations of these measures to the most directly comparable GAAP measures. The Company believes that these non-GAAP financial measures improve the transparency of the Company's disclosure, provide a meaningful presentation of the Company's results from its core business operations excluding the impact of items not related to the Company's ongoing core business operations, and improve the period-to-period comparability of the Company's results from its core business operations.
Investor contacts:Sheila RothManager, Investor RelationsGroup 1 Automotive, Inc.713-647-5741 | [email protected]
Media contacts:Pete DeLongchampsV.P. Manufacturer Relations, Financial Services and Public AffairsGroup 1 Automotive, Inc.713-647-5770 | [email protected] orClint WoodsPierpont Communications, Inc.713-627-2223 | [email protected]
|
Group 1 Automotive, Inc. | |||||
|
Consolidated Statements of Operations | |||||
|
(Unaudited) | |||||
|
(In thousands, except per share amounts) | |||||
|
Three Months Ended March 31, | |||||
|
2016 |
2015 |
% Increase/ (Decrease) | |||
|
REVENUES: |
|||||
|
New vehicle retail sales |
$ 1,409,851 |
$ 1,332,724 |
5.8 | ||
|
Used vehicle retail sales |
688,171 |
623,193 |
10.4 | ||
|
Used vehicle wholesale sales |
101,592 |
100,192 |
1.4 | ||
|
Parts and service |
308,592 |
282,189 |
9.4 | ||
|
Finance and insurance |
100,149 |
94,556 |
5.9 | ||
|
Total revenues |
2,608,355 |
2,432,854 |
7.2 | ||
|
COST OF SALES: |
|||||
|
New vehicle retail sales |
1,338,124 |
1,262,993 |
5.9 | ||
|
Used vehicle retail sales |
638,971 |
577,072 |
10.7 | ||
|
Used vehicle wholesale sales |
100,143 |
97,513 |
2.7 | ||
|
Parts and service |
142,016 |
131,392 |
8.1 | ||
|
Total cost of sales |
2,219,254 |
2,068,970 |
7.3 | ||
|
GROSS PROFIT |
389,101 |
363,884 |
6.9 | ||
|
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES |
293,664 |
271,469 |
8.2 | ||
|
DEPRECIATION AND AMORTIZATION EXPENSE |
12,464 |
11,684 |
6.7 | ||
|
ASSET IMPAIRMENTS |
932 |
— |
100.0 | ||
|
OPERATING INCOME |
82,041 |
80,731 |
1.6 | ||
|
OTHER EXPENSE: |
|||||
|
Floorplan interest expense |
(11,010) |
(9,348) |
17.8 | ||
|
Other interest expense, net |
(16,929) |
(13,911) |
21.7 | ||
|
INCOME BEFORE INCOME TAXES |
54,102 |
57,472 |
(5.9) | ||
|
PROVISION FOR INCOME TAXES |
(19,811) |
(21,657) |
(8.5) | ||
|
NET INCOME |
$ 34,291 |
$ 35,815 |
(4.3) | ||
|
Less: Earnings allocated to participating securities |
$ 1,348 |
$ 1,388 |
(2.9) | ||
|
Earnings available to diluted common shares |
$ 32,943 |
$ 34,427 |
(4.3) | ||
|
DILUTED EARNINGS PER SHARE |
$ 1.47 |
$ 1.47 |
— | ||
|
Weighted average dilutive common shares outstanding |
22,453 |
23,446 |
(4.2) | ||
|
Weighted average participating securities |
921 |
932 |
(1.2) | ||
|
Total weighted average shares outstanding |
23,374 |
24,378 |
(4.1) | ||
|
Group 1 Automotive, Inc. | ||||||
|
Consolidated Balance Sheets | ||||||
|
(Unaudited) | ||||||
|
(Dollars in thousands) | ||||||
|
March 31, 2016 |
December 31, 2015 |
% Increase/ (Decrease) | ||||
|
ASSETS: |
||||||
|
CURRENT ASSETS: |
||||||
|
Cash and cash equivalents |
$ 22,381 |
$ 13,037 |
71.7 | |||
|
Contracts in transit and vehicle receivables, net |
209,542 |
252,438 |
(17.0) | |||
|
Accounts and notes receivable, net |
154,162 |
157,768 |
(2.3) | |||
|
Inventories, net |
1,826,531 |
1,737,751 |
5.1 | |||
|
Prepaid expenses and other current assets |
41,463 |
27,376 |
51.5 | |||
|
Total current assets |
2,254,079 |
2,188,370 |
3.0 | |||
|
PROPERTY AND EQUIPMENT, net |
1,063,852 |
1,033,981 |
2.9 | |||
|
GOODWILL AND INTANGIBLE FRANCHISE RIGHTS |
1,206,188 |
1,162,503 |
3.8 | |||
|
OTHER ASSETS |
9,727 |
11,862 |
(18.0) | |||
|
Total assets |
$ 4,533,846 |
$ 4,396,716 |
3.1 | |||
|
LIABILITIES AND STOCKHOLDERS' EQUITY: |
||||||
|
CURRENT LIABILITIES: |
||||||
|
Floorplan notes payable - credit facility and other |
$ 1,239,792 |
$ 1,265,719 |
(2.0) | |||
|
Offset account related to floorplan notes payable - credit facility |
(104,081) |
(110,759) |
(6.0) | |||
|
Floorplan notes payable - manufacturer affiliates |
437,672 |
389,071 |
12.5 | |||
|
Offset account related to floorplan notes payable - manufacturer affiliates |
(30,000) |
(25,500) |
17.6 | |||
|
Current maturities of long-term debt and short-term financing |
37,506 |
54,991 |
(31.8) | |||
|
Accounts payable |
327,594 |
280,423 |
16.8 | |||
|
Accrued expenses |
194,870 |
185,323 |
5.2 | |||
|
Total current liabilities |
2,103,353 |
2,039,268 |
3.1 | |||
|
5.00% SENIOR NOTES (principal of $550,000 at March 31, 2016 and December 31, 2015, respectively) |
539,309 |
538,933 |
0.1 | |||
|
5.25% SENIOR NOTES (principal of $300,000 at March 31, 2016 and December 31, 2015, respectively) |
295,186 |
295,156 |
— | |||
|
REAL ESTATE RELATED AND OTHER LONG-TERM DEBT, net of current maturities |
375,144 |
317,290 |
18.2 | |||
|
CAPITAL LEASE OBLIGATIONS RELATED TO REAL ESTATE, net of current maturities |
47,040 |
48,155 |
(2.3) | |||
|
DEFERRED INCOME TAXES |
138,984 |
136,644 |
1.7 | |||
|
LIABILITIES FROM INTEREST RATE RISK MANAGEMENT ACTIVITIES |
43,122 |
31,153 |
38.4 | |||
|
OTHER LIABILITIES |
78,915 |
71,865 |
9.8 | |||
|
STOCKHOLDERS' EQUITY: |
||||||
|
Common stock |
257 |
257 |
— | |||
|
Additional paid-in capital |
283,196 |
291,092 |
(2.7) | |||
|
Retained earnings |
955,326 |
926,169 |
3.1 | |||
|
Accumulated other comprehensive loss |
(144,856) |
(137,984) |
5.0 | |||
|
Treasury stock |
(181,130) |
(161,282) |
12.3 | |||
|
Total stockholders' equity |
912,793 |
918,252 |
(0.6) | |||
|
Total liabilities and stockholders' equity |
$ 4,533,846 |
$ 4,396,716 |
3.1 | |||
|
Group 1 Automotive, Inc. | |||||
|
Additional Information - Consolidated | |||||
|
(Unaudited) | |||||
|
Three Months Ended | |||||
|
March 31, | |||||
|
2016 (%) |
2015 (%) | ||||
|
NEW VEHICLE UNIT SALES GEOGRAPHIC MIX: |
|||||
|
Region |
Geographic Market |
||||
|
East |
Massachusetts |
5.0 |
5.8 | ||
|
Georgia |
3.8 |
4.7 | |||
|
Florida |
2.4 |
1.3 | |||
|
New Hampshire |
1.7 |
1.7 | |||
|
New Jersey |
1.6 |
2.2 | |||
|
Mississippi |
1.5 |
1.6 | |||
|
Louisiana |
1.4 |
1.6 | |||
|
South Carolina |
1.4 |
1.4 | |||
|
Alabama |
0.8 |
0.8 | |||
|
Maryland |
0.4 |
0.5 | |||
|
20.0 |
21.6 | ||||
|
West |
Texas |
37.0 |
38.5 | ||
|
California |
9.0 |
9.4 | |||
|
Oklahoma |
7.2 |
7.7 | |||
|
Kansas |
1.8 |
2.2 | |||
|
Louisiana |
0.6 |
0.7 | |||
|
55.6 |
58.5 | ||||
|
International |
United Kingdom |
18.0 |
11.5 | ||
|
Brazil |
6.4 |
8.4 | |||
|
100.0 |
100.0 | ||||
|
NEW VEHICLE UNIT SALES BRAND MIX: |
|||||
|
Toyota/Scion/Lexus |
23.8 |
26.1 | |||
|
BMW/MINI |
13.1 |
11.7 | |||
|
Ford/Lincoln |
11.5 |
12.0 | |||
|
Volkswagen/Audi/Porsche |
10.6 |
6.0 | |||
|
Honda/Acura |
10.5 |
10.7 | |||
|
Nissan |
7.9 |
9.3 | |||
|
Chevrolet/GMC/Buick/Cadillac |
7.8 |
7.5 | |||
|
Hyundai/Kia |
4.7 |
5.7 | |||
|
Chrysler/Dodge/Jeep/RAM |
4.0 |
4.5 | |||
|
Mercedes-Benz/smart/Sprinter |
3.7 |
4.1 | |||
|
Other |
2.4 |
2.4 | |||
|
100.0 |
100.0 | ||||
|
Group 1 Automotive, Inc. | ||||||
|
Additional Information - U.S. | ||||||
|
(Unaudited) | ||||||
|
(Dollars in thousands, except per unit amounts) | ||||||
|
Three Months Ended March 31, | ||||||
|
2016 |
2015 |
% Increase/ (Decrease) | ||||
|
REVENUES: |
||||||
|
New vehicle retail sales |
$ 1,100,393 |
$ 1,087,159 |
1.2 | |||
|
Used vehicle retail sales |
558,764 |
511,973 |
9.1 | |||
|
Used vehicle wholesale sales |
68,873 |
69,378 |
(0.7) | |||
|
Total used |
627,637 |
581,351 |
8.0 | |||
|
Parts and service |
263,458 |
242,944 |
8.4 | |||
|
Finance and insurance |
90,145 |
87,046 |
3.6 | |||
|
Total |
$ 2,081,633 |
$ 1,998,500 |
4.2 | |||
|
GROSS MARGIN %: |
||||||
|
New vehicle retail sales |
4.9 |
4.9 |
||||
|
Used vehicle retail sales |
7.8 |
7.9 |
||||
|
Used vehicle wholesale sales |
1.2 |
3.1 |
||||
|
Total used |
7.1 |
7.3 |
||||
|
Parts and service |
54.7 |
53.9 |
||||
|
Finance and insurance |
100.0 |
100.0 |
||||
|
Total |
16.0 |
15.7 |
||||
|
GROSS PROFIT: |
||||||
|
New vehicle retail sales |
$ 54,146 |
$ 53,687 |
0.9 | |||
|
Used vehicle retail sales |
43,455 |
40,552 |
7.2 | |||
|
Used vehicle wholesale sales |
844 |
2,145 |
(60.7) | |||
|
Total used |
44,299 |
42,697 |
3.8 | |||
|
Parts and service |
144,120 |
131,058 |
10.0 | |||
|
Finance and insurance |
90,145 |
87,046 |
3.6 | |||
|
Total |
$ 332,710 |
$ 314,488 |
5.8 | |||
|
UNITS SOLD: |
||||||
|
Retail new vehicles sold |
30,801 |
31,438 |
(2.0) | |||
|
Retail used vehicles sold |
26,831 |
25,148 |
6.7 | |||
|
Wholesale used vehicles sold |
10,413 |
10,544 |
(1.2) | |||
|
Total used |
37,244 |
35,692 |
4.3 | |||
|
AVERAGE RETAIL SALES PRICE: |
||||||
|
New vehicle retail |
$ 35,726 |
$ 34,581 |
3.3 | |||
|
Used vehicle retail |
$ 20,825 |
$ 20,358 |
2.3 | |||
|
GROSS PROFIT PER UNIT SOLD: |
||||||
|
New vehicle retail sales |
$ 1,758 |
$ 1,708 |
2.9 | |||
|
Used vehicle retail sales |
1,620 |
1,613 |
0.4 | |||
|
Used vehicle wholesale sales |
81 |
203 |
(60.1) | |||
|
Total used |
1,189 |
1,196 |
(0.6) | |||
|
Finance and insurance (per retail unit) |
$ 1,564 |
$ 1,538 |
1.7 | |||
|
OTHER: (1) |
||||||
|
SG&A expenses |
$ 244,086 |
$ 229,972 |
6.1 | |||
|
SG&A as % revenues |
11.7 |
11.5 |
||||
|
SG&A as % gross profit |
73.4 |
73.1 |
||||
|
Operating margin % |
3.7 |
3.7 |
||||
|
Pretax margin % |
2.5 |
2.7 |
||||
|
INTEREST EXPENSE: |
||||||
|
Floorplan interest expense |
$ (10,049) |
$ (8,518) |
18.0 | |||
|
Floorplan assistance |
11,251 |
10,576 |
6.4 | |||
|
Net floorplan income |
$ 1,202 |
$ 2,058 |
(41.6) | |||
|
Other interest expense, net |
$ (15,513) |
$ (12,724) |
21.9 | |||
|
(1) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments. |
|
Group 1 Automotive, Inc. | ||||||||
|
Additional Information - U.K. | ||||||||
|
(Unaudited) | ||||||||
|
(Dollars in thousands, except per unit amounts) | ||||||||
|
Three Months Ended March 31, | ||||||||
|
2016 |
2015 |
% Increase/ (Decrease) |
Local Currency% Increase/ (Decrease) | |||||
|
REVENUES: |
||||||||
|
New vehicle retail sales |
$ 246,536 |
$ 151,211 |
63.0 |
72.1 | ||||
|
Used vehicle retail sales |
110,117 |
89,136 |
23.5 |
30.8 | ||||
|
Used vehicle wholesale sales |
32,032 |
28,078 |
14.1 |
20.8 | ||||
|
Total used |
142,149 |
117,214 |
21.3 |
28.4 | ||||
|
Parts and service |
34,549 |
25,588 |
35.0 |
43.0 | ||||
|
Finance and insurance |
8,662 |
5,528 |
56.7 |
65.7 | ||||
|
Total |
$ 431,896 |
$ 299,541 |
44.2 |
52.4 | ||||
|
GROSS MARGIN %: |
||||||||
|
New vehicle retail sales |
5.6 |
6.6 |
||||||
|
Used vehicle retail sales |
4.7 |
5.2 |
||||||
|
Used vehicle wholesale sales |
1.8 |
1.1 |
||||||
|
Total used |
4.1 |
4.2 |
||||||
|
Parts and service |
53.4 |
53.6 |
||||||
|
Finance and insurance |
100.0 |
100.0 |
||||||
|
Total |
10.8 |
11.4 |
||||||
|
GROSS PROFIT: |
||||||||
|
New vehicle retail sales |
$ 13,854 |
$ 9,950 |
39.2 |
46.6 | ||||
|
Used vehicle retail sales |
5,210 |
4,638 |
12.3 |
18.9 | ||||
|
Used vehicle wholesale sales |
572 |
321 |
78.2 |
88.3 | ||||
|
Total used |
5,782 |
4,959 |
16.6 |
23.4 | ||||
|
Parts and service |
18,448 |
13,721 |
34.5 |
42.3 | ||||
|
Finance and insurance |
8,662 |
5,528 |
56.7 |
65.7 | ||||
|
Total |
$ 46,746 |
$ 34,158 |
36.9 |
44.6 | ||||
|
UNITS SOLD: |
||||||||
|
Retail new vehicles sold |
7,358 |
4,509 |
63.2 |
|||||
|
Retail used vehicles sold |
4,595 |
3,643 |
26.1 |
|||||
|
Wholesale used vehicles sold |
3,642 |
2,935 |
24.1 |
|||||
|
Total used |
8,237 |
6,578 |
25.2 |
|||||
|
AVERAGE RETAIL SALES PRICE: |
||||||||
|
New vehicle retail |
$ 33,506 |
$ 33,535 |
(0.1) |
5.5 | ||||
|
Used vehicle retail |
$ 23,965 |
$ 24,468 |
(2.1) |
3.7 | ||||
|
GROSS PROFIT PER UNIT SOLD: |
||||||||
|
New vehicle retail sales |
$ 1,883 |
$ 2,207 |
(14.7) |
(10.2) | ||||
|
Used vehicle retail sales |
1,134 |
1,273 |
(10.9) |
(5.7) | ||||
|
Used vehicle wholesale sales |
157 |
109 |
44.0 |
51.7 | ||||
|
Total used |
702 |
754 |
(6.9) |
(1.4) | ||||
|
Finance and insurance (per retail unit) |
$ 725 |
$ 678 |
6.9 |
13.0 | ||||
|
OTHER: (1) |
||||||||
|
SG&A expenses |
$ 36,875 |
$ 26,762 |
37.8 |
45.9 | ||||
|
SG&A as % revenues |
8.5 |
8.9 |
||||||
|
SG&A as % gross profit |
78.9 |
78.3 |
||||||
|
Operating margin % |
1.9 |
2.1 |
||||||
|
Pretax margin % |
1.4 |
1.7 |
||||||
|
INTEREST EXPENSE: |
||||||||
|
Floorplan interest expense |
$ (920) |
$ (510) |
80.4 |
91.3 | ||||
|
Floorplan assistance |
263 |
185 |
42.2 |
50.4 | ||||
|
Net floorplan expense |
$ (657) |
$ (325) |
102.2 |
114.6 | ||||
|
Other interest expense, net |
$ (1,282) |
$ (735) |
74.4 |
84.7 | ||||
|
(1) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments. |
|
Group 1 Automotive, Inc. | ||||||||
|
Additional Information - Brazil | ||||||||
|
(Unaudited) | ||||||||
|
(Dollars in thousands, except per unit amounts) | ||||||||
|
Three Months Ended March 31, | ||||||||
|
2016 |
2015 |
% Increase/ (Decrease) |
Local Currency% Increase/ (Decrease) | |||||
|
REVENUES: |
||||||||
|
New vehicle retail sales |
$ 62,922 |
$ 94,354 |
(33.3) |
(9.1) | ||||
|
Used vehicle retail sales |
19,290 |
22,084 |
(12.7) |
20.3 | ||||
|
Used vehicle wholesale sales |
687 |
2,736 |
(74.9) |
(65.3) | ||||
|
Total used |
19,977 |
24,820 |
(19.5) |
10.9 | ||||
|
Parts and service |
10,585 |
13,657 |
(22.5) |
5.6 | ||||
|
Finance and insurance |
1,342 |
1,982 |
(32.3) |
(7.3) | ||||
|
Total |
$ 94,826 |
$ 134,813 |
(29.7) |
(3.9) | ||||
|
GROSS MARGIN %: |
||||||||
|
New vehicle retail sales |
5.9 |
6.5 |
||||||
|
Used vehicle retail sales |
2.8 |
4.2 |
||||||
|
Used vehicle wholesale sales |
4.8 |
7.8 |
||||||
|
Total used |
2.8 |
4.6 |
||||||
|
Parts and service |
37.9 |
44.1 |
||||||
|
Finance and insurance |
100.0 |
100.0 |
||||||
|
Total |
10.2 |
11.3 |
||||||
|
GROSS PROFIT: |
||||||||
|
New vehicle retail sales |
$ 3,727 |
$ 6,094 |
(38.8) |
(16.3) | ||||
|
Used vehicle retail sales |
535 |
931 |
(42.5) |
(19.5) | ||||
|
Used vehicle wholesale sales |
33 |
213 |
(84.5) |
(78.7) | ||||
|
Total used |
568 |
1,144 |
(50.3) |
(30.5) | ||||
|
Parts and service |
4,008 |
6,018 |
(33.4) |
(9.0) | ||||
|
Finance and insurance |
1,342 |
1,982 |
(32.3) |
(7.3) | ||||
|
Total |
$ 9,645 |
$ 15,238 |
(36.7) |
(13.3) | ||||
|
UNITS SOLD: |
||||||||
|
Retail new vehicles sold |
2,622 |
3,292 |
(20.4) |
|||||
|
Retail used vehicles sold |
1,365 |
1,192 |
14.5 |
|||||
|
Wholesale used vehicles sold |
311 |
461 |
(32.5) |
|||||
|
Total used |
1,676 |
1,653 |
1.4 |
|||||
|
AVERAGE RETAIL SALES PRICE: |
||||||||
|
New vehicle retail |
$ 23,998 |
$ 28,662 |
(16.3) |
14.1 | ||||
|
Used vehicle retail |
$ 14,132 |
$ 18,527 |
(23.7) |
5.1 | ||||
|
GROSS PROFIT PER UNIT SOLD: |
||||||||
|
New vehicle retail sales |
$ 1,421 |
$ 1,851 |
(23.2) |
5.1 | ||||
|
Used vehicle retail sales |
392 |
781 |
(49.8) |
(29.7) | ||||
|
Used vehicle wholesale sales |
106 |
462 |
(77.1) |
(68.4) | ||||
|
Total used |
339 |
692 |
(51.0) |
(31.5) | ||||
|
Finance and insurance (per retail unit) |
$ 337 |
$ 442 |
(23.8) |
4.2 | ||||
|
OTHER: (1) |
||||||||
|
SG&A expenses |
$ 10,019 |
$ 14,735 |
(32.0) |
(6.9) | ||||
|
SG&A as % revenues |
10.6 |
10.9 |
||||||
|
SG&A as % gross profit |
103.9 |
96.7 |
||||||
|
Operating margin % |
(0.7) |
— |
||||||
|
Pretax margin % |
(0.9) |
(0.6) |
||||||
|
INTEREST EXPENSE: |
||||||||
|
Floorplan interest expense |
$ (41) |
$ (320) |
(87.2) |
(81.2) | ||||
|
Floorplan assistance |
— |
— |
- |
- | ||||
|
Net floorplan expense |
$ (41) |
$ (320) |
(87.2) |
(81.2) | ||||
|
Other interest expense, net |
$ (134) |
$ (452) |
(70.4) |
(59.2) | ||||
|
(1) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments. |
|
Group 1 Automotive, Inc. | ||||||||
|
Additional Information - Consolidated | ||||||||
|
(Unaudited) | ||||||||
|
(Dollars in thousands, except per unit amounts) | ||||||||
|
Three Months Ended March 31, | ||||||||
|
2016 |
2015 |
% Increase/ (Decrease) |
Local Currency% Increase/ (Decrease) | |||||
|
REVENUES: |
||||||||
|
New vehicle retail sales |
$ 1,409,851 |
$ 1,332,724 |
5.8 |
8.5 | ||||
|
Used vehicle retail sales |
688,171 |
623,193 |
10.4 |
12.6 | ||||
|
Used vehicle wholesale sales |
101,592 |
100,192 |
1.4 |
3.5 | ||||
|
Total used |
789,763 |
723,385 |
9.2 |
11.4 | ||||
|
Parts and service |
308,592 |
282,189 |
9.4 |
11.4 | ||||
|
Finance and insurance |
100,149 |
94,556 |
5.9 |
7.0 | ||||
|
Total |
$ 2,608,355 |
$ 2,432,854 |
7.2 |
9.7 | ||||
|
GROSS MARGIN %: |
||||||||
|
New vehicle retail sales |
5.1 |
5.2 |
||||||
|
Used vehicle retail sales |
7.1 |
7.4 |
||||||
|
Used vehicle wholesale sales |
1.4 |
2.7 |
||||||
|
Total used |
6.4 |
6.7 |
||||||
|
Parts and service |
54.0 |
53.4 |
||||||
|
Finance and insurance |
100.0 |
100.0 |
||||||
|
Total |
14.9 |
15.0 |
||||||
|
GROSS PROFIT: |
||||||||
|
New vehicle retail sales |
$ 71,727 |
$ 69,731 |
2.9 |
5.9 | ||||
|
Used vehicle retail sales |
49,200 |
46,121 |
6.7 |
7.8 | ||||
|
Used vehicle wholesale sales |
1,449 |
2,679 |
(45.9) |
(44.3) | ||||
|
Total used |
50,649 |
48,800 |
3.8 |
4.9 | ||||
|
Parts and service |
166,576 |
150,797 |
10.5 |
12.2 | ||||
|
Finance and insurance |
100,149 |
94,556 |
5.9 |
7.0 | ||||
|
Total |
$ 389,101 |
$ 363,884 |
6.9 |
8.6 | ||||
|
UNITS SOLD: |
||||||||
|
Retail new vehicles sold |
40,781 |
39,239 |
3.9 |
|||||
|
Retail used vehicles sold |
32,791 |
29,983 |
9.4 |
|||||
|
Wholesale used vehicles sold |
14,366 |
13,940 |
3.1 |
|||||
|
Total used |
47,157 |
43,923 |
7.4 |
|||||
|
AVERAGE RETAIL SALES PRICE: |
||||||||
|
New vehicle retail |
$ 34,571 |
$ 33,964 |
1.8 |
4.4 | ||||
|
Used vehicle retail |
$ 20,987 |
$ 20,785 |
1.0 |
3.0 | ||||
|
GROSS PROFIT PER UNIT SOLD: |
||||||||
|
New vehicle retail sales |
$ 1,759 |
$ 1,777 |
(1.0) |
1.9 | ||||
|
Used vehicle retail sales |
1,500 |
1,538 |
(2.5) |
(1.4) | ||||
|
Used vehicle wholesale sales |
101 |
192 |
(47.4) |
(45.9) | ||||
|
Total used |
1,074 |
1,111 |
(3.3) |
(2.3) | ||||
|
Finance and insurance (per retail unit) |
$ 1,361 |
$ 1,366 |
(0.4) |
0.6 | ||||
|
OTHER: (1) |
||||||||
|
SG&A expenses |
$ 290,980 |
$ 271,469 |
7.2 |
9.4 | ||||
|
SG&A as % revenues |
11.2 |
11.2 |
||||||
|
SG&A as % gross profit |
74.8 |
74.6 |
||||||
|
Operating margin % |
3.3 |
3.3 |
||||||
|
Pretax margin % |
2.2 |
2.4 |
||||||
|
INTEREST EXPENSE: |
||||||||
|
Floorplan interest expense |
$ (11,010) |
$ (9,348) |
17.8 |
18.6 | ||||
|
Floorplan assistance |
11,514 |
10,761 |
7.0 |
7.0 | ||||
|
Net floorplan expense |
$ 504 |
$ 1,413 |
(64.3) |
(69.5) | ||||
|
Other interest expense, net |
$ (16,929) |
$ (13,911) |
21.7 |
22.6 | ||||
|
(1) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments. |
|
Group 1 Automotive, Inc. | ||||||
|
Additional Information - Same Store U.S. (1) | ||||||
|
(Unaudited) | ||||||
|
(Dollars in thousands, except per unit amounts) | ||||||
|
Three Months Ended March 31, | ||||||
|
2016 |
2015 |
% Increase/ (Decrease) | ||||
|
REVENUES: |
||||||
|
New vehicle retail sales |
$ 1,061,126 |
$ 1,068,403 |
(0.7) | |||
|
Used vehicle retail sales |
538,622 |
502,064 |
7.3 | |||
|
Used vehicle wholesale sales |
65,078 |
67,380 |
(3.4) | |||
|
Total used |
603,700 |
569,444 |
6.0 | |||
|
Parts and service |
254,955 |
237,698 |
7.3 | |||
|
Finance and insurance |
87,598 |
86,106 |
1.7 | |||
|
Total |
$ 2,007,379 |
$ 1,961,651 |
2.3 | |||
|
GROSS MARGIN %: |
||||||
|
New vehicle retail sales |
4.9 |
4.9 |
||||
|
Used vehicle retail sales |
7.8 |
8.0 |
||||
|
Used vehicle wholesale sales |
1.7 |
3.1 |
||||
|
Total used |
7.1 |
7.4 |
||||
|
Parts and service |
54.7 |
54.0 |
||||
|
Finance and insurance |
100.0 |
100.0 |
||||
|
Total |
16.0 |
15.8 |
||||
|
GROSS PROFIT: |
||||||
|
New vehicle retail sales |
$ 51,842 |
$ 52,647 |
(1.5) | |||
|
Used vehicle retail sales |
41,795 |
40,009 |
4.5 | |||
|
Used vehicle wholesale sales |
1,091 |
2,110 |
(48.3) | |||
|
Total used |
42,886 |
42,119 |
1.8 | |||
|
Parts and service |
139,381 |
128,286 |
8.6 | |||
|
Finance and insurance |
87,598 |
86,106 |
1.7 | |||
|
Total |
$ 321,707 |
$ 309,158 |
4.1 | |||
|
UNITS SOLD: |
||||||
|
Retail new vehicles sold |
29,972 |
30,939 |
(3.1) | |||
|
Retail used vehicles sold |
26,148 |
24,761 |
5.6 | |||
|
Wholesale used vehicles sold |
10,112 |
10,356 |
(2.4) | |||
|
Total used |
36,260 |
35,117 |
3.3 | |||
|
AVERAGE RETAIL SALES PRICE: |
||||||
|
New vehicle retail |
$ 35,404 |
$ 34,533 |
2.5 | |||
|
Used vehicle retail |
$ 20,599 |
$ 20,276 |
1.6 | |||
|
GROSS PROFIT PER UNIT SOLD: |
||||||
|
New vehicle retail sales |
$ 1,730 |
$ 1,702 |
1.6 | |||
|
Used vehicle retail sales |
1,598 |
1,616 |
(1.1) | |||
|
Used vehicle wholesale sales |
108 |
204 |
(47.1) | |||
|
Total used |
1,183 |
1,199 |
(1.3) | |||
|
Finance and insurance (per retail unit) |
$ 1,561 |
$ 1,546 |
1.0 | |||
|
OTHER:(2) |
||||||
|
SG&A expenses |
$ 235,287 |
$ 224,342 |
4.9 | |||
|
SG&A as % revenues |
11.7 |
11.4 |
||||
|
SG&A as % gross profit |
73.1 |
72.6 |
||||
|
Operating margin % |
3.8 |
3.8 |
||||
|
(1) Same store amounts include the results for the identical months in each period presented in the comparison, commencing with the first full month we owned the dealership and, in the case of dispositions, ending with the last full month we owned it. Same store results also include the activities of our corporate office. | ||||||
|
(2) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments. |
|
Group 1 Automotive, Inc. |
||||||||
|
Additional Information - Same Store U.K. (1) |
||||||||
|
(Unaudited) |
||||||||
|
(Dollars in thousands, except per unit amounts) |
||||||||
|
Three Months Ended March 31, | ||||||||
|
2016 |
2015 |
% Increase/ (Decrease) |
Local Currency% Increase/ (Decrease) | |||||
|
REVENUES: |
||||||||
|
New vehicle retail sales |
$ 172,612 |
$ 151,211 |
14.2 |
20.4 | ||||
|
Used vehicle retail sales |
91,515 |
89,136 |
2.7 |
8.6 | ||||
|
Used vehicle wholesale sales |
24,788 |
28,078 |
(11.7) |
(6.6) | ||||
|
Total used |
116,303 |
117,214 |
(0.8) |
5.0 | ||||
|
Parts and service |
25,737 |
25,588 |
0.6 |
6.5 | ||||
|
Finance and insurance |
6,687 |
5,528 |
21.0 |
27.8 | ||||
|
Total |
$ 321,339 |
$ 299,541 |
7.3 |
13.3 | ||||
|
GROSS MARGIN %: |
||||||||
|
New vehicle retail sales |
6.0 |
6.6 |
||||||
|
Used vehicle retail sales |
4.9 |
5.2 |
||||||
|
Used vehicle wholesale sales |
2.4 |
1.1 |
||||||
|
Total used |
4.3 |
4.2 |
||||||
|
Parts and service |
54.5 |
53.6 |
||||||
|
Finance and insurance |
100.0 |
100.0 |
||||||
|
Total |
11.2 |
11.4 |
||||||
|
GROSS PROFIT: |
||||||||
|
New vehicle retail sales |
$ 10,291 |
$ 9,952 |
3.4 |
8.9 | ||||
|
Used vehicle retail sales |
4,442 |
4,637 |
(4.2) |
1.3 | ||||
|
Used vehicle wholesale sales |
587 |
320 |
83.4 |
93.7 | ||||
|
Total used |
5,029 |
4,957 |
1.5 |
7.3 | ||||
|
Parts and service |
14,030 |
13,721 |
2.3 |
8.2 | ||||
|
Finance and insurance |
6,687 |
5,528 |
21.0 |
27.8 | ||||
|
Total |
$ 36,037 |
$ 34,158 |
5.5 |
11.4 | ||||
|
UNITS SOLD: |
||||||||
|
Retail new vehicles sold |
5,121 |
4,509 |
13.6 |
|||||
|
Retail used vehicles sold |
3,896 |
3,643 |
6.9 |
|||||
|
Wholesale used vehicles sold |
3,039 |
2,935 |
3.5 |
|||||
|
Total used |
6,935 |
6,578 |
5.4 |
|||||
|
AVERAGE RETAIL SALES PRICE: |
||||||||
|
New vehicle retail |
$ 33,707 |
$ 33,535 |
0.5 |
6.0 | ||||
|
Used vehicle retail |
$ 23,489 |
$ 24,468 |
(4.0) |
1.6 | ||||
|
GROSS PROFIT PER UNIT SOLD: |
||||||||
|
New vehicle retail sales |
$ 2,010 |
$ 2,207 |
(8.9) |
(4.1) | ||||
|
Used vehicle retail sales |
1,140 |
1,273 |
(10.4) |
(5.2) | ||||
|
Used vehicle wholesale sales |
193 |
109 |
77.1 |
87.1 | ||||
|
Total used |
725 |
754 |
(3.8) |
1.8 | ||||
|
Finance and insurance (per retail unit) |
$ 742 |
$ 678 |
9.4 |
15.6 | ||||
|
OTHER: (2) |
||||||||
|
SG&A expenses |
$ 26,899 |
$ 26,763 |
0.5 |
6.4 | ||||
|
SG&A as % revenues |
8.4 |
8.9 |
||||||
|
SG&A as % gross profit |
74.6 |
78.3 |
||||||
|
Operating margin % |
2.5 |
2.1 |
||||||
|
(1) Same store amounts include the results for the identical months in each period presented in the comparison, commencing with the first full month we owned the dealership and, in the case of dispositions, ending with the last full month we owned it. Same store results also include the activities of our corporate office. | ||||||
|
(2) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments. |
|
Group 1 Automotive, Inc. |
||||||||
|
Additional Information - Same Store Brazil (1) |
||||||||
|
(Unaudited) |
||||||||
|
(Dollars in thousands, except per unit amounts) |
||||||||
|
Three Months Ended March 31, | ||||||||
|
2016 |
2015 |
% Increase/ (Decrease) |
Local Currency% Increase/ (Decrease) | |||||
|
REVENUES: |
||||||||
|
New vehicle retail sales |
$ 62,170 |
$ 90,439 |
(31.3) |
(6.2) | ||||
|
Used vehicle retail sales |
18,922 |
20,705 |
(8.6) |
26.2 | ||||
|
Used vehicle wholesale sales |
587 |
2,379 |
(75.3) |
(65.6) | ||||
|
Total used |
19,509 |
23,084 |
(15.5) |
16.7 | ||||
|
Parts and service |
10,307 |
12,728 |
(19.0) |
10.5 | ||||
|
Finance and insurance |
1,332 |
1,927 |
(30.9) |
(5.2) | ||||
|
Total |
$ 93,318 |
$ 128,178 |
(27.2) |
(0.4) | ||||
|
GROSS MARGIN %: |
||||||||
|
New vehicle retail sales |
6.1 |
6.5 |
||||||
|
Used vehicle retail sales |
3.0 |
4.2 |
||||||
|
Used vehicle wholesale sales |
6.0 |
7.6 |
||||||
|
Total used |
3.1 |
4.5 |
||||||
|
Parts and service |
38.1 |
44.7 |
||||||
|
Finance and insurance |
100.0 |
100.0 |
||||||
|
Total |
10.3 |
11.3 |
||||||
|
GROSS PROFIT: |
||||||||
|
New vehicle retail sales |
$ 3,789 |
$ 5,868 |
(35.4) |
(11.7) | ||||
|
Used vehicle retail sales |
566 |
863 |
(34.4) |
(7.6) | ||||
|
Used vehicle wholesale sales |
35 |
181 |
(80.7) |
(72.7) | ||||
|
Total used |
601 |
1,044 |
(42.4) |
(18.9) | ||||
|
Parts and service |
3,923 |
5,695 |
(31.1) |
(5.8) | ||||
|
Finance and insurance |
1,332 |
1,927 |
(30.9) |
(5.2) | ||||
|
Total |
$ 9,645 |
$ 14,534 |
(33.6) |
(9.1) | ||||
|
UNITS SOLD: |
||||||||
|
Retail new vehicles sold |
2,559 |
3,079 |
(16.9) |
|||||
|
Retail used vehicles sold |
1,317 |
1,070 |
23.1 |
|||||
|
Wholesale used vehicles sold |
291 |
384 |
(24.2) |
|||||
|
Total used |
1,608 |
1,454 |
10.6 |
|||||
|
AVERAGE RETAIL SALES PRICE: |
||||||||
|
New vehicle retail |
$ 24,295 |
$ 29,373 |
(17.3) |
12.8 | ||||
|
Used vehicle retail |
$ 14,368 |
$ 19,350 |
(25.8) |
2.5 | ||||
|
GROSS PROFIT PER UNIT SOLD: |
||||||||
|
New vehicle retail sales |
$ 1,481 |
$ 1,906 |
(22.3) |
6.2 | ||||
|
Used vehicle retail sales |
430 |
807 |
(46.7) |
(24.9) | ||||
|
Used vehicle wholesale sales |
120 |
471 |
(74.5) |
(64.0) | ||||
|
Total used |
374 |
718 |
(47.9) |
(26.6) | ||||
|
Finance and insurance (per retail unit) |
$ 344 |
$ 464 |
(25.9) |
1.5 | ||||
|
OTHER:(2) |
||||||||
|
SG&A expenses |
$ 9,760 |
$ 12,776 |
(23.6) |
4.8 | ||||
|
SG&A as % revenues |
10.5 |
10.0 |
||||||
|
SG&A as % gross profit |
101.2 |
87.9 |
||||||
|
Operating margin % |
(0.4) |
1.1 |
||||||
|
(1) Same store amounts include the results for the identical months in each period presented in the comparison, commencing with the first full month we owned the dealership and, in the case of dispositions, ending with the last full month we owned it. Same store results also include the activities of our corporate office. | ||||||
|
(2) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments. |
|
Group 1 Automotive, Inc. |
||||||||
|
Additional Information - Same Store Consolidated (1) |
||||||||
|
(Unaudited) |
||||||||
|
(Dollars in thousands, except per unit amounts) |
||||||||
|
Three Months Ended March 31, | ||||||||
|
2016 |
2015 |
% Increase/ (Decrease) |
Local Currency% Increase/ (Decrease) | |||||
|
REVENUES: |
||||||||
|
New vehicle retail sales |
$ 1,295,908 |
$ 1,310,053 |
(1.1) |
1.4 | ||||
|
Used vehicle retail sales |
649,059 |
611,905 |
6.1 |
8.1 | ||||
|
Used vehicle wholesale sales |
90,453 |
97,837 |
(7.5) |
(5.8) | ||||
|
Total used |
739,512 |
709,742 |
4.2 |
6.2 | ||||
|
Parts and service |
290,999 |
276,014 |
5.4 |
7.3 | ||||
|
Finance and insurance |
95,617 |
93,561 |
2.2 |
3.1 | ||||
|
Total |
$ 2,422,036 |
$ 2,389,370 |
1.4 |
3.6 | ||||
|
GROSS MARGIN %: |
||||||||
|
New vehicle retail sales |
5.1 |
5.2 |
||||||
|
Used vehicle retail sales |
7.2 |
7.4 |
||||||
|
Used vehicle wholesale sales |
1.9 |
2.7 |
||||||
|
Total used |
6.6 |
6.8 |
||||||
|
Parts and service |
54.1 |
53.5 |
||||||
|
Finance and insurance |
100.0 |
100.0 |
||||||
|
Total |
15.2 |
15.0 |
||||||
|
GROSS PROFIT: |
||||||||
|
New vehicle retail sales |
$ 65,922 |
$ 68,467 |
(3.7) |
(0.9) | ||||
|
Used vehicle retail sales |
46,803 |
45,509 |
2.8 |
3.9 | ||||
|
Used vehicle wholesale sales |
1,713 |
2,611 |
(34.4) |
(32.6) | ||||
|
Total used |
48,516 |
48,120 |
0.8 |
1.9 | ||||
|
Parts and service |
157,334 |
147,702 |
6.5 |
8.0 | ||||
|
Finance and insurance |
95,617 |
93,561 |
2.2 |
3.1 | ||||
|
Total |
$ 367,389 |
$ 357,850 |
2.7 |
4.2 | ||||
|
UNITS SOLD: |
||||||||
|
Retail new vehicles sold |
37,652 |
38,527 |
(2.3) |
|||||
|
Retail used vehicles sold |
31,361 |
29,474 |
6.4 |
|||||
|
Wholesale used vehicles sold |
13,442 |
13,675 |
(1.7) |
|||||
|
Total used |
44,803 |
43,149 |
3.8 |
|||||
|
AVERAGE RETAIL SALES PRICE: |
||||||||
|
New vehicle retail |
$ 34,418 |
$ 34,004 |
1.2 |
3.7 | ||||
|
Used vehicle retail |
$ 20,696 |
$ 20,761 |
(0.3) |
1.6 | ||||
|
GROSS PROFIT PER UNIT SOLD: |
||||||||
|
New vehicle retail sales |
$ 1,751 |
$ 1,777 |
(1.5) |
1.4 | ||||
|
Used vehicle retail sales |
1,492 |
1,544 |
(3.4) |
(2.3) | ||||
|
Used vehicle wholesale sales |
127 |
191 |
(33.5) |
(31.4) | ||||
|
Total used |
1,083 |
1,115 |
(2.9) |
(1.8) | ||||
|
Finance and insurance (per retail unit) |
$ 1,385 |
$ 1,376 |
0.7 |
1.6 | ||||
|
OTHER:(2) |
||||||||
|
SG&A expenses |
$ 271,946 |
$ 263,881 |
3.1 |
5.0 | ||||
|
SG&A as % revenues |
11.2 |
11.0 |
||||||
|
SG&A as % gross profit |
74.0 |
73.7 |
||||||
|
Operating margin % |
3.5 |
3.5 |
||||||
|
(1) Same store amounts include the results for the identical months in each period presented in the comparison, commencing with the first full month we owned the dealership and, in the case of dispositions, ending with the last full month we owned it. Same store results also include the activities of our corporate office. | ||||||
|
(2) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments. |
|
Group 1 Automotive, Inc. | ||||||
|
Reconciliation of Certain Non-GAAP Financial Measures - U.S. | ||||||
|
(Unaudited) | ||||||
|
(Dollars in thousands, except per share amounts) | ||||||
|
Three Months Ended March 31, | ||||||
|
2016 |
2015 |
% Increase/ (Decrease) | ||||
|
SG&A RECONCILIATION: |
||||||
|
As reported |
$ 245,838 |
$ 229,972 |
6.9 | |||
|
Pre-tax adjustments: |
||||||
|
Catastrophic events |
(2,655) |
— |
||||
|
Gain (loss) on real estate and dealership transactions |
933 |
— |
||||
|
Acquisition costs |
(30) |
— |
||||
|
Adjusted SG&A (1) |
$ 244,086 |
$ 229,972 |
6.1 | |||
|
SG&A AS % REVENUES: |
||||||
|
Unadjusted |
11.8 |
11.5 |
||||
|
Adjusted (1) |
11.7 |
11.5 |
||||
|
SG&A AS % GROSS PROFIT: |
||||||
|
Unadjusted |
73.9 |
73.1 |
||||
|
Adjusted (1) |
73.4 |
73.1 |
||||
|
OPERATING MARGIN % |
||||||
|
Unadjusted |
3.6 |
3.7 |
||||
|
Adjusted (1), (2) |
3.7 |
3.7 |
||||
|
PRETAX MARGIN %: |
||||||
|
Unadjusted |
2.4 |
2.7 |
||||
|
Adjusted (1), (3) |
2.5 |
2.7 |
||||
|
SAME STORE SG&A RECONCILIATION: |
||||||
|
As reported |
$ 238,106 |
$ 224,342 |
6.1 | |||
|
Pre-tax adjustments: |
||||||
|
Catastrophic events |
(2,655) |
— |
||||
|
Gain (loss) on real estate and dealership transactions |
(134) |
— |
||||
|
Acquisition costs |
(30) |
— |
||||
|
Adjusted Same Store SG&A (1) |
$ 235,287 |
$ 224,342 |
4.9 | |||
|
SAME STORE SG&A AS % REVENUES: |
||||||
|
Unadjusted |
11.9 |
11.4 |
||||
|
Adjusted (1) |
11.7 |
11.4 |
||||
|
SAME STORE SG&A AS % GROSS PROFIT: |
||||||
|
Unadjusted |
74.0 |
72.6 |
||||
|
Adjusted (1) |
73.1 |
72.6 |
||||
|
SAME STORE OPERATING MARGIN % |
||||||
|
Unadjusted |
3.6 |
3.8 |
||||
|
Adjusted (1), (3) |
3.8 |
3.8 |
||||
|
(1) |
We have included certain non-GAAP financial measures as defined under SEC rules, which exclude certain items. These adjusted measures are not measures of financial performance under GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations. | |||||
|
(2) |
Excludes the impact of SG&A reconciling items above, as well as non-cash asset impairment charges of $510 for the three months ended March 31, 2016. | |||||
|
(3) |
Excludes the impact of Same Store SG&A reconciling items above, as well as non-cash asset impairment charges of $510 for the three months ended March 31, 2016. | |||||
|
Group 1 Automotive, Inc. | ||||||
|
Reconciliation of Certain Non-GAAP Financial Measures - U.K. | ||||||
|
(Unaudited) | ||||||
|
(Dollars in thousands, except per share amounts) | ||||||
|
Three Months Ended March 31, | ||||||
|
2016 |
2015 |
% Increase/ (Decrease) | ||||
|
SG&A RECONCILIATION: |
||||||
|
As reported |
$ 37,436 |
$ 26,762 |
39.9 | |||
|
Pre-tax adjustments: |
||||||
|
Acquisition costs |
(561) |
— |
||||
|
Adjusted SG&A (1) |
$ 36,875 |
$ 26,762 |
37.8 | |||
|
SG&A AS % REVENUES: |
||||||
|
Unadjusted |
8.7 |
8.9 |
||||
|
Adjusted (1) |
8.5 |
8.9 |
||||
|
SG&A AS % GROSS PROFIT: |
||||||
|
Unadjusted |
80.1 |
78.3 |
||||
|
Adjusted (1) |
78.9 |
78.3 |
||||
|
OPERATING MARGIN % |
||||||
|
Unadjusted |
1.8 |
2.1 |
||||
|
Adjusted (1), (2) |
1.9 |
2.1 |
||||
|
PRETAX MARGIN %: |
||||||
|
Unadjusted |
1.3 |
1.7 |
||||
|
Adjusted (1), (2) |
1.4 |
1.7 |
||||
|
SAME STORE SG&A RECONCILIATION: |
||||||
|
As reported |
$ 27,460 |
$ 26,763 |
2.6 | |||
|
Pre-tax adjustments: |
||||||
|
Acquisition costs |
(561) |
— |
||||
|
Adjusted Same Store SG&A (1) |
$ 26,899 |
$ 26,763 |
0.5 | |||
|
SAME STORE SG&A AS % REVENUES: |
||||||
|
Unadjusted |
8.5 |
8.9 |
||||
|
Adjusted (1) |
8.4 |
8.9 |
||||
|
SAME STORE SG&A AS % GROSS PROFIT: |
||||||
|
Unadjusted |
76.2 |
78.3 |
||||
|
Adjusted (1) |
74.6 |
78.3 |
||||
|
SAME STORE OPERATING MARGIN % |
||||||
|
Unadjusted |
2.3 |
2.1 |
||||
|
Adjusted (1), (3) |
2.5 |
2.1 |
||||
|
(1) |
We have included certain non-GAAP financial measures as defined under SEC rules, which exclude certain items. These adjusted measures are not measures of financial performance under GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations. | |||||
|
(2) |
Excludes the impact of SG&A reconciling items above. | |||||
|
(3) |
Excludes the impact of Same Store SG&A reconciling items above. | |||||
|
Group 1 Automotive, Inc. | ||||||
|
Reconciliation of Certain Non-GAAP Financial Measures - Brazil | ||||||
|
(Unaudited) | ||||||
|
(Dollars in thousands, except per share amounts) | ||||||
|
Three Months Ended March 31, | ||||||
|
2016 |
2015 |
% Increase/ (Decrease) | ||||
|
SG&A RECONCILIATION: |
||||||
|
As reported |
$ 10,390 |
$ 14,735 |
(29.5) | |||
|
Pre-tax adjustments: |
||||||
|
Gain (loss) on real estate and dealership transactions |
(371) |
— |
||||
|
Adjusted SG&A (1) |
$ 10,019 |
$ 14,735 |
(32.0) | |||
|
SG&A AS % REVENUES: |
||||||
|
Unadjusted |
11.0 |
10.9 |
||||
|
Adjusted (1) |
10.6 |
10.9 |
||||
|
SG&A AS % GROSS PROFIT: |
||||||
|
Unadjusted |
107.7 |
96.7 |
||||
|
Adjusted (1) |
103.9 |
96.7 |
||||
|
OPERATING MARGIN % |
||||||
|
Unadjusted |
(1.5) |
— |
||||
|
Adjusted (1), (2) |
(0.7) |
— |
||||
|
PRETAX MARGIN %: |
||||||
|
Unadjusted |
(1.7) |
(0.6) |
||||
|
Adjusted (1), (2) |
(0.9) |
(0.6) |
||||
|
SAME STORE OPERATING MARGIN % |
||||||
|
Unadjusted |
(0.9) |
1.1 |
||||
|
Adjusted (1), (3) |
(0.4) |
1.1 |
||||
|
(1) |
We have included certain non-GAAP financial measures as defined under SEC rules, which exclude certain items. These adjusted measures are not measures of financial performance under GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations. | |||||
|
(2) |
Excludes the impact of SG&A reconciling items above, as well as non-cash asset impairment charges of $423 for the three months ended March 31, 2016. | |||||
|
(3) |
Excludes the impact of Same Store SG&A reconciling items above, as well as non-cash asset impairment charges of $423 for the three months ended March 31, 2016. | |||||
|
Group 1 Automotive, Inc. | ||||||
|
Reconciliation of Certain Non-GAAP Financial Measures - CONSOLIDATED | ||||||
|
(Unaudited) | ||||||
|
(Dollars in thousands, except per share amounts) | ||||||
|
Three Months Ended March 31, | ||||||
|
2016 |
2015 |
% Increase/ (Decrease) | ||||
|
NET (LOSS) INCOME RECONCILIATION: |
||||||
|
As reported |
$ 34,291 |
$ 35,815 |
(4.3) | |||
|
Pre-tax adjustments: |
||||||
|
Catastrophic events (4) |
1,659 |
— |
||||
|
(Gain) loss on real estate and dealership transactions (5) |
212 |
— |
||||
|
Acquisition costs including related tax impact (6) |
578 |
— |
||||
|
Non-cash asset impairment (7) |
315 |
— |
||||
|
Adjusted net income (1) |
$ 37,055 |
$ 35,815 |
3.5 | |||
|
ADJUSTED NET INCOME ATTRIBUTABLE TO DILUTED |
||||||
|
COMMON SHARES RECONCILIATION: |
||||||
|
Adjusted net income (1) |
$ 37,055 |
$ 35,815 |
3.5 | |||
|
Less: Adjusted earnings allocated to participating securities |
1,457 |
1,388 |
5.0 | |||
|
Adjusted net income available to diluted common shares (1) |
$ 35,598 |
$ 34,427 |
3.4 | |||
|
DILUTED (LOSS) INCOME PER COMMON SHARE RECONCILIATION: |
||||||
|
As reported |
$ 1.47 |
$ 1.47 |
— | |||
|
Pre-tax adjustments: |
||||||
|
Catastrophic events |
0.07 |
— |
||||
|
(Gain) loss on real estate and dealership transactions |
0.01 |
— |
||||
|
Acquisition costs including related tax impact |
0.03 |
— |
||||
|
Non-cash asset impairment |
0.01 |
— |
||||
|
Adjusted diluted income per share (1) |
$ 1.59 |
$ 1.47 |
8.2 | |||
|
SG&A RECONCILIATION: |
||||||
|
As reported |
$ 293,664 |
$ 271,469 |
8.2 | |||
|
Pre-tax adjustments: |
||||||
|
Catastrophic events |
(2,655) |
— |
||||
|
Gain (loss) on real estate and dealership transactions |
562 |
— |
||||
|
Acquisition costs |
(591) |
— |
||||
|
Adjusted SG&A (1) |
$ 290,980 |
$ 271,469 |
7.2 | |||
|
SG&A AS % REVENUES: |
||||||
|
Unadjusted |
11.3 |
11.2 |
||||
|
Adjusted (1) |
11.2 |
11.2 |
||||
|
SG&A AS % GROSS PROFIT: |
||||||
|
Unadjusted |
75.5 |
74.6 |
||||
|
Adjusted (1) |
74.8 |
74.6 |
||||
|
OPERATING MARGIN % |
||||||
|
Unadjusted |
3.1 |
3.3 |
||||
|
Adjusted (1), (2) |
3.3 |
3.3 |
||||
|
PRETAX MARGIN %: |
||||||
|
Unadjusted |
2.1 |
2.4 |
||||
|
Adjusted (1), (2) |
2.2 |
2.4 |
||||
|
SAME STORE SG&A RECONCILIATION: |
||||||
|
As reported |
$ 275,326 |
$ 263,881 |
4.3 | |||
|
Pre-tax adjustments: |
||||||
|
Catastrophic events |
(2,655) |
— |
||||
|
Gain (loss) on real estate and dealership transactions |
(134) |
— |
||||
|
Acquisition costs |
(591) |
— |
||||
|
Adjusted Same Store SG&A (1) |
$ 271,946 |
$ 263,881 |
3.1 | |||
|
SAME STORE SG&A AS % REVENUES: |
||||||
|
Unadjusted |
11.4 |
11.0 |
||||
|
Adjusted (1) |
11.2 |
11.0 |
||||
|
SAME STORE SG&A AS % GROSS PROFIT: |
||||||
|
Unadjusted |
74.9 |
73.7 |
||||
|
Adjusted (1) |
74.0 |
73.7 |
||||
|
SAME STORE OPERATING MARGIN % |
||||||
|
Unadjusted |
3.3 |
3.5 |
||||
|
Adjusted (1), (3) |
3.5 |
3.5 |
||||
|
(1) |
We have included certain non-GAAP financial measures as defined under SEC rules, which exclude certain items. These adjusted measures are not measures of financial performance under GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations. | |||||
|
(2) |
Excludes the impact of SG&A reconciling items above, as well as non-cash asset impairment charges for all periods. | |||||
|
(3) |
Excludes the impact of Same Store SG&A reconciling items above, as well as non-cash asset impairment charges of $932 for the three months ended March 31, 2016. | |||||
|
(4) |
Adjustment is net of tax benefit of $996 for the three months ended March 31, 2016, calculated utilizing the applicable federal and state tax rates for adjustment. | |||||
|
(5) |
Adjustment is net of tax provision of $349 for the three months ended March 31, 2016, calculated utilizing the applicable federal and state tax rates for adjustment. | |||||
|
(6) |
Adjustment is net of tax benefit of $11 for the three months ended March 31, 2016, calculated utilizing the applicable federal and state tax rates for adjustment. | |||||
|
(7) |
Adjustment is net of tax benefit of $195 for the three months ended March 31, 2016, calculated utilizing the applicable federal and state tax rates for adjustment. | |||||
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SOURCE Group 1 Automotive, Inc.