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
Roth
Manager, Investor Relations
Group 1 Automotive, Inc.
713-647-5741 | sroth@group1auto.com
Media contacts:
Pete
DeLongchamps
V.P. Manufacturer Relations, Financial Services and Public
Affairs
Group 1 Automotive, Inc.
713-647-5770 | pdelongchamps@group1auto.com
or
Clint Woods
Pierpont Communications, Inc.
713-627-2223 | cwoods@piercom.com
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.