HOUSTON, Oct. 20, 2016 /PRNewswire/ -- Group 1
Automotive, Inc. (NYSE: GPI), an international, Fortune
500 automotive retailer, today reported third quarter 2016 net
income of $35.4 million, diluted
earnings per common share of $1.65,
adjusted net income (a non-GAAP measure) of $42.0 million, and adjusted diluted earnings per
common share (a non-GAAP measure) of $1.96.
As shown in the attached non-GAAP reconciliation tables, the
2016 third quarter adjusted results exclude approximately
$6.6 million of net after-tax
adjustments, or $0.31 per share, for
non-core items. These adjustments primarily consist of
non-cash asset impairment charges of approximately $6.7 million after-tax, or $0.32 per share; catastrophic losses (primarily
storm damage) of approximately $281
thousand after-tax, or $0.01
per share; foreign transaction tax expense of approximately
$274 thousand after-tax, or
$0.01 per share; and, were partially
offset by dealership transaction net gains of approximately
$700 thousand, or $0.03 per share.
"Our third quarter earnings were negatively impacted by ongoing
sales weakness in our energy-dependent markets, especially
Texas and Oklahoma, and some slight market weakness in
the U.K. due to uncertainty associated with Brexit," said
Earl J. Hesterberg, Group 1's
president and chief executive officer. "While our U.K. sales
decreased in July and August, we did see recovery in September, but
not enough to offset the weakness that occurred immediately
following the vote. Additionally, the weakening pound, versus
the dollar, lowered this quarter's earnings per share by about
four cents. Within the U.S.
results, we were encouraged by another quarter of improving new
vehicle margins and the progress we have made in reducing new
vehicle inventory during the quarter, with days' supply improving
nine days from second-quarter levels to 74 days' supply at quarter
end."
Consolidated Results for Third Quarter 2016
(year-over-year comparable basis)
For ease of comparison, we have included constant currency metrics
(a non-GAAP measure) both below (shown in parenthesis) and in the
financial tables that follow:
- Total revenue increased 0.8 percent (3.3 percent) to a
third-quarter record of $2.8 billion;
total gross profit grew 2.1 percent (4.0 percent) to $406.7 million.
- New vehicle revenues decreased 0.8 percent (but increased 1.6
percent on a constant currency basis) driven by a 3.2 percent
decrease in unit sales. New vehicle gross profit improved 1.2
percent (3.8 percent) to $80.4
million.
- Retail used vehicle revenues increased 2.2 percent (4.8
percent) on 1.6 percent higher unit sales. Retail used vehicle
gross profit decreased 1.3 percent (but increased 0.5 percent on a
constant currency basis) to $46.0
million.
- Parts and service gross profit increased 4.2 percent (6.1
percent) on revenue growth of 5.3 percent (7.1 percent). Same Store
parts and service gross profit increased 1.2 percent (2.5 percent)
on revenue growth of 2.6 percent (3.8 percent). U.S. Same Store
parts and service gross profit increased 2.4 percent on revenue
growth of 3.4 percent.
- Same Store Finance and Insurance (F&I) gross profit per
retail unit (PRU) increased 4.0 percent (5.0 percent) to
$1,421. U.S. F&I gross profit PRU
increased $73 to $1,588.
- On a GAAP basis, Selling, General and Administrative (SG&A)
expenses as a percent of gross profit increased 100 basis points to
73.5 percent. Adjusted SG&A expenses as a percent of gross
profit increased 110 basis points to 73.6 percent.
Segment Results for Third Quarter 2016
(year-over-year comparable basis)
- United States:
The
Company's U.S. operations accounted for 80.6 percent of total
revenues and 85.3 percent of total gross profit. Total U.S.
revenues were $2.3 billion, a
decrease of 2.9 percent, driven by a 5.5 percent decrease in retail
new vehicle revenue. While new vehicle sales volume decreased, new
vehicle gross profit per unit sold grew $154, or 9.5 percent per unit, to $1,783 and total gross profit of $346.7 million was only down 0.5 percent. New
vehicle inventory improved 9 days from second-quarter levels and
ended the quarter at 74 days' supply.
On a GAAP basis, SG&A expenses as a percent of gross profit
improved 30 basis points to 71.1 percent and operating margin
decreased 40 basis points to 3.4 percent. Adjusted SG&A
expenses as a percent of gross profit and adjusted operating margin
both improved 10 basis points to 71.3 percent and 3.9,
respectively.
- United Kingdom:
The
Company's U.K. operations accounted for 15.4 percent of total
revenues and 11.7 percent of total gross profit. Total U.K.
revenues increased 33.2 percent (56.7 percent) to $436.0 million, and gross profit increased 31.0
percent (54.2 percent) to $47.5
million. Revenue growth was primarily driven by the
acquisition of the Spire dealer group in February of this year. On
a constant currency basis, Same Store total revenue increased 5.5
percent, driven by a 6.1 percent increase in new vehicle revenues,
7.9 percent increase in parts and service revenues, and a 15.0
percent increase in F&I gross profit PRU.
On a Same Store GAAP basis, SG&A expenses as a percent of gross
profit and operating margin both improved 10 basis points to 77.5
percent and 2.2 percent, respectively. On a Same Store basis,
adjusted SG&A expenses as a percent of gross profit improved 10
basis points to 77.5 percent and adjusted operating margin was
unchanged at 2.2 percent.
- Brazil:
The
Company's Brazilian operations accounted for 4.0 percent of total
revenues and 3.1 percent of total gross profit. The Company's Same
Store new vehicle revenue declined 24.2 percent on a constant
currency basis in a continued weak economic environment.
Year-to-date, Brazil's new vehicle
industry volumes have declined about 23 percent. For the quarter,
Same Store total revenue was down 18.7 percent on a constant
currency basis, as F&I gross profit PRU growth of 44.3 percent
and parts and service revenue growth of 2.0 percent partially
offset the decline in new and used vehicles.
The Company continues to improve its used vehicle operations in
Brazil, with used vehicle retail
margins improving 360 basis points to 7.6 percent and total used
vehicle gross profit increasing $0.7
million or 69.7 percent on a constant currency basis.
Corporate Development
During the third quarter of 2016, the Company divested two
dealerships in the U.S., which included Hyundai of Escondido, California and Ira Porsche of Danvers, Massachusetts. In
October 2016, the Company divested
Honda of Van Nuys,
California. In total, these dealerships generated
approximately $120 million in
trailing-twelve-month revenues. These divestitures are
consistent with Group 1's portfolio management strategy.
Additionally, in the U.S., during third quarter of 2016, the
Company was awarded a Porsche open point in El Paso, Texas. The store's opening is
targeted for late 2017. The Company will provide expected
annual revenues for this franchise when its opening is
announced.
In October 2016, in the U.K., the
Company acquired the Ford Basingstoke and Ford Newbury dealerships,
which are located southwest and west of London, respectively and are contiguous with
Group 1's existing U.K. Ford
operations. These stores, which will be rebranded as Think
Ford Basingstoke and Think Ford Newbury, are expected to generate
approximately $65 million in
annualized revenues.
Share Repurchase Authorization
During the third quarter of 2016, the Company repurchased
244,205 shares at an average price of $50.61 for a total of $12.4 million, which were previously announced
purchases in July 2016. As of October
20, 2016, $22.4 million
remains available under the Company's prior common stock share
repurchase authorization. Year to date, the Company has
repurchased 2.3 million shares representing a 10 percent reduction
from the previously announced share count as of December 31, 2015. 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.
THIRD QUARTER EARNINGS CONFERENCE CALL DETAILS
The
Company's senior management will host a conference call today at
9 a.m. ET to discuss the third
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:
|
6474498
|
A telephonic replay will be available following the call through
October 27, 2016 by dialing:
Domestic:
|
1-877-344-7529
|
International:
|
1-412-317-0088
|
Replay ID:
|
10094717
|
About Group 1 Automotive, Inc.
Group 1 owns and
operates 160 automotive dealerships, 211 franchises, and 37
collision centers in the United
States, the United Kingdom
and Brazil that offer 32 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
Certain statements in this
release may constitute "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as
amended. These 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. 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. 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," "plans,"
"believes," "may" or "will" and similar expressions. 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 performance 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. Management
believes that these non-GAAP financial performance measures improve
the transparency of the Company's disclosure, present useful
information to investors, and 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.
We evaluate our results of operations on both an as reported and
a constant currency basis. The constant currency
presentation, which is a non-GAAP measure, excludes the impact of
fluctuations in foreign currency exchange rates. We believe
providing constant currency information provides valuable
supplemental information regarding our underlying business and
results of operations, consistent with how we evaluate our
performance. We calculate constant currency percentages by
converting our current period reported results for entities
reporting in currencies other than United
States dollars using comparative period exchange rates
rather than the actual exchange rates in effect during the
respective periods. The constant currency performance
measures should not be considered a substitute for, or superior to,
the measures of financial performance prepared in accordance with
U.S. GAAP.
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 September 30,
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
REVENUES:
|
|
|
|
|
|
New vehicle retail
sales
|
$
1,587,952
|
|
$
1,601,213
|
|
(0.8)
|
Used vehicle retail
sales
|
702,620
|
|
687,637
|
|
2.2
|
Used vehicle
wholesale sales
|
104,218
|
|
100,483
|
|
3.7
|
Parts and
service
|
319,676
|
|
303,557
|
|
5.3
|
Finance and
insurance
|
108,710
|
|
107,679
|
|
1.0
|
Total
revenues
|
2,823,176
|
|
2,800,569
|
|
0.8
|
|
|
|
|
|
|
COST OF
SALES:
|
|
|
|
|
|
New vehicle retail
sales
|
1,507,517
|
|
1,521,721
|
|
(0.9)
|
Used vehicle retail
sales
|
656,652
|
|
641,055
|
|
2.4
|
Used vehicle
wholesale sales
|
106,077
|
|
102,318
|
|
3.7
|
Parts and
service
|
146,262
|
|
137,093
|
|
6.7
|
Total cost of
sales
|
2,416,508
|
|
2,402,187
|
|
0.6
|
|
|
|
|
|
|
GROSS
PROFIT
|
406,668
|
|
398,382
|
|
2.1
|
|
|
|
|
|
|
SELLING, GENERAL AND
ADMINISTRATIVE EXPENSES
|
299,006
|
|
289,012
|
|
3.5
|
|
|
|
|
|
|
DEPRECIATION AND
AMORTIZATION EXPENSE
|
12,891
|
|
11,811
|
|
9.1
|
|
|
|
|
|
|
ASSET
IMPAIRMENTS
|
10,855
|
|
916
|
|
1,085.0
|
|
|
|
|
|
|
OPERATING
INCOME
|
83,916
|
|
96,643
|
|
(13.2)
|
|
|
|
|
|
|
OTHER
EXPENSE:
|
|
|
|
|
|
Floorplan interest
expense
|
(11,135)
|
|
(9,685)
|
|
15.0
|
Other interest
expense, net
|
(17,094)
|
|
(13,922)
|
|
22.8
|
INCOME BEFORE
INCOME TAXES
|
55,687
|
|
73,036
|
|
(23.8)
|
|
|
|
|
|
|
PROVISION FOR INCOME
TAXES
|
(20,321)
|
|
(27,775)
|
|
(26.8)
|
|
|
|
|
|
|
NET
INCOME
|
$
35,366
|
|
$
45,261
|
|
(21.9)
|
Less: Earnings
allocated to participating securities
|
$
1,426
|
|
$
1,729
|
|
(17.5)
|
Earnings available to
diluted common shares
|
$
33,940
|
|
$
43,532
|
|
(22.0)
|
DILUTED EARNINGS
PER SHARE
|
$
1.65
|
|
$
1.88
|
|
(12.2)
|
Weighted average
dilutive common shares outstanding
|
20,578
|
|
23,137
|
|
(11.1)
|
Weighted average
participating securities
|
872
|
|
925
|
|
(5.7)
|
Total weighted
average shares outstanding
|
21,450
|
|
24,062
|
|
(10.9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months
Ended September 30,
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
REVENUES:
|
|
|
|
|
|
New vehicle retail
sales
|
$
4,538,562
|
|
$
4,468,200
|
|
1.6
|
Used vehicle retail
sales
|
2,106,569
|
|
1,993,124
|
|
5.7
|
Used vehicle
wholesale sales
|
302,089
|
|
302,186
|
|
—
|
Parts and
service
|
950,341
|
|
888,939
|
|
6.9
|
Finance and
insurance
|
316,419
|
|
307,454
|
|
2.9
|
Total
revenues
|
8,213,980
|
|
7,959,903
|
|
3.2
|
|
|
|
|
|
|
COST OF
SALES:
|
|
|
|
|
|
New vehicle retail
sales
|
4,305,252
|
|
4,242,847
|
|
1.5
|
Used vehicle retail
sales
|
1,963,136
|
|
1,854,361
|
|
5.9
|
Used vehicle
wholesale sales
|
302,551
|
|
302,276
|
|
0.1
|
Parts and
service
|
437,153
|
|
406,580
|
|
7.5
|
Total cost of
sales
|
7,008,092
|
|
6,806,064
|
|
3.0
|
|
|
|
|
|
|
GROSS
PROFIT
|
1,205,888
|
|
1,153,839
|
|
4.5
|
|
|
|
|
|
|
SELLING, GENERAL AND
ADMINISTRATIVE EXPENSES
|
891,692
|
|
841,050
|
|
6.0
|
|
|
|
|
|
|
DEPRECIATION AND
AMORTIZATION EXPENSE
|
38,067
|
|
35,441
|
|
7.4
|
|
|
|
|
|
|
ASSET
IMPAIRMENTS
|
12,812
|
|
1,955
|
|
555.3
|
|
|
|
|
|
|
OPERATING
INCOME
|
263,317
|
|
275,393
|
|
(4.4)
|
|
|
|
|
|
|
OTHER
EXPENSE:
|
|
|
|
|
|
Floorplan interest
expense
|
(33,737)
|
|
(29,046)
|
|
16.2
|
Other interest
expense, net
|
(50,729)
|
|
(42,061)
|
|
20.6
|
INCOME BEFORE
INCOME TAXES
|
178,851
|
|
204,286
|
|
(12.5)
|
|
|
|
|
|
|
PROVISION FOR INCOME
TAXES
|
(62,614)
|
|
(76,901)
|
|
(18.6)
|
|
|
|
|
|
|
NET
INCOME
|
$
116,237
|
|
$
127,385
|
|
(8.8)
|
Less: Earnings
allocated to participating securities
|
$
4,651
|
|
$
4,905
|
|
(5.2)
|
Earnings available to
diluted common shares
|
$
111,586
|
|
$
122,480
|
|
(8.9)
|
DILUTED EARNINGS
PER SHARE
|
$
5.22
|
|
$
5.26
|
|
(0.8)
|
Weighted average
dilutive common shares outstanding
|
21,364
|
|
23,298
|
|
(8.3)
|
Weighted average
participating securities
|
895
|
|
934
|
|
(4.2)
|
Total weighted
average shares outstanding
|
22,259
|
|
24,232
|
|
(8.1)
|
Group 1
Automotive, Inc.
|
Consolidated
Balance Sheets
|
(Unaudited)
|
(Dollars in
thousands)
|
|
|
|
|
|
|
|
|
|
September 30,
2016
|
|
December 31,
2015
|
|
% Increase/
(Decrease)
|
ASSETS:
|
|
|
|
|
|
|
CURRENT
ASSETS:
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
22,918
|
|
$
13,037
|
|
75.8
|
Contracts in
transit and vehicle receivables, net
|
|
206,292
|
|
252,438
|
|
(18.3)
|
Accounts and
notes receivable, net
|
|
156,294
|
|
157,768
|
|
(0.9)
|
Inventories,
net
|
|
1,687,379
|
|
1,737,751
|
|
(2.9)
|
Prepaid
expenses and other current assets
|
|
25,555
|
|
27,376
|
|
(6.7)
|
Total current
assets
|
|
2,098,438
|
|
2,188,370
|
|
(4.1)
|
PROPERTY AND
EQUIPMENT, net
|
|
1,118,785
|
|
1,033,981
|
|
8.2
|
GOODWILL AND
INTANGIBLE FRANCHISE RIGHTS
|
|
1,190,906
|
|
1,162,503
|
|
2.4
|
OTHER
ASSETS
|
|
12,935
|
|
11,862
|
|
9.0
|
Total
assets
|
|
$
4,421,064
|
|
$
4,396,716
|
|
0.6
|
|
|
|
|
|
|
|
LIABILITIES
AND STOCKHOLDERS' EQUITY:
|
|
|
|
|
|
|
CURRENT
LIABILITIES:
|
|
|
|
|
|
|
Floorplan notes
payable - credit facility and other
|
|
$
1,110,104
|
|
$
1,265,719
|
|
(12.3)
|
Offset account
related to floorplan notes payable - credit
facility
|
|
(59,684)
|
|
(110,759)
|
|
(46.1)
|
Floorplan notes
payable - manufacturer affiliates
|
|
387,770
|
|
389,071
|
|
(0.3)
|
Offset account
related to floorplan notes payable - manufacturer
affiliates
|
|
(22,500)
|
|
(25,500)
|
|
(11.8)
|
Current
maturities of long-term debt and short-term
financing
|
|
62,349
|
|
54,991
|
|
13.4
|
Accounts
payable
|
|
354,957
|
|
280,423
|
|
26.6
|
Accrued
expenses
|
|
193,553
|
|
185,323
|
|
4.4
|
Total current
liabilities
|
|
2,026,549
|
|
2,039,268
|
|
(0.6)
|
5.00% SENIOR
NOTES (principal of $550,000 at September 30, 2016 and December 31,
2015, respectively)
|
|
540,075
|
|
538,933
|
|
0.2
|
5.25% SENIOR
NOTES (principal of $300,000 at September 30, 2016 and December 31,
2015, respectively)
|
|
295,455
|
|
295,156
|
|
0.1
|
REAL ESTATE
RELATED AND OTHER LONG-TERM DEBT, net of current
maturities
|
|
352,548
|
|
317,290
|
|
11.1
|
CAPITAL LEASE
OBLIGATIONS RELATED TO REAL ESTATE, net of current
maturities
|
|
44,639
|
|
48,155
|
|
(7.3)
|
DEFERRED INCOME
TAXES
|
|
148,001
|
|
136,644
|
|
8.3
|
LIABILITIES
FROM INTEREST RATE RISK MANAGEMENT ACTIVITIES
|
|
45,040
|
|
31,153
|
|
44.6
|
OTHER
LIABILITIES
|
|
81,785
|
|
71,865
|
|
13.8
|
STOCKHOLDERS'
EQUITY:
|
|
|
|
|
|
|
Common
stock
|
|
257
|
|
257
|
|
—
|
Additional
paid-in capital
|
|
287,018
|
|
291,092
|
|
(1.4)
|
Retained
earnings
|
|
1,027,393
|
|
926,169
|
|
10.9
|
Accumulated
other comprehensive loss
|
|
(157,446)
|
|
(137,984)
|
|
14.1
|
Treasury
stock
|
|
(270,250)
|
|
(161,282)
|
|
67.6
|
Total
stockholders' equity
|
|
886,972
|
|
918,252
|
|
(3.4)
|
Total
liabilities and stockholders' equity
|
|
$
4,421,064
|
|
$
4,396,716
|
|
0.6
|
Group 1
Automotive, Inc.
|
Additional
Information - Consolidated
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Nine Months
Ended
|
|
|
|
September
30,
|
|
September
30,
|
|
|
|
2016
(%)
|
|
2015
(%)
|
|
2016
(%)
|
|
2015
(%)
|
NEW VEHICLE UNIT
SALES GEOGRAPHIC MIX:
|
|
|
|
|
|
|
|
Region
|
Geographic
Market
|
|
|
|
|
|
|
|
|
East
|
Massachusetts
|
|
5.0
|
|
6.0
|
|
4.9
|
|
6.1
|
|
Georgia
|
|
4.6
|
|
4.5
|
|
4.2
|
|
4.6
|
|
Florida
|
|
2.5
|
|
2.3
|
|
2.5
|
|
2.0
|
|
New
Hampshire
|
|
2.0
|
|
2.1
|
|
1.9
|
|
2.0
|
|
New Jersey
|
|
1.7
|
|
2.3
|
|
1.6
|
|
2.3
|
|
Louisiana
|
|
1.6
|
|
1.5
|
|
1.5
|
|
1.6
|
|
Mississippi
|
|
1.5
|
|
1.5
|
|
1.5
|
|
1.5
|
|
South
Carolina
|
|
1.3
|
|
1.4
|
|
1.4
|
|
1.4
|
|
Alabama
|
|
1.0
|
|
0.6
|
|
0.9
|
|
0.7
|
|
Maryland
|
|
0.5
|
|
0.5
|
|
0.5
|
|
0.5
|
|
|
|
21.7
|
|
22.7
|
|
20.9
|
|
22.7
|
|
|
|
|
|
|
|
|
|
|
West
|
Texas
|
|
36.2
|
|
38.6
|
|
36.4
|
|
38.4
|
|
California
|
|
9.4
|
|
9.5
|
|
9.3
|
|
9.7
|
|
Oklahoma
|
|
6.6
|
|
7.8
|
|
6.9
|
|
7.7
|
|
Kansas
|
|
1.6
|
|
2.0
|
|
1.8
|
|
2.1
|
|
Louisiana
|
|
0.6
|
|
0.7
|
|
0.6
|
|
0.7
|
|
|
|
54.4
|
|
58.6
|
|
55.0
|
|
58.6
|
|
|
|
|
|
|
|
|
|
|
International
|
United
Kingdom
|
|
18.6
|
|
11.1
|
|
18.2
|
|
11.0
|
|
Brazil
|
|
5.3
|
|
7.6
|
|
5.9
|
|
7.7
|
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
|
|
|
|
|
|
|
|
|
NEW VEHICLE UNIT
SALES BRAND MIX:
|
|
|
|
|
|
|
|
|
Toyota/Scion/Lexus
|
|
25.3
|
|
26.6
|
|
24.7
|
|
26.6
|
BMW/MINI
|
|
13.2
|
|
11.3
|
|
13.3
|
|
11.4
|
Volkswagen/Audi/Porsche
|
|
11.3
|
|
7.7
|
|
10.9
|
|
7.0
|
Ford/Lincoln
|
|
10.8
|
|
11.6
|
|
11.1
|
|
11.6
|
Honda/Acura
|
|
9.9
|
|
11.1
|
|
10.2
|
|
10.9
|
Chevrolet/GMC/Buick/Cadillac
|
|
7.3
|
|
7.8
|
|
7.6
|
|
7.5
|
Nissan
|
|
7.0
|
|
8.0
|
|
7.0
|
|
8.4
|
Hyundai/Kia
|
|
4.3
|
|
5.4
|
|
4.4
|
|
5.8
|
Mercedes-Benz/smart/Sprinter
|
|
4.2
|
|
3.8
|
|
4.1
|
|
4.1
|
Chrysler/Dodge/Jeep/RAM
|
|
4.1
|
|
4.6
|
|
4.1
|
|
4.6
|
Other
|
|
2.6
|
|
2.1
|
|
2.6
|
|
2.1
|
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
Group 1
Automotive, Inc.
|
Additional
Information - U.S.
|
(Unaudited)
|
(Dollars in
thousands, except per unit amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
REVENUES:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,254,421
|
|
$
1,327,049
|
|
(5.5)
|
Used vehicle retail
sales
|
|
575,551
|
|
577,426
|
|
(0.3)
|
Used vehicle
wholesale sales
|
|
74,821
|
|
74,161
|
|
0.9
|
Total used
|
|
650,372
|
|
651,587
|
|
(0.2)
|
Parts and
service
|
|
271,635
|
|
264,979
|
|
2.5
|
Finance and
insurance
|
|
98,295
|
|
99,952
|
|
(1.7)
|
Total
|
|
$
2,274,723
|
|
$
2,343,567
|
|
(2.9)
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
4.9
|
|
4.7
|
|
|
Used vehicle retail
sales
|
|
6.8
|
|
7.1
|
|
|
Used vehicle
wholesale sales
|
|
(2.0)
|
|
(2.5)
|
|
|
Total used
|
|
5.8
|
|
6.0
|
|
|
Parts and
service
|
|
54.8
|
|
55.4
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
Total
|
|
15.2
|
|
14.9
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
61,886
|
|
$
62,428
|
|
(0.9)
|
Used vehicle retail
sales
|
|
39,193
|
|
41,053
|
|
(4.5)
|
Used vehicle
wholesale sales
|
|
(1,514)
|
|
(1,855)
|
|
18.4
|
Total used
|
|
37,679
|
|
39,198
|
|
(3.9)
|
Parts and
service
|
|
148,866
|
|
146,737
|
|
1.5
|
Finance and
insurance
|
|
98,295
|
|
99,952
|
|
(1.7)
|
Total
|
|
$
346,726
|
|
$
348,315
|
|
(0.5)
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
34,700
|
|
38,331
|
|
(9.5)
|
Retail used vehicles
sold
|
|
27,201
|
|
27,664
|
|
(1.7)
|
Wholesale used
vehicles sold
|
|
11,005
|
|
11,733
|
|
(6.2)
|
Total used
|
|
38,206
|
|
39,397
|
|
(3.0)
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
36,150
|
|
$
34,621
|
|
4.4
|
Used vehicle
retail
|
|
$
21,159
|
|
$
20,873
|
|
1.4
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,783
|
|
$
1,629
|
|
9.5
|
Used vehicle retail
sales
|
|
1,441
|
|
1,484
|
|
(2.9)
|
Used vehicle
wholesale sales
|
|
(138)
|
|
(158)
|
|
12.7
|
Total used
|
|
986
|
|
995
|
|
(0.9)
|
Finance and insurance
(per retail unit)
|
|
$
1,588
|
|
$
1,515
|
|
4.8
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
246,501
|
|
$
248,771
|
|
(0.9)
|
Adjusted SG&A
expenses(1)
|
|
$
247,227
|
|
$
248,771
|
|
(0.6)
|
SG&A as %
revenues
|
|
10.8
|
|
10.6
|
|
|
Adjusted SG&A as
% revenues (1)
|
|
10.9
|
|
10.6
|
|
|
SG&A as % gross
profit
|
|
71.1
|
|
71.4
|
|
|
Adjusted SG&A as
% gross profit (1)
|
|
71.3
|
|
71.4
|
|
|
Operating margin
%
|
|
3.4
|
|
3.8
|
|
|
Adjusted operating
margin % (1)
|
|
3.9
|
|
3.8
|
|
|
Pretax margin
%
|
|
2.3
|
|
2.9
|
|
|
Adjusted pretax
margin % (1)
|
|
2.8
|
|
2.9
|
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE:
|
|
|
|
|
|
|
Floorplan interest
expense
|
|
$
(9,979)
|
|
$
(8,964)
|
|
11.3
|
Floorplan
assistance
|
|
12,824
|
|
13,344
|
|
(3.9)
|
Net floorplan income
(expense)
|
|
$
2,845
|
|
$
4,380
|
|
(35.0)
|
Other interest income
(expense), net
|
|
$
(15,710)
|
|
$
(12,737)
|
|
23.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
REVENUES:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
3,558,127
|
|
$
3,693,777
|
|
(3.7)
|
Used vehicle retail
sales
|
|
1,709,595
|
|
1,661,932
|
|
2.9
|
Used vehicle
wholesale sales
|
|
205,755
|
|
217,032
|
|
(5.2)
|
Total used
|
|
1,915,350
|
|
1,878,964
|
|
1.9
|
Parts and
service
|
|
805,618
|
|
771,986
|
|
4.4
|
Finance and
insurance
|
|
284,644
|
|
284,787
|
|
(0.1)
|
Total
|
|
$
6,563,739
|
|
$
6,629,514
|
|
(1.0)
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.0
|
|
4.8
|
|
|
Used vehicle retail
sales
|
|
7.2
|
|
7.3
|
|
|
Used vehicle
wholesale sales
|
|
(0.3)
|
|
(0.1)
|
|
|
Total used
|
|
6.4
|
|
6.5
|
|
|
Parts and
service
|
|
54.6
|
|
54.8
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
Total
|
|
15.6
|
|
15.2
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
177,674
|
|
$
175,549
|
|
1.2
|
Used vehicle retail
sales
|
|
122,832
|
|
121,906
|
|
0.8
|
Used vehicle
wholesale sales
|
|
(643)
|
|
(167)
|
|
(285.0)
|
Total used
|
|
122,189
|
|
121,739
|
|
0.4
|
Parts and
service
|
|
439,526
|
|
422,912
|
|
3.9
|
Finance and
insurance
|
|
284,644
|
|
284,787
|
|
(0.1)
|
Total
|
|
$
1,024,033
|
|
$
1,004,987
|
|
1.9
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
98,692
|
|
106,651
|
|
(7.5)
|
Retail used vehicles
sold
|
|
80,888
|
|
79,647
|
|
1.6
|
Wholesale used
vehicles sold
|
|
30,894
|
|
33,542
|
|
(7.9)
|
Total used
|
|
111,782
|
|
113,189
|
|
(1.2)
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
36,053
|
|
$
34,634
|
|
4.1
|
Used vehicle
retail
|
|
$
21,135
|
|
$
20,866
|
|
1.3
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,800
|
|
$
1,646
|
|
9.4
|
Used vehicle retail
sales
|
|
1,519
|
|
1,531
|
|
(0.8)
|
Used vehicle
wholesale sales
|
|
(21)
|
|
(5)
|
|
(320.0)
|
Total used
|
|
1,093
|
|
1,076
|
|
1.6
|
Finance and insurance
(per retail unit)
|
|
$
1,585
|
|
$
1,529
|
|
3.7
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
737,730
|
|
$
718,607
|
|
2.7
|
Adjusted SG&A
expenses(1)
|
|
$
733,683
|
|
$
717,708
|
|
2.2
|
SG&A as %
revenues
|
|
11.2
|
|
10.8
|
|
|
Adjusted SG&A as
% revenues (1)
|
|
11.2
|
|
10.8
|
|
|
SG&A as % gross
profit
|
|
72.0
|
|
71.5
|
|
|
Adjusted SG&A as
% gross profit (1)
|
|
71.6
|
|
71.4
|
|
|
Operating margin
%
|
|
3.7
|
|
3.8
|
|
|
Adjusted operating
margin % (1)
|
|
3.9
|
|
3.9
|
|
|
Pretax margin
%
|
|
2.5
|
|
2.9
|
|
|
Adjusted pretax
margin % (1)
|
|
2.8
|
|
2.9
|
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE:
|
|
|
|
|
|
|
Floorplan interest
expense
|
|
$
(30,428)
|
|
$
(26,440)
|
|
15.1
|
Floorplan
assistance
|
|
36,176
|
|
36,503
|
|
(0.9)
|
Net floorplan income
(expense)
|
|
$
5,748
|
|
$
10,063
|
|
(42.9)
|
Other interest income
(expense), net
|
|
$
(46,581)
|
|
$
(38,534)
|
|
20.9
|
|
(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
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (2) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
256,143
|
|
$
180,967
|
|
41.5
|
|
66.3
|
Used vehicle retail
sales
|
|
106,856
|
|
89,321
|
|
19.6
|
|
41.2
|
Used vehicle
wholesale sales
|
|
28,586
|
|
24,859
|
|
15.0
|
|
35.6
|
Total used
|
|
135,442
|
|
114,180
|
|
18.6
|
|
40.0
|
Parts and
service
|
|
35,682
|
|
26,193
|
|
36.2
|
|
60.8
|
Finance and
insurance
|
|
8,708
|
|
6,091
|
|
43.0
|
|
68.2
|
Total
|
|
$
435,975
|
|
$
327,431
|
|
33.2
|
|
56.7
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.5
|
|
6.1
|
|
|
|
|
Used vehicle retail
sales
|
|
4.9
|
|
5.2
|
|
|
|
|
Used vehicle
wholesale sales
|
|
(1.4)
|
|
(0.3)
|
|
|
|
|
Total used
|
|
3.6
|
|
4.0
|
|
|
|
|
Parts and
service
|
|
55.7
|
|
55.6
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
10.9
|
|
11.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
14,031
|
|
$
11,060
|
|
26.9
|
|
48.7
|
Used vehicle retail
sales
|
|
5,265
|
|
4,631
|
|
13.7
|
|
34.3
|
Used vehicle
wholesale sales
|
|
(404)
|
|
(73)
|
|
(453.4)
|
|
(558.6)
|
Total used
|
|
4,861
|
|
4,558
|
|
6.6
|
|
25.9
|
Parts and
service
|
|
19,892
|
|
14,554
|
|
36.7
|
|
61.3
|
Finance and
insurance
|
|
8,708
|
|
6,091
|
|
43.0
|
|
68.2
|
Total
|
|
$
47,492
|
|
$
36,263
|
|
31.0
|
|
54.2
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
8,468
|
|
5,213
|
|
62.4
|
|
|
Retail used vehicles
sold
|
|
4,800
|
|
3,582
|
|
34.0
|
|
|
Wholesale used
vehicles sold
|
|
3,689
|
|
2,791
|
|
32.2
|
|
|
Total used
|
|
8,489
|
|
6,373
|
|
33.2
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
30,248
|
|
$
34,715
|
|
(12.9)
|
|
2.4
|
Used vehicle
retail
|
|
$
22,262
|
|
$
24,936
|
|
(10.7)
|
|
5.4
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,657
|
|
$
2,122
|
|
(21.9)
|
|
(8.5)
|
Used vehicle retail
sales
|
|
1,097
|
|
1,293
|
|
(15.2)
|
|
0.2
|
Used vehicle
wholesale sales
|
|
(110)
|
|
(26)
|
|
(323.1)
|
|
(398.3)
|
Total used
|
|
573
|
|
715
|
|
(19.9)
|
|
(5.5)
|
Finance and insurance
(per retail unit)
|
|
$
656
|
|
$
693
|
|
(5.3)
|
|
11.5
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
39,609
|
|
$
28,124
|
|
40.8
|
|
66.2
|
Adjusted SG&A
expenses(1)
|
|
$
39,609
|
|
$
28,124
|
|
40.8
|
|
66.2
|
SG&A as %
revenues
|
|
9.1
|
|
8.6
|
|
|
|
|
Adjusted SG&A as
% revenues (1)
|
|
9.1
|
|
8.6
|
|
|
|
|
SG&A as % gross
profit
|
|
83.4
|
|
77.6
|
|
|
|
|
Adjusted SG&A as
% gross profit (1)
|
|
83.4
|
|
77.6
|
|
|
|
|
Operating margin
%
|
|
1.4
|
|
2.1
|
|
|
|
|
Adjusted operating
margin % (1)
|
|
1.4
|
|
2.2
|
|
|
|
|
Pretax margin
%
|
|
0.9
|
|
1.6
|
|
|
|
|
Adjusted pretax
margin % (1)
|
|
0.9
|
|
1.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE:
|
|
|
|
|
|
|
|
|
Floorplan interest
expense
|
|
$
(1,083)
|
|
$
(625)
|
|
73.3
|
|
104.3
|
Floorplan
assistance
|
|
154
|
|
201
|
|
(23.4)
|
|
(9.7)
|
Net floorplan income
(expense)
|
|
$
(929)
|
|
$
(424)
|
|
119.1
|
|
158.6
|
Other interest income
(expense), net
|
|
$
(1,299)
|
|
$
(780)
|
|
66.5
|
|
96.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (2) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
764,707
|
|
$
492,424
|
|
55.3
|
|
70.8
|
Used vehicle retail
sales
|
|
339,800
|
|
269,629
|
|
26.0
|
|
38.6
|
Used vehicle
wholesale sales
|
|
93,985
|
|
78,692
|
|
19.4
|
|
31.2
|
Total used
|
|
433,785
|
|
348,321
|
|
24.5
|
|
36.9
|
Parts and
service
|
|
110,180
|
|
76,983
|
|
43.1
|
|
57.6
|
Finance and
insurance
|
|
26,991
|
|
17,411
|
|
55.0
|
|
70.6
|
Total
|
|
$
1,335,663
|
|
$
935,139
|
|
42.8
|
|
57.1
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.7
|
|
6.3
|
|
|
|
|
Used vehicle retail
sales
|
|
5.1
|
|
5.3
|
|
|
|
|
Used vehicle
wholesale sales
|
|
0.1
|
|
(0.5)
|
|
|
|
|
Total used
|
|
4.0
|
|
4.0
|
|
|
|
|
Parts and
service
|
|
55.2
|
|
55.0
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
11.1
|
|
11.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
43,347
|
|
$
30,802
|
|
40.7
|
|
54.7
|
Used vehicle retail
sales
|
|
17,329
|
|
14,164
|
|
22.3
|
|
34.3
|
Used vehicle
wholesale sales
|
|
54
|
|
(385)
|
|
114.0
|
|
105.5
|
Total used
|
|
17,383
|
|
13,779
|
|
26.2
|
|
38.2
|
Parts and
service
|
|
60,845
|
|
42,345
|
|
43.7
|
|
58.3
|
Finance and
insurance
|
|
26,991
|
|
17,411
|
|
55.0
|
|
70.6
|
Total
|
|
$
148,566
|
|
$
104,337
|
|
42.4
|
|
56.6
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
23,694
|
|
14,408
|
|
64.5
|
|
|
Retail used vehicles
sold
|
|
14,401
|
|
10,863
|
|
32.6
|
|
|
Wholesale used
vehicles sold
|
|
11,328
|
|
8,682
|
|
30.5
|
|
|
Total used
|
|
25,729
|
|
19,545
|
|
31.6
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
32,274
|
|
$
34,177
|
|
(5.6)
|
|
3.9
|
Used vehicle
retail
|
|
$
23,596
|
|
$
24,821
|
|
(4.9)
|
|
4.5
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,829
|
|
$
2,138
|
|
(14.5)
|
|
(5.9)
|
Used vehicle retail
sales
|
|
1,203
|
|
1,304
|
|
(7.7)
|
|
1.3
|
Used vehicle
wholesale sales
|
|
5
|
|
(44)
|
|
111.4
|
|
104.2
|
Total used
|
|
676
|
|
705
|
|
(4.1)
|
|
5.0
|
Finance and insurance
(per retail unit)
|
|
$
709
|
|
$
689
|
|
2.9
|
|
13.1
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
119,154
|
|
$
81,528
|
|
46.2
|
|
61.0
|
Adjusted SG&A
expenses(1)
|
|
$
118,593
|
|
$
81,320
|
|
45.8
|
|
60.7
|
SG&A as %
revenues
|
|
8.9
|
|
8.7
|
|
|
|
|
Adjusted SG&A as
% revenues (1)
|
|
8.9
|
|
8.7
|
|
|
|
|
SG&A as % gross
profit
|
|
80.2
|
|
78.1
|
|
|
|
|
Adjusted SG&A as
% gross profit (1)
|
|
79.8
|
|
77.9
|
|
|
|
|
Operating margin
%
|
|
1.8
|
|
2.1
|
|
|
|
|
Adjusted operating
margin % (1)
|
|
1.9
|
|
2.1
|
|
|
|
|
Pretax margin
%
|
|
1.3
|
|
1.6
|
|
|
|
|
Adjusted pretax
margin % (1)
|
|
1.3
|
|
1.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE:
|
|
|
|
|
|
|
|
|
Floorplan interest
expense
|
|
$
(3,137)
|
|
$
(1,689)
|
|
85.7
|
|
105.0
|
Floorplan
assistance
|
|
643
|
|
584
|
|
10.1
|
|
19.9
|
Net floorplan income
(expense)
|
|
$
(2,494)
|
|
$
(1,105)
|
|
125.7
|
|
150.0
|
Other interest income
(expense), net
|
|
$
(3,966)
|
|
$
(2,339)
|
|
69.6
|
|
86.8
|
|
|
|
|
|
|
|
|
|
(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.
|
(2)We
present constant currency information to provide a framework for
assessing how our underlying businesses performed excluding the
effect of foreign currency rate fluctuations. To present this
information, current and comparative prior period results for
entities reporting in currencies other than United States dollars
are converted into United States dollars using the average exchange
rates from the comparative period rather than the actual exchange
rates in effect during the respective periods. The non-GAAP
financial measures presented above should not be considered as a
substitute for, or superior to, the measures of financial
performance prepared in accordance with U.S. GAAP.
|
Group 1
Automotive, Inc.
|
Additional
Information - Brazil
|
(Unaudited)
|
(Dollars in
thousands, except per unit amounts)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (2) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
77,388
|
|
$
93,197
|
|
(17.0)
|
|
(22.9)
|
Used vehicle retail
sales
|
|
20,213
|
|
20,890
|
|
(3.2)
|
|
(10.3)
|
Used vehicle
wholesale sales
|
|
811
|
|
1,463
|
|
(44.6)
|
|
(47.5)
|
Total used
|
|
21,024
|
|
22,353
|
|
(5.9)
|
|
(12.7)
|
Parts and
service
|
|
12,359
|
|
12,385
|
|
(0.2)
|
|
(7.5)
|
Finance and
insurance
|
|
1,707
|
|
1,636
|
|
4.3
|
|
(5.1)
|
Total
|
|
$
112,478
|
|
$
129,571
|
|
(13.2)
|
|
(19.4)
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.8
|
|
6.4
|
|
|
|
|
Used vehicle retail
sales
|
|
7.5
|
|
4.3
|
|
|
|
|
Used vehicle
wholesale sales
|
|
7.3
|
|
6.4
|
|
|
|
|
Total used
|
|
7.5
|
|
4.4
|
|
|
|
|
Parts and
service
|
|
37.7
|
|
41.8
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
11.1
|
|
10.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
4,518
|
|
$
6,004
|
|
(24.8)
|
|
(29.8)
|
Used vehicle retail
sales
|
|
1,510
|
|
898
|
|
68.2
|
|
56.3
|
Used vehicle
wholesale sales
|
|
59
|
|
93
|
|
(36.6)
|
|
(39.9)
|
Total used
|
|
1,569
|
|
991
|
|
58.3
|
|
47.2
|
Parts and
service
|
|
4,656
|
|
5,173
|
|
(10.0)
|
|
(16.5)
|
Finance and
insurance
|
|
1,707
|
|
1,636
|
|
4.3
|
|
(5.1)
|
Total
|
|
$
12,450
|
|
$
13,804
|
|
(9.8)
|
|
(16.3)
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
2,429
|
|
3,582
|
|
(32.2)
|
|
|
Retail used vehicles
sold
|
|
1,011
|
|
1,245
|
|
(18.8)
|
|
|
Wholesale used
vehicles sold
|
|
333
|
|
402
|
|
(17.2)
|
|
|
Total used
|
|
1,344
|
|
1,647
|
|
(18.4)
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
31,860
|
|
$
26,018
|
|
22.5
|
|
13.8
|
Used vehicle
retail
|
|
$
19,993
|
|
$
16,779
|
|
19.2
|
|
10.5
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,860
|
|
$
1,676
|
|
11.0
|
|
3.6
|
Used vehicle retail
sales
|
|
1,494
|
|
721
|
|
107.2
|
|
92.4
|
Used vehicle
wholesale sales
|
|
177
|
|
231
|
|
(23.4)
|
|
(27.4)
|
Total used
|
|
1,167
|
|
602
|
|
93.9
|
|
80.4
|
Finance and insurance
(per retail unit)
|
|
$
496
|
|
$
339
|
|
46.3
|
|
33.2
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
12,896
|
|
$
12,117
|
|
6.4
|
|
(1.2)
|
Adjusted SG&A
expenses(1)
|
|
$
12,622
|
|
$
12,117
|
|
4.2
|
|
(3.3)
|
SG&A as %
revenues
|
|
11.5
|
|
9.4
|
|
|
|
|
Adjusted SG&A as
% revenues (1)
|
|
11.2
|
|
9.4
|
|
|
|
|
SG&A as % gross
profit
|
|
103.6
|
|
87.8
|
|
|
|
|
Adjusted SG&A as
% gross profit (1)
|
|
101.4
|
|
87.8
|
|
|
|
|
Operating margin
%
|
|
(0.6)
|
|
0.8
|
|
|
|
|
Adjusted operating
margin % (1)
|
|
(0.4)
|
|
1.0
|
|
|
|
|
Pretax margin
%
|
|
(0.8)
|
|
0.4
|
|
|
|
|
Adjusted pretax
margin % (1)
|
|
(0.5)
|
|
0.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE:
|
|
|
|
|
|
|
|
|
Floorplan interest
expense
|
|
$
(73)
|
|
$
(96)
|
|
(24.0)
|
|
(31.8)
|
Floorplan
assistance
|
|
—
|
|
—
|
|
-
|
|
-
|
Net floorplan income
(expense)
|
|
$
(73)
|
|
$
(96)
|
|
(24.0)
|
|
(31.8)
|
Other interest income
(expense), net
|
|
$
(85)
|
|
$
(405)
|
|
(79.0)
|
|
(80.0)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (2) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
215,728
|
|
$
281,999
|
|
(23.5)
|
|
(14.1)
|
Used vehicle retail
sales
|
|
57,174
|
|
61,563
|
|
(7.1)
|
|
5.2
|
Used vehicle
wholesale sales
|
|
2,349
|
|
6,462
|
|
(63.6)
|
|
(58.0)
|
Total used
|
|
59,523
|
|
68,025
|
|
(12.5)
|
|
(0.8)
|
Parts and
service
|
|
34,543
|
|
39,970
|
|
(13.6)
|
|
(2.6)
|
Finance and
insurance
|
|
4,784
|
|
5,256
|
|
(9.0)
|
|
2.0
|
Total
|
|
$
314,578
|
|
$
395,250
|
|
(20.4)
|
|
(10.4)
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.7
|
|
6.7
|
|
|
|
|
Used vehicle retail
sales
|
|
5.7
|
|
4.4
|
|
|
|
|
Used vehicle
wholesale sales
|
|
5.4
|
|
7.1
|
|
|
|
|
Total used
|
|
5.7
|
|
4.6
|
|
|
|
|
Parts and
service
|
|
37.1
|
|
42.8
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
10.6
|
|
11.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
12,289
|
|
$
19,002
|
|
(35.3)
|
|
(27.0)
|
Used vehicle retail
sales
|
|
3,272
|
|
2,693
|
|
21.5
|
|
34.4
|
Used vehicle
wholesale sales
|
|
127
|
|
462
|
|
(72.5)
|
|
(68.3)
|
Total used
|
|
3,399
|
|
3,155
|
|
7.7
|
|
19.3
|
Parts and
service
|
|
12,817
|
|
17,102
|
|
(25.1)
|
|
(15.2)
|
Finance and
insurance
|
|
4,784
|
|
5,256
|
|
(9.0)
|
|
2.0
|
Total
|
|
$
33,289
|
|
$
44,515
|
|
(25.2)
|
|
(15.8)
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
7,636
|
|
10,071
|
|
(24.2)
|
|
|
Retail used vehicles
sold
|
|
3,465
|
|
3,403
|
|
1.8
|
|
|
Wholesale used
vehicles sold
|
|
855
|
|
1,269
|
|
(32.6)
|
|
|
Total used
|
|
4,320
|
|
4,672
|
|
(7.5)
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
28,251
|
|
$
28,001
|
|
0.9
|
|
13.3
|
Used vehicle
retail
|
|
$
16,500
|
|
$
18,091
|
|
(8.8)
|
|
3.3
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,609
|
|
$
1,887
|
|
(14.7)
|
|
(3.8)
|
Used vehicle retail
sales
|
|
944
|
|
791
|
|
19.3
|
|
32.0
|
Used vehicle
wholesale sales
|
|
149
|
|
364
|
|
(59.1)
|
|
(52.9)
|
Total used
|
|
787
|
|
675
|
|
16.6
|
|
29.1
|
Finance and insurance
(per retail unit)
|
|
$
431
|
|
$
390
|
|
10.5
|
|
23.8
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
34,808
|
|
$
40,915
|
|
(14.9)
|
|
(3.8)
|
Adjusted SG&A
expenses(1)
|
|
$
34,162
|
|
$
40,915
|
|
(16.5)
|
|
(5.6)
|
SG&A as %
revenues
|
|
11.1
|
|
10.4
|
|
|
|
|
Adjusted SG&A as
% revenues (1)
|
|
10.9
|
|
10.4
|
|
|
|
|
SG&A as % gross
profit
|
|
104.6
|
|
91.9
|
|
|
|
|
Adjusted SG&A as
% gross profit (1)
|
|
102.6
|
|
91.9
|
|
|
|
|
Operating margin
%
|
|
(0.9)
|
|
0.3
|
|
|
|
|
Adjusted operating
margin % (1)
|
|
(0.5)
|
|
0.6
|
|
|
|
|
Pretax margin
%
|
|
(1.0)
|
|
(0.2)
|
|
|
|
|
Adjusted pretax
margin % (1)
|
|
(0.7)
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE:
|
|
|
|
|
|
|
|
|
Floorplan interest
expense
|
|
$
(172)
|
|
$
(917)
|
|
(81.2)
|
|
(78.1)
|
Floorplan
assistance
|
|
—
|
|
—
|
|
-
|
|
-
|
Net floorplan income
(expense)
|
|
$
(172)
|
|
$
(917)
|
|
(81.2)
|
|
(78.1)
|
Other interest income
(expense), net
|
|
$
(182)
|
|
$
(1,188)
|
|
(84.7)
|
|
(81.6)
|
|
(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.
|
(2)We
present constant currency information to provide a framework for
assessing how our underlying businesses performed excluding the
effect of foreign currency rate fluctuations. To present this
information, current and comparative prior period results for
entities reporting in currencies other than United States dollars
are converted into United States dollars using the average exchange
rates from the comparative period rather than the actual exchange
rates in effect during the respective periods. The non-GAAP
financial measures presented above should not be considered as a
substitute for, or superior to, the measures of financial
performance prepared in accordance with U.S. GAAP.
|
Group 1
Automotive, Inc.
|
Additional
Information - Consolidated
|
(Unaudited)
|
(Dollars in
thousands, except per unit amounts)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (2) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,587,952
|
|
$
1,601,213
|
|
(0.8)
|
|
1.6
|
Used vehicle retail
sales
|
|
702,620
|
|
687,637
|
|
2.2
|
|
4.8
|
Used vehicle
wholesale sales
|
|
104,218
|
|
100,483
|
|
3.7
|
|
8.8
|
Total used
|
|
806,838
|
|
788,120
|
|
2.4
|
|
5.3
|
Parts and
service
|
|
319,676
|
|
303,557
|
|
5.3
|
|
7.1
|
Finance and
insurance
|
|
108,710
|
|
107,679
|
|
1.0
|
|
2.2
|
Total
|
|
$
2,823,176
|
|
$
2,800,569
|
|
0.8
|
|
3.3
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.1
|
|
5.0
|
|
|
|
|
Used vehicle retail
sales
|
|
6.5
|
|
6.8
|
|
|
|
|
Used vehicle
wholesale sales
|
|
(1.8)
|
|
(1.8)
|
|
|
|
|
Total used
|
|
5.5
|
|
5.7
|
|
|
|
|
Parts and
service
|
|
54.2
|
|
54.8
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
14.4
|
|
14.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
80,435
|
|
$
79,492
|
|
1.2
|
|
3.8
|
Used vehicle retail
sales
|
|
45,968
|
|
46,582
|
|
(1.3)
|
|
0.5
|
Used vehicle
wholesale sales
|
|
(1,859)
|
|
(1,835)
|
|
(1.3)
|
|
(5.7)
|
Total used
|
|
44,109
|
|
44,747
|
|
(1.4)
|
|
0.3
|
Parts and
service
|
|
173,414
|
|
166,464
|
|
4.2
|
|
6.1
|
Finance and
insurance
|
|
108,710
|
|
107,679
|
|
1.0
|
|
2.2
|
Total
|
|
$
406,668
|
|
$
398,382
|
|
2.1
|
|
4.0
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
45,597
|
|
47,126
|
|
(3.2)
|
|
|
Retail used vehicles
sold
|
|
33,012
|
|
32,491
|
|
1.6
|
|
|
Wholesale used
vehicles sold
|
|
15,027
|
|
14,926
|
|
0.7
|
|
|
Total used
|
|
48,039
|
|
47,417
|
|
1.3
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
34,826
|
|
$
33,977
|
|
2.5
|
|
5.0
|
Used vehicle
retail
|
|
$
21,284
|
|
$
21,164
|
|
0.6
|
|
3.1
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,764
|
|
$
1,687
|
|
4.6
|
|
7.3
|
Used vehicle retail
sales
|
|
1,392
|
|
1,434
|
|
(2.9)
|
|
(1.1)
|
Used vehicle
wholesale sales
|
|
(124)
|
|
(123)
|
|
(0.8)
|
|
(4.9)
|
Total used
|
|
918
|
|
944
|
|
(2.8)
|
|
(1.0)
|
Finance and insurance
(per retail unit)
|
|
$
1,383
|
|
$
1,352
|
|
2.3
|
|
3.6
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
299,006
|
|
$
289,012
|
|
3.5
|
|
5.6
|
Adjusted SG&A
expenses(1)
|
|
$
299,458
|
|
$
289,012
|
|
3.6
|
|
5.8
|
SG&A as %
revenues
|
|
10.6
|
|
10.3
|
|
|
|
|
Adjusted SG&A as
% revenues (1)
|
|
10.6
|
|
10.3
|
|
|
|
|
SG&A as % gross
profit
|
|
73.5
|
|
72.5
|
|
|
|
|
Adjusted SG&A as
% gross profit (1)
|
|
73.6
|
|
72.5
|
|
|
|
|
Operating margin
%
|
|
3.0
|
|
3.5
|
|
|
|
|
Adjusted operating
margin % (1)
|
|
3.3
|
|
3.5
|
|
|
|
|
Pretax margin
%
|
|
2.0
|
|
2.6
|
|
|
|
|
Adjusted pretax
margin % (1)
|
|
2.3
|
|
2.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE:
|
|
|
|
|
|
|
|
|
Floorplan interest
expense
|
|
$
(11,135)
|
|
$
(9,685)
|
|
15.0
|
|
16.9
|
Floorplan
assistance
|
|
12,979
|
|
13,545
|
|
(4.2)
|
|
(4.2)
|
Net floorplan income
(expense)
|
|
$
1,844
|
|
$
3,860
|
|
(52.2)
|
|
(57.1)
|
Other interest income
(expense), net
|
|
$
(17,094)
|
|
$
(13,922)
|
|
22.8
|
|
24.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (2) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
4,538,562
|
|
$
4,468,200
|
|
1.6
|
|
3.9
|
Used vehicle retail
sales
|
|
2,106,569
|
|
1,993,124
|
|
5.7
|
|
7.8
|
Used vehicle
wholesale sales
|
|
302,089
|
|
302,186
|
|
—
|
|
3.1
|
Total used
|
|
2,408,658
|
|
2,295,310
|
|
4.9
|
|
7.2
|
Parts and
service
|
|
950,341
|
|
888,939
|
|
6.9
|
|
8.7
|
Finance and
insurance
|
|
316,419
|
|
307,454
|
|
2.9
|
|
4.0
|
Total
|
|
$
8,213,980
|
|
$
7,959,903
|
|
3.2
|
|
5.4
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.1
|
|
5.0
|
|
|
|
|
Used vehicle retail
sales
|
|
6.8
|
|
7.0
|
|
|
|
|
Used vehicle
wholesale sales
|
|
(0.2)
|
|
(0.0)
|
|
|
|
|
Total used
|
|
5.9
|
|
6.0
|
|
|
|
|
Parts and
service
|
|
54.0
|
|
54.3
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
14.7
|
|
14.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
233,310
|
|
$
225,353
|
|
3.5
|
|
6.1
|
Used vehicle retail
sales
|
|
143,433
|
|
138,763
|
|
3.4
|
|
4.8
|
Used vehicle
wholesale sales
|
|
(462)
|
|
(90)
|
|
(413.3)
|
|
(432.4)
|
Total used
|
|
142,971
|
|
138,673
|
|
3.1
|
|
4.6
|
Parts and
service
|
|
513,188
|
|
482,359
|
|
6.4
|
|
8.0
|
Finance and
insurance
|
|
316,419
|
|
307,454
|
|
2.9
|
|
4.0
|
Total
|
|
$
1,205,888
|
|
$
1,153,839
|
|
4.5
|
|
6.2
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
130,022
|
|
131,130
|
|
(0.8)
|
|
|
Retail used vehicles
sold
|
|
98,754
|
|
93,913
|
|
5.2
|
|
|
Wholesale used
vehicles sold
|
|
43,077
|
|
43,493
|
|
(1.0)
|
|
|
Total used
|
|
141,831
|
|
137,406
|
|
3.2
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
34,906
|
|
$
34,075
|
|
2.4
|
|
4.8
|
Used vehicle
retail
|
|
$
21,331
|
|
$
21,223
|
|
0.5
|
|
2.5
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,794
|
|
$
1,719
|
|
4.4
|
|
7.1
|
Used vehicle retail
sales
|
|
1,452
|
|
1,478
|
|
(1.8)
|
|
(0.3)
|
Used vehicle
wholesale sales
|
|
(11)
|
|
(2)
|
|
(450.0)
|
|
(437.5)
|
Total used
|
|
1,008
|
|
1,009
|
|
(0.1)
|
|
1.3
|
Finance and insurance
(per retail unit)
|
|
$
1,383
|
|
$
1,366
|
|
1.2
|
|
2.3
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
891,692
|
|
$
841,050
|
|
6.0
|
|
8.0
|
Adjusted SG&A
expenses(1)
|
|
$
886,439
|
|
$
839,943
|
|
5.5
|
|
7.5
|
SG&A as %
revenues
|
|
10.9
|
|
10.6
|
|
|
|
|
Adjusted SG&A as
% revenues (1)
|
|
10.8
|
|
10.6
|
|
|
|
|
SG&A as % gross
profit
|
|
73.9
|
|
72.9
|
|
|
|
|
Adjusted SG&A as
% gross profit (1)
|
|
73.5
|
|
72.8
|
|
|
|
|
Operating margin
%
|
|
3.2
|
|
3.5
|
|
|
|
|
Adjusted operating
margin % (1)
|
|
3.4
|
|
3.5
|
|
|
|
|
Pretax margin
%
|
|
2.2
|
|
2.6
|
|
|
|
|
Adjusted pretax
margin % (1)
|
|
2.4
|
|
2.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE:
|
|
|
|
|
|
|
|
|
Floorplan interest
expense
|
|
$
(33,737)
|
|
$
(29,046)
|
|
16.2
|
|
17.4
|
Floorplan
assistance
|
|
36,818
|
|
37,087
|
|
(0.7)
|
|
(0.7)
|
Net floorplan income
(expense)
|
|
$
3,081
|
|
$
8,041
|
|
(61.7)
|
|
(66.1)
|
Other interest income
(expense), net
|
|
$
(50,729)
|
|
$
(42,061)
|
|
20.6
|
|
21.7
|
|
(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.
|
(2)We
present constant currency information to provide a framework for
assessing how our underlying businesses performed excluding the
effect of foreign currency rate fluctuations. To present this
information, current and comparative prior period results for
entities reporting in currencies other than United States dollars
are converted into United States dollars using the average exchange
rates from the comparative period rather than the actual exchange
rates in effect during the respective periods. The non-GAAP
financial measures presented above should not be considered as a
substitute for, or superior to, the measures of financial
performance prepared in accordance with U.S. GAAP.
|
Group 1
Automotive, Inc.
|
Additional
Information - Same Store U.S. (1)
|
(Unaudited)
|
(Dollars in
thousands, except per unit amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
REVENUES:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,240,952
|
|
$
1,297,598
|
|
(4.4)
|
Used vehicle retail
sales
|
|
567,275
|
|
565,381
|
|
0.3
|
Used vehicle
wholesale sales
|
|
73,940
|
|
71,204
|
|
3.8
|
Total used
|
|
641,215
|
|
636,585
|
|
0.7
|
Parts and
service
|
|
267,909
|
|
258,996
|
|
3.4
|
Finance and
insurance
|
|
96,809
|
|
98,577
|
|
(1.8)
|
Total
|
|
$
2,246,885
|
|
$
2,291,756
|
|
(2.0)
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
4.9
|
|
4.8
|
|
|
Used vehicle retail
sales
|
|
6.8
|
|
7.1
|
|
|
Used vehicle
wholesale sales
|
|
(2.0)
|
|
(2.3)
|
|
|
Total used
|
|
5.8
|
|
6.1
|
|
|
Parts and
service
|
|
54.8
|
|
55.3
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
Total
|
|
15.2
|
|
14.9
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
60,920
|
|
$
61,638
|
|
(1.2)
|
Used vehicle retail
sales
|
|
38,719
|
|
40,358
|
|
(4.1)
|
Used vehicle
wholesale sales
|
|
(1,460)
|
|
(1,605)
|
|
9.0
|
Total used
|
|
37,259
|
|
38,753
|
|
(3.9)
|
Parts and
service
|
|
146,738
|
|
143,344
|
|
2.4
|
Finance and
insurance
|
|
96,809
|
|
98,577
|
|
(1.8)
|
Total
|
|
$
341,726
|
|
$
342,312
|
|
(0.2)
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
34,435
|
|
37,403
|
|
(7.9)
|
Retail used vehicles
sold
|
|
26,915
|
|
27,164
|
|
(0.9)
|
Wholesale used
vehicles sold
|
|
10,887
|
|
11,340
|
|
(4.0)
|
Total used
|
|
37,802
|
|
38,504
|
|
(1.8)
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
36,038
|
|
$
34,692
|
|
3.9
|
Used vehicle
retail
|
|
$
21,077
|
|
$
20,814
|
|
1.3
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,769
|
|
$
1,648
|
|
7.3
|
Used vehicle retail
sales
|
|
1,439
|
|
1,486
|
|
(3.2)
|
Used vehicle
wholesale sales
|
|
(134)
|
|
(142)
|
|
5.6
|
Total used
|
|
986
|
|
1,006
|
|
(2.0)
|
Finance and insurance
(per retail unit)
|
|
$
1,578
|
|
$
1,527
|
|
3.3
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
243,405
|
|
$
242,056
|
|
0.6
|
Adjusted SG&A
expenses(2)
|
|
$
242,955
|
|
$
242,056
|
|
0.4
|
SG&A as %
revenues
|
|
10.8
|
|
10.6
|
|
|
Adjusted SG&A as
% revenues (2)
|
|
10.8
|
|
10.6
|
|
|
SG&A as % gross
profit
|
|
71.2
|
|
70.7
|
|
|
Adjusted SG&A as
% gross profit (2)
|
|
71.1
|
|
70.7
|
|
|
Operating margin
%
|
|
3.4
|
|
3.9
|
|
|
Adjusted operating
margin % (2)
|
|
3.9
|
|
3.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
REVENUES:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
3,483,544
|
|
$
3,615,137
|
|
(3.6)
|
Used vehicle retail
sales
|
|
1,670,922
|
|
1,628,417
|
|
2.6
|
Used vehicle
wholesale sales
|
|
200,066
|
|
209,686
|
|
(4.6)
|
Total used
|
|
1,870,988
|
|
1,838,103
|
|
1.8
|
Parts and
service
|
|
788,935
|
|
753,477
|
|
4.7
|
Finance and
insurance
|
|
278,883
|
|
281,040
|
|
(0.8)
|
Total
|
|
$
6,422,350
|
|
$
6,487,757
|
|
(1.0)
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.0
|
|
4.8
|
|
|
Used vehicle retail
sales
|
|
7.2
|
|
7.4
|
|
|
Used vehicle
wholesale sales
|
|
(0.2)
|
|
0.1
|
|
|
Total used
|
|
6.4
|
|
6.5
|
|
|
Parts and
service
|
|
54.5
|
|
54.8
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
Total
|
|
15.6
|
|
15.2
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
173,001
|
|
$
171,974
|
|
0.6
|
Used vehicle retail
sales
|
|
120,081
|
|
119,995
|
|
0.1
|
Used vehicle
wholesale sales
|
|
(372)
|
|
151
|
|
(346.4)
|
Total used
|
|
119,709
|
|
120,146
|
|
(0.4)
|
Parts and
service
|
|
429,838
|
|
412,640
|
|
4.2
|
Finance and
insurance
|
|
278,883
|
|
281,040
|
|
(0.8)
|
Total
|
|
$
1,001,431
|
|
$
985,800
|
|
1.6
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
97,163
|
|
104,424
|
|
(7.0)
|
Retail used vehicles
sold
|
|
79,587
|
|
78,292
|
|
1.7
|
Wholesale used
vehicles sold
|
|
30,367
|
|
32,651
|
|
(7.0)
|
Total used
|
|
109,954
|
|
110,943
|
|
(0.9)
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
35,853
|
|
$
34,620
|
|
3.6
|
Used vehicle
retail
|
|
$
20,995
|
|
$
20,799
|
|
0.9
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,781
|
|
$
1,647
|
|
8.1
|
Used vehicle retail
sales
|
|
1,509
|
|
1,533
|
|
(1.6)
|
Used vehicle
wholesale sales
|
|
(12)
|
|
5
|
|
(340.0)
|
Total used
|
|
1,089
|
|
1,083
|
|
0.6
|
Finance and insurance
(per retail unit)
|
|
$
1,578
|
|
$
1,538
|
|
2.6
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
722,654
|
|
$
700,646
|
|
3.1
|
Adjusted SG&A
expenses(2)
|
|
$
716,366
|
|
$
698,331
|
|
2.6
|
SG&A as %
revenues
|
|
11.3
|
|
10.8
|
|
|
Adjusted SG&A as
% revenues (2)
|
|
11.2
|
|
10.8
|
|
|
SG&A as % gross
profit
|
|
72.2
|
|
71.1
|
|
|
Adjusted SG&A as
% gross profit (2)
|
|
71.5
|
|
70.8
|
|
|
Operating margin
%
|
|
3.7
|
|
3.9
|
|
|
Adjusted operating
margin % (2)
|
|
3.9
|
|
4.0
|
|
|
|
(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
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (3) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
163,396
|
|
$
180,967
|
|
(9.7)
|
|
6.1
|
Used vehicle retail
sales
|
|
79,243
|
|
89,321
|
|
(11.3)
|
|
4.7
|
Used vehicle
wholesale sales
|
|
20,785
|
|
24,859
|
|
(16.4)
|
|
(1.4)
|
Total used
|
|
100,028
|
|
114,180
|
|
(12.4)
|
|
3.4
|
Parts and
service
|
|
23,952
|
|
26,193
|
|
(8.6)
|
|
7.9
|
Finance and
insurance
|
|
6,087
|
|
6,091
|
|
(0.1)
|
|
17.6
|
Total
|
|
$
293,463
|
|
$
327,431
|
|
(10.4)
|
|
5.5
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.9
|
|
6.1
|
|
|
|
|
Used vehicle retail
sales
|
|
5.3
|
|
5.2
|
|
|
|
|
Used vehicle
wholesale sales
|
|
(0.3)
|
|
(0.3)
|
|
|
|
|
Total used
|
|
4.1
|
|
4.0
|
|
|
|
|
Parts and
service
|
|
55.3
|
|
55.6
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
11.3
|
|
11.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
9,559
|
|
$
11,059
|
|
(13.6)
|
|
1.3
|
Used vehicle retail
sales
|
|
4,189
|
|
4,632
|
|
(9.6)
|
|
6.8
|
Used vehicle
wholesale sales
|
|
(66)
|
|
(73)
|
|
9.6
|
|
(8.0)
|
Total used
|
|
4,123
|
|
4,559
|
|
(9.6)
|
|
6.8
|
Parts and
service
|
|
13,246
|
|
14,554
|
|
(9.0)
|
|
7.4
|
Finance and
insurance
|
|
6,087
|
|
6,091
|
|
(0.1)
|
|
17.6
|
Total
|
|
$
33,015
|
|
$
36,263
|
|
(9.0)
|
|
7.2
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
5,293
|
|
5,213
|
|
1.5
|
|
|
Retail used vehicles
sold
|
|
3,702
|
|
3,582
|
|
3.4
|
|
|
Wholesale used
vehicles sold
|
|
2,824
|
|
2,791
|
|
1.2
|
|
|
Total used
|
|
6,526
|
|
6,373
|
|
2.4
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
30,870
|
|
$
34,715
|
|
(11.1)
|
|
4.5
|
Used vehicle
retail
|
|
$
21,405
|
|
$
24,936
|
|
(14.2)
|
|
1.3
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,806
|
|
$
2,121
|
|
(14.9)
|
|
(0.2)
|
Used vehicle retail
sales
|
|
1,132
|
|
1,293
|
|
(12.5)
|
|
3.4
|
Used vehicle
wholesale sales
|
|
(23)
|
|
(26)
|
|
11.5
|
|
(6.7)
|
Total used
|
|
632
|
|
715
|
|
(11.6)
|
|
4.3
|
Finance and insurance
(per retail unit)
|
|
$
677
|
|
$
693
|
|
(2.3)
|
|
15.0
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
25,588
|
|
$
28,130
|
|
(9.0)
|
|
7.3
|
Adjusted SG&A
expenses(2)
|
|
$
25,588
|
|
$
28,130
|
|
(9.0)
|
|
7.3
|
SG&A as %
revenues
|
|
8.7
|
|
8.6
|
|
|
|
|
Adjusted SG&A as
% revenues (2)
|
|
8.7
|
|
8.6
|
|
|
|
|
SG&A as % gross
profit
|
|
77.5
|
|
77.6
|
|
|
|
|
Adjusted SG&A as
% gross profit (2)
|
|
77.5
|
|
77.6
|
|
|
|
|
Operating margin
%
|
|
2.2
|
|
2.1
|
|
|
|
|
Adjusted operating
margin % (2)
|
|
2.2
|
|
2.2
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (3) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
503,611
|
|
$
492,424
|
|
2.3
|
|
12.4
|
Used vehicle retail
sales
|
|
261,228
|
|
269,629
|
|
(3.1)
|
|
6.4
|
Used vehicle
wholesale sales
|
|
70,361
|
|
78,692
|
|
(10.6)
|
|
(1.9)
|
Total used
|
|
331,589
|
|
348,321
|
|
(4.8)
|
|
4.5
|
Parts and
service
|
|
76,063
|
|
76,983
|
|
(1.2)
|
|
8.7
|
Finance and
insurance
|
|
19,186
|
|
17,411
|
|
10.2
|
|
21.2
|
Total
|
|
$
930,449
|
|
$
935,139
|
|
(0.5)
|
|
9.3
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
6.0
|
|
6.3
|
|
|
|
|
Used vehicle retail
sales
|
|
5.3
|
|
5.3
|
|
|
|
|
Used vehicle
wholesale sales
|
|
0.5
|
|
(0.5)
|
|
|
|
|
Total used
|
|
4.3
|
|
4.0
|
|
|
|
|
Parts and
service
|
|
55.2
|
|
55.0
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
11.4
|
|
11.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
30,430
|
|
$
30,796
|
|
(1.2)
|
|
8.6
|
Used vehicle retail
sales
|
|
13,795
|
|
14,163
|
|
(2.6)
|
|
6.9
|
Used vehicle
wholesale sales
|
|
346
|
|
(384)
|
|
190.1
|
|
198.8
|
Total used
|
|
14,141
|
|
13,779
|
|
2.6
|
|
12.7
|
Parts and
service
|
|
42,001
|
|
42,344
|
|
(0.8)
|
|
9.1
|
Finance and
insurance
|
|
19,186
|
|
17,411
|
|
10.2
|
|
21.2
|
Total
|
|
$
105,758
|
|
$
104,330
|
|
1.4
|
|
11.4
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
15,296
|
|
14,408
|
|
6.2
|
|
|
Retail used vehicles
sold
|
|
11,413
|
|
10,863
|
|
5.1
|
|
|
Wholesale used
vehicles sold
|
|
8,884
|
|
8,682
|
|
2.3
|
|
|
Total used
|
|
20,297
|
|
19,545
|
|
3.8
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
32,924
|
|
$
34,177
|
|
(3.7)
|
|
5.9
|
Used vehicle
retail
|
|
$
22,889
|
|
$
24,821
|
|
(7.8)
|
|
1.3
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,989
|
|
$
2,137
|
|
(6.9)
|
|
2.3
|
Used vehicle retail
sales
|
|
1,209
|
|
1,304
|
|
(7.3)
|
|
1.8
|
Used vehicle
wholesale sales
|
|
39
|
|
(44)
|
|
188.6
|
|
196.5
|
Total used
|
|
697
|
|
705
|
|
(1.1)
|
|
8.5
|
Finance and insurance
(per retail unit)
|
|
$
718
|
|
$
689
|
|
4.2
|
|
14.6
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
80,868
|
|
$
81,546
|
|
(0.8)
|
|
9.1
|
Adjusted SG&A
expenses(2)
|
|
$
80,307
|
|
$
81,338
|
|
(1.3)
|
|
8.6
|
SG&A as %
revenues
|
|
8.7
|
|
8.7
|
|
|
|
|
Adjusted SG&A as
% revenues (2)
|
|
8.6
|
|
8.7
|
|
|
|
|
SG&A as % gross
profit
|
|
76.5
|
|
78.2
|
|
|
|
|
Adjusted SG&A as
% gross profit (2)
|
|
75.9
|
|
78.0
|
|
|
|
|
Operating margin
%
|
|
2.3
|
|
2.1
|
|
|
|
|
Adjusted operating
margin % (2)
|
|
2.4
|
|
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.
|
(3)We
present constant currency information to provide a framework for
assessing how our underlying businesses performed excluding the
effect of foreign currency rate fluctuations. To present this
information, current and comparative prior period results for
entities reporting in currencies other than United States dollars
are converted into United States dollars using the average exchange
rates from the comparative period rather than the actual exchange
rates in effect during the respective periods. The non-GAAP
financial measures presented above should not be considered as a
substitute for, or superior to, the measures of financial
performance prepared in accordance with U.S. GAAP.
|
Group 1
Automotive, Inc.
|
Additional
Information - Same Store Brazil (1)
|
(Unaudited)
|
(Dollars in
thousands, except per unit amounts)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (3) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
71,750
|
|
$
87,962
|
|
(18.4)
|
|
(24.2)
|
Used vehicle retail
sales
|
|
18,757
|
|
18,600
|
|
0.8
|
|
(6.5)
|
Used vehicle
wholesale sales
|
|
811
|
|
1,019
|
|
(20.4)
|
|
(24.5)
|
Total used
|
|
19,568
|
|
19,619
|
|
(0.3)
|
|
(7.5)
|
Parts and
service
|
|
11,557
|
|
10,500
|
|
10.1
|
|
2.0
|
Finance and
insurance
|
|
1,651
|
|
1,390
|
|
18.8
|
|
7.8
|
Total
|
|
$
104,526
|
|
$
119,471
|
|
(12.5)
|
|
(18.7)
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.9
|
|
6.4
|
|
|
|
|
Used vehicle retail
sales
|
|
7.6
|
|
4.0
|
|
|
|
|
Used vehicle
wholesale sales
|
|
7.3
|
|
6.7
|
|
|
|
|
Total used
|
|
7.5
|
|
4.1
|
|
|
|
|
Parts and
service
|
|
37.9
|
|
42.8
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
11.2
|
|
10.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
4,213
|
|
$
5,649
|
|
(25.4)
|
|
(30.4)
|
Used vehicle retail
sales
|
|
1,417
|
|
739
|
|
91.7
|
|
78.0
|
Used vehicle
wholesale sales
|
|
59
|
|
68
|
|
(13.2)
|
|
(18.8)
|
Total used
|
|
1,476
|
|
807
|
|
82.9
|
|
69.7
|
Parts and
service
|
|
4,382
|
|
4,494
|
|
(2.5)
|
|
(9.6)
|
Finance and
insurance
|
|
1,651
|
|
1,390
|
|
18.8
|
|
7.8
|
Total
|
|
$
11,722
|
|
$
12,340
|
|
(5.0)
|
|
(11.8)
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
2,261
|
|
3,254
|
|
(30.5)
|
|
|
Retail used vehicles
sold
|
|
950
|
|
1,045
|
|
(9.1)
|
|
|
Wholesale used
vehicles sold
|
|
304
|
|
300
|
|
1.3
|
|
|
Total used
|
|
1,254
|
|
1,345
|
|
(6.8)
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
31,734
|
|
$
27,032
|
|
17.4
|
|
9.1
|
Used vehicle
retail
|
|
$
19,744
|
|
$
17,799
|
|
10.9
|
|
2.8
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,863
|
|
$
1,736
|
|
7.3
|
|
0.2
|
Used vehicle retail
sales
|
|
1,492
|
|
707
|
|
111.0
|
|
95.8
|
Used vehicle
wholesale sales
|
|
194
|
|
227
|
|
(14.5)
|
|
(19.9)
|
Total used
|
|
1,177
|
|
600
|
|
96.2
|
|
82.1
|
Finance and insurance
(per retail unit)
|
|
$
514
|
|
$
323
|
|
59.1
|
|
44.3
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
12,105
|
|
$
10,100
|
|
19.9
|
|
11.3
|
Adjusted SG&A
expenses(2)
|
|
$
11,831
|
|
$
10,100
|
|
17.1
|
|
8.8
|
SG&A as %
revenues
|
|
11.6
|
|
8.5
|
|
|
|
|
Adjusted SG&A as
% revenues (2)
|
|
11.3
|
|
8.5
|
|
|
|
|
SG&A as % gross
profit
|
|
103.3
|
|
81.9
|
|
|
|
|
Adjusted SG&A as
% gross profit (2)
|
|
100.9
|
|
81.9
|
|
|
|
|
Operating margin
%
|
|
(0.6)
|
|
1.5
|
|
|
|
|
Adjusted operating
margin % (2)
|
|
(0.3)
|
|
1.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (3) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
204,560
|
|
$
266,408
|
|
(23.2)
|
|
(13.5)
|
Used vehicle retail
sales
|
|
54,321
|
|
56,160
|
|
(3.3)
|
|
10.1
|
Used vehicle
wholesale sales
|
|
2,058
|
|
5,052
|
|
(59.3)
|
|
(52.5)
|
Total used
|
|
56,379
|
|
61,212
|
|
(7.9)
|
|
4.9
|
Parts and
service
|
|
33,005
|
|
35,089
|
|
(5.9)
|
|
6.5
|
Finance and
insurance
|
|
4,661
|
|
4,789
|
|
(2.7)
|
|
9.8
|
Total
|
|
$
298,605
|
|
$
367,498
|
|
(18.7)
|
|
(8.2)
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.8
|
|
6.8
|
|
|
|
|
Used vehicle retail
sales
|
|
5.8
|
|
4.2
|
|
|
|
|
Used vehicle
wholesale sales
|
|
6.9
|
|
7.3
|
|
|
|
|
Total used
|
|
5.9
|
|
4.4
|
|
|
|
|
Parts and
service
|
|
37.7
|
|
43.5
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
10.8
|
|
11.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
11,789
|
|
$
18,055
|
|
(34.7)
|
|
(26.1)
|
Used vehicle retail
sales
|
|
3,158
|
|
2,331
|
|
35.5
|
|
51.2
|
Used vehicle
wholesale sales
|
|
141
|
|
368
|
|
(61.7)
|
|
(55.5)
|
Total used
|
|
3,299
|
|
2,699
|
|
22.2
|
|
36.7
|
Parts and
service
|
|
12,444
|
|
15,266
|
|
(18.5)
|
|
(7.4)
|
Finance and
insurance
|
|
4,661
|
|
4,789
|
|
(2.7)
|
|
9.8
|
Total
|
|
$
32,193
|
|
$
40,809
|
|
(21.1)
|
|
(10.8)
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
7,265
|
|
9,165
|
|
(20.7)
|
|
|
Retail used vehicles
sold
|
|
3,312
|
|
2,948
|
|
12.3
|
|
|
Wholesale used
vehicles sold
|
|
760
|
|
998
|
|
(23.8)
|
|
|
Total used
|
|
4,072
|
|
3,946
|
|
3.2
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
28,157
|
|
$
29,068
|
|
(3.1)
|
|
9.1
|
Used vehicle
retail
|
|
$
16,401
|
|
$
19,050
|
|
(13.9)
|
|
(2.0)
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,623
|
|
$
1,970
|
|
(17.6)
|
|
(6.8)
|
Used vehicle retail
sales
|
|
954
|
|
791
|
|
20.6
|
|
34.6
|
Used vehicle
wholesale sales
|
|
186
|
|
369
|
|
(49.6)
|
|
(41.5)
|
Total used
|
|
810
|
|
684
|
|
18.4
|
|
32.4
|
Finance and insurance
(per retail unit)
|
|
$
441
|
|
$
395
|
|
11.6
|
|
25.7
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
31,984
|
|
$
34,543
|
|
(7.4)
|
|
5.0
|
Adjusted SG&A
expenses(2)
|
|
$
31,710
|
|
$
34,543
|
|
(8.2)
|
|
4.2
|
SG&A as %
revenues
|
|
10.7
|
|
9.4
|
|
|
|
|
Adjusted SG&A as
% revenues (2)
|
|
10.6
|
|
9.4
|
|
|
|
|
SG&A as % gross
profit
|
|
99.4
|
|
84.6
|
|
|
|
|
Adjusted SG&A as
% gross profit (2)
|
|
98.5
|
|
84.6
|
|
|
|
|
Operating margin
%
|
|
(0.4)
|
|
1.4
|
|
|
|
|
Adjusted operating
margin % (2)
|
|
(0.1)
|
|
1.4
|
|
|
|
|
|
(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.
|
(3)We
present constant currency information to provide a framework for
assessing how our underlying businesses performed excluding the
effect of foreign currency rate fluctuations. To present this
information, current and comparative prior period results for
entities reporting in currencies other than United States dollars
are converted into United States dollars using the average exchange
rates from the comparative period rather than the actual exchange
rates in effect during the respective periods. The non-GAAP
financial measures presented above should not be considered as a
substitute for, or superior to, the measures of financial
performance prepared in accordance with U.S. GAAP.
|
Group 1
Automotive, Inc.
|
Additional
Information - Same Store Consolidated (1)
|
(Unaudited)
|
(Dollars in
thousands, except per unit amounts)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (3) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,476,098
|
|
$
1,566,527
|
|
(5.8)
|
|
(4.3)
|
Used vehicle retail
sales
|
|
665,275
|
|
673,302
|
|
(1.2)
|
|
0.7
|
Used vehicle
wholesale sales
|
|
95,536
|
|
97,082
|
|
(1.6)
|
|
2.2
|
Total used
|
|
760,811
|
|
770,384
|
|
(1.2)
|
|
0.9
|
Parts and
service
|
|
303,418
|
|
295,689
|
|
2.6
|
|
3.8
|
Finance and
insurance
|
|
104,547
|
|
106,058
|
|
(1.4)
|
|
(0.6)
|
Total
|
|
$
2,644,874
|
|
$
2,738,658
|
|
(3.4)
|
|
(1.8)
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.1
|
|
5.0
|
|
|
|
|
Used vehicle retail
sales
|
|
6.7
|
|
6.8
|
|
|
|
|
Used vehicle
wholesale sales
|
|
(1.5)
|
|
(1.7)
|
|
|
|
|
Total used
|
|
5.6
|
|
5.7
|
|
|
|
|
Parts and
service
|
|
54.2
|
|
54.9
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
14.6
|
|
14.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
74,692
|
|
$
78,346
|
|
(4.7)
|
|
(2.9)
|
Used vehicle retail
sales
|
|
44,325
|
|
45,729
|
|
(3.1)
|
|
(1.6)
|
Used vehicle
wholesale sales
|
|
(1,467)
|
|
(1,610)
|
|
8.9
|
|
7.9
|
Total used
|
|
42,858
|
|
44,119
|
|
(2.9)
|
|
(1.4)
|
Parts and
service
|
|
164,366
|
|
162,392
|
|
1.2
|
|
2.5
|
Finance and
insurance
|
|
104,547
|
|
106,058
|
|
(1.4)
|
|
(0.6)
|
Total
|
|
$
386,463
|
|
$
390,915
|
|
(1.1)
|
|
0.1
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
41,989
|
|
45,870
|
|
(8.5)
|
|
|
Retail used vehicles
sold
|
|
31,567
|
|
31,791
|
|
(0.7)
|
|
|
Wholesale used
vehicles sold
|
|
14,015
|
|
14,431
|
|
(2.9)
|
|
|
Total used
|
|
45,582
|
|
46,222
|
|
(1.4)
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
35,154
|
|
$
34,151
|
|
2.9
|
|
4.6
|
Used vehicle
retail
|
|
$
21,075
|
|
$
21,179
|
|
(0.5)
|
|
1.4
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,779
|
|
$
1,708
|
|
4.2
|
|
6.0
|
Used vehicle retail
sales
|
|
1,404
|
|
1,438
|
|
(2.4)
|
|
(0.9)
|
Used vehicle
wholesale sales
|
|
(105)
|
|
(112)
|
|
6.3
|
|
5.1
|
Total used
|
|
940
|
|
955
|
|
(1.6)
|
|
(0.0)
|
Finance and insurance
(per retail unit)
|
|
$
1,421
|
|
$
1,366
|
|
4.0
|
|
5.0
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
281,098
|
|
$
280,286
|
|
0.3
|
|
1.6
|
Adjusted SG&A
expenses(2)
|
|
$
280,374
|
|
$
280,286
|
|
0.0
|
|
1.4
|
SG&A as %
revenues
|
|
10.6
|
|
10.2
|
|
|
|
|
Adjusted SG&A as
% revenues (2)
|
|
10.6
|
|
10.2
|
|
|
|
|
SG&A as % gross
profit
|
|
72.7
|
|
71.7
|
|
|
|
|
Adjusted SG&A as
% gross profit (2)
|
|
72.5
|
|
71.7
|
|
|
|
|
Operating margin
%
|
|
3.1
|
|
3.6
|
|
|
|
|
Adjusted operating
margin % (2)
|
|
3.6
|
|
3.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
Constant Currency
% (3) Increase/ (Decrease)
|
REVENUES:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
4,191,715
|
|
$
4,373,969
|
|
(4.2)
|
|
(2.4)
|
Used vehicle retail
sales
|
|
1,986,471
|
|
1,954,206
|
|
1.7
|
|
3.4
|
Used vehicle
wholesale sales
|
|
272,485
|
|
293,430
|
|
(7.1)
|
|
(4.7)
|
Total used
|
|
2,258,956
|
|
2,247,636
|
|
0.5
|
|
2.3
|
Parts and
service
|
|
898,003
|
|
865,549
|
|
3.7
|
|
5.1
|
Finance and
insurance
|
|
302,730
|
|
303,240
|
|
(0.2)
|
|
0.7
|
Total
|
|
$
7,651,404
|
|
$
7,790,394
|
|
(1.8)
|
|
(0.1)
|
|
|
|
|
|
|
|
|
|
GROSS MARGIN
%:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
5.1
|
|
5.0
|
|
|
|
|
Used vehicle retail
sales
|
|
6.9
|
|
7.0
|
|
|
|
|
Used vehicle
wholesale sales
|
|
0.0
|
|
0.0
|
|
|
|
|
Total used
|
|
6.1
|
|
6.1
|
|
|
|
|
Parts and
service
|
|
53.9
|
|
54.3
|
|
|
|
|
Finance and
insurance
|
|
100.0
|
|
100.0
|
|
|
|
|
Total
|
|
14.9
|
|
14.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
215,220
|
|
$
220,825
|
|
(2.5)
|
|
(0.5)
|
Used vehicle retail
sales
|
|
137,034
|
|
136,489
|
|
0.4
|
|
1.7
|
Used vehicle
wholesale sales
|
|
115
|
|
135
|
|
(14.8)
|
|
27.5
|
Total used
|
|
137,149
|
|
136,624
|
|
0.4
|
|
1.7
|
Parts and
service
|
|
484,283
|
|
470,250
|
|
3.0
|
|
4.2
|
Finance and
insurance
|
|
302,730
|
|
303,240
|
|
(0.2)
|
|
0.7
|
Total
|
|
$
1,139,382
|
|
$
1,130,939
|
|
0.7
|
|
2.0
|
|
|
|
|
|
|
|
|
|
UNITS
SOLD:
|
|
|
|
|
|
|
|
|
Retail new vehicles
sold
|
|
119,724
|
|
127,997
|
|
(6.5)
|
|
|
Retail used vehicles
sold
|
|
94,312
|
|
92,103
|
|
2.4
|
|
|
Wholesale used
vehicles sold
|
|
40,011
|
|
42,331
|
|
(5.5)
|
|
|
Total used
|
|
134,323
|
|
134,434
|
|
(0.1)
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL
SALES PRICE:
|
|
|
|
|
|
|
|
|
New vehicle
retail
|
|
$
35,011
|
|
$
34,172
|
|
2.5
|
|
4.3
|
Used vehicle
retail
|
|
$
21,063
|
|
$
21,218
|
|
(0.7)
|
|
0.9
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER
UNIT SOLD:
|
|
|
|
|
|
|
|
|
New vehicle retail
sales
|
|
$
1,798
|
|
$
1,725
|
|
4.2
|
|
6.4
|
Used vehicle retail
sales
|
|
1,453
|
|
1,482
|
|
(2.0)
|
|
(0.7)
|
Used vehicle
wholesale sales
|
|
3
|
|
3
|
|
-
|
|
34.9
|
Total used
|
|
1,021
|
|
1,016
|
|
0.5
|
|
1.8
|
Finance and insurance
(per retail unit)
|
|
$
1,414
|
|
$
1,378
|
|
2.6
|
|
3.5
|
|
|
|
|
|
|
|
|
|
OTHER:
|
|
|
|
|
|
|
|
|
SG&A
expenses
|
|
$
835,506
|
|
$
816,735
|
|
2.3
|
|
3.8
|
Adjusted SG&A
expenses(2)
|
|
$
828,383
|
|
$
814,212
|
|
1.7
|
|
3.3
|
SG&A as %
revenues
|
|
10.9
|
|
10.5
|
|
|
|
|
Adjusted SG&A as
% revenues (2)
|
|
10.8
|
|
10.5
|
|
|
|
|
SG&A as % gross
profit
|
|
73.3
|
|
72.2
|
|
|
|
|
Adjusted SG&A as
% gross profit (2)
|
|
72.7
|
|
72.0
|
|
|
|
|
Operating margin
%
|
|
3.3
|
|
3.6
|
|
|
|
|
Adjusted operating
margin % (2)
|
|
3.6
|
|
3.6
|
|
|
|
|
|
(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.
|
(3)We
present constant currency information to provide a framework for
assessing how our underlying businesses performed excluding the
effect of foreign currency rate fluctuations. To present this
information, current and comparative prior period results for
entities reporting in currencies other than United States dollars
are converted into United States dollars using the average exchange
rates from the comparative period rather than the actual exchange
rates in effect during the respective periods. The non-GAAP
financial measures presented above should not be considered as a
substitute for, or superior to, the measures of financial
performance prepared in accordance with U.S. GAAP.
|
Group 1
Automotive, Inc.
|
Reconciliation of
Certain Non-GAAP Financial Measures - U.S.
|
(Unaudited)
|
(Dollars in
thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
SG&A
RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$ 246,501
|
|
$ 248,771
|
|
(0.9)
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
(450)
|
|
—
|
|
|
|
Gain (loss) on
real estate and dealership transactions
|
1,176
|
|
—
|
|
|
|
Adjusted SG&A
(1)
|
$ 247,227
|
|
$ 248,771
|
|
(0.6)
|
|
|
|
|
|
|
|
SG&A AS %
REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
10.8
|
|
10.6
|
|
|
|
Adjusted
(1)
|
10.9
|
|
10.6
|
|
|
SG&A AS %
GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
71.1
|
|
71.4
|
|
|
|
Adjusted
(1)
|
71.3
|
|
71.4
|
|
|
OPERATING MARGIN
%
|
|
|
|
|
|
|
Unadjusted
|
3.4
|
|
3.8
|
|
|
|
Adjusted (1),
(2)
|
3.9
|
|
3.8
|
|
|
PRETAX MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
2.3
|
|
2.9
|
|
|
|
Adjusted (1),
(2)
|
2.8
|
|
2.9
|
|
|
|
|
|
|
|
|
|
SAME STORE
SG&A RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$ 243,405
|
|
$ 242,056
|
|
0.6
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
(450)
|
|
—
|
|
|
|
Adjusted Same Store
SG&A (1)
|
$ 242,955
|
|
$ 242,056
|
|
0.4
|
|
|
|
|
|
|
|
SAME STORE
SG&A AS % REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
10.8
|
|
10.6
|
|
|
|
Adjusted
(1)
|
10.8
|
|
10.6
|
|
|
SAME STORE
SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
71.2
|
|
70.7
|
|
|
|
Adjusted
(1)
|
71.1
|
|
70.7
|
|
|
SAME STORE
OPERATING MARGIN %
|
|
|
|
|
|
|
Unadjusted
|
3.4
|
|
3.9
|
|
|
|
Adjusted (1),
(3)
|
3.9
|
|
3.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months
Ended September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
SG&A
RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$ 737,730
|
|
$ 718,607
|
|
2.7
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
(5,873)
|
|
(951)
|
|
|
|
Gain (loss) on
real estate and dealership transactions
|
1,856
|
|
1,052
|
|
|
|
Acquisition
costs
|
(30)
|
|
—
|
|
|
|
Legal
settlements
|
—
|
|
(1,000)
|
|
|
|
Adjusted SG&A
(1)
|
$ 733,683
|
|
$ 717,708
|
|
2.2
|
|
|
|
|
|
|
|
SG&A AS %
REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
11.2
|
|
10.8
|
|
|
|
Adjusted
(1)
|
11.2
|
|
10.8
|
|
|
SG&A AS % OF
GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
72.0
|
|
71.5
|
|
|
|
Adjusted
(1)
|
71.6
|
|
71.4
|
|
|
OPERATING MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
3.7
|
|
3.8
|
|
|
|
Adjusted (1),
(2)
|
3.9
|
|
3.9
|
|
|
PRETAX MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
2.5
|
|
2.9
|
|
|
|
Adjusted (1),
(2)
|
2.8
|
|
2.9
|
|
|
|
|
|
|
|
|
|
SAME STORE
SG&A RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$ 722,654
|
|
$ 700,646
|
|
3.1
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
(5,873)
|
|
(951)
|
|
|
|
Gain (loss) on
real estate and dealership transactions
|
(385)
|
|
(364)
|
|
|
|
Acquisition
costs
|
(30)
|
|
—
|
|
|
|
Legal
settlements
|
—
|
|
(1,000)
|
|
|
|
Adjusted Same Store
SG&A (1)
|
$ 716,366
|
|
$ 698,331
|
|
2.6
|
|
|
|
|
|
|
|
SAME STORE
SG&A AS % REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
11.3
|
|
10.8
|
|
|
|
Adjusted
(1)
|
11.2
|
|
10.8
|
|
|
SAME STORE
SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
72.2
|
|
71.1
|
|
|
|
Adjusted
(1)
|
71.5
|
|
70.8
|
|
|
SAME STORE
OPERATING MARGIN %
|
|
|
|
|
|
|
Unadjusted
|
3.7
|
|
3.9
|
|
|
|
Adjusted (1),
(3)
|
3.9
|
|
4.0
|
|
|
|
|
(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 U.S. GAAP, but are instead
considered non-GAAP financial performance measures. As
required by SEC rules, we provide reconciliations of these adjusted
measures to the most directly comparable U.S. 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 $10,856 and $12,389 for the three and nine
months ended September 30, 2016 and $288 and $786 for the three and
nine months ended September 30, 2015.
|
(3)
|
Excludes the impact
of Same Store SG&A reconciling items above, as well as non-cash
asset impairment charges of $10,776 and $12,310 for the three and
nine months ended September 30, 2016 and $288 and $786 for the
three and nine months ended September 30, 2015.
|
Group 1
Automotive, Inc.
|
Reconciliation of
Certain Non-GAAP Financial Measures - U.K.
|
(Unaudited)
|
(Dollars in
thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
OPERATING MARGIN
%
|
|
|
|
|
|
|
Unadjusted
|
1.4
|
|
2.1
|
|
|
|
Adjusted (1),
(2)
|
1.4
|
|
2.2
|
|
|
PRETAX MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
0.9
|
|
1.6
|
|
|
|
Adjusted (1),
(2)
|
0.9
|
|
1.7
|
|
|
|
|
|
|
|
|
|
SAME STORE
OPERATING MARGIN %
|
|
|
|
|
|
|
Unadjusted
|
2.2
|
|
2.1
|
|
|
|
Adjusted (1),
(3)
|
2.2
|
|
2.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months
Ended September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
SG&A
RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
reported
|
$ 119,154
|
|
$ 81,528
|
|
46.2
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Severance
costs
|
—
|
|
(208)
|
|
|
|
Acquisition
costs
|
(561)
|
|
—
|
|
|
|
Adjusted SG&A
(1)
|
$ 118,593
|
|
$ 81,320
|
|
45.8
|
|
|
|
|
|
|
|
SG&A AS %
REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
8.9
|
|
8.7
|
|
|
|
Adjusted
(1)
|
8.9
|
|
8.7
|
|
|
SG&A AS % OF
GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
80.2
|
|
78.1
|
|
|
|
Adjusted
(1)
|
79.8
|
|
77.9
|
|
|
OPERATING MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
1.8
|
|
2.1
|
|
|
|
Adjusted (1),
(2)
|
1.9
|
|
2.1
|
|
|
PRETAX MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
1.3
|
|
1.6
|
|
|
|
Adjusted (1),
(2)
|
1.3
|
|
1.7
|
|
|
|
|
|
|
|
|
|
SAME STORE
SG&A RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
80,868
|
|
$ 81,546
|
|
(0.8)
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Severance
costs
|
—
|
|
(208)
|
|
|
|
Acquisition
costs
|
(561)
|
|
—
|
|
|
|
Adjusted Same Store
SG&A (1)
|
$
80,307
|
|
$ 81,338
|
|
(1.3)
|
|
|
|
|
|
|
|
SAME STORE
SG&A AS % REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
8.7
|
|
8.7
|
|
|
|
Adjusted
(1)
|
8.6
|
|
8.7
|
|
|
SAME STORE
SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
76.5
|
|
78.2
|
|
|
|
Adjusted
(1)
|
75.9
|
|
78.0
|
|
|
SAME STORE
OPERATING MARGIN %
|
|
|
|
|
|
|
Unadjusted
|
2.3
|
|
2.1
|
|
|
|
Adjusted (1),
(3)
|
2.4
|
|
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 U.S. GAAP, but are instead
considered non-GAAP financial performance measures. As
required by SEC rules, we provide reconciliations of these adjusted
measures to the most directly comparable U.S. 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 $333 for the three and nine months ended
September 30, 2015.
|
(3)
|
Excludes the impact
of Same Store SG&A reconciling items above, as well as non-cash
asset impairment charges of $333 for the three and nine months
ended September 30, 2015.
|
Group 1
Automotive, Inc.
|
Reconciliation of
Certain Non-GAAP Financial Measures - Brazil
|
(Unaudited)
|
(Dollars in
thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
SG&A
RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
12,896
|
|
$
12,117
|
|
6.4
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Foreign
transaction tax
|
(274)
|
|
—
|
|
|
|
Adjusted SG&A
(1)
|
$
12,622
|
|
$
12,117
|
|
4.2
|
|
|
|
|
|
|
|
SG&A AS %
REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
11.5
|
|
9.4
|
|
|
|
Adjusted
(1)
|
11.2
|
|
9.4
|
|
|
SG&A AS %
GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
103.6
|
|
87.8
|
|
|
|
Adjusted
(1)
|
101.4
|
|
87.8
|
|
|
OPERATING MARGIN
%
|
|
|
|
|
|
|
Unadjusted
|
(0.6)
|
|
0.8
|
|
|
|
Adjusted (1),
(2)
|
(0.4)
|
|
1.0
|
|
|
PRETAX MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
(0.8)
|
|
0.4
|
|
|
|
Adjusted (1),
(2)
|
(0.5)
|
|
0.6
|
|
|
|
|
|
|
|
|
|
SAME STORE
SG&A RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
12,105
|
|
$
10,100
|
|
19.9
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Foreign
transaction tax
|
(274)
|
|
—
|
|
|
|
Adjusted Same Store
SG&A (1)
|
$
11,831
|
|
$
10,100
|
|
17.1
|
|
|
|
|
|
|
|
SAME STORE
SG&A AS % REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
11.6
|
|
8.5
|
|
|
|
Adjusted
(1)
|
11.3
|
|
8.5
|
|
|
SAME STORE
SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
103.3
|
|
81.9
|
|
|
|
Adjusted
(1)
|
100.9
|
|
81.9
|
|
|
SAME STORE
OPERATING MARGIN %
|
|
|
|
|
|
|
Unadjusted
|
(0.6)
|
|
1.5
|
|
|
|
Adjusted (1),
(3)
|
(0.3)
|
|
1.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months
Ended September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
SG&A
RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
34,808
|
|
$
40,915
|
|
(14.9)
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Gain (loss) on
real estate and dealership transactions
|
(372)
|
|
—
|
|
|
|
Foreign
transaction tax
|
(274)
|
|
—
|
|
|
|
Adjusted SG&A
(1)
|
$
34,162
|
|
$
40,915
|
|
(16.5)
|
|
|
|
|
|
|
|
SG&A AS %
REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
11.1
|
|
10.4
|
|
|
|
Adjusted
(1)
|
10.9
|
|
10.4
|
|
|
SG&A AS % OF
GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
104.6
|
|
91.9
|
|
|
|
Adjusted
(1)
|
102.6
|
|
91.9
|
|
|
OPERATING MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
(0.9)
|
|
0.3
|
|
|
|
Adjusted (1),
(2)
|
(0.5)
|
|
0.6
|
|
|
PRETAX MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
(1.0)
|
|
(0.2)
|
|
|
|
Adjusted (1),
(2)
|
(0.7)
|
|
0.0
|
|
|
|
|
|
|
|
|
|
SAME STORE
SG&A RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
31,984
|
|
$
34,543
|
|
(7.4)
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Foreign
transaction tax
|
(274)
|
|
—
|
|
|
|
Adjusted Same Store
SG&A (1)
|
$
31,710
|
|
$
34,543
|
|
(8.2)
|
|
|
|
|
|
|
|
SAME STORE
SG&A AS % REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
10.7
|
|
9.4
|
|
|
|
Adjusted
(1)
|
10.6
|
|
9.4
|
|
|
SAME STORE
SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
99.4
|
|
84.6
|
|
|
|
Adjusted
(1)
|
98.5
|
|
84.6
|
|
|
SAME STORE
OPERATING MARGIN %
|
|
|
|
|
|
|
Unadjusted
|
(0.4)
|
|
1.4
|
|
|
|
Adjusted (1),
(3)
|
(0.1)
|
|
1.4
|
|
|
|
|
(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 U.S. GAAP, but are instead
considered non-GAAP financial performance measures. As
required by SEC rules, we provide reconciliations of these adjusted
measures to the most directly comparable U.S. 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 nine months ended September 30,
2016 and $298 and $839 for the three and nine months ended
September 30, 2015.
|
(3)
|
Excludes the impact
of Same Store SG&A reconciling items above, as well as non-cash
asset impairment charges of $423 for the nine months ended
September 30, 2016 and $215 for the three and nine months ended
September 30, 2015.
|
Group 1
Automotive, Inc.
|
Reconciliation of
Certain Non-GAAP Financial Measures - CONSOLIDATED
|
(Unaudited)
|
(Dollars in
thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
|
|
|
|
|
|
|
NET INCOME
RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
35,366
|
|
$
45,261
|
|
(21.9)
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
|
|
|
|
|
|
Pre-tax
|
450
|
|
—
|
|
|
|
Tax
impact
|
(169)
|
|
—
|
|
|
|
(Gain) loss on
real estate and dealership transactions
|
|
|
|
|
|
|
Pre-tax
|
(1,114)
|
|
—
|
|
|
|
Tax
impact
|
418
|
|
—
|
|
|
|
Foreign
transaction tax
|
|
|
|
|
|
|
Pre-tax
|
274
|
|
—
|
|
|
|
Tax
impact
|
—
|
|
—
|
|
|
|
Non-cash asset
impairment
|
|
|
|
|
|
|
Pre-tax
|
10,793
|
|
916
|
|
|
|
Tax
impact
|
(4,047)
|
|
(140)
|
|
|
|
Adjusted net income
(1)
|
$
41,971
|
|
$
46,037
|
|
(8.8)
|
|
|
|
|
|
|
|
ADJUSTED NET
INCOME ATTRIBUTABLE TO DILUTED
|
|
|
|
|
|
|
COMMON SHARES
RECONCILIATION:
|
|
|
|
|
|
|
Adjusted net income
(1)
|
$
41,971
|
|
$
46,037
|
|
(8.8)
|
|
Less: Adjusted
earnings allocated to participating securities
|
1,695
|
|
1,759
|
|
(3.7)
|
|
Adjusted net income
available to diluted common shares (1)
|
$
40,276
|
|
$
44,278
|
|
(9.0)
|
|
|
|
|
|
|
|
DILUTED
(LOSS) INCOME PER COMMON SHARE RECONCILIATION:
|
|
|
|
|
|
As
reported
|
$
1.65
|
|
$
1.88
|
|
(12.2)
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
0.01
|
|
—
|
|
|
|
Gain (loss) on
real estate and dealership transactions
|
(0.03)
|
|
—
|
|
|
|
Foreign
transaction tax
|
0.01
|
|
—
|
|
|
|
Non-cash asset
impairment
|
0.32
|
|
0.03
|
|
|
|
Adjusted diluted
income per share (1)
|
$
1.96
|
|
$
1.91
|
|
2.6
|
|
|
|
|
|
|
|
SG&A
RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
299,006
|
|
$
289,012
|
|
3.5
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
(450)
|
|
—
|
|
|
|
Gain (loss) on
real estate and dealership transactions
|
1,176
|
|
—
|
|
|
|
Foreign
transaction tax
|
(274)
|
|
—
|
|
|
|
Adjusted SG&A
(1)
|
$
299,458
|
|
$
289,012
|
|
3.6
|
|
|
|
|
|
|
|
SG&A AS %
REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
10.6
|
|
10.3
|
|
|
|
Adjusted
(1)
|
10.6
|
|
10.3
|
|
|
SG&A AS %
GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
73.5
|
|
72.5
|
|
|
|
Adjusted
(1)
|
73.6
|
|
72.5
|
|
|
OPERATING MARGIN
%
|
|
|
|
|
|
|
Unadjusted
|
3.0
|
|
3.5
|
|
|
|
Adjusted (1),
(2)
|
3.3
|
|
3.5
|
|
|
PRETAX MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
2.0
|
|
2.6
|
|
|
|
Adjusted (1),
(2)
|
2.3
|
|
2.6
|
|
|
|
|
|
|
|
|
|
SAME STORE
SG&A RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
281,098
|
|
$
280,286
|
|
0.3
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
(450)
|
|
—
|
|
|
|
Foreign
transaction tax
|
(274)
|
|
—
|
|
|
|
Adjusted Same Store
SG&A (1)
|
$
280,374
|
|
$
280,286
|
|
0.0
|
|
|
|
|
|
|
|
SAME STORE
SG&A AS % REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
10.6
|
|
10.2
|
|
|
|
Adjusted
(1)
|
10.6
|
|
10.2
|
|
|
SAME STORE
SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
72.7
|
|
71.7
|
|
|
|
Adjusted
(1)
|
72.5
|
|
71.7
|
|
|
SAME STORE
OPERATING MARGIN %
|
|
|
|
|
|
|
Unadjusted
|
3.1
|
|
3.6
|
|
|
|
Adjusted (1),
(3)
|
3.6
|
|
3.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months
Ended September 30,
|
|
|
2016
|
|
2015
|
|
% Increase/
(Decrease)
|
NET INCOME
RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
116,237
|
|
$
127,385
|
|
(8.8)
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
|
|
|
|
|
|
Pre-tax
|
5,873
|
|
951
|
|
|
|
Tax
impact
|
(2,207)
|
|
(359)
|
|
|
|
(Gain) loss on
real estate and dealership transactions
|
|
|
|
|
|
|
Pre-tax
|
(1,000)
|
|
(1,052)
|
|
|
|
Tax
impact
|
672
|
|
452
|
|
|
|
Severance
costs
|
|
|
|
|
|
|
Pre-tax
|
—
|
|
208
|
|
|
|
Tax
impact
|
—
|
|
(41)
|
|
|
|
Acquisition
costs including related tax impact
|
|
|
|
|
|
|
Pre-tax
|
591
|
|
—
|
|
|
|
Tax
impact
|
(11)
|
|
—
|
|
|
|
Legal
settlements
|
|
|
|
|
|
|
Pre-tax
|
—
|
|
1,000
|
|
|
|
Tax
impact
|
—
|
|
(390)
|
|
|
|
Foreign
transaction tax
|
|
|
|
|
|
|
Pre-tax
|
274
|
|
—
|
|
|
|
Tax
impact
|
—
|
|
—
|
|
|
|
Non-cash asset
impairment
|
|
|
|
|
|
|
Pre-tax
|
12,327
|
|
1,958
|
|
|
|
Tax
impact
|
(4,634)
|
|
(334)
|
|
|
|
Foreign
deferred income tax benefit
|
|
|
|
|
|
|
Pre-tax
|
—
|
|
—
|
|
|
|
Tax
impact
|
(1,686)
|
|
—
|
|
|
|
Adjusted net income
(1)
|
$
126,436
|
|
$
129,778
|
|
(2.6)
|
|
|
|
|
|
|
|
ADJUSTED NET
INCOME ATTRIBUTABLE TO DILUTED
|
|
|
|
|
|
|
COMMON SHARES
RECONCILIATION:
|
|
|
|
|
|
|
Adjusted net income
(1)
|
$
126,436
|
|
$
129,778
|
|
(2.6)
|
|
Less: Adjusted
earnings allocated to participating securities
|
5,061
|
|
4,997
|
|
1.3
|
|
Adjusted net income
available to diluted common shares (1)
|
$
121,375
|
|
$
124,781
|
|
(2.7)
|
|
|
|
|
|
|
|
DILUTED
INCOME PER COMMON SHARE RECONCILIATION:
|
|
|
|
|
|
As
reported
|
$
5.22
|
|
$
5.26
|
|
(0.8)
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
0.16
|
|
0.02
|
|
|
|
Gain (loss) on
real estate and dealership transactions
|
(0.01)
|
|
(0.02)
|
|
|
|
Severance
costs
|
—
|
|
0.01
|
|
|
|
Acquisition
costs including related tax impact
|
0.02
|
|
—
|
|
|
|
Legal
settlements
|
—
|
|
0.02
|
|
|
|
Foreign
transaction tax
|
0.01
|
|
—
|
|
|
|
Non-cash asset
impairment
|
0.35
|
|
0.07
|
|
|
|
Foreign
deferred income tax benefit
|
(0.07)
|
|
—
|
|
|
|
Adjusted diluted
income per share (1)
|
$
5.68
|
|
$
5.36
|
|
6.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SG&A
RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
891,692
|
|
$
841,050
|
|
6.0
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
(5,873)
|
|
(951)
|
|
|
|
Gain (loss) on
real estate and dealership transactions
|
1,485
|
|
1,052
|
|
|
|
Severance
costs
|
—
|
|
(208)
|
|
|
|
Acquisition
costs
|
(591)
|
|
—
|
|
|
|
Legal
settlements
|
—
|
|
(1,000)
|
|
|
|
Foreign
transaction tax
|
(274)
|
|
—
|
|
|
|
Adjusted SG&A
(1)
|
$
886,439
|
|
$
839,943
|
|
5.5
|
|
|
|
|
|
|
|
SG&A AS %
REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
10.9
|
|
10.6
|
|
|
|
Adjusted
(1)
|
10.8
|
|
10.6
|
|
|
SG&A AS % OF
GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
73.9
|
|
72.9
|
|
|
|
Adjusted
(1)
|
73.5
|
|
72.8
|
|
|
OPERATING MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
3.2
|
|
3.5
|
|
|
|
Adjusted (1),
(2)
|
3.4
|
|
3.5
|
|
|
PRETAX MARGIN
%:
|
|
|
|
|
|
|
Unadjusted
|
2.2
|
|
2.6
|
|
|
|
Adjusted (1),
(2)
|
2.4
|
|
2.6
|
|
|
|
|
|
|
|
|
|
SAME STORE
SG&A RECONCILIATION:
|
|
|
|
|
|
|
As
reported
|
$
835,506
|
|
$
816,735
|
|
2.3
|
|
Pre-tax
adjustments:
|
|
|
|
|
|
|
Catastrophic
events
|
(5,873)
|
|
(951)
|
|
|
|
Gain (loss) on
real estate and dealership transactions
|
(385)
|
|
(364)
|
|
|
|
Severance
costs
|
—
|
|
(208)
|
|
|
|
Acquisition
costs
|
(591)
|
|
—
|
|
|
|
Legal
settlements
|
—
|
|
(1,000)
|
|
|
|
Foreign
transaction tax
|
(274)
|
|
—
|
|
|
|
Adjusted Same Store
SG&A (1)
|
$
828,383
|
|
$
814,212
|
|
1.7
|
|
|
|
|
|
|
|
SAME STORE
SG&A AS % REVENUES:
|
|
|
|
|
|
|
Unadjusted
|
10.9
|
|
10.5
|
|
|
|
Adjusted
(1)
|
10.8
|
|
10.5
|
|
|
SAME STORE
SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
Unadjusted
|
73.3
|
|
72.2
|
|
|
|
Adjusted
(1)
|
72.7
|
|
72.0
|
|
|
SAME STORE
OPERATING MARGIN %
|
|
|
|
|
|
|
Unadjusted
|
3.3
|
|
3.6
|
|
|
|
Adjusted (1),
(3)
|
3.6
|
|
3.6
|
|
|
|
|
(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 U.S. GAAP, but are instead
considered non-GAAP financial performance measures. As
required by SEC rules, we provide reconciliations of these adjusted
measures to the most directly comparable U.S. 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 Same Store SG&A reconciling items above, as well as non-cash
asset impairment charges of $10,856 and $12,389 for the three and
nine months ended September 30, 2016 $288 and $786 for the three
and nine months ended September 30, 2015.
|
(3)
|
Excludes the impact
of Same Store SG&A reconciling items above, as well as non-cash
asset impairment charges of $10,776 and $12,310 for the three and
nine months ended September 30, 2016 and $288 and $786 for the
three and nine months ended September 30, 2015.
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/group-1-automotive-reports-third-quarter-2016-results-300348242.html
SOURCE Group 1 Automotive, Inc.