- Q2 2024 EPS $3.20, adjusted EPS
$3.99
- After-Sales gross profit margin improved by 60 basis points
from Q2 2023 (to 48.0%) and improving recent trends in vehicle unit
profitability
- Strong free cash flow conversion
- Continued focus on capital allocation - YTD share repurchases
$350 million
- Operational continuity now restored post-CDK outage; impacted
Q2 2024 EPS by an estimated $1.55
FORT
LAUDERDALE, Fla., July 31,
2024 /PRNewswire/ -- AutoNation, Inc. (NYSE:
AN), today reported second quarter 2024 revenue of
$6.5 billion, EPS of $3.20, and adjusted EPS of $3.99. Results for the second quarter 2024 were
adversely impacted by the outage of AutoNation's dealer management
system due to a cyber incident experienced by CDK Global, which
reduced earnings per share by an estimated $1.55, including $0.79 of one-time costs. Reconciliations of
non-GAAP financial measures are included in the attached financial
tables.
"An otherwise strong quarter for AutoNation was masked by the
CDK outage. Margin performance in After-Sales and trends in vehicle
margins were encouraging and our cash generation continues to
support capital deployment focused on shareholder returns,
including the repurchase of more than 5% of our shares outstanding
year to date. We are encouraged by the health of the markets we
serve and look forward to delivering a strong second half," said
Mike Manley, AutoNation's Chief
Executive Officer.
Operational Summary
Second quarter 2024 compared to
the year-ago period:
|
Selected Financial
Data
|
|
($ in millions, except
per share data)
|
|
|
Three Months
Ended
June
30,
|
|
|
2024
|
|
2023
|
|
YoY
|
|
Revenue
|
|
$
6,480.4
|
|
$
6,890.1
|
|
-6 %
|
|
Gross Profit
|
|
$
1,163.1
|
|
$
1,335.3
|
|
-13 %
|
|
Operating
Income
|
|
$
275.0
|
|
$
439.2
|
|
-37 %
|
|
Net Income
|
|
$
130.2
|
|
$
272.5
|
|
-52 %
|
|
Diluted EPS
|
|
$
3.20
|
|
$
6.02
|
|
-47 %
|
|
|
|
|
|
|
|
|
Adjusted Operating
Income*
|
|
$
318.5
|
|
$
460.4
|
|
-31 %
|
|
Adjusted Net
Income*
|
|
$
162.5
|
|
$
284.9
|
|
-43 %
|
|
Adjusted
EPS*
|
|
$
3.99
|
|
$
6.29
|
|
-37 %
|
|
|
|
|
|
|
|
|
New Vehicle Retail Unit
Sales
|
|
61,268
|
|
62,444
|
|
-2 %
|
|
Used Vehicle Retail
Unit Sales
|
|
65,504
|
|
68,812
|
|
-5 %
|
|
*Reconciliations of
non-GAAP financial measures are included in the attached financial
tables.
|
|
- Revenue - totaled $6.5
billion, down $410 million
compared to the year-ago period, primarily due to the CDK outage
and lower average selling prices of vehicles.
-
- New Vehicle Revenue – decreased $159 million or 5%, to $3.1 billion.
- Used Vehicle Revenue – decreased $177 million or 8%, to $1.9 billion.
- After-Sales Revenue– decreased $28 million or 2%, to $1.1
billion.
- Customer Financial Services Revenue– decreased
$46 million or 12%, to $324 million.
- Gross Profit - totaled $1.2 billion, down $172
million from $1.3 billion a
year ago.
-
- New Vehicle Gross Profit - decreased $97 million reflecting gross profit per vehicle
retailed of $3,108 compared to
$4,607 a year ago, and a 2% decrease
in unit sales.
- Used Vehicle Gross Profit - decreased
$23 million reflecting a gross profit
per vehicle retailed of $1,638
compared to $1,870 a year ago and a
5% decrease in unit sales.
- After-Sales Gross Profit - decreased $6 million, or 1% from a year ago to $537 million as higher margins largely offset
lower sales resulting from the CDK outage.
- Customer Financial Services Gross Profit -
decreased $46 million from a year ago
to $324 million reflecting gross
profit per vehicle of $2,556,
compared to $2,815 a year ago and a
3% decrease in total units.
- SG&A as a Percentage of Gross Profit –was
71.0%, or 67.3% on an adjusted basis remained well below
pre-pandemic levels despite the impact of the CDK outage.
Segment Results
Segment results(1) for the
second quarter of 2024 were as follows:
- Domestic Segment Income – was $50 million compared to the year-ago segment
income of $116 million. Revenues of
$1.7 billion decreased 11%.
- Import Segment Income – was $108 million compared to the year-ago segment
income of $173 million. Revenues of
$2.0 billion increased 1%.
- Premium Luxury Segment Income – was $142 million compared to the year-ago segment
income of $222 million. Revenues of
$2.4 billion decreased 8%.
Capital Allocation, Liquidity, and Leverage
During the
quarter, AutoNation repurchased 2.0 million shares of common stock
for an aggregate purchase price of $311
million. Year-to-date through July
29, 2024, AutoNation repurchased 2.2 million shares for an
aggregate purchase price of $350
million. AutoNation has approximately $971 million remaining under its current share
repurchase program. During the second quarter of 2024, the Company
made capital expenditures of $88
million.
As of June 30, 2024, AutoNation
had $1.6 billion of liquidity,
including $86 million in cash and
$1.5 billion of availability under
its revolving credit facility, net of commercial paper borrowings.
The Company's covenant leverage ratio was 2.53x at quarter end and
the Company had $4.0 billion of
non-vehicle debt outstanding.
First Half 2024 compared to the year-ago period:
|
Selected Financial
Data
|
|
($ in millions, except
per share data)
|
|
|
Six Months
Ended
June
30,
|
|
|
2024
|
|
2023
|
|
YoY
|
|
Revenue
|
|
$
12,966.1
|
|
$
13,288.8
|
|
-2 %
|
|
Gross Profit
|
|
$
2,361.0
|
|
$
2,621.7
|
|
-10 %
|
|
Operating
Income
|
|
$
615.3
|
|
$
882.5
|
|
-30 %
|
|
Net Income
|
|
$
320.3
|
|
$
561.2
|
|
-43 %
|
|
Diluted EPS
|
|
$
7.72
|
|
$
12.09
|
|
-36 %
|
|
|
|
|
|
|
|
|
Adjusted Operating
Income*
|
|
$
666.1
|
|
$
908.9
|
|
-27 %
|
|
Adjusted Net
Income*
|
|
$
352.6
|
|
$
573.6
|
|
-39 %
|
|
Adjusted
EPS*
|
|
$
8.50
|
|
$
12.36
|
|
-31 %
|
|
|
|
|
|
|
|
|
New Vehicle Retail Unit
Sales
|
|
120,131
|
|
117,509
|
|
2 %
|
|
Used Vehicle Retail
Unit Sales
|
|
134,625
|
|
136,351
|
|
-1 %
|
|
*Reconciliations of
non-GAAP financial measures are included in the attached financial
tables.
|
|
- Revenue - totaled $13.0
billion, down $323 million
compared to the year-ago period, primarily due to the CDK outage
and lower average selling prices of vehicles.
- New Vehicle Revenue – decreased $111 million or 2%, to $6.1 billion.
- Used Vehicle Revenue – decreased $213 million or 5%, to $3.9 billion.
- After-Sales Revenue– increased $54 million or 2%, to $2.3
billion.
- Customer Financial Services Revenue– decreased
$43 million or 6%, to $659 million.
- Gross Profit - totaled $2.4 billion, down $261
million from $2.6 billion a
year ago.
- New Vehicle Gross Profit - decreased $188 million reflecting gross profit per vehicle
retailed of $3,216 compared to
$4,890 a year ago, offset partially
by a 2% increase in unit sales.
- Used Vehicle Gross Profit - decreased
$66 million reflecting a gross profit
per vehicle retailed of $1,553
compared to $1,993 a year ago and a
1% decrease in unit sales.
- After-Sales Gross Profit - increased $39 million, or 4% from a year ago to
$1.1 billion as revenue growth and
higher margins largely offset lower sales resulting from the CDK
outage incident.
- Customer Financial Services Gross Profit -
decreased $43 million from a year ago
to $659 million reflecting gross
profit per vehicle of $2,586,
compared to $2,765 a year ago, offset
partially by a slight increase in total units.
- SG&A as a Percentage of Gross Profit –was
68.6%, or 66.4% on an adjusted basis remained well below
pre-pandemic levels despite the impact of the CDK outage.
Segment Results
Segment results(1) for the
first six months of 2024 were as follows:
- Domestic Segment Income – was $126 million compared to the year-ago segment
income of $234 million. Revenues of
$3.5 billion decreased 8%.
- Import Segment Income – was $237 million compared to the year-ago segment
income of $333 million. Revenues of
$4.0 billion increased 6%.
- Premium Luxury Segment Income – was $314 million compared to the year-ago segment
income of $448 million. Revenues of
$4.8 billion decreased 6%.
The second quarter conference call will begin at 9:00 a.m. Eastern Time and may be accessed by
telephone at 833-470-1428 (Conference ID:522370) or on AutoNation's
investor relations website at investors.autonation.com.
The webcast will also be available on AutoNation's website
following the call under "Events & Presentations." A playback
of the conference call will be available after 12:00 p.m. Eastern Time on July 31, 2024, through 11:59 p.m. Eastern Time on Wednesday, August 21,
2024, or by calling 866-813-9403 (Conference ID: 454962).
Additional information regarding AutoNation's results can be found
in the Investor Presentation available at
investors.autonation.com.
|
(1)
|
AutoNation has three
reportable segments: Domestic, Import, and Premium Luxury. The
Domestic segment is comprised of stores that sell vehicles
manufactured by Ford, General Motors, and Stellantis; the Import
segment is comprised of stores that sell vehicles manufactured
primarily by Toyota, Honda, Hyundai, Subaru, and Nissan; and the
Premium Luxury segment is comprised of stores that sell vehicles
manufactured primarily by Mercedes-Benz, BMW, Lexus, Audi, and
Jaguar Land Rover.
|
|
(2)
|
Segment income
represents income for each of AutoNation's reportable segments and
is defined as operating income less floorplan interest
expense.
|
About AutoNation, Inc.
AutoNation, one of the largest
automotive retailers in the United
States, offers innovative products, exceptional services,
and comprehensive solutions, and empowers its customers to make the
best decisions for their needs. With a nationwide network of
dealerships strengthened by a recognized brand, we offer a wide
variety of new and used vehicles, customer financing, parts, and
expert maintenance and repair services. Through DRV PNK, we have
raised over $40 million for
cancer-related causes, demonstrating our commitment to making a
positive difference in the lives of our Associates, Customers, and
the communities we serve.
Please visit www.autonation.com, investors.autonation.com, and
www.x.com/autonation, where AutoNation discloses additional
information about the Company, its business, and its results of
operations. Please also visit www.autonationdrive.com, AutoNation's
automotive blog, for information regarding the AutoNation
community, the automotive industry, and current automotive news and
trends.
NON-GAAP FINANCIAL MEASURES
This news
release and the attached financial tables contain certain non-GAAP
financial measures as defined under SEC rules, which exclude
certain items disclosed in the attached financial tables. As
required by SEC rules, the Company provides reconciliations of
these measures to the most directly comparable GAAP measures. The
Company believes that these non-GAAP financial measures improve the
transparency of the Company's disclosure, provide a meaningful
presentation of the Company's results 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. Non-GAAP financial measures
should not be considered a substitute for, or superior to,
financial measures calculated and presented in accordance with
GAAP.
FORWARD-LOOKING STATEMENTS
This news release contains 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. All statements other than statements of historical fact
are, or may be deemed to be, forward-looking statements. Words such
as "anticipates," "expects," "estimates," "intends," "goals,"
"targets," "projects," "plans," "believes," "continues," "may,"
"will," "could," and variations of such words and similar
expressions are intended to identify such forward-looking
statements. Statements regarding our strategic initiatives,
partnerships, and investments, including AutoNation USA, AutoNation Finance, and AutoNation Mobile
Service, statements regarding our expectations for the future
performance of our business and the automotive retail industry,
including during the second half of 2024, and other statements that
describe our objectives, goals, or plans, are forward-looking
statements. Our forward-looking statements reflect our current
expectations concerning future results and events, and they involve
known and unknown risks, uncertainties, and other factors that are
difficult to predict and may cause our actual results, performance,
or achievements to be materially different from any future results,
performance, and achievements expressed or implied by these
statements. These risks, uncertainties, and other factors include,
among others: our ability to implement successfully our strategic
acquisitions, initiatives, partnerships, and investments, including
our investments in digital and online capabilities and mobility
solutions; our ability to maintain or improve gross profit margins;
our ability to maintain or gain market share; legal, reputational,
and financial risks resulting from cyber incidents and the
potential impact on our operating results; the receipt of any
insurance or other recoveries in connection with any cyber
incidents; our ability to successfully implement and maintain
expense controls; our ability to maintain and enhance our retail
brands and reputation and to attract consumers to our own digital
channels; economic conditions, including changes in unemployment,
interest, and/or inflation rates, consumer demand, fuel prices, and
tariffs; our ability to acquire and integrate successfully new
acquisitions; restrictions imposed by vehicle manufacturers and our
ability to obtain manufacturer approval for franchise
acquisitions; the success and financial viability and the
incentive and marketing programs of vehicle manufacturers and
distributors with which we hold franchises; natural disasters and
other adverse weather events; the resolution of legal and
administrative proceedings; regulatory factors affecting our
business, including fuel economy requirements; the announcement of
safety recalls; factors affecting our goodwill and other intangible
asset impairment testing; and other factors described in our news
releases and filings made under the securities laws, including,
among others, our Annual Reports on Form 10-K, our Quarterly
Reports on Form 10-Q and our Current Reports on Form 8-K.
Forward-looking statements contained in this news release speak
only as of the date of this news release, and we undertake no
obligation to update these forward-looking statements to reflect
subsequent events or circumstances.
|
AUTONATION,
INC.
UNAUDITED CONDENSED
CONSOLIDATED STATEMENTS OF INCOME
(In millions, except
per share data)
|
|
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Revenue:
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
$
3,122.5
|
|
$
3,281.0
|
|
$
6,101.8
|
|
$
6,212.9
|
|
Used
vehicle
|
|
1,911.1
|
|
2,088.0
|
|
3,907.2
|
|
4,120.6
|
|
Parts and
service
|
|
1,117.1
|
|
1,145.3
|
|
2,289.5
|
|
2,235.1
|
|
Finance and
insurance, net
|
|
324.0
|
|
369.5
|
|
658.7
|
|
701.9
|
|
Other
|
|
5.7
|
|
6.3
|
|
8.9
|
|
18.3
|
|
Total
revenue
|
|
6,480.4
|
|
6,890.1
|
|
12,966.1
|
|
13,288.8
|
|
Cost of
sales:
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
2,932.1
|
|
2,993.3
|
|
5,715.5
|
|
5,638.3
|
|
Used
vehicle
|
|
1,799.7
|
|
1,953.7
|
|
3,684.3
|
|
3,831.9
|
|
Parts and
service
|
|
580.5
|
|
602.8
|
|
1,197.1
|
|
1,181.5
|
|
Other
|
|
5.0
|
|
5.0
|
|
8.2
|
|
15.4
|
|
Total cost of
sales
|
|
5,317.3
|
|
5,554.8
|
|
10,605.1
|
|
10,667.1
|
|
Gross profit
|
|
1,163.1
|
|
1,335.3
|
|
2,361.0
|
|
2,621.7
|
|
Selling, general, and
administrative expenses
|
|
825.8
|
|
842.9
|
|
1,618.9
|
|
1,625.6
|
|
Depreciation and
amortization
|
|
59.9
|
|
54.6
|
|
118.2
|
|
107.4
|
|
Other (income) expense,
net(1)
|
|
2.4
|
|
(1.4)
|
|
8.6
|
|
6.2
|
|
Operating
income
|
|
275.0
|
|
439.2
|
|
615.3
|
|
882.5
|
|
Non-operating income
(expense) items:
|
|
|
|
|
|
|
|
|
|
Floorplan
interest expense
|
|
(53.9)
|
|
(32.8)
|
|
(103.3)
|
|
(59.9)
|
|
Other interest
expense
|
|
(46.8)
|
|
(46.0)
|
|
(91.4)
|
|
(87.1)
|
|
Other income
(loss), net(2)
|
|
(0.1)
|
|
4.4
|
|
6.9
|
|
9.6
|
|
Income from continuing
operations before income taxes
|
|
174.2
|
|
364.8
|
|
427.5
|
|
745.1
|
|
Income tax
provision
|
|
44.0
|
|
92.3
|
|
107.2
|
|
184.8
|
|
Net income from
continuing operations
|
|
130.2
|
|
272.5
|
|
320.3
|
|
560.3
|
|
Income from
discontinued operations, net of income taxes
|
|
—
|
|
—
|
|
—
|
|
0.9
|
|
Net income
|
|
$
130.2
|
|
$
272.5
|
|
$
320.3
|
|
$
561.2
|
|
Diluted earnings per
share(3):
|
|
|
|
|
|
|
|
|
|
Continuing
operations
|
|
$
3.20
|
|
$
6.02
|
|
$
7.72
|
|
$
12.08
|
|
Discontinued
operations
|
|
$
—
|
|
$
—
|
|
$
—
|
|
$
0.02
|
|
Net
income
|
|
$
3.20
|
|
$
6.02
|
|
$
7.72
|
|
$
12.09
|
|
Weighted average common
shares outstanding
|
|
40.7
|
|
45.3
|
|
41.5
|
|
46.4
|
|
Common shares
outstanding, net of treasury stock, at period end
|
|
39.7
|
|
44.0
|
|
39.7
|
|
44.0
|
|
|
|
|
|
(1)
|
Includes results of our finance company, including
expected credit loss expense, as well as gains on legal settlements
and asset impairments.
|
|
|
|
(2)
|
Includes gains related to changes in the cash
surrender value of corporate-owned life insurance for deferred
compensation plan participants, net of losses on minority equity
investments.
|
|
|
|
(3)
|
Earnings per share amounts are calculated discretely
and therefore may not add up to the total due to
rounding.
|
|
|
|
AUTONATION,
INC.
UNAUDITED
SUPPLEMENTARY DATA
($ in millions,
except per vehicle data)
|
|
|
Operating
Highlights
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
2024
|
|
2023
|
|
$ Variance
|
|
% Variance
|
|
2024
|
|
2023
|
|
$ Variance
|
|
% Variance
|
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
$ 3,122.5
|
|
$ 3,281.0
|
|
$ (158.5)
|
|
(4.8)
|
|
$ 6,101.8
|
|
$ 6,212.9
|
|
$ (111.1)
|
|
(1.8)
|
|
Retail
used vehicle
|
|
1,743.5
|
|
1,949.2
|
|
(205.7)
|
|
(10.6)
|
|
3,577.3
|
|
3,833.3
|
|
(256.0)
|
|
(6.7)
|
|
Wholesale
|
|
167.6
|
|
138.8
|
|
28.8
|
|
20.7
|
|
329.9
|
|
287.3
|
|
42.6
|
|
14.8
|
|
Used
vehicle
|
|
1,911.1
|
|
2,088.0
|
|
(176.9)
|
|
(8.5)
|
|
3,907.2
|
|
4,120.6
|
|
(213.4)
|
|
(5.2)
|
|
Finance and
insurance, net
|
|
324.0
|
|
369.5
|
|
(45.5)
|
|
(12.3)
|
|
658.7
|
|
701.9
|
|
(43.2)
|
|
(6.2)
|
|
Total
variable operations
|
|
5,357.6
|
|
5,738.5
|
|
(380.9)
|
|
(6.6)
|
|
10,667.7
|
|
11,035.4
|
|
(367.7)
|
|
(3.3)
|
|
Parts and
service
|
|
1,117.1
|
|
1,145.3
|
|
(28.2)
|
|
(2.5)
|
|
2,289.5
|
|
2,235.1
|
|
54.4
|
|
2.4
|
|
Other
|
|
5.7
|
|
6.3
|
|
(0.6)
|
|
|
|
8.9
|
|
18.3
|
|
(9.4)
|
|
|
|
Total
revenue
|
|
$ 6,480.4
|
|
$ 6,890.1
|
|
$ (409.7)
|
|
(5.9)
|
|
$
12,966.1
|
|
$
13,288.8
|
|
$ (322.7)
|
|
(2.4)
|
|
Gross
profit:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
$
190.4
|
|
$
287.7
|
|
$
(97.3)
|
|
(33.8)
|
|
$
386.3
|
|
$
574.6
|
|
$ (188.3)
|
|
(32.8)
|
|
Retail
used vehicle
|
|
107.3
|
|
128.7
|
|
(21.4)
|
|
(16.6)
|
|
209.1
|
|
271.7
|
|
(62.6)
|
|
(23.0)
|
|
Wholesale
|
|
4.1
|
|
5.6
|
|
(1.5)
|
|
|
|
13.8
|
|
17.0
|
|
(3.2)
|
|
|
|
Used
vehicle
|
|
111.4
|
|
134.3
|
|
(22.9)
|
|
(17.1)
|
|
222.9
|
|
288.7
|
|
(65.8)
|
|
(22.8)
|
|
Finance and
insurance
|
|
324.0
|
|
369.5
|
|
(45.5)
|
|
(12.3)
|
|
658.7
|
|
701.9
|
|
(43.2)
|
|
(6.2)
|
|
Total
variable operations
|
|
625.8
|
|
791.5
|
|
(165.7)
|
|
(20.9)
|
|
1,267.9
|
|
1,565.2
|
|
(297.3)
|
|
(19.0)
|
|
Parts and
service
|
|
536.6
|
|
542.5
|
|
(5.9)
|
|
(1.1)
|
|
1,092.4
|
|
1,053.6
|
|
38.8
|
|
3.7
|
|
Other
|
|
0.7
|
|
1.3
|
|
(0.6)
|
|
|
|
0.7
|
|
2.9
|
|
(2.2)
|
|
|
|
Total gross
profit
|
|
1,163.1
|
|
1,335.3
|
|
(172.2)
|
|
(12.9)
|
|
2,361.0
|
|
2,621.7
|
|
(260.7)
|
|
(9.9)
|
|
Selling, general, and
administrative expenses
|
|
825.8
|
|
842.9
|
|
17.1
|
|
2.0
|
|
1,618.9
|
|
1,625.6
|
|
6.7
|
|
0.4
|
|
Depreciation and
amortization
|
|
59.9
|
|
54.6
|
|
(5.3)
|
|
|
|
118.2
|
|
107.4
|
|
(10.8)
|
|
|
|
Other (income) expense,
net
|
|
2.4
|
|
(1.4)
|
|
(3.8)
|
|
|
|
8.6
|
|
6.2
|
|
(2.4)
|
|
|
|
Operating
income
|
|
275.0
|
|
439.2
|
|
(164.2)
|
|
(37.4)
|
|
615.3
|
|
882.5
|
|
(267.2)
|
|
(30.3)
|
|
Non-operating income
(expense) items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Floorplan
interest expense
|
|
(53.9)
|
|
(32.8)
|
|
(21.1)
|
|
|
|
(103.3)
|
|
(59.9)
|
|
(43.4)
|
|
|
|
Other interest
expense
|
|
(46.8)
|
|
(46.0)
|
|
(0.8)
|
|
|
|
(91.4)
|
|
(87.1)
|
|
(4.3)
|
|
|
|
Other income
(loss), net
|
|
(0.1)
|
|
4.4
|
|
(4.5)
|
|
|
|
6.9
|
|
9.6
|
|
(2.7)
|
|
|
|
Income from continuing
operations before income taxes
|
|
$
174.2
|
|
$
364.8
|
|
$ (190.6)
|
|
(52.2)
|
|
$
427.5
|
|
$
745.1
|
|
$ (317.6)
|
|
(42.6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail vehicle unit
sales:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
|
61,268
|
|
62,444
|
|
(1,176)
|
|
(1.9)
|
|
120,131
|
|
117,509
|
|
2,622
|
|
2.2
|
|
Used
|
|
65,504
|
|
68,812
|
|
(3,308)
|
|
(4.8)
|
|
134,625
|
|
136,351
|
|
(1,726)
|
|
(1.3)
|
|
|
126,772
|
|
131,256
|
|
(4,484)
|
|
(3.4)
|
|
254,756
|
|
253,860
|
|
896
|
|
0.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue per vehicle
retailed:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
|
$ 50,965
|
|
$ 52,543
|
|
$ (1,578)
|
|
(3.0)
|
|
$ 50,793
|
|
$ 52,872
|
|
$ (2,079)
|
|
(3.9)
|
|
Used
|
|
$ 26,617
|
|
$ 28,326
|
|
$ (1,709)
|
|
(6.0)
|
|
$ 26,572
|
|
$ 28,113
|
|
$ (1,541)
|
|
(5.5)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross profit per
vehicle retailed:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
|
$
3,108
|
|
$
4,607
|
|
$ (1,499)
|
|
(32.5)
|
|
$
3,216
|
|
$
4,890
|
|
$ (1,674)
|
|
(34.2)
|
|
Used
|
|
$
1,638
|
|
$
1,870
|
|
$
(232)
|
|
(12.4)
|
|
$
1,553
|
|
$
1,993
|
|
$
(440)
|
|
(22.1)
|
|
Finance and insurance
|
|
$
2,556
|
|
$
2,815
|
|
$
(259)
|
|
(9.2)
|
|
$
2,586
|
|
$
2,765
|
|
$
(179)
|
|
(6.5)
|
|
Total variable operations(1)
|
|
$
4,904
|
|
$
5,988
|
|
$ (1,084)
|
|
(18.1)
|
|
$
4,923
|
|
$
6,099
|
|
$ (1,176)
|
|
(19.3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Total
variable operations gross profit per vehicle retailed is calculated
by dividing the sum of new vehicle, retail used vehicle, and
finance and insurance gross profit by total retail vehicle unit
sales.
|
|
Operating
Percentages
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
2024
( %)
|
|
2023
( %)
|
|
2024
( %)
|
|
2023
( %)
|
|
Revenue mix
percentages:
|
|
|
|
|
|
|
|
|
|
New vehicle
|
|
48.2
|
|
47.6
|
|
47.1
|
|
46.8
|
|
Used vehicle
|
|
29.5
|
|
30.3
|
|
30.1
|
|
31.0
|
|
Parts and service
|
|
17.2
|
|
16.6
|
|
17.7
|
|
16.8
|
|
Finance and insurance, net
|
|
5.0
|
|
5.4
|
|
5.1
|
|
5.3
|
|
Other
|
|
0.1
|
|
0.1
|
|
—
|
|
0.1
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
Gross profit mix
percentages:
|
|
|
|
|
|
|
|
|
|
New vehicle
|
|
16.4
|
|
21.5
|
|
16.4
|
|
21.9
|
|
Used vehicle
|
|
9.6
|
|
10.1
|
|
9.4
|
|
11.0
|
|
Parts and service
|
|
46.1
|
|
40.6
|
|
46.3
|
|
40.2
|
|
Finance and insurance
|
|
27.9
|
|
27.7
|
|
27.9
|
|
26.8
|
|
Other
|
|
—
|
|
0.1
|
|
—
|
|
0.1
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
Operating items as a
percentage of revenue:
|
|
|
|
|
|
|
|
|
|
Gross profit:
|
|
|
|
|
|
|
|
|
|
New vehicle
|
|
6.1
|
|
8.8
|
|
6.3
|
|
9.2
|
|
Used vehicle - retail
|
|
6.2
|
|
6.6
|
|
5.8
|
|
7.1
|
|
Parts and service
|
|
48.0
|
|
47.4
|
|
47.7
|
|
47.1
|
|
Total
|
|
17.9
|
|
19.4
|
|
18.2
|
|
19.7
|
|
Selling, general, and administrative expenses
|
|
12.7
|
|
12.2
|
|
12.5
|
|
12.2
|
|
Operating income
|
|
4.2
|
|
6.4
|
|
4.7
|
|
6.6
|
|
Operating items as a
percentage of total gross profit:
|
|
|
|
|
|
|
|
|
|
Selling, general, and administrative expenses
|
|
71.0
|
|
63.1
|
|
68.6
|
|
62.0
|
|
Operating income
|
|
23.6
|
|
32.9
|
|
26.1
|
|
33.7
|
|
AUTONATION,
INC.
UNAUDITED
SUPPLEMENTARY DATA
($ in
millions)
|
|
|
Segment Operating
Highlights
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
2024
|
|
2023
|
|
$ Variance
|
|
% Variance
|
|
2024
|
|
2023
|
|
$ Variance
|
|
% Variance
|
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
|
|
$ 1,739.4
|
|
$ 1,955.5
|
|
$ (216.1)
|
|
(11.1)
|
|
$ 3,496.1
|
|
$ 3,786.6
|
|
$ (290.5)
|
|
(7.7)
|
|
Import
|
|
2,018.8
|
|
1,997.7
|
|
21.1
|
|
1.1
|
|
3,998.3
|
|
3,787.0
|
|
211.3
|
|
5.6
|
|
Premium luxury
|
|
2,398.4
|
|
2,620.5
|
|
(222.1)
|
|
(8.5)
|
|
4,813.3
|
|
5,105.4
|
|
(292.1)
|
|
(5.7)
|
|
Total
|
|
6,156.6
|
|
6,573.7
|
|
(417.1)
|
|
(6.3)
|
|
12,307.7
|
|
12,679.0
|
|
(371.3)
|
|
(2.9)
|
|
Corporate and other
|
|
323.8
|
|
316.4
|
|
7.4
|
|
2.3
|
|
658.4
|
|
609.8
|
|
48.6
|
|
8.0
|
|
Total consolidated revenue
|
|
$ 6,480.4
|
|
$ 6,890.1
|
|
$ (409.7)
|
|
(5.9)
|
|
$
12,966.1
|
|
$
13,288.8
|
|
$ (322.7)
|
|
(2.4)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment
income*:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
|
|
$
50.3
|
|
$
115.8
|
|
$
(65.5)
|
|
(56.6)
|
|
$
125.5
|
|
$
234.3
|
|
$ (108.8)
|
|
(46.4)
|
|
Import
|
|
108.2
|
|
173.0
|
|
(64.8)
|
|
(37.5)
|
|
237.0
|
|
333.4
|
|
(96.4)
|
|
(28.9)
|
|
Premium luxury
|
|
141.9
|
|
221.5
|
|
(79.6)
|
|
(35.9)
|
|
313.5
|
|
448.3
|
|
(134.8)
|
|
(30.1)
|
|
Total
|
|
300.4
|
|
510.3
|
|
(209.9)
|
|
(41.1)
|
|
676.0
|
|
1,016.0
|
|
(340.0)
|
|
(33.5)
|
|
Corporate and
other
|
|
(79.3)
|
|
(103.9)
|
|
24.6
|
|
|
|
(164.0)
|
|
(193.4)
|
|
29.4
|
|
|
|
Add: Floorplan interest
expense
|
|
53.9
|
|
32.8
|
|
21.1
|
|
|
|
103.3
|
|
59.9
|
|
43.4
|
|
|
|
Operating
income
|
|
$
275.0
|
|
$
439.2
|
|
$ (164.2)
|
|
(37.4)
|
|
$
615.3
|
|
$
882.5
|
|
$ (267.2)
|
|
(30.3)
|
|
* Segment income
represents income for each of our reportable segments and is
defined as operating income less floorplan interest
expense.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail new vehicle unit
sales:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
|
|
16,583
|
|
17,495
|
|
(912)
|
|
(5.2)
|
|
32,485
|
|
33,344
|
|
(859)
|
|
(2.6)
|
|
Import
|
|
28,729
|
|
27,172
|
|
1,557
|
|
5.7
|
|
56,297
|
|
50,270
|
|
6,027
|
|
12.0
|
|
Premium luxury
|
|
15,956
|
|
17,777
|
|
(1,821)
|
|
(10.2)
|
|
31,349
|
|
33,895
|
|
(2,546)
|
|
(7.5)
|
|
|
61,268
|
|
62,444
|
|
(1,176)
|
|
(1.9)
|
|
120,131
|
|
117,509
|
|
2,622
|
|
2.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail used vehicle
unit sales:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
|
|
18,734
|
|
21,305
|
|
(2,571)
|
|
(12.1)
|
|
38,497
|
|
42,508
|
|
(4,011)
|
|
(9.4)
|
|
Import
|
|
22,572
|
|
22,630
|
|
(58)
|
|
(0.3)
|
|
46,337
|
|
44,693
|
|
1,644
|
|
3.7
|
|
Premium luxury
|
|
17,769
|
|
18,931
|
|
(1,162)
|
|
(6.1)
|
|
36,732
|
|
37,699
|
|
(967)
|
|
(2.6)
|
|
Other
|
|
6,429
|
|
5,946
|
|
483
|
|
8.1
|
|
13,059
|
|
11,451
|
|
1,608
|
|
14.0
|
|
|
65,504
|
|
68,812
|
|
(3,308)
|
|
(4.8)
|
|
134,625
|
|
136,351
|
|
(1,726)
|
|
(1.3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Brand Mix - Retail
New Vehicle Units Sold
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
|
|
|
|
|
|
|
June
30,
|
|
June
30,
|
|
|
|
|
|
|
|
|
|
|
2024
( %)
|
|
2023
( %)
|
|
2024
( %)
|
|
2023
( %)
|
|
|
|
|
|
|
|
|
|
Domestic:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ford, Lincoln
|
|
11.0
|
|
10.7
|
|
10.8
|
|
11.1
|
|
|
|
|
|
|
|
|
|
Chevrolet, Buick, Cadillac, GMC
|
|
10.8
|
|
10.1
|
|
10.6
|
|
10.2
|
|
|
|
|
|
|
|
|
|
Chrysler, Dodge, Jeep, Ram
|
|
5.3
|
|
7.2
|
|
5.6
|
|
7.1
|
|
|
|
|
|
|
|
|
|
Domestic total
|
|
27.1
|
|
28.0
|
|
27.0
|
|
28.4
|
|
|
|
|
|
|
|
|
|
Import:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Toyota
|
|
21.4
|
|
18.2
|
|
21.5
|
|
18.1
|
|
|
|
|
|
|
|
|
|
Honda
|
|
13.5
|
|
13.5
|
|
13.3
|
|
12.9
|
|
|
|
|
|
|
|
|
|
Nissan
|
|
1.9
|
|
2.1
|
|
1.9
|
|
2.2
|
|
|
|
|
|
|
|
|
|
Hyundai
|
|
3.7
|
|
3.4
|
|
3.6
|
|
3.4
|
|
|
|
|
|
|
|
|
|
Subaru
|
|
3.7
|
|
3.2
|
|
3.7
|
|
3.2
|
|
|
|
|
|
|
|
|
|
Other Import
|
|
2.7
|
|
3.1
|
|
2.9
|
|
3.0
|
|
|
|
|
|
|
|
|
|
Import total
|
|
46.9
|
|
43.5
|
|
46.9
|
|
42.8
|
|
|
|
|
|
|
|
|
|
Premium
Luxury:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mercedes-Benz
|
|
8.1
|
|
9.9
|
|
8.3
|
|
9.7
|
|
|
|
|
|
|
|
|
|
BMW
|
|
9.0
|
|
9.3
|
|
8.7
|
|
9.5
|
|
|
|
|
|
|
|
|
|
Lexus
|
|
3.5
|
|
3.2
|
|
3.6
|
|
3.2
|
|
|
|
|
|
|
|
|
|
Audi
|
|
1.9
|
|
2.7
|
|
2.0
|
|
2.6
|
|
|
|
|
|
|
|
|
|
Jaguar Land Rover
|
|
1.9
|
|
1.5
|
|
2.0
|
|
1.8
|
|
|
|
|
|
|
|
|
|
Other Premium Luxury
|
|
1.6
|
|
1.9
|
|
1.5
|
|
2.0
|
|
|
|
|
|
|
|
|
|
Premium Luxury total
|
|
26.0
|
|
28.5
|
|
26.1
|
|
28.8
|
|
|
|
|
|
|
|
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
|
|
|
|
|
|
|
|
AUTONATION,
INC.
UNAUDITED
SUPPLEMENTARY DATA, Continued
($ in
millions)
|
|
|
Capital Expenditures
/ Stock Repurchases
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Capital
expenditures
|
|
$
87.5
|
|
$
103.7
|
|
$
181.2
|
|
$
199.0
|
|
Cash paid for
acquisitions, net of cash acquired
|
|
$
—
|
|
$
77.9
|
|
$
—
|
|
$
268.9
|
|
Proceeds from exercises
of stock options
|
|
$
0.3
|
|
$
0.2
|
|
$
0.3
|
|
$
1.5
|
|
Stock
repurchases:
|
|
|
|
|
|
|
|
|
|
Aggregate purchase price
(1)
|
|
$
311.3
|
|
$
207.4
|
|
$
350.0
|
|
$
512.4
|
|
Shares repurchased (in millions)
|
|
2.0
|
|
1.6
|
|
2.2
|
|
4.0
|
|
Floorplan Assistance
and Expense
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
2024
|
|
2023
|
|
Variance
|
|
2024
|
|
2023
|
|
Variance
|
|
Floorplan assistance
earned (included in cost of sales)
|
|
$ 31.6
|
|
$ 32.4
|
|
$ (0.8)
|
|
$ 63.4
|
|
$ 60.7
|
|
$
2.7
|
|
New vehicle floorplan
interest expense
|
|
(52.3)
|
|
(29.6)
|
|
(22.7)
|
|
(98.9)
|
|
(54.0)
|
|
(44.9)
|
|
Net
new vehicle inventory carrying benefit (expense)
|
|
$
(20.7)
|
|
$
2.8
|
|
$
(23.5)
|
|
$ (35.5)
|
|
$
6.7
|
|
$ (42.2)
|
|
Balance Sheet and
Other Highlights
|
|
June 30,
2024
|
|
December 31,
2023
|
|
June 30,
2023
|
|
Cash and cash
equivalents
|
|
$
85.9
|
|
$
60.8
|
|
$
63.7
|
|
Inventory
|
|
$
3,553.9
|
|
$
3,033.4
|
|
$
2,572.5
|
|
Floorplan notes
payable
|
|
$
3,959.8
|
|
$
3,382.4
|
|
$
2,581.5
|
|
Non-recourse
debt
|
|
$
488.3
|
|
$
258.4
|
|
$
262.2
|
|
Non-vehicle
debt
|
|
$
4,011.6
|
|
$
4,030.3
|
|
$
4,060.3
|
|
Equity
|
|
$
2,183.2
|
|
$
2,211.4
|
|
$
2,091.8
|
|
|
|
|
|
|
|
|
New days supply
(industry standard of selling days)
|
|
67 days
|
|
36 days
|
|
26 days
|
|
Used days supply
(trailing calendar month days)
|
|
34 days
|
|
39 days
|
|
35 days
|
|
Key Credit Agreement
Covenant Compliance Calculations (2)
|
|
|
|
Leverage
ratio
|
|
2.53x
|
|
Covenant
|
less than or equal
to
|
3.75x
|
|
Interest coverage
ratio
|
|
4.63x
|
|
Covenant
|
greater than or equal
to
|
3.00x
|
|
|
|
(1)
|
Excludes excise taxes imposed under Inflation
Reduction Act.
|
|
(2)
|
Calculated in accordance with our credit agreement as
filed with our Quarterly Report on Form 10-Q for the quarter ended
June 30, 2023.
|
|
AUTONATION,
INC.
UNAUDITED
SUPPLEMENTARY DATA, Continued
($ in millions,
except per share data)
|
|
Comparable Basis
Reconciliations(1)
|
|
|
Three Months Ended
June 30,
|
|
|
Operating
Income
|
|
Income from
Continuing Operations
Before Income Taxes
|
|
Income Tax
Provision(2)
|
|
Effective Tax
Rate
|
|
Net
Income
|
|
Diluted
Earnings
Per
Share(3)
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
From continuing
operations, as reported
|
$
275.0
|
|
$
439.2
|
|
$
174.2
|
|
$
364.8
|
|
$
44.0
|
|
$
92.3
|
|
25.3 %
|
|
25.3 %
|
|
$
130.2
|
|
$
272.5
|
|
|
|
|
|
Discontinued
operations, net of income taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
—
|
|
—
|
|
|
|
|
|
As reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
130.2
|
|
$
272.5
|
|
$
3.20
|
|
$
6.02
|
|
Increase
(decrease) in compensation expense
related to market valuation changes in
deferred compensation
plans(4)
|
0.7
|
|
4.7
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
|
|
|
—
|
|
—
|
|
$
—
|
|
$
—
|
|
One-time costs
associated with CDK outage(5)
|
42.8
|
|
—
|
|
42.8
|
|
—
|
|
10.5
|
|
—
|
|
|
|
|
|
32.3
|
|
—
|
|
$
0.79
|
|
$
—
|
|
Losses from hail
storms and other natural
catastrophes
|
—
|
|
16.5
|
|
—
|
|
16.5
|
|
—
|
|
4.1
|
|
|
|
|
|
—
|
|
12.4
|
|
$
—
|
|
$
0.27
|
|
Adjusted
|
$
318.5
|
|
$
460.4
|
|
$
217.0
|
|
$
381.3
|
|
$
54.5
|
|
$
96.4
|
|
25.1 %
|
|
25.3 %
|
|
$
162.5
|
|
$
284.9
|
|
$
3.99
|
|
$
6.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SG&A
|
|
SG&A as a
Percentage
of Gross Profit (%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$
825.8
|
|
$
842.9
|
|
71.0
|
|
63.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Excluding:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase
(decrease) in compensation expense
related to market valuation changes in
deferred compensation plans
|
0.7
|
|
4.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
One-time costs
associated with CDK outage
|
42.8
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Losses from hail
storms and other natural
catastrophes
|
—
|
|
16.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
|
$
782.3
|
|
$
821.7
|
|
67.3
|
|
61.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Please refer to the
"Non-GAAP Financial Measures" section of the Press
Release.
|
|
(2)
|
Tax expense is
determined based on the amount of additional taxes or tax benefits
associated with each individual item.
|
|
(3)
|
Diluted earnings per
share amounts are calculated discretely and therefore may not add
up to the total due to rounding.
|
|
(4)
|
Increases and decreases
in deferred compensation obligations, which are recorded in
SG&A, are substantially offset by corresponding gains and
losses, respectively, related to changes in the cash surrender
value of corporate-owned life insurance ("COLI") for deferred
compensation plan participants as a result of changes in market
performance of the underlying investments; therefore, the net
impact to net income and earnings per share is de minimis. Gains
and losses related to the COLI are recorded in non-operating Other
Income (Loss), Net.
|
|
(5)
|
Represents certain
one-time costs incurred associated with the CDK outage, principally
consisting of compensation paid to commission-based associates to
ensure business continuity.
|
|
AUTONATION,
INC.
UNAUDITED
SUPPLEMENTARY DATA, Continued
($ in millions,
except per share data)
|
|
Comparable Basis
Reconciliations(1)
|
|
Six Months Ended
June 30,
|
|
|
Operating
Income
|
|
Income from
Continuing
Operations Before
Income Taxes
|
|
Income Tax
Provision(2)
|
|
Effective Tax
Rate
|
|
Net
Income
|
|
Diluted
Earnings
Per
Share(3)
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
From continuing
operations, as reported
|
$
615.3
|
|
$
882.5
|
|
$
427.5
|
|
$
745.1
|
|
$
107.2
|
|
$
184.8
|
|
25.1 %
|
|
24.8 %
|
|
$
320.3
|
|
$
560.3
|
|
|
|
|
|
Discontinued
operations, net of income taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
—
|
|
0.9
|
|
|
|
|
|
As reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
320.3
|
|
561.2
|
|
$
7.72
|
|
$
12.09
|
|
Increase
(decrease) in compensation expense
related to market valuation changes in
deferred compensation
plans(4)
|
8.0
|
|
9.9
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
|
|
|
—
|
|
—
|
|
$
—
|
|
$
—
|
|
One-time costs
associated with CDK outage(5)
|
42.8
|
|
—
|
|
42.8
|
|
—
|
|
10.5
|
|
—
|
|
|
|
|
|
32.3
|
|
—
|
|
$
0.78
|
|
$
—
|
|
Losses from hail
storms and other natural
catastrophes
|
—
|
|
16.5
|
|
—
|
|
16.5
|
|
—
|
|
4.1
|
|
|
|
|
|
—
|
|
12.4
|
|
$
—
|
|
$
0.27
|
|
Adjusted
|
$
666.1
|
|
$
908.9
|
|
$
470.3
|
|
$
761.6
|
|
$
117.7
|
|
$
188.9
|
|
25.0 %
|
|
24.8 %
|
|
$
352.6
|
|
$
573.6
|
|
$
8.50
|
|
$
12.36
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SG&A
|
|
SG&A as a
Percentage
of Gross Profit (%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$
1,618.9
|
|
$
1,625.6
|
|
68.6
|
|
62.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Excluding:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase
(decrease) in compensation expense
related to market valuation changes in
deferred compensation plans
|
8.0
|
|
9.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
One-time costs
associated with CDK outage
|
42.8
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Losses from hail
storms and other natural
catastrophes
|
—
|
|
16.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
|
$
1,568.1
|
|
$
1,599.2
|
|
66.4
|
|
61.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Please refer to the
"Non-GAAP Financial Measures" section of the Press
Release.
|
|
(2)
|
Tax expense is
determined based on the amount of additional taxes or tax benefits
associated with each individual item.
|
|
(3)
|
Diluted earnings per
share amounts are calculated discretely and therefore may not add
up to the total due to rounding.
|
|
(4)
|
Increases and decreases
in deferred compensation obligations, which are recorded in
SG&A, are substantially offset by corresponding gains and
losses, respectively, related to changes in the cash surrender
value of corporate-owned life insurance ("COLI") for deferred
compensation plan participants as a result of changes in market
performance of the underlying investments; therefore, the net
impact to net income and earnings per share is de minimis. Gains
and losses related to the COLI are recorded in non-operating Other
Income (Loss), Net.
|
|
(5)
|
Represents certain
one-time costs incurred associated with the CDK outage, principally
consisting of compensation paid to commission-based associates to
ensure business continuity.
|
|
AUTONATION,
INC.
UNAUDITED SAME
STORE DATA
($ in millions,
except per vehicle data)
|
|
|
Operating Highlights
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
|
|
2024
|
|
2023
|
|
$ Variance
|
|
% Variance
|
|
2024
|
|
2023
|
|
$ Variance
|
|
% Variance
|
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New vehicle
|
|
$
3,095.8
|
|
$
3,275.1
|
|
$ (179.3)
|
|
(5.5)
|
|
$
6,032.9
|
|
$
6,202.6
|
|
$ (169.7)
|
|
(2.7)
|
|
Retail used
vehicle
|
|
1,688.4
|
|
1,943.1
|
|
(254.7)
|
|
(13.1)
|
|
3,457.3
|
|
3,820.8
|
|
(363.5)
|
|
(9.5)
|
|
Wholesale
|
|
161.7
|
|
138.4
|
|
23.3
|
|
16.8
|
|
318.5
|
|
286.3
|
|
32.2
|
|
11.2
|
|
Used
vehicle
|
|
1,850.1
|
|
2,081.5
|
|
(231.4)
|
|
(11.1)
|
|
3,775.8
|
|
4,107.1
|
|
(331.3)
|
|
(8.1)
|
|
Finance and insurance,
net
|
|
316.9
|
|
368.8
|
|
(51.9)
|
|
(14.1)
|
|
643.0
|
|
700.6
|
|
(57.6)
|
|
(8.2)
|
|
Total variable
operations
|
|
5,262.8
|
|
5,725.4
|
|
(462.6)
|
|
(8.1)
|
|
10,451.7
|
|
11,010.3
|
|
(558.6)
|
|
(5.1)
|
|
Parts and
service
|
|
1,105.7
|
|
1,142.1
|
|
(36.4)
|
|
(3.2)
|
|
2,261.3
|
|
2,227.9
|
|
33.4
|
|
1.5
|
|
Other
|
|
5.4
|
|
6.4
|
|
(1.0)
|
|
|
|
9.1
|
|
18.6
|
|
(9.5)
|
|
|
|
Total
revenue
|
|
$
6,373.9
|
|
$
6,873.9
|
|
$ (500.0)
|
|
(7.3)
|
|
$
12,722.1
|
|
$
13,256.8
|
|
$ (534.7)
|
|
(4.0)
|
|
Gross
profit:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New vehicle
|
|
$
189.5
|
|
$
287.5
|
|
$
(98.0)
|
|
(34.1)
|
|
$
383.9
|
|
$
574.2
|
|
$ (190.3)
|
|
(33.1)
|
|
Retail used
vehicle
|
|
104.9
|
|
128.3
|
|
(23.4)
|
|
(18.2)
|
|
203.9
|
|
271.0
|
|
(67.1)
|
|
(24.8)
|
|
Wholesale
|
|
5.0
|
|
5.6
|
|
(0.6)
|
|
|
|
14.7
|
|
17.0
|
|
(2.3)
|
|
|
|
Used
vehicle
|
|
109.9
|
|
133.9
|
|
(24.0)
|
|
(17.9)
|
|
218.6
|
|
288.0
|
|
(69.4)
|
|
(24.1)
|
|
Finance and
insurance
|
|
316.9
|
|
368.8
|
|
(51.9)
|
|
(14.1)
|
|
643.0
|
|
700.6
|
|
(57.6)
|
|
(8.2)
|
|
Total variable
operations
|
|
616.3
|
|
790.2
|
|
(173.9)
|
|
(22.0)
|
|
1,245.5
|
|
1,562.8
|
|
(317.3)
|
|
(20.3)
|
|
Parts and
service
|
|
530.0
|
|
541.0
|
|
(11.0)
|
|
(2.0)
|
|
1,077.1
|
|
1,050.1
|
|
27.0
|
|
2.6
|
|
Other
|
|
0.5
|
|
1.6
|
|
(1.1)
|
|
|
|
0.7
|
|
3.2
|
|
(2.5)
|
|
|
|
Total gross
profit
|
|
$
1,146.8
|
|
$
1,332.8
|
|
$ (186.0)
|
|
(14.0)
|
|
$
2,323.3
|
|
$
2,616.1
|
|
$ (292.8)
|
|
(11.2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail vehicle unit
sales:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
|
60,625
|
|
62,340
|
|
(1,715)
|
|
(2.8)
|
|
118,467
|
|
117,325
|
|
1,142
|
|
1.0
|
|
Used
|
|
63,008
|
|
68,577
|
|
(5,569)
|
|
(8.1)
|
|
129,171
|
|
135,895
|
|
(6,724)
|
|
(4.9)
|
|
|
123,633
|
|
130,917
|
|
(7,284)
|
|
(5.6)
|
|
247,638
|
|
253,220
|
|
(5,582)
|
|
(2.2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue per vehicle
retailed:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
|
$ 51,065
|
|
$ 52,536
|
|
$ (1,471)
|
|
(2.8)
|
|
$ 50,925
|
|
$ 52,867
|
|
$ (1,942)
|
|
(3.7)
|
|
Used
|
|
$ 26,797
|
|
$ 28,335
|
|
$ (1,538)
|
|
(5.4)
|
|
$ 26,765
|
|
$ 28,116
|
|
$ (1,351)
|
|
(4.8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross profit per
vehicle retailed:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
|
$
3,126
|
|
$
4,612
|
|
$ (1,486)
|
|
(32.2)
|
|
$
3,241
|
|
$
4,894
|
|
$ (1,653)
|
|
(33.8)
|
|
Used
|
|
$
1,665
|
|
$
1,871
|
|
$
(206)
|
|
(11.0)
|
|
$
1,579
|
|
$
1,994
|
|
$
(415)
|
|
(20.8)
|
|
Finance and
insurance
|
|
$
2,563
|
|
$
2,817
|
|
$
(254)
|
|
(9.0)
|
|
$
2,597
|
|
$
2,767
|
|
$
(170)
|
|
(6.1)
|
|
Total variable
operations(1)
|
|
$
4,944
|
|
$
5,993
|
|
$ (1,049)
|
|
(17.5)
|
|
$
4,970
|
|
$
6,105
|
|
$ (1,135)
|
|
(18.6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Total
variable operations gross profit per vehicle retailed is calculated
by dividing the sum of new vehicle, retail used vehicle, and
finance and insurance gross profit by total retail vehicle unit
sales.
|
|
Operating Percentages
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
|
|
2024
( %)
|
|
2023
( %)
|
|
2024
( %)
|
|
2023
( %)
|
|
Revenue mix
percentages:
|
|
|
|
|
|
|
|
|
|
New vehicle
|
|
48.6
|
|
47.6
|
|
47.4
|
|
46.8
|
|
Used
vehicle
|
|
29.0
|
|
30.3
|
|
29.7
|
|
31.0
|
|
Parts and
service
|
|
17.3
|
|
16.6
|
|
17.8
|
|
16.8
|
|
Finance and insurance,
net
|
|
5.0
|
|
5.4
|
|
5.1
|
|
5.3
|
|
Other
|
|
0.1
|
|
0.1
|
|
—
|
|
0.1
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
Gross profit mix
percentages:
|
|
|
|
|
|
|
|
|
|
New vehicle
|
|
16.5
|
|
21.6
|
|
16.5
|
|
21.9
|
|
Used
vehicle
|
|
9.6
|
|
10.0
|
|
9.4
|
|
11.0
|
|
Parts and
service
|
|
46.2
|
|
40.6
|
|
46.4
|
|
40.1
|
|
Finance and
insurance
|
|
27.6
|
|
27.7
|
|
27.7
|
|
26.8
|
|
Other
|
|
0.1
|
|
0.1
|
|
—
|
|
0.2
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
Operating items as a
percentage of revenue:
|
|
|
|
|
|
|
|
|
|
Gross
profit:
|
|
|
|
|
|
|
|
|
|
New vehicle
|
|
6.1
|
|
8.8
|
|
6.4
|
|
9.3
|
|
Used vehicle -
retail
|
|
6.2
|
|
6.6
|
|
5.9
|
|
7.1
|
|
Parts and
service
|
|
47.9
|
|
47.4
|
|
47.6
|
|
47.1
|
|
Total
|
|
18.0
|
|
19.4
|
|
18.3
|
|
19.7
|
View original content to download
multimedia:https://www.prnewswire.com/news-releases/autonation-reports-second-quarter-2024-results-302210450.html
SOURCE AutoNation, Inc.