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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K |
CURRENT REPORT |
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
Date of Report (Date of earliest event reported): | July 26, 2007 |
Lithia Motors, Inc. (Exact Name of Registrant as specified in its charter) |
Oregon | 0-21789 | 93 - 0572810 | ||
(State or other jurisdiction of | (Commission File Number) | (IRS Employer Identification No.) | ||
incorporation) | ||||
360 E. Jackson Street Medford, Oregon 97501 (Address of Principal Executive Office) | ||||
Registrant's telephone number including area code 541-776-6868 |
Not applicable (Former name or former address, if changed since last report) |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a -12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d -2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e -4(c))
Item 2.02 Results of Operations and Financial Condition.
On July 26, 2007, Lithia Motors, Inc. issued a press release announcing financial results for 2nd quarter of 2007. A copy of the press release is attached as Exhibit 99.1.
Item 9.01 Financial Statements and Exhibits.
(a) | Not applicable. | |||
(b) | Not applicable. | |||
(c) | Exhibits. | |||
99.1 Earnings Press Release |
SIGNATURES |
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
LITHIA MOTORS, INC. | ||||||
(Registrant) | ||||||
Date: | July 26, 2007 | By: | /s/ Kenneth E. Roberts | |||
Kenneth E. Roberts | ||||||
Assistant Secretary |
EXHIBIT 99.1
LITHIA MOTORS Q2 REVENUES GROW 11% TO A RECORD $885 MILLION;
EARNINGS FROM CONTINUING OPERATIONS OF 50 CENTS PER SHARE
MEDFORD, OREGON, July 26, 2007 (4:05 p.m. EDT) Lithia Motors, Inc. (NYSE: LAD) today announced that second quarter 2007 sales increased 11% to $885.1 million as compared to $801.2 million in the same period last year. New vehicle sales increased 10%, used vehicle sales increased 9%, finance/insurance sales increased 5%, and parts/service sales increased 19%.
Second quarter 2007 net income from continuing operations was $10.7 million as compared to $12.1 million in the second quarter of 2006. Diluted earnings per share from continuing operations were $0.50 as compared to $0.57 in the second quarter of 2006. For a more accurate comparison of earnings, last years fair market value adjustment to our swaps needs to be considered. Our interest rate swaps did not qualify for hedge accounting in 2006, which had the effect of increasing second quarter 2006 earnings per share by 3 cents. Our swaps do qualify for hedge accounting in 2007 and there was no comparable effect on earnings per share in the second quarter.
Sid DeBoer, Lithias Chairman and CEO, commented, The highlight of the quarter was Lithias parts and service business which continued its strong performance with same-store sales growth of 4.6% on top of 8.0% growth in the second quarter of last year.
Total sales grew 11% in the second quarter driven by strong parts and service sales and revenues from acquisitions made in the past 12 months. Second quarter total same-store sales declined 2.0%; however, we had a difficult comparison against 9.3% growth in the second quarter of 2006. Regardless of the difficult year over year comparisons, retail sales have been lackluster in the first half of the year. We believe that we are seeing a challenging retail environment for automotive sales in our markets that will continue for the rest of the year. This is related to the ripple affects from the slowdown in residential construction, high gas prices and customer concerns over personal debt.
Vehicle inventories are at low levels going into the third quarter of the year. New vehicle inventories at the end of June were 9 days below our historical average levels. Finally, earnings per share from continuing operations in the second quarter were down 12% from last year as a result of the retail sales environment, continuing costs related to L2 Auto and our future operating initiatives and higher year over year interest expense, concluded Mr. DeBoer.
For the six-month period ending June 30, 2007, total sales increased 10% to $1.66 billion as compared to $1.51 billion in the same period last year. New vehicle sales increased 9%, used vehicle sales increased 9%, finance/insurance sales increased 8%, and parts/service sales increased 20%.
For the first six-months, Lithias net income from continuing operations was $17.9 million as compared to $22.9 million in 2006. Diluted earnings per share from continuing operations were $0.85 as compared to $1.08 in the first six-months of 2006. Last years fair market value adjustment to our swaps had the effect of increasing first half 2006 earnings per share by 7 cents. There was no comparable effect on earnings per share in the first half of this year.
Jeffrey B. DeBoer, Senior Vice President and CFO added, We are lowering our guidance for the full-year 2007. Our initial 2007 guidance was in-line with what we had earned for the full-year 2006. We are adjusting guidance lower to take into account the slower than expected retail environment in the first half of the year and the costs associated with the investments, for the future, we are making in our company this year. We do not foresee an impact to the companys dividend or current operating initiatives as a result of our updated projections for the year.
In the second quarter, we had five stores and one body shop classified as discontinued operations as we continue to dispose of our lowest performing operations. Of the 12 cents in discontinued operations, 1 cent is related to operating losses and 11 cents are due to a one-time non-cash write-off of intangibles related to the discontinued stores.
The full-year 2007 guidance is on a continuing operations basis and assumes a steady pace of acquisitions and dispositions," concluded Jeffrey B. DeBoer.
Guidance | ||||
Earnings per Share | FY 2007 | |||
From Continuing Operations: |
$1.60 - $1.80 |
Conference Call Information
Lithia Motors will be providing more detailed information on the results for the second quarter 2007 in its conference call scheduled for today at 2 p.m. PDT and 5 p.m. EDT. The call can be accessed live by calling 973-582-2750; Conference ID #: 9010604. To listen LIVE on our website or for REPLAY: Log-on to www.Lithia.com Go to Investor Relations and click on the Conference Call Icon.
About Lithia
Lithia Motors, Inc. is a Fortune 700 and Russell 2000 Company. Lithia sells 30 brands of new vehicles at 108 stores which are located in 46 markets within 15 states. Internet sales are centralized at www.Lithia.com. Lithia also sells used vehicles; arranges finance, warranty, and credit insurance contracts; and provides vehicle parts, maintenance, and repair services at all of its locations. Lithia retailed 109,648 new and used vehicles and had $3.17 billion in total revenue in 2006.
Forward Looking Statements
This press release includes forward looking statements within the meaning of the Safe-Harbor provisions of the Private Securities Litigation Reform Act of 1995, which management believes are a benefit to shareholders. These statements are necessarily subject to risk and uncertainty and actual results could differ materially due to certain risk factors including, without limitation, economic conditions, acquisition risk factors and others set forth from time to time in the companys filings with the SEC. Specific risks in this press release include the accuracy of the companys internal forecasts, comments
and predictions related to the retail sales environment, anticipated costs related to new initiatives and projected full-year 2007 earnings per share guidance.
Additional Information
For additional information on Lithia Motors, contact the Investor Relations Department: (541) 776-6591 or log-on to: www.lithia.com go to Investor Relations
LITHIA MOTORS, INC. | ||||||||||||||||||
(In Thousands except per share data) | ||||||||||||||||||
Unaudited | Three Months Ended | |||||||||||||||||
June 30, | $ Increase | % Increase | ||||||||||||||||
2007 | 2006 | (Decrease) | (Decrease) | |||||||||||||||
New Vehicle Sales | $515,234 | $468,710 | $46,524 | 9.9 | % | |||||||||||||
Used Vehicle Sales | 238,936 | 219,149 | 19,787 | 9.0 | ||||||||||||||
Finance & Insurance | 33,143 | 31,487 | 1,656 | 5.3 | ||||||||||||||
Service, Body & Parts Sales | 96,490 | 81,062 | 15,428 | 19.0 | ||||||||||||||
Fleet & Other Revenues | 1,306 | 796 | 510 | 64.1 | ||||||||||||||
Total Revenues | 885,109 | 801,204 | 83,905 | 10.5 | ||||||||||||||
Cost of Sales | 736,797 | 664,909 | 71,888 | 10.8 | ||||||||||||||
Gross Profit | 148,312 | 136,295 | 12,017 | 8.8 | ||||||||||||||
SG&A Expense | 112,135 | 100,482 | 11,653 | 11.6 | ||||||||||||||
Depreciation/Amortization | 5,097 | 4,007 | 1,090 | 27.2 | ||||||||||||||
Income from Operations | 31,080 | 31,806 | (726 | ) | (2.3 | ) | ||||||||||||
Flooring Interest Expense | (8,480 | ) | (7,800 | ) | 680 | 8.7 | ||||||||||||
Other Interest Expense | (5,039 | ) | (3,312 | ) | 1,727 | 52.1 | ||||||||||||
Other Income, net | 113 | 261 | (148 | ) | (56.7 | ) | ||||||||||||
Income from continuing operations | ||||||||||||||||||
before income taxes | 17,674 | 20,955 | (3,281 | ) | (15.7 | ) | ||||||||||||
Income Tax Expense | 7,022 | 8,834 | (1,812 | ) | (20.5 | ) | ||||||||||||
Income Tax Rate | 39.7 | % | 42.2 | % | ||||||||||||||
Income from continuing ops. | 10,652 | 12,121 | (1,469 | ) | (12.1 | )% | ||||||||||||
Discontinued Operations: | ||||||||||||||||||
Loss from operations, net of tax | (228 | ) | (230 | ) | ||||||||||||||
Loss from impairment, net of tax | (2,481 | ) | 0 | |||||||||||||||
Loss from discontinued | ||||||||||||||||||
operations, net of income tax | (2,709 | ) | (230 | ) | 2,479 | 1,077.8 | ||||||||||||
Net Income | $7,943 | $11,891 | $(3,185 | ) | (26.8 | )% | ||||||||||||
Diluted Net Income per share: | ||||||||||||||||||
Continuing Operations | $0.50 | $0.57 | $(0.07 | ) | $(12.3 | )% | ||||||||||||
Discontinued Operations: | ||||||||||||||||||
Loss from operations | (0.01 | ) | (0.01 | ) | ||||||||||||||
Loss from impairment | (0.11 | ) | 0 | |||||||||||||||
Total Discontinued Operations | (0.12 | ) | (0.01 | ) | ||||||||||||||
Net Income per share | $0.38 | $0.56 | (0.18 | ) | (32.1 | )% | ||||||||||||
Diluted Shares Outstanding | 22,109 | 22,150 | (41 | ) | (0.2 | )% |
LITHIA MOTORS, INC. | Three Months Ended | |||||||||||||||||
(Continuing Operations) | June 30, | Increase | % Increase | |||||||||||||||
Unit Sales: | 2007 | 2006 | (Decrease) | (Decrease) | ||||||||||||||
New Vehicle | 17,882 | 17,326 | 556 | 3.2 | % | |||||||||||||
Used Retail Vehicle | 11,814 | 11,328 | 486 | 4.3 | ||||||||||||||
Used - Wholesale | 6,625 | 5,999 | 626 | 10.4 | ||||||||||||||
Total Units Sold | 36,321 | 34,653 | 1,668 | 4.8 | ||||||||||||||
Average Selling Price: | ||||||||||||||||||
New Vehicle | $28,813 | $27,052 | $1,761 | 6.5 | % | |||||||||||||
Used Retail Vehicle | 16,676 | 16,161 | 515 | 3.2 | ||||||||||||||
Used - Wholesale | 6,329 | 6,013 | 316 | 5.3 | ||||||||||||||
Key Financial Data: | ||||||||||||||||||
Gross Profit Margin | 16.8 | % | 17.0 | % | -20bps | |||||||||||||
SG&A as a % of Gross Profit | 75.6 | % | 73.7 | % | +190bps | |||||||||||||
Operating Margin | 3.5 | % | 4.0 | % | -50bps | |||||||||||||
Pre-Tax Margin | 2.0 | % | 2.6 | % | -60bps | |||||||||||||
Gross Margin/Profit Data | ||||||||||||||||||
New Vehicle Retail | 7.3 | % | 7.3 | % | - | |||||||||||||
Used Vehicle Retail | 15.0 | % | 15.8 | % | -80bps | |||||||||||||
Used Vehicle Wholesale | 2.7 | % | 2.8 | % | -10bps | |||||||||||||
Service, Body & Parts | 48.2 | % | 49.3 | % | -110bps | |||||||||||||
Finance & Insurance | 100.0 | % | 100.0 | % | - | |||||||||||||
New Retail Gross Profit/Unit | $2,101 | $1,988 | +$113 | |||||||||||||||
Used Retail Gross Profit/Unit | $2,497 | $2,560 | -$63 | |||||||||||||||
Used Wholesale Gross Profit/Unit | $173 | $170 | +$3 | |||||||||||||||
Finance & Insurance/Retail Unit | $1,116 | $1,099 | +$17 | |||||||||||||||
Revenue Mix: | ||||||||||||||||||
New Vehicles | 58.2 | % | 58.5 | % | ||||||||||||||
Used Retail Vehicles | 22.3 | % | 22.9 | % | ||||||||||||||
Used Wholesale Vehicles | 4.7 | % | 4.5 | % | ||||||||||||||
Finance and Insurance, Net | 3.7 | % | 3.9 | % | ||||||||||||||
Service and Parts | 10.9 | % | 10.1 | % | ||||||||||||||
Fleet and other | 0.2 | % | 0.1 | % | ||||||||||||||
New Vehicle Unit Sales Brand Mix: | ||||||||||||||||||
Chrysler Brands | 38.9 | % | 39.5 | % | ||||||||||||||
General Motors & Saturn | 15.7 | % | 17.2 | % | ||||||||||||||
Toyota | 14.2 | % | 13.0 | % | ||||||||||||||
Honda | 6.6 | % | 5.4 | % | ||||||||||||||
Ford | 5.7 | % | 7.4 | % | ||||||||||||||
Hyundai | 4.1 | % | 4.8 | % | ||||||||||||||
BMW | 3.8 | % | 2.3 | % | ||||||||||||||
Nissan | 3.2 | % | 3.4 | % | ||||||||||||||
Subaru | 2.0 | % | 2.8 | % | ||||||||||||||
Volkswagen | 2.0 | % | 1.5 | % | ||||||||||||||
Mercedes-Benz | 1.1 | % | 0.7 | % | ||||||||||||||
Other | 2.7 | % | 2.0 | % | ||||||||||||||
100 | % | 100 | % |
Lithia Motors Selected Same Store Data | ||||||||||||||||||
Three Months Ended | ||||||||||||||||||
June 30, | Increase | % Increase | ||||||||||||||||
Same Store Unit Sales: | 2007 | 2006 | (Decrease) | (Decrease) | ||||||||||||||
New Vehicle | 15,956 | 17,204 | (1,248 | ) | (7.3 | )% | ||||||||||||
Used Retail Vehicle | 10,624 | 11,297 | (673 | ) | (6.0 | ) | ||||||||||||
Used - Wholesale | 5,902 | 5,999 | (97 | ) | (1.6 | ) | ||||||||||||
Total Units Sold | 32,482 | 34,500 | (2,018 | ) | (5.8 | ) | ||||||||||||
Same Store Average Selling Price: | ||||||||||||||||||
New Vehicle | $28,353 | $27,041 | $1,312 | 4.9 | % | |||||||||||||
Used Retail Vehicle | 16,452 | 16,160 | 292 | 1.8 | ||||||||||||||
Used - Wholesale | 6,363 | 6,013 | 350 | 5.8 | ||||||||||||||
Same Store Retail Revenue | ||||||||||||||||||
New Vehicle Retail Sales | (2.8 | )% | 8.1 | % | ||||||||||||||
Used Vehicle Retail Sales | (4.3 | )% | 12.0 | % | ||||||||||||||
Used Vehicle Wholesale Sales | 4.1 | % | 10.1 | % | ||||||||||||||
Total Vehicle Sales (excluding fleet) | (2.8 | )% | 9.2 | % | ||||||||||||||
Finance & Insurance Sales | (1.4 | )% | 15.8 | % | ||||||||||||||
Service, Body & Parts Sales | 4.6 | % | 8.0 | % | ||||||||||||||
Total Sales (excluding Fleet) | (2.0 | )% | 9.3 | % | ||||||||||||||
Total Gross Profit (excluding Fleet) | (3.0 | )% | 7.5 | % | ||||||||||||||
Same Store Average Gross Profit Data | ||||||||||||||||||
New Retail Gross Profit/Unit | $2,058 | $1,989 | +$69 | |||||||||||||||
Used Retail Gross Profit/Unit | $2,450 | $2,537 | -$87 | |||||||||||||||
Used Wholesale Gross Profit/Unit | $166 | $170 | -$4 | |||||||||||||||
Same Store Total Sales Geographic Mix: | ||||||||||||||||||
Texas | 21.9 | % | 19.0 | % | ||||||||||||||
Oregon | 16.2 | % | 17.3 | % | ||||||||||||||
California | 12.1 | % | 13.5 | % | ||||||||||||||
Washington | 11.8 | % | 11.7 | % | ||||||||||||||
Alaska | 7.4 | % | 7.6 | % | ||||||||||||||
Montana | 7.0 | % | 5.9 | % | ||||||||||||||
Colorado | 6.9 | % | 7.3 | % | ||||||||||||||
Idaho | 6.0 | % | 6.4 | % | ||||||||||||||
Nevada | 4.4 | % | 5.0 | % | ||||||||||||||
Nebraska | 2.8 | % | 3.1 | % | ||||||||||||||
South Dakota | 2.3 | % | 2.1 | % | ||||||||||||||
New Mexico | 1.2 | % | 1.1 | % | ||||||||||||||
100 | % | 100 | % |
LITHIA MOTORS, INC. | ||||||||||||||||||
(In Thousands except per share data) | ||||||||||||||||||
Unaudited | Six Months Ended | |||||||||||||||||
June 30, | $ Increase | % Increase | ||||||||||||||||
2007 | 2006 | (Decrease) | (Decrease) | |||||||||||||||
New Vehicle Sales | $952,741 | $872,799 | $79,942 | 9.2 | % | |||||||||||||
Used Vehicle Sales | 451,970 | 415,269 | 36,701 | 8.8 | ||||||||||||||
Finance & Insurance | 62,787 | 57,905 | 4,882 | 8.4 | ||||||||||||||
Service, Body & Parts Sales | 190,107 | 158,685 | 31,422 | 19.8 | ||||||||||||||
Fleet & Other Revenues | 1,996 | 1,949 | 47 | 2.4 | ||||||||||||||
Total Revenues | 1,659,601 | 1,506,607 | 152,994 | 10.2 | ||||||||||||||
Cost of Sales | 1,375,311 | 1,247,132 | 128,179 | 10.3 | ||||||||||||||
Gross Profit | 284,290 | 259,475 | 24,815 | 9.6 | ||||||||||||||
SG&A Expense | 219,679 | 194,391 | 25,288 | 13.0 | ||||||||||||||
Depreciation/Amortization | 9,860 | 7,848 | 2,012 | 25.6 | ||||||||||||||
Income from Operations | 54,751 | 57,236 | (2,485 | ) | (4.3 | ) | ||||||||||||
Flooring Interest Expense | (15,834 | ) | (12,861 | ) | 2,973 | 23.1 | ||||||||||||
Other Interest Expense | (9,667 | ) | (6,335 | ) | 3,332 | 52.6 | ||||||||||||
Other Income, net | 325 | 637 | (312 | ) | (49.0 | ) | ||||||||||||
Income from continuing operations | ||||||||||||||||||
before income taxes | 29,575 | 38,677 | (9,102 | ) | (23.5 | ) | ||||||||||||
Income Tax Expense | 11,698 | 15,737 | (4,039 | ) | (25.7 | ) | ||||||||||||
Income Tax Rate | 39.6 | % | 40.7 | % | ||||||||||||||
Income from continuing ops. | 17,877 | 22,940 | (5,063 | ) | (22.1 | )% | ||||||||||||
Discontinued Operations: | ||||||||||||||||||
Loss from operations, net of tax | (378 | ) | (1,681 | ) | ||||||||||||||
Loss from impairment, net of tax | (2,481 | ) | 0 | |||||||||||||||
Loss from discontinued | ||||||||||||||||||
operations, net of income tax | (2,859 | ) | (1,681 | ) | 1,178 | 70.1 | ||||||||||||
Net Income | $15,018 | $21,259 | $(6,241 | ) | (29.4 | )% | ||||||||||||
Diluted Net Income per share: | ||||||||||||||||||
Continuing Operations | $0.85 | $1.08 | $(0.23 | ) | (21.3 | )% | ||||||||||||
Discontinued Operations: | ||||||||||||||||||
Loss from operations | (0.02 | ) | (0.08 | ) | ||||||||||||||
Loss from impairment | (0.11 | ) | 0 | |||||||||||||||
Discontinued Operations | (0.13 | ) | (0.08 | ) | ||||||||||||||
Net Income per share | $0.72 | $1.00 | (0.28 | ) | (28.0 | )% | ||||||||||||
Diluted Shares Outstanding | 22,116 | 22,109 | 7 | 0.0 | % |
LITHIA MOTORS, INC. | Six Months Ended | |||||||||||||||||
(Continuing Operations) | June 30, | Increase | % Increase | |||||||||||||||
Unit Sales: | 2007 | 2006 | (Decrease) | (Decrease) | ||||||||||||||
New Vehicle | 33,165 | 31,798 | 1,367 | 4.3 | % | |||||||||||||
Used Retail Vehicle | 22,447 | 21,544 | 903 | 4.2 | ||||||||||||||
Used - Wholesale | 12,687 | 11,174 | 1,513 | 13.5 | ||||||||||||||
Total Units Sold | 68,299 | 64,516 | 3,783 | 5.9 | ||||||||||||||
Average Selling Price: | ||||||||||||||||||
New Vehicle | $28,727 | $27,448 | $1,279 | 4.7 | % | |||||||||||||
Used Retail Vehicle | 16,456 | 16,098 | 358 | 2.2 | ||||||||||||||
Used - Wholesale | 6,509 | 6,126 | 383 | 6.3 | ||||||||||||||
Key Financial Data: | ||||||||||||||||||
Gross Profit Margin | 17.1 | % | 17.2 | % | -10bps | |||||||||||||
SG&A as a % of Gross Profit | 77.3 | % | 74.9 | % | +240bps | |||||||||||||
Operating Margin | 3.3 | % | 3.8 | % | -50bps | |||||||||||||
Pre-Tax Margin | 1.8 | % | 2.6 | % | -80bps | |||||||||||||
Gross Margin/Profit Data | ||||||||||||||||||
New Vehicle Retail | 7.5 | % | 7.6 | % | -10bps | |||||||||||||
Used Vehicle Retail | 15.0 | % | 15.7 | % | -70bps | |||||||||||||
Used Vehicle Wholesale | 3.4 | % | 4.0 | % | -60bps | |||||||||||||
Service, Body & Parts | 47.8 | % | 48.5 | % | -70bps | |||||||||||||
Finance & Insurance | 100.0 | % | 100.0 | % | - | |||||||||||||
New Retail Gross Profit/Unit | $2,155 | $2,096 | +$59 | |||||||||||||||
Used Retail Gross Profit/Unit | $2,476 | $2,521 | -$45 | |||||||||||||||
Used Wholesale Gross Profit/Unit | $219 | $244 | -$25 | |||||||||||||||
Finance & Insurance/Retail Unit | $1,129 | $1,086 | +$43 | |||||||||||||||
Revenue Mix: | ||||||||||||||||||
New Vehicles | 57.4 | % | 57.9 | % | ||||||||||||||
Used Retail Vehicles | 22.3 | % | 23.0 | % | ||||||||||||||
Used Wholesale Vehicles | 4.9 | % | 4.7 | % | ||||||||||||||
Finance and Insurance, Net | 3.8 | % | 3.8 | % | ||||||||||||||
Service and Parts | 11.5 | % | 10.5 | % | ||||||||||||||
Fleet and other | 0.1 | % | 0.1 | % | ||||||||||||||
New Vehicle Unit Sales Brand Mix: | ||||||||||||||||||
Chrysler Brands | 39.9 | % | 41.1 | % | ||||||||||||||
General Motors & Saturn | 16.2 | % | 16.2 | % | ||||||||||||||
Toyota | 13.5 | % | 12.4 | % | ||||||||||||||
Ford | 6.1 | % | 7.4 | % | ||||||||||||||
Honda | 6.0 | % | 5.4 | % | ||||||||||||||
BMW | 3.8 | % | 2.3 | % | ||||||||||||||
Hyundai | 3.7 | % | 4.4 | % | ||||||||||||||
Nissan | 3.4 | % | 3.6 | % | ||||||||||||||
Subaru | 2.2 | % | 2.9 | % | ||||||||||||||
Volkswagen | 1.7 | % | 1.4 | % | ||||||||||||||
Mercedes-Benz | 1.1 | % | 0.6 | % | ||||||||||||||
Other | 2.4 | % | 2.3 | % | ||||||||||||||
100 | % | 100 | % |
Lithia Motors Selected Same Store Data | ||||||||||||||||||
Six Months Ended | ||||||||||||||||||
June 30, | Increase | % Increase | ||||||||||||||||
Same Store Unit Sales: | 2007 | 2006 | (Decrease) | (Decrease) | ||||||||||||||
New Vehicle | 29,830 | 31,676 | (1,846 | ) | (5.8 | )% | ||||||||||||
Used Retail Vehicle | 20,383 | 21,513 | (1,130 | ) | (5.3 | ) | ||||||||||||
Used - Wholesale | 11,488 | 11,173 | 315 | 2.8 | ||||||||||||||
Total Units Sold | 61,701 | 64,362 | (2,661 | ) | (4.1 | ) | ||||||||||||
Same Store Average Selling Price: | ||||||||||||||||||
New Vehicle | $28,254 | $27,444 | $810 | 3.0 | % | |||||||||||||
Used Retail Vehicle | 16,249 | 16,097 | 152 | 0.9 | ||||||||||||||
Used - Wholesale | 6,528 | 6,123 | 405 | 6.6 | ||||||||||||||
Same Store Retail Revenue | ||||||||||||||||||
New Vehicle Retail Sales | (3.0 | )% | 9.4 | % | ||||||||||||||
Used Vehicle Retail Sales | (4.4 | )% | 4.4 | % | ||||||||||||||
Used Vehicle Wholesale Sales | 9.6 | % | 3.7 | % | ||||||||||||||
Total Vehicle Sales (excluding fleet) | (2.7 | )% | 7.7 | % | ||||||||||||||
Finance & Insurance Sales | 0.7 | % | 9.5 | % | ||||||||||||||
Service, Body & Parts Sales | 5.1 | % | 5.3 | % | ||||||||||||||
Total Sales (excluding Fleet) | (1.8 | )% | 7.5 | % | ||||||||||||||
Total Gross Profit (excluding Fleet) | (2.1 | )% | 5.3 | % | ||||||||||||||
Same Store Average Gross Profit Data | ||||||||||||||||||
New Retail Gross Profit/Unit | $2,122 | $2,097 | +$25 | |||||||||||||||
Used Retail Gross Profit/Unit | $2,428 | $2,490 | -$62 | |||||||||||||||
Used Wholesale Gross Profit/Unit | $213 | $254 | -$41 | |||||||||||||||
Same Store Total Sales Geographic Mix: | ||||||||||||||||||
Texas | 21.3 | % | 18.3 | % | ||||||||||||||
Oregon | 16.5 | % | 17.9 | % | ||||||||||||||
California | 12.0 | % | 13.5 | % | ||||||||||||||
Washington | 11.9 | % | 11.5 | % | ||||||||||||||
Alaska | 7.2 | % | 7.3 | % | ||||||||||||||
Colorado | 7.2 | % | 7.4 | % | ||||||||||||||
Montana | 6.7 | % | 6.1 | % | ||||||||||||||
Idaho | 6.0 | % | 6.3 | % | ||||||||||||||
Nevada | 4.7 | % | 5.2 | % | ||||||||||||||
Nebraska | 2.9 | % | 3.2 | % | ||||||||||||||
South Dakota | 2.4 | % | 2.2 | % | ||||||||||||||
New Mexico | 1.2 | % | 1.1 | % | ||||||||||||||
100 | % | 100 | % |
LITHIA MOTORS, INC. | ||||||||
Balance Sheet Highlights (Dollars in Thousands) | ||||||||
June 30, 2007 | December 31, 2006 | |||||||
Unaudited | ||||||||
Cash & Cash Equivalents | $32,903 | $26,600 | ||||||
Trade Receivables* | 131,278 | 118,528 | ||||||
Inventory | 684,926 | 603,306 | ||||||
Assets Held for Sale | 68,859 | 15,485 | ||||||
Other Current Assets | 16,080 | 15,721 | ||||||
Total Current Assets | 934,046 | 779,640 | ||||||
Real Estate, net | 333,540 | 327,890 | ||||||
Equipment & Leases, net | 95,513 | 89,213 | ||||||
Goodwill, net | 309,065 | 307,424 | ||||||
Other Assets | 74,938 | 75,190 | ||||||
Total Assets | $1,747,102 | $1,579,357 | ||||||
Floorplan Notes Payable | $573,332 | $499,679 | ||||||
Liabilities held for sale | 48,513 | 11,610 | ||||||
Other Current Liabilities | 121,060 | 118,650 | ||||||
Total Current Liabilities | 742,905 | 629,939 | ||||||
Used Vehicle Flooring | 111,843 | 95,614 | ||||||
Real Estate Debt | 161,629 | 155,890 | ||||||
Other Long-Term Debt | 152,324 | 140,879 | ||||||
Other Liabilities | 71,580 | 63,642 | ||||||
Total Liabilities | 1,240,281 | 1,085,964 | ||||||
Shareholders Equity | 506,821 | 493,393 | ||||||
Total Liabilities & | ||||||||
Shareholders Equity | $1,747,102 | $1,579,357 | ||||||
* Includes contracts-in-transit of $60,281 and $56,211 for 2007 and 2006. | ||||||||
Other Balance Sheet Data (Dollars in Thousands except per share data) | ||||||||
Current Ratio | 1.3x | 1.2x | ||||||
LT Debt/Total Cap. | ||||||||
(Excludes Real Estate) | 34% | 32% | ||||||
Working Capital | $191,141 | $149,701 | ||||||
Book Value per Basic Share | $26.01 | $25.32 |
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