Delaware | 1-13461 | 76-0506313 | ||
(State or other jurisdiction of incorporation or organization) | (Commission File Number) | (I.R.S. Employer Identification No.) |
¨ | 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 40.14d-2(b)) |
¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Group 1 Automotive, Inc. | ||||
July 24, 2014 | By: | /s/ John C. Rickel | ||
Date | John C. Rickel, Senior Vice President and Chief Financial Officer |
▪ | Total revenue increased 7.6 percent to an all-time quarterly record of $2.5 billion; total gross profit grew 8.2 percent to $369.1 million. |
▪ | New vehicle revenue increased 6.5 percent, reflecting 2.2 percent higher unit sales, as U.S. Same Store new vehicle unit sales grew 3.0 percent. |
▪ | Used vehicle retail revenue increased 7.9 percent, reflecting 4.2 percent higher used retail unit sales. |
▪ | Parts and service gross profit increased 10.3 percent on revenue growth of 8.5 percent. Consolidated Same Store parts and service gross profit increased 7.0 percent on revenue growth of 5.6 percent. |
▪ | Finance and Insurance (F&I) gross profit increased 12.9 percent. Same Store consolidated F&I sales grew 9.9 percent as per retail unit improved $124 to $1,319, a 10.4% increase. |
▪ | Adjusted selling, general and administrative (SG&A) expenses as a percent of gross profit increased 30 basis points, to 73.1 percent, with a Same Store expansion of 90 basis points, to 72.7 percent. Both increases are primarily a result of the deteriorating economic situation in Brazil. On a GAAP basis, SG&A expenses as a percent of gross profit increased 10 basis points, to 73.7 percent. |
▪ | Adjusted operating margin declined 10 basis points to 3.5 percent. On a GAAP basis, operating margin declined 10 basis points, to 3.4 percent. |
▪ | U.K. Same Store revenue increased 21.2 percent driven by 19.3 percent growth in new vehicle revenue, 25.4 percent growth in used vehicle revenue, 18.7 percent growth in parts and service, and 27.0 percent growth in finance and insurance. Gross profit improved 24.5 percent to $29.5 million. |
▪ | United States: |
▪ | United Kingdom: |
▪ | Brazil: |
Group 1 Automotive, Inc. | ||||||||||||
Consolidated Statements of Operations | ||||||||||||
(Unaudited) | ||||||||||||
(In thousands, except per share amounts) | ||||||||||||
Three Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 1,466,064 | $ | 1,376,219 | 6.5 | |||||||
Used vehicle retail sales | 577,250 | 534,804 | 7.9 | |||||||||
Used vehicle wholesale sales | 94,971 | 83,316 | 14.0 | |||||||||
Parts and service | 283,207 | 260,950 | 8.5 | |||||||||
Finance and insurance | 90,146 | 79,821 | 12.9 | |||||||||
Total revenues | 2,511,638 | 2,335,110 | 7.6 | |||||||||
COST OF SALES: | ||||||||||||
New vehicle retail sales | 1,385,218 | 1,295,854 | 6.9 | |||||||||
Used vehicle retail sales | 531,584 | 491,299 | 8.2 | |||||||||
Used vehicle wholesale sales | 93,730 | 82,804 | 13.2 | |||||||||
Parts and service | 131,958 | 123,879 | 6.5 | |||||||||
Total cost of sales | 2,142,490 | 1,993,836 | 7.5 | |||||||||
GROSS PROFIT | 369,148 | 341,274 | 8.2 | |||||||||
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES | 271,970 | 251,159 | 8.3 | |||||||||
DEPRECIATION AND AMORTIZATION EXPENSE | 10,753 | 8,884 | 21.0 | |||||||||
ASSET IMPAIRMENTS | 1,721 | 609 | 182.6 | |||||||||
OPERATING INCOME | 84,704 | 80,622 | 5.1 | |||||||||
OTHER EXPENSE: | ||||||||||||
Floorplan interest expense | (10,329 | ) | (10,873 | ) | (5.0 | ) | ||||||
Other interest expense, net | (12,567 | ) | (9,570 | ) | 31.3 | |||||||
Loss on redemption of long-term debt | (23,614 | ) | — | 100.0 | ||||||||
INCOME BEFORE INCOME TAXES | 38,194 | 60,179 | (36.5 | ) | ||||||||
PROVISION FOR INCOME TAXES | (21,332 | ) | (22,791 | ) | (6.4 | ) | ||||||
NET INCOME | $ | 16,862 | $ | 37,388 | (54.9 | ) | ||||||
Earnings allocated to participating securities | $ | (619 | ) | $ | (1,592 | ) | (61.1 | ) | ||||
Earnings available to diluted common shares | $ | 16,243 | $ | 35,796 | (54.6 | ) | ||||||
DILUTED EARNINGS PER SHARE | $ | 0.62 | $ | 1.43 | (56.6 | ) | ||||||
Weighted average dilutive common shares outstanding | 26,242 | 24,980 | 5.1 | |||||||||
Weighted average participating securities | 986 | 1,112 | (11.3 | ) | ||||||||
Total weighted average shares outstanding | 27,228 | 26,092 | 4.4 |
Six Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 2,734,900 | $ | 2,486,454 | 10.0 | |||||||
Used vehicle retail sales | 1,127,147 | 1,006,203 | 12.0 | |||||||||
Used vehicle wholesale sales | 184,144 | 157,867 | 16.6 | |||||||||
Parts and service | 552,524 | 498,460 | 10.8 | |||||||||
Finance and insurance | 173,786 | 149,958 | 15.9 | |||||||||
Total revenues | 4,772,501 | 4,298,942 | 11.0 | |||||||||
COST OF SALES: | ||||||||||||
New vehicle retail sales | 2,587,148 | 2,343,453 | 10.4 | |||||||||
Used vehicle retail sales | 1,038,680 | 922,422 | 12.6 | |||||||||
Used vehicle wholesale sales | 179,791 | 154,933 | 16.0 | |||||||||
Parts and service | 259,612 | 236,371 | 9.8 | |||||||||
Total cost of sales | 4,065,231 | 3,657,179 | 11.2 | |||||||||
GROSS PROFIT | 707,270 | 641,763 | 10.2 | |||||||||
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES | 529,528 | 484,592 | 9.3 | |||||||||
DEPRECIATION AND AMORTIZATION EXPENSE | 20,678 | 17,297 | 19.5 | |||||||||
ASSET IMPAIRMENTS | 1,721 | 609 | 182.6 | |||||||||
OPERATING INCOME | 155,343 | 139,265 | 11.5 | |||||||||
OTHER EXPENSE: | ||||||||||||
Floorplan interest expense | (21,242 | ) | (20,237 | ) | 5.0 | |||||||
Other interest expense, net | (23,080 | ) | (18,812 | ) | 22.7 | |||||||
Other expense, net | — | (789 | ) | (100.0 | ) | |||||||
Loss on redemption of long-term debt | (23,614 | ) | — | 100.0 | ||||||||
INCOME BEFORE INCOME TAXES | 87,407 | 99,427 | (12.1 | ) | ||||||||
PROVISION FOR INCOME TAXES | (39,242 | ) | (39,921 | ) | (1.7 | ) | ||||||
NET INCOME | $ | 48,165 | $ | 59,506 | (19.1 | ) | ||||||
Earnings allocated to participating securities | $ | (1,773 | ) | $ | (2,522 | ) | (29.7 | ) | ||||
Earnings available to diluted common shares | $ | 46,392 | $ | 56,984 | (18.6 | ) | ||||||
DILUTED EARNINGS PER SHARE | $ | 1.80 | $ | 2.32 | (22.4 | ) | ||||||
Weighted average dilutive common shares outstanding | 25,837 | 24,544 | 5.3 | |||||||||
Weighted average participating securities | 974 | 1,093 | (10.9 | ) | ||||||||
Total weighted average shares outstanding | 26,811 | 25,637 | 4.6 |
Group 1 Automotive, Inc. | ||||||||||||
Consolidated Balance Sheets | ||||||||||||
(Dollars in thousands) | ||||||||||||
June 30, | December 31, | |||||||||||
2014 | 2013 | % Change | ||||||||||
(Unaudited) | ||||||||||||
ASSETS: | ||||||||||||
CURRENT ASSETS: | ||||||||||||
Cash and cash equivalents | $ | 21,295 | $ | 20,215 | 5.3 | |||||||
Contracts in transit and vehicle receivables, net | 210,911 | 225,156 | (6.3 | ) | ||||||||
Accounts and notes receivable, net | 142,115 | 135,058 | 5.2 | |||||||||
Inventories, net | 1,514,274 | 1,542,318 | (1.8 | ) | ||||||||
Deferred income taxes | 16,595 | 21,150 | (21.5 | ) | ||||||||
Prepaid expenses and other current assets | 119,013 | 24,041 | 395.0 | |||||||||
Total current assets | 2,024,203 | 1,967,938 | 2.9 | |||||||||
PROPERTY AND EQUIPMENT, net | 837,821 | 796,356 | 5.2 | |||||||||
GOODWILL AND INTANGIBLE FRANCHISE RIGHTS | 1,100,677 | 1,038,808 | 6.0 | |||||||||
OTHER ASSETS | 14,189 | 16,376 | (13.4 | ) | ||||||||
Total assets | $ | 3,976,890 | $ | 3,819,478 | 4.1 | |||||||
LIABILITIES AND STOCKHOLDERS' EQUITY: | ||||||||||||
CURRENT LIABILITIES: | ||||||||||||
Floorplan notes payable - credit facility and other | $ | 1,122,333 | $ | 1,143,104 | (1.8 | ) | ||||||
Offset account related to floorplan notes payable - credit facility | (64,614 | ) | (56,198 | ) | 15.0 | |||||||
Floorplan notes payable - manufacturer affiliates | 298,656 | 346,572 | (13.8 | ) | ||||||||
Current maturities of long-term debt and short-term financing | 30,516 | 36,225 | (15.8 | ) | ||||||||
Accounts payable | 283,491 | 254,930 | 11.2 | |||||||||
Accrued expenses | 142,665 | 140,543 | 1.5 | |||||||||
Total current liabilities | 1,813,047 | 1,865,176 | (2.8 | ) | ||||||||
2.25% CONVERTIBLE SENIOR NOTES (aggregate principal of $182,753 at June 30, 2014 and December 31, 2013) | 164,556 | 160,334 | 2.6 | |||||||||
3.00% CONVERTIBLE SENIOR NOTES (aggregate principal of $22,550 and $115,000 at June 30, 2014 and December 31, 2013, respectively) | 16,907 | 84,305 | (79.9 | ) | ||||||||
5.00% SENIOR NOTES (aggregate principal of $350,000 at June 30, 2014) | 344,796 | — | 100.0 | |||||||||
MORTGAGE FACILITY, net of current maturities | 62,860 | 64,271 | (2.2 | ) | ||||||||
ACQUISITION LINE | 20,457 | 60,000 | (65.9 | ) | ||||||||
OTHER REAL ESTATE RELATED AND LONG-TERM DEBT, net of current maturities | 284,667 | 250,958 | 13.4 | |||||||||
CAPITAL LEASE OBLIGATIONS RELATED TO REAL ESTATE, net of current maturities | 44,332 | 43,821 | 1.2 | |||||||||
DEFERRED INCOME TAXES | 152,167 | 152,291 | (0.1 | ) | ||||||||
LIABILITIES FROM INTEREST RATE RISK MANAGEMENT ACTIVITIES | 27,271 | 26,078 | 4.6 | |||||||||
OTHER LIABILITIES | 55,900 | 47,975 | 16.5 | |||||||||
COMMITMENTS AND CONTINGENCIES | ||||||||||||
TEMPORARY EQUITY - REDEEMABLE EQUITY PORTION OF THE 2.25% and 3.00% CONVERTIBLE SENIOR NOTES | 22,860 | 29,094 | (21.4 | ) | ||||||||
STOCKHOLDERS' EQUITY: | ||||||||||||
Common stock | 258 | 257 | 0.4 | |||||||||
Additional paid-in capital | 259,783 | 368,641 | (29.5 | ) | ||||||||
Retained earnings | 816,056 | 776,101 | 5.1 | |||||||||
Accumulated other comprehensive loss | (39,928 | ) | (51,677 | ) | (22.7 | ) | ||||||
Treasury stock | (69,099 | ) | (58,147 | ) | 18.8 | |||||||
Total stockholders' equity | 967,070 | 1,035,175 | (6.6 | ) | ||||||||
Total liabilities and stockholders' equity | $ | 3,976,890 | $ | 3,819,478 | 4.1 |
Group 1 Automotive, Inc. | ||||||||||||||
Additional Information - Consolidated | ||||||||||||||
(Unaudited) | ||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||
June 30, | June 30, | |||||||||||||
2014 (%) | 2013 (%) | 2014 (%) | 2013 (%) | |||||||||||
NEW VEHICLE UNIT SALES GEOGRAPHIC MIX: | ||||||||||||||
Region | Geographic Market | |||||||||||||
East | Massachusetts | 5.9 | 5.8 | 5.7 | 6.2 | |||||||||
Georgia | 4.8 | 3.4 | 4.6 | 3.8 | ||||||||||
New Jersey | 3.7 | 3.9 | 3.5 | 4.3 | ||||||||||
New Hampshire | 2.2 | 2.2 | 2.2 | 2.3 | ||||||||||
New York | 2.2 | 2.8 | 2.0 | 2.8 | ||||||||||
Louisiana | 1.8 | 2.4 | 1.9 | 2.4 | ||||||||||
South Carolina | 1.5 | 1.4 | 1.4 | 1.5 | ||||||||||
Mississippi | 1.5 | 1.6 | 1.4 | 1.7 | ||||||||||
Florida | 1.4 | 1.2 | 1.3 | 1.3 | ||||||||||
Alabama | 0.9 | 0.8 | 0.8 | 0.8 | ||||||||||
Maryland | 0.5 | 0.5 | 0.5 | 0.5 | ||||||||||
26.4 | 26.0 | 25.3 | 27.6 | |||||||||||
West | Texas | 34.1 | 31.2 | 34.1 | 32.6 | |||||||||
California | 9.9 | 10.7 | 9.7 | 11.9 | ||||||||||
Oklahoma | 8.1 | 7.9 | 8.3 | 7.7 | ||||||||||
Kansas | 2.5 | 2.6 | 2.5 | 2.5 | ||||||||||
Louisiana | 0.7 | — | 0.7 | — | ||||||||||
55.3 | 52.4 | 55.3 | 54.7 | |||||||||||
International | Brazil | 9.8 | 12.9 | 10.2 | 9.1 | |||||||||
United Kingdom | 8.5 | 8.7 | 9.2 | 8.6 | ||||||||||
100.0 | 100.0 | 100.0 | 100.0 | |||||||||||
NEW VEHICLE UNIT SALES BRAND MIX: | ||||||||||||||
Toyota/Scion/Lexus | 27.2 | 26.5 | 26.6 | 27.0 | ||||||||||
BMW/MINI | 11.7 | 10.8 | 11.5 | 10.5 | ||||||||||
Honda/Acura | 11.4 | 12.6 | 11.5 | 12.5 | ||||||||||
Ford/Lincoln | 10.8 | 11.4 | 11.4 | 11.5 | ||||||||||
Nissan/Infiniti | 9.3 | 10.4 | 9.5 | 10.5 | ||||||||||
Volkswagen/Audi/Porsche | 6.3 | 6.3 | 6.4 | 6.5 | ||||||||||
Hyundai/Kia | 5.5 | 4.6 | 5.5 | 4.5 | ||||||||||
Chevrolet/GMC/Buick/Cadillac | 5.4 | 4.4 | 5.4 | 4.8 | ||||||||||
Chrysler/Dodge/Jeep/RAM | 4.4 | 3.9 | 4.5 | 4.1 | ||||||||||
Mercedes Benz/smart/Sprinter | 4.4 | 4.2 | 4.2 | 4.4 | ||||||||||
Other | 3.6 | 4.9 | 3.5 | 3.7 | ||||||||||
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 June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 1,191,321 | $ | 1,078,607 | 10.4 | |||||||
Used vehicle retail sales | 474,075 | 448,574 | 5.7 | |||||||||
Used vehicle wholesale sales | 68,649 | 56,725 | 21.0 | |||||||||
Total used | 542,724 | 505,299 | 7.4 | |||||||||
Parts and service | 243,796 | 224,084 | 8.8 | |||||||||
Finance and insurance | 82,755 | 73,664 | 12.3 | |||||||||
Total | $ | 2,060,596 | $ | 1,881,654 | 9.5 | |||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 5.2 | 5.4 | ||||||||||
Used vehicle retail sales | 8.2 | 8.5 | ||||||||||
Used vehicle wholesale sales | 1.7 | 0.4 | ||||||||||
Total used | 7.4 | 7.6 | ||||||||||
Parts and service | 54.1 | 53.5 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 15.4 | 15.4 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 62,096 | $ | 58,325 | 6.5 | |||||||
Used vehicle retail sales | 38,922 | 38,341 | 1.5 | |||||||||
Used vehicle wholesale sales | 1,139 | 248 | 359.3 | |||||||||
Total used | 40,061 | 38,589 | 3.8 | |||||||||
Parts and service | 131,865 | 119,898 | 10.0 | |||||||||
Finance and insurance | 82,755 | 73,664 | 12.3 | |||||||||
Total | $ | 316,777 | $ | 290,476 | 9.1 | |||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 34,685 | 32,589 | 6.4 | |||||||||
Retail used vehicles sold | 22,707 | 21,928 | 3.6 | |||||||||
Wholesale used vehicles sold | 10,461 | 9,940 | 5.2 | |||||||||
Total used | 33,168 | 31,868 | 4.1 | |||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 34,347 | $ | 33,097 | 3.8 | |||||||
Used vehicle retail | $ | 20,878 | $ | 20,457 | 2.1 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 1,790 | $ | 1,790 | — | |||||||
Used vehicle retail sales | 1,714 | 1,748 | (1.9 | ) | ||||||||
Used vehicle wholesale sales | 109 | 25 | 336.0 | |||||||||
Total used | 1,208 | 1,211 | (0.2 | ) | ||||||||
Finance and insurance (per retail unit) | $ | 1,442 | $ | 1,351 | 6.7 | |||||||
OTHER: (1) | ||||||||||||
SG&A expenses | $ | 225,898 | $ | 207,977 | 8.6 | |||||||
SG&A as % revenues | 11.0 | 11.1 | ||||||||||
SG&A as % gross profit | 71.3 | 71.6 | ||||||||||
Operating margin % | 4.0 | 4.0 | ||||||||||
Pretax margin % | 3.0 | 3.0 | ||||||||||
INTEREST EXPENSE: | ||||||||||||
Floorplan interest | $ | (8,361 | ) | $ | (8,645 | ) | (3.3 | ) | ||||
Floorplan assistance | 11,378 | 10,010 | 13.7 | |||||||||
Net floorplan income | $ | 3,017 | $ | 1,365 | 121.0 | |||||||
Other interest expense, net | $ | (11,799 | ) | $ | (9,301 | ) | 26.9 |
Six Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 2,203,873 | $ | 2,041,239 | 8.0 | |||||||
Used vehicle retail sales | 924,562 | 866,913 | 6.6 | |||||||||
Used vehicle wholesale sales | 133,120 | 114,394 | 16.4 | |||||||||
Total used | 1,057,682 | 981,307 | 7.8 | |||||||||
Parts and service | 474,115 | 440,438 | 7.6 | |||||||||
Finance and insurance | 159,552 | 140,456 | 13.6 | |||||||||
Total | $ | 3,895,222 | $ | 3,603,440 | 8.1 | |||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 5.1 | 5.4 | ||||||||||
Used vehicle retail sales | 8.3 | 8.8 | ||||||||||
Used vehicle wholesale sales | 2.6 | 2.1 | ||||||||||
Total used | 7.5 | 8.0 | ||||||||||
Parts and service | 53.6 | 53.3 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 15.6 | 15.6 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 113,031 | $ | 109,907 | 2.8 | |||||||
Used vehicle retail sales | 76,362 | 75,960 | 0.5 | |||||||||
Used vehicle wholesale sales | 3,395 | 2,373 | 43.1 | |||||||||
Total used | 79,757 | 78,333 | 1.8 | |||||||||
Parts and service | 254,168 | 234,721 | 8.3 | |||||||||
Finance and insurance | 159,552 | 140,457 | 13.6 | |||||||||
Total | $ | 606,508 | $ | 563,418 | 7.6 | |||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 64,632 | 61,367 | 5.3 | |||||||||
Retail used vehicles sold | 45,450 | 43,044 | 5.6 | |||||||||
Wholesale used vehicles sold | 20,411 | 19,597 | 4.2 | |||||||||
Total used | 65,861 | 62,641 | 5.1 | |||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 34,099 | $ | 33,263 | 2.5 | |||||||
Used vehicle retail | $ | 20,342 | $ | 20,140 | 1.0 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 1,749 | $ | 1,791 | (2.3 | ) | ||||||
Used vehicle retail sales | 1,680 | 1,765 | (4.8 | ) | ||||||||
Used vehicle wholesale sales | 166 | 121 | 37.2 | |||||||||
Total used | 1,211 | 1,251 | (3.2 | ) | ||||||||
Finance and insurance (per retail unit) | $ | 1,449 | $ | 1,345 | 7.7 | |||||||
OTHER: (1) | ||||||||||||
SG&A expenses | $ | 442,294 | $ | 412,068 | 7.3 | |||||||
SG&A as % revenues | 11.4 | 11.4 | ||||||||||
SG&A as % gross profit | 72.9 | 73.1 | ||||||||||
Operating margin % | 3.8 | 3.8 | ||||||||||
Pretax margin % | 2.8 | 2.8 | ||||||||||
INTEREST EXPENSE: | ||||||||||||
Floorplan interest | $ | (16,945 | ) | $ | (16,941 | ) | — | |||||
Floorplan assistance | 21,093 | 18,183 | 16.0 | |||||||||
Net floorplan income | $ | 4,148 | $ | 1,242 | 234.0 | |||||||
Other interest expense, net | $ | (22,062 | ) | $ | (18,341 | ) | 20.3 |
Group 1 Automotive, Inc. | ||||||||||||
Additional Information - U.K. | ||||||||||||
(Unaudited) | ||||||||||||
(Dollars in thousands, except per unit amounts) | ||||||||||||
Three Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 131,803 | $ | 110,473 | 19.3 | |||||||
Used vehicle retail sales | 73,260 | 58,429 | 25.4 | |||||||||
Used vehicle wholesale sales | 21,549 | 17,958 | 20.0 | |||||||||
Total used | 94,809 | 76,387 | 24.1 | |||||||||
Parts and service | 20,211 | 17,024 | 18.7 | |||||||||
Finance and insurance | 4,501 | 3,552 | 26.7 | |||||||||
Total | $ | 251,324 | $ | 207,436 | 21.2 | |||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 6.9 | 6.5 | ||||||||||
Used vehicle retail sales | 6.7 | 6.9 | ||||||||||
Used vehicle wholesale sales | (1.3 | ) | (3.4 | ) | ||||||||
Total used | 4.9 | 4.5 | ||||||||||
Parts and service | 56.1 | 56.4 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 11.7 | 11.4 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 9,040 | $ | 7,161 | 26.2 | |||||||
Used vehicle retail sales | 4,930 | 4,052 | 21.7 | |||||||||
Used vehicle wholesale sales | (281 | ) | (614 | ) | (54.2 | ) | ||||||
Total used | 4,649 | 3,438 | 35.2 | |||||||||
Parts and service | 11,336 | 9,594 | 18.2 | |||||||||
Finance and insurance | 4,501 | 3,551 | 26.8 | |||||||||
Total | $ | 29,526 | $ | 23,744 | 24.4 | |||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 3,626 | 3,605 | 0.6 | |||||||||
Retail used vehicles sold | 2,720 | 2,524 | 7.8 | |||||||||
Wholesale used vehicles sold | 2,195 | 2,251 | (2.5 | ) | ||||||||
Total used | 4,915 | 4,775 | 2.9 | |||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 36,349 | $ | 30,644 | 18.6 | |||||||
Used vehicle retail | $ | 26,934 | $ | 23,149 | 16.3 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 2,493 | $ | 1,986 | 25.5 | |||||||
Used vehicle retail sales | 1,813 | 1,605 | 13.0 | |||||||||
Used vehicle wholesale sales | (128 | ) | (273 | ) | (53.1 | ) | ||||||
Total used | 946 | 720 | 31.4 | |||||||||
Finance and insurance (per retail unit) | $ | 709 | $ | 579 | 22.5 | |||||||
OTHER: | ||||||||||||
SG&A expenses | $ | 22,316 | $ | 18,570 | 20.2 | |||||||
SG&A as % revenues | 8.9 | 9.0 | ||||||||||
SG&A as % gross profit | 75.6 | 78.2 | ||||||||||
Operating margin % | 2.5 | 2.2 | ||||||||||
Pretax margin % | 2.2 | 1.8 | ||||||||||
INTEREST EXPENSE: | ||||||||||||
Floorplan interest | $ | (336 | ) | $ | (421 | ) | (20.2 | ) | ||||
Floorplan assistance | 156 | — | 100.0 | |||||||||
Net floorplan expense | $ | (180 | ) | $ | (421 | ) | (57.2 | ) | ||||
Other interest expense, net | $ | (509 | ) | $ | (293 | ) | 73.7 |
Six Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 262,404 | $ | 205,298 | 27.8 | |||||||
Used vehicle retail sales | 144,737 | 103,394 | 40.0 | |||||||||
Used vehicle wholesale sales | 41,194 | 31,722 | 29.9 | |||||||||
Total used | 185,931 | 135,116 | 37.6 | |||||||||
Parts and service | 41,571 | 31,795 | 30.7 | |||||||||
Finance and insurance | 9,119 | 6,305 | 44.6 | |||||||||
Total | $ | 499,025 | $ | 378,514 | 31.8 | |||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 6.7 | 6.7 | ||||||||||
Used vehicle retail sales | 5.9 | 6.1 | ||||||||||
Used vehicle wholesale sales | 0.4 | (1.7 | ) | |||||||||
Total used | 4.7 | 4.2 | ||||||||||
Parts and service | 55.1 | 53.7 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 11.7 | 11.3 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 17,538 | $ | 13,793 | 27.2 | |||||||
Used vehicle retail sales | 8,519 | 6,270 | 35.9 | |||||||||
Used vehicle wholesale sales | 170 | (530 | ) | 132.1 | ||||||||
Total used | 8,689 | 5,740 | 51.4 | |||||||||
Parts and service | 22,909 | 17,078 | 34.1 | |||||||||
Finance and insurance | 9,119 | 6,304 | 44.7 | |||||||||
Total | $ | 58,255 | $ | 42,915 | 35.7 | |||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 7,371 | 6,432 | 14.6 | |||||||||
Retail used vehicles sold | 5,459 | 4,252 | 28.4 | |||||||||
Wholesale used vehicles sold | 4,356 | 3,694 | 17.9 | |||||||||
Total used | 9,815 | 7,946 | 23.5 | |||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 35,600 | $ | 31,918 | 11.5 | |||||||
Used vehicle retail | $ | 26,513 | $ | 24,317 | 9.0 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 2,379 | $ | 2,144 | 11.0 | |||||||
Used vehicle retail sales | 1,561 | 1,475 | 5.8 | |||||||||
Used vehicle wholesale sales | 39 | (143 | ) | 127.3 | ||||||||
Total used | 885 | 722 | 22.6 | |||||||||
Finance and insurance (per retail unit) | $ | 711 | $ | 590 | 20.5 | |||||||
OTHER: (1) | ||||||||||||
SG&A expenses | $ | 44,788 | $ | 34,464 | 30.0 | |||||||
SG&A as % revenues | 9.0 | 9.1 | ||||||||||
SG&A as % gross profit | 76.9 | 80.3 | ||||||||||
Operating margin % | 2.4 | 1.9 | ||||||||||
Pretax margin % | 2.0 | 1.6 | ||||||||||
INTEREST EXPENSE: | ||||||||||||
Floorplan interest | $ | (769 | ) | $ | (727 | ) | 5.8 | |||||
Floorplan assistance | 258 | — | 100.0 | |||||||||
Net floorplan expense | $ | (511 | ) | $ | (727 | ) | (29.7 | ) | ||||
Other interest expense, net | $ | (960 | ) | $ | (507 | ) | 89.3 |
Group 1 Automotive, Inc. | ||||||||||||
Additional Information - Brazil | ||||||||||||
(Unaudited) | ||||||||||||
(Dollars in thousands, except per unit amounts) | ||||||||||||
Three Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 142,940 | $ | 187,139 | (23.6 | ) | ||||||
Used vehicle retail sales | 29,915 | 27,802 | 7.6 | |||||||||
Used vehicle wholesale sales | 4,773 | 8,633 | (44.7 | ) | ||||||||
Total used | 34,688 | 36,435 | (4.8 | ) | ||||||||
Parts and service | 19,200 | 19,841 | (3.2 | ) | ||||||||
Finance and insurance | 2,890 | 2,605 | 10.9 | |||||||||
Total | $ | 199,718 | $ | 246,020 | (18.8 | ) | ||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 6.8 | 8.0 | ||||||||||
Used vehicle retail sales | 6.1 | 4.0 | ||||||||||
Used vehicle wholesale sales | 8.0 | 10.2 | ||||||||||
Total used | 6.3 | 5.5 | ||||||||||
Parts and service | 41.9 | 38.2 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 11.4 | 11.0 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 9,710 | $ | 14,879 | (34.7 | ) | ||||||
Used vehicle retail sales | 1,814 | 1,113 | 63.0 | |||||||||
Used vehicle wholesale sales | 383 | 878 | (56.4 | ) | ||||||||
Total used | 2,197 | 1,991 | 10.3 | |||||||||
Parts and service | 8,048 | 7,579 | 6.2 | |||||||||
Finance and insurance | 2,890 | 2,605 | 10.9 | |||||||||
Total | $ | 22,845 | $ | 27,054 | (15.6 | ) | ||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 4,145 | 5,337 | (22.3 | ) | ||||||||
Retail used vehicles sold | 1,294 | 1,182 | 9.5 | |||||||||
Wholesale used vehicles sold | 574 | 881 | (34.8 | ) | ||||||||
Total used | 1,868 | 2,063 | (9.5 | ) | ||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 34,485 | $ | 35,064 | (1.7 | ) | ||||||
Used vehicle retail | $ | 23,118 | $ | 23,521 | (1.7 | ) | ||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 2,343 | $ | 2,788 | (16.0 | ) | ||||||
Used vehicle retail sales | 1,402 | 942 | 48.8 | |||||||||
Used vehicle wholesale sales | 667 | 997 | (33.1 | ) | ||||||||
Total used | 1,176 | 965 | 21.9 | |||||||||
Finance and insurance (per retail unit) | $ | 531 | $ | 400 | 32.8 | |||||||
OTHER: (1) | ||||||||||||
SG&A expenses | $ | 21,732 | $ | 21,769 | (0.2 | ) | ||||||
SG&A as % revenues | 10.9 | 8.8 | ||||||||||
SG&A as % gross profit | 95.1 | 80.5 | ||||||||||
Operating margin % | 0.3 | 2.0 | ||||||||||
Pretax margin % | (0.7 | ) | 1.3 | |||||||||
INTEREST EXPENSE: | ||||||||||||
Floorplan interest | $ | (1,632 | ) | $ | (1,807 | ) | (9.7 | ) | ||||
Floorplan assistance | — | — | — | |||||||||
Net floorplan expense | $ | (1,632 | ) | $ | (1,807 | ) | (9.7 | ) | ||||
Other interest expense, net | $ | (259 | ) | $ | 24 | (1,179.2 | ) |
Six Months Ended June 30, | ||||||||||||
2014 | 2013 (2) | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 268,623 | $ | 239,917 | 12.0 | |||||||
Used vehicle retail sales | 57,848 | 35,897 | 61.1 | |||||||||
Used vehicle wholesale sales | 9,830 | 11,750 | (16.3 | ) | ||||||||
Total used | 67,678 | 47,647 | 42.0 | |||||||||
Parts and service | 36,838 | 26,227 | 40.5 | |||||||||
Finance and insurance | 5,115 | 3,197 | 60.0 | |||||||||
Total | $ | 378,254 | $ | 316,988 | 19.3 | |||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 6.4 | 8.0 | ||||||||||
Used vehicle retail sales | 6.2 | 4.3 | ||||||||||
Used vehicle wholesale sales | 8.0 | 9.3 | ||||||||||
Total used | 6.5 | 5.5 | ||||||||||
Parts and service | 43.0 | 39.2 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 11.2 | 11.2 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 17,183 | $ | 19,301 | (11.0 | ) | ||||||
Used vehicle retail sales | 3,586 | 1,552 | 131.1 | |||||||||
Used vehicle wholesale sales | 788 | 1,090 | (27.7 | ) | ||||||||
Total used | 4,374 | 2,642 | 65.6 | |||||||||
Parts and service | 15,835 | 10,290 | 53.9 | |||||||||
Finance and insurance | 5,115 | 3,197 | 60.0 | |||||||||
Total | $ | 42,507 | $ | 35,430 | 20.0 | |||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 8,202 | 6,828 | 20.1 | |||||||||
Retail used vehicles sold | 2,689 | 1,576 | 70.6 | |||||||||
Wholesale used vehicles sold | 1,247 | 1,116 | 11.7 | |||||||||
Total used | 3,936 | 2,692 | 46.2 | |||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 32,751 | $ | 35,137 | (6.8 | ) | ||||||
Used vehicle retail | $ | 21,513 | $ | 22,777 | (5.6 | ) | ||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 2,095 | $ | 2,827 | (25.9 | ) | ||||||
Used vehicle retail sales | 1,334 | 985 | 35.4 | |||||||||
Used vehicle wholesale sales | 632 | 977 | (35.3 | ) | ||||||||
Total used | 1,111 | 981 | 13.3 | |||||||||
Finance and insurance (per retail unit) | $ | 470 | $ | 380 | 23.7 | |||||||
OTHER: (1) | ||||||||||||
SG&A expenses | $ | 40,422 | $ | 28,471 | 42.0 | |||||||
SG&A as % revenues | 10.7 | 9.0 | ||||||||||
SG&A as % gross profit | 95.1 | 80.4 | ||||||||||
Operating margin % | 0.3 | 2.0 | ||||||||||
Pretax margin % | (0.7 | ) | 1.2 | |||||||||
INTEREST EXPENSE: | ||||||||||||
Floorplan interest | $ | (3,528 | ) | $ | (2,569 | ) | 37.3 | |||||
Floorplan assistance | — | — | — | |||||||||
Net floorplan expense | $ | (3,528 | ) | $ | (2,569 | ) | 37.3 | |||||
Other interest income, net | $ | (58 | ) | $ | (36 | ) | 61.1 | |||||
(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 the description of aforementioned adjustments. | ||||||||||||
(2) Results are for the period from the date of acquisition (February 28, 2013) through June 30, 2013. |
Group 1 Automotive, Inc. | ||||||||||||
Additional Information - Consolidated | ||||||||||||
(Unaudited) | ||||||||||||
(Dollars in thousands, except per unit amounts) | ||||||||||||
Three Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 1,466,064 | $ | 1,376,219 | 6.5 | |||||||
Used vehicle retail sales | 577,250 | 534,804 | 7.9 | |||||||||
Used vehicle wholesale sales | 94,971 | 83,316 | 14.0 | |||||||||
Total used | 672,221 | 618,120 | 8.8 | |||||||||
Parts and service | 283,207 | 260,950 | 8.5 | |||||||||
Finance and insurance | 90,146 | 79,821 | 12.9 | |||||||||
Total | $ | 2,511,638 | $ | 2,335,110 | 7.6 | |||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 5.5 | 5.8 | ||||||||||
Used vehicle retail sales | 7.9 | 8.1 | ||||||||||
Used vehicle wholesale sales | 1.3 | 0.6 | ||||||||||
Total used | 7.0 | 7.1 | ||||||||||
Parts and service | 53.4 | 52.5 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 14.7 | 14.6 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 80,846 | $ | 80,365 | 0.6 | |||||||
Used vehicle retail sales | 45,666 | 43,505 | 5.0 | |||||||||
Used vehicle wholesale sales | 1,241 | 512 | 142.4 | |||||||||
Total used | 46,907 | 44,017 | 6.6 | |||||||||
Parts and service | 151,249 | 137,071 | 10.3 | |||||||||
Finance and insurance | 90,146 | 79,821 | 12.9 | |||||||||
Total | $ | 369,148 | $ | 341,274 | 8.2 | |||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 42,456 | 41,531 | 2.2 | |||||||||
Retail used vehicles sold | 26,721 | 25,634 | 4.2 | |||||||||
Wholesale used vehicles sold | 13,230 | 13,072 | 1.2 | |||||||||
Total used | 39,951 | 38,706 | 3.2 | |||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 34,531 | $ | 33,137 | 4.2 | |||||||
Used vehicle retail | $ | 21,603 | $ | 20,863 | 3.5 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 1,904 | $ | 1,935 | (1.6 | ) | ||||||
Used vehicle retail sales | 1,709 | 1,697 | 0.7 | |||||||||
Used vehicle wholesale sales | 94 | 39 | 141.0 | |||||||||
Total used | 1,174 | 1,137 | 3.3 | |||||||||
Finance and insurance (per retail unit) | $ | 1,303 | $ | 1,188 | 9.7 | |||||||
OTHER: (1) | ||||||||||||
SG&A expenses | $ | 269,946 | $ | 248,316 | 8.7 | |||||||
SG&A as % revenues | 10.7 | 10.6 | ||||||||||
SG&A as % gross profit | 73.1 | 72.8 | ||||||||||
Operating margin % | 3.5 | 3.6 | ||||||||||
Pretax margin % | 2.6 | 2.7 | ||||||||||
INTEREST EXPENSE: | ||||||||||||
Floorplan interest | $ | (10,329 | ) | $ | (10,873 | ) | (5.0 | ) | ||||
Floorplan assistance | 11,534 | 10,010 | 15.2 | |||||||||
Net floorplan (expense) income | $ | 1,205 | $ | (863 | ) | 239.6 | ||||||
Other interest expense, net | $ | (12,567 | ) | $ | (9,570 | ) | 31.3 |
Six Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 2,734,900 | $ | 2,486,454 | 10.0 | |||||||
Used vehicle retail sales | 1,127,147 | 1,006,203 | 12.0 | |||||||||
Used vehicle wholesale sales | 184,144 | 157,867 | 16.6 | |||||||||
Total used | 1,311,291 | 1,164,070 | 12.6 | |||||||||
Parts and service | 552,524 | 498,460 | 10.8 | |||||||||
Finance and insurance | 173,786 | 149,958 | 15.9 | |||||||||
Total | $ | 4,772,501 | $ | 4,298,942 | 11.0 | |||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 5.4 | 5.8 | ||||||||||
Used vehicle retail sales | 7.8 | 8.3 | ||||||||||
Used vehicle wholesale sales | 2.4 | 1.9 | ||||||||||
Total used | 7.1 | 7.4 | ||||||||||
Parts and service | 53.0 | 52.6 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 14.8 | 14.9 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 147,752 | $ | 143,000 | 3.3 | |||||||
Used vehicle retail sales | 88,467 | 83,781 | 5.6 | |||||||||
Used vehicle wholesale sales | 4,353 | 2,934 | 48.4 | |||||||||
Total used | 92,820 | 86,715 | 7.0 | |||||||||
Parts and service | 292,912 | 262,089 | 11.8 | |||||||||
Finance and insurance | 173,786 | 149,959 | 15.9 | |||||||||
Total | $ | 707,270 | $ | 641,763 | 10.2 | |||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 80,205 | 74,627 | 7.5 | |||||||||
Retail used vehicles sold | 53,598 | 48,872 | 9.7 | |||||||||
Wholesale used vehicles sold | 26,014 | 24,407 | 6.6 | |||||||||
Total used | 79,612 | 73,279 | 8.6 | |||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 34,099 | $ | 33,318 | 2.3 | |||||||
Used vehicle retail | $ | 21,030 | $ | 20,589 | 2.1 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 1,842 | $ | 1,916 | (3.9 | ) | ||||||
Used vehicle retail sales | 1,651 | 1,714 | (3.7 | ) | ||||||||
Used vehicle wholesale sales | 167 | 120 | 39.2 | |||||||||
Total used | 1,166 | 1,183 | (1.4 | ) | ||||||||
Finance and insurance (per retail unit) | $ | 1,299 | $ | 1,214 | 7.0 | |||||||
OTHER: (1) | ||||||||||||
SG&A expenses | $ | 527,504 | $ | 475,003 | 11.1 | |||||||
SG&A as % revenues | 11.1 | 11.0 | ||||||||||
SG&A as % gross profit | 74.6 | 74.0 | ||||||||||
Operating margin % | 3.3 | 3.5 | ||||||||||
Pretax margin % | 2.4 | 2.6 | ||||||||||
INTEREST EXPENSE: | ||||||||||||
Floorplan interest | $ | (21,242 | ) | $ | (20,237 | ) | 5.0 | |||||
Floorplan assistance | 21,351 | 18,183 | 17.4 | |||||||||
Net floorplan (expense) income | $ | 109 | $ | (2,054 | ) | 105.3 | ||||||
Other interest expense, net | $ | (23,080 | ) | $ | (18,812 | ) | 22.7 | |||||
(1) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments. |
Group 1 Automotive, Inc. | |||||||||||
Additional Information - Same Store U.S. (1) | |||||||||||
(Unaudited) | |||||||||||
(Dollars in thousands, except per unit amounts) | |||||||||||
Three Months Ended June 30, | |||||||||||
2014 | 2013 | % Change | |||||||||
REVENUES: | |||||||||||
New vehicle retail sales | $ | 1,106,285 | $ | 1,041,504 | 6.2 | ||||||
Used vehicle retail sales | 440,854 | 435,111 | 1.3 | ||||||||
Used vehicle wholesale sales | 64,025 | 53,763 | 19.1 | ||||||||
Total used | 504,879 | 488,874 | 3.3 | ||||||||
Parts and service | 227,172 | 215,467 | 5.4 | ||||||||
Finance and insurance | 78,181 | 71,744 | 9.0 | ||||||||
Total | $ | 1,916,517 | $ | 1,817,589 | 5.4 | ||||||
GROSS MARGIN %: | |||||||||||
New vehicle retail sales | 5.2 | 5.5 | |||||||||
Used vehicle retail sales | 8.1 | 8.6 | |||||||||
Used vehicle wholesale sales | 1.9 | 0.9 | |||||||||
Total used | 7.3 | 7.7 | |||||||||
Parts and service | 54.0 | 53.6 | |||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||
Total | 15.4 | 15.5 | |||||||||
GROSS PROFIT: | |||||||||||
New vehicle retail sales | $ | 57,615 | $ | 57,091 | 0.9 | ||||||
Used vehicle retail sales | 35,809 | 37,299 | (4.0 | ) | |||||||
Used vehicle wholesale sales | 1,192 | 462 | 158.0 | ||||||||
Total used | 37,001 | 37,761 | (2.0 | ) | |||||||
Parts and service | 122,599 | 115,414 | 6.2 | ||||||||
Finance and insurance | 78,181 | 71,744 | 9.0 | ||||||||
Total | $ | 295,396 | $ | 282,010 | 4.7 | ||||||
UNITS SOLD: | |||||||||||
Retail new vehicles sold | 32,231 | 31,297 | 3.0 | ||||||||
Retail used vehicles sold | 20,955 | 21,215 | (1.2 | ) | |||||||
Wholesale used vehicles sold | 9,883 | 9,453 | 4.5 | ||||||||
Total used | 30,838 | 30,668 | 0.6 | ||||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||
New vehicle retail | $ | 34,324 | $ | 33,278 | 3.1 | ||||||
Used vehicle retail | $ | 21,038 | $ | 20,510 | 2.6 | ||||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||
New vehicle retail sales | $ | 1,788 | $ | 1,824 | (2.0 | ) | |||||
Used vehicle retail sales | 1,709 | 1,758 | (2.8 | ) | |||||||
Used vehicle wholesale sales | 121 | 49 | 146.9 | ||||||||
Total used | 1,200 | 1,231 | (2.5 | ) | |||||||
Finance and insurance (per retail unit) | $ | 1,470 | $ | 1,366 | 7.6 | ||||||
OTHER: (2) | |||||||||||
SG&A expenses | $ | 208,805 | $ | 198,731 | 5.1 | ||||||
SG&A as % revenues | 10.9 | 10.9 | |||||||||
SG&A as % gross profit | 70.7 | 70.5 | |||||||||
Operating margin % | 4.1 | 4.2 |
Six Months Ended June 30, | |||||||||||
2014 | 2013 | % Change | |||||||||
REVENUES: | |||||||||||
New vehicle retail sales | $ | 2,058,721 | $ | 1,963,058 | 4.9 | ||||||
Used vehicle retail sales | 865,179 | 838,917 | 3.1 | ||||||||
Used vehicle wholesale sales | 124,920 | 108,883 | 14.7 | ||||||||
Total used | 990,099 | 947,800 | 4.5 | ||||||||
Parts and service | 444,027 | 421,248 | 5.4 | ||||||||
Finance and insurance | 151,873 | 136,248 | 11.5 | ||||||||
Total | $ | 3,644,720 | $ | 3,468,354 | 5.1 | ||||||
GROSS MARGIN %: | |||||||||||
New vehicle retail sales | 5.1 | 5.5 | |||||||||
Used vehicle retail sales | 8.1 | 8.8 | |||||||||
Used vehicle wholesale sales | 2.8 | 2.4 | |||||||||
Total used | 7.5 | 8.0 | |||||||||
Parts and service | 53.5 | 53.3 | |||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||
Total | 15.6 | 15.7 | |||||||||
GROSS PROFIT: | |||||||||||
New vehicle retail sales | $ | 105,410 | $ | 107,155 | (1.6 | ) | |||||
Used vehicle retail sales | 70,471 | 73,648 | (4.3 | ) | |||||||
Used vehicle wholesale sales | 3,507 | 2,576 | 36.1 | ||||||||
Total used | 73,978 | 76,224 | (2.9 | ) | |||||||
Parts and service | 237,416 | 224,556 | 5.7 | ||||||||
Finance and insurance | 151,873 | 136,248 | 11.5 | ||||||||
Total | $ | 568,677 | $ | 544,183 | 4.5 | ||||||
UNITS SOLD: | |||||||||||
Retail new vehicles sold | 60,347 | 58,566 | 3.0 | ||||||||
Retail used vehicles sold | 42,156 | 41,549 | 1.5 | ||||||||
Wholesale used vehicles sold | 19,403 | 18,638 | 4.1 | ||||||||
Total used | 61,559 | 60,187 | 2.3 | ||||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||
New vehicle retail | $ | 34,115 | $ | 33,519 | 1.8 | ||||||
Used vehicle retail | $ | 20,523 | $ | 20,191 | 1.6 | ||||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||
New vehicle retail sales | $ | 1,747 | $ | 1,830 | (4.5 | ) | |||||
Used vehicle retail sales | 1,672 | 1,773 | (5.7 | ) | |||||||
Used vehicle wholesale sales | 181 | 138 | 31.2 | ||||||||
Total used | 1,202 | 1,266 | (5.1 | ) | |||||||
Finance and insurance (per retail unit) | $ | 1,482 | $ | 1,361 | 8.9 | ||||||
OTHER: (2) | |||||||||||
SG&A expenses | $ | 411,766 | $ | 392,941 | 4.8 | ||||||
SG&A as % revenues | 11.3 | 11.3 | |||||||||
SG&A as % gross profit | 72.4 | 72.2 | |||||||||
Operating margin % | 3.8 | 3.9 |
Group 1 Automotive, Inc. | |||||||||||
Additional Information - Same Store U.K. (1) | |||||||||||
(Unaudited) | |||||||||||
(Dollars in thousands, except per unit amounts) | |||||||||||
Three Months Ended June 30, | |||||||||||
2014 | 2013 | % Change | |||||||||
REVENUES: | |||||||||||
New vehicle retail sales | $ | 131,803 | $ | 110,473 | 19.3 | ||||||
Used vehicle retail sales | 73,260 | 58,429 | 25.4 | ||||||||
Used vehicle wholesale sales | 21,549 | 17,958 | 20.0 | ||||||||
Total used | 94,809 | 76,387 | 24.1 | ||||||||
Parts and service | 20,206 | 17,024 | 18.7 | ||||||||
Finance and insurance | 4,501 | 3,544 | 27.0 | ||||||||
Total | $ | 251,319 | $ | 207,428 | 21.2 | ||||||
GROSS MARGIN %: | |||||||||||
New vehicle retail sales | 6.9 | 6.5 | |||||||||
Used vehicle retail sales | 6.7 | 6.9 | |||||||||
Used vehicle wholesale sales | (1.3 | ) | (3.4 | ) | |||||||
Total used | 4.9 | 4.5 | |||||||||
Parts and service | 56.1 | 56.3 | |||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||
Total | 11.7 | 11.4 | |||||||||
GROSS PROFIT: | |||||||||||
New vehicle retail sales | $ | 9,040 | $ | 7,148 | 26.5 | ||||||
Used vehicle retail sales | 4,930 | 4,048 | 21.8 | ||||||||
Used vehicle wholesale sales | (281 | ) | (614 | ) | (54.2 | ) | |||||
Total used | 4,649 | 3,434 | 35.4 | ||||||||
Parts and service | 11,331 | 9,585 | 18.2 | ||||||||
Finance and insurance | 4,501 | 3,544 | 27.0 | ||||||||
Total | $ | 29,521 | $ | 23,711 | 24.5 | ||||||
UNITS SOLD: | |||||||||||
Retail new vehicles sold | 3,626 | 3,605 | 0.6 | ||||||||
Retail used vehicles sold | 2,720 | 2,524 | 7.8 | ||||||||
Wholesale used vehicles sold | 2,195 | 2,251 | (2.5 | ) | |||||||
Total used | 4,915 | 4,775 | 2.9 | ||||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||
New vehicle retail | $ | 36,349 | $ | 30,644 | 18.6 | ||||||
Used vehicle retail | $ | 26,934 | $ | 23,149 | 16.3 | ||||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||
New vehicle retail sales | $ | 2,493 | $ | 1,983 | 25.7 | ||||||
Used vehicle retail sales | 1,813 | 1,604 | 13.0 | ||||||||
Used vehicle wholesale sales | (128 | ) | (273 | ) | (53.1 | ) | |||||
Total used | 946 | 719 | 31.6 | ||||||||
Finance and insurance (per retail unit) | $ | 709 | $ | 578 | 22.7 | ||||||
OTHER: (2) | |||||||||||
SG&A expenses | 22,316 | 18,563 | 20.2 | ||||||||
SG&A as % revenues | 8.9 | 8.9 | |||||||||
SG&A as % gross profit | 75.6 | 78.3 | |||||||||
Operating margin % | 2.5 | 2.2 |
Six Months Ended June 30, | |||||||||||
2014 | 2013 | % Change | |||||||||
REVENUES: | |||||||||||
New vehicle retail sales | $ | 254,063 | $ | 205,298 | 23.8 | ||||||
Used vehicle retail sales | 132,804 | 103,394 | 28.4 | ||||||||
Used vehicle wholesale sales | 39,297 | 31,722 | 23.9 | ||||||||
Total used | 172,101 | 135,116 | 27.4 | ||||||||
Parts and service | 38,588 | 31,795 | 21.4 | ||||||||
Finance and insurance | 8,484 | 6,297 | 34.7 | ||||||||
Total | $ | 473,236 | $ | 378,506 | 25.0 | ||||||
GROSS MARGIN %: | |||||||||||
New vehicle retail sales | 6.8 | 6.7 | |||||||||
Used vehicle retail sales | 5.9 | 6.1 | |||||||||
Used vehicle wholesale sales | 0.3 | (1.7 | ) | ||||||||
Total used | 4.6 | 4.2 | |||||||||
Parts and service | 55.3 | 53.7 | |||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||
Total | 11.6 | 11.3 | |||||||||
GROSS PROFIT: | |||||||||||
New vehicle retail sales | $ | 17,210 | $ | 13,781 | 24.9 | ||||||
Used vehicle retail sales | 7,830 | 6,265 | 25.0 | ||||||||
Used vehicle wholesale sales | 131 | (531 | ) | 124.7 | |||||||
Total used | 7,961 | 5,734 | 38.8 | ||||||||
Parts and service | 21,351 | 17,069 | 25.1 | ||||||||
Finance and insurance | 8,484 | 6,297 | 34.7 | ||||||||
Total | $ | 55,006 | $ | 42,881 | 28.3 | ||||||
UNITS SOLD: | |||||||||||
Retail new vehicles sold | 6,955 | 6,432 | 8.1 | ||||||||
Retail used vehicles sold | 4,773 | 4,252 | 12.3 | ||||||||
Wholesale used vehicles sold | 3,919 | 3,694 | 6.1 | ||||||||
Total used | 8,692 | 7,946 | 9.4 | ||||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||
New vehicle retail | $ | 36,530 | $ | 31,918 | 14.4 | ||||||
Used vehicle retail | $ | 27,824 | $ | 24,317 | 14.4 | ||||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||
New vehicle retail sales | $ | 2,474 | $ | 2,143 | 15.4 | ||||||
Used vehicle retail sales | 1,640 | 1,473 | 11.3 | ||||||||
Used vehicle wholesale sales | 33 | (144 | ) | 122.9 | |||||||
Total used | 916 | 722 | 26.9 | ||||||||
Finance and insurance (per retail unit) | $ | 723 | $ | 589 | 22.8 | ||||||
OTHER: (2) | |||||||||||
SG&A expenses | $ | 41,977 | $ | 34,457 | 21.8 | ||||||
SG&A as % revenues | 8.9 | 9.1 | |||||||||
SG&A as % gross profit | 76.3 | 80.4 | |||||||||
Operating margin % | 2.4 | 1.9 |
Group 1 Automotive, Inc. | |||||||||||
Additional Information - Same Store Brazil (1) | |||||||||||
(Unaudited) | |||||||||||
(Dollars in thousands, except per unit amounts) | |||||||||||
Three Months Ended June 30, | |||||||||||
2014 | 2013 | % Change | |||||||||
REVENUES: | |||||||||||
New vehicle retail sales | $ | 141,658 | $ | 187,139 | (24.3 | ) | |||||
Used vehicle retail sales | 29,373 | 27,802 | 5.7 | ||||||||
Used vehicle wholesale sales | 4,773 | 8,633 | (44.7 | ) | |||||||
Total used | 34,146 | 36,435 | (6.3 | ) | |||||||
Parts and service | 19,027 | 19,841 | (4.1 | ) | |||||||
Finance and insurance | 2,891 | 2,605 | 11.0 | ||||||||
Total | $ | 197,722 | $ | 246,020 | (19.6 | ) | |||||
GROSS MARGIN %: | |||||||||||
New vehicle retail sales | 6.6 | 8.0 | |||||||||
Used vehicle retail sales | 6.0 | 4.0 | |||||||||
Used vehicle wholesale sales | 8.0 | 10.2 | |||||||||
Total used | 6.3 | 5.5 | |||||||||
Parts and service | 41.9 | 38.2 | |||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||
Total | 11.3 | 11.0 | |||||||||
GROSS PROFIT: | |||||||||||
New vehicle retail sales | $ | 9,316 | $ | 14,879 | (37.4 | ) | |||||
Used vehicle retail sales | 1,758 | 1,113 | 58.0 | ||||||||
Used vehicle wholesale sales | 383 | 878 | (56.4 | ) | |||||||
Total used | 2,141 | 1,991 | 7.5 | ||||||||
Parts and service | 7,974 | 7,579 | 5.2 | ||||||||
Finance and insurance | 2,891 | 2,605 | 11.0 | ||||||||
Total | $ | 22,322 | $ | 27,054 | (17.5 | ) | |||||
UNITS SOLD: | |||||||||||
Retail new vehicles sold | 4,087 | 5,337 | (23.4 | ) | |||||||
Retail used vehicles sold | 1,271 | 1,182 | 7.5 | ||||||||
Wholesale used vehicles sold | 561 | 881 | (36.3 | ) | |||||||
Total used | 1,832 | 2,063 | (11.2 | ) | |||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||
New vehicle retail | $ | 34,661 | $ | 35,064 | (1.2 | ) | |||||
Used vehicle retail | $ | 23,110 | $ | 23,521 | (1.7 | ) | |||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||
New vehicle retail sales | $ | 2,279 | $ | 2,788 | (18.3 | ) | |||||
Used vehicle retail sales | 1,383 | 942 | 46.8 | ||||||||
Used vehicle wholesale sales | 683 | 997 | (31.5 | ) | |||||||
Total used | 1,169 | 965 | 21.1 | ||||||||
Finance and insurance (per retail unit) | $ | 540 | $ | 400 | 35.0 | ||||||
OTHER: (2) | |||||||||||
SG&A expenses | 21,491 | 21,769 | (1.3 | ) | |||||||
SG&A as % revenues | 10.9 | 8.8 | |||||||||
SG&A as % gross profit | 96.3 | 80.5 | |||||||||
Operating margin % | 0.2 | 2.0 |
Six Months Ended June 30, | |||||||||||
2014 | 2013 (3) | % Change | |||||||||
REVENUES: | |||||||||||
New vehicle retail sales | $ | 181,207 | $ | 239,917 | (24.5 | ) | |||||
Used vehicle retail sales | 36,366 | 35,897 | 1.3 | ||||||||
Used vehicle wholesale sales | 6,040 | 11,750 | (48.6 | ) | |||||||
Total used | 42,406 | 47,647 | (11.0 | ) | |||||||
Parts and service | 25,062 | 26,227 | (4.4 | ) | |||||||
Finance and insurance | 3,481 | 3,197 | 8.9 | ||||||||
Total | $ | 252,156 | $ | 316,988 | (20.5 | ) | |||||
GROSS MARGIN %: | |||||||||||
New vehicle retail sales | 6.5 | 8.0 | |||||||||
Used vehicle retail sales | 6.0 | 4.3 | |||||||||
Used vehicle wholesale sales | 8.1 | 9.3 | |||||||||
Total used | 6.3 | 5.5 | |||||||||
Parts and service | 42.0 | 39.2 | |||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||
Total | 11.3 | 11.2 | |||||||||
GROSS PROFIT: | |||||||||||
New vehicle retail sales | $ | 11,715 | $ | 19,301 | (39.3 | ) | |||||
Used vehicle retail sales | 2,195 | 1,552 | 41.4 | ||||||||
Used vehicle wholesale sales | 492 | 1,090 | (54.9 | ) | |||||||
Total used | 2,687 | 2,642 | 1.7 | ||||||||
Parts and service | 10,523 | 10,290 | 2.3 | ||||||||
Finance and insurance | 3,481 | 3,197 | 8.9 | ||||||||
Total | $ | 28,406 | $ | 35,430 | (19.8 | ) | |||||
UNITS SOLD: | |||||||||||
Retail new vehicles sold | 5,330 | 6,828 | (21.9 | ) | |||||||
Retail used vehicles sold | 1,605 | 1,576 | 1.8 | ||||||||
Wholesale used vehicles sold | 721 | 1,116 | (35.4 | ) | |||||||
Total used | 2,326 | 2,692 | (13.6 | ) | |||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||
New vehicle retail | $ | 33,998 | $ | 35,137 | (3.2 | ) | |||||
Used vehicle retail | $ | 22,658 | $ | 22,777 | (0.5 | ) | |||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||
New vehicle retail sales | $ | 2,198 | $ | 2,827 | (22.2 | ) | |||||
Used vehicle retail sales | 1,368 | 985 | 38.9 | ||||||||
Used vehicle wholesale sales | 682 | 977 | (30.2 | ) | |||||||
Total used | 1,155 | 981 | 17.7 | ||||||||
Finance and insurance (per retail unit) | $ | 502 | $ | 380 | 32.1 | ||||||
OTHER: (2) | |||||||||||
SG&A expenses | 27,206 | 28,471 | (4.4 | ) | |||||||
SG&A as % revenues | 10.8 | 9.0 | |||||||||
SG&A as % gross profit | 95.8 | 80.4 | |||||||||
Operating margin % | 0.2 | 2.0 |
Group 1 Automotive, Inc. | ||||||||||||
Additional Information - Same Store Consolidated (1) | ||||||||||||
(Unaudited) | ||||||||||||
(Dollars in thousands, except per unit amounts) | ||||||||||||
Three Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 1,379,746 | $ | 1,339,116 | 3.0 | |||||||
Used vehicle retail sales | 543,487 | 521,342 | 4.2 | |||||||||
Used vehicle wholesale sales | 90,347 | 80,354 | 12.4 | |||||||||
Total used | 633,834 | 601,696 | 5.3 | |||||||||
Parts and service | 266,405 | 252,332 | 5.6 | |||||||||
Finance and insurance | 85,573 | 77,893 | 9.9 | |||||||||
Total | $ | 2,365,558 | $ | 2,271,037 | 4.2 | |||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 5.5 | 5.9 | ||||||||||
Used vehicle retail sales | 7.8 | 8.1 | ||||||||||
Used vehicle wholesale sales | 1.4 | 0.9 | ||||||||||
Total used | 6.9 | 7.2 | ||||||||||
Parts and service | 53.3 | 52.5 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 14.7 | 14.7 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 75,971 | $ | 79,118 | (4.0 | ) | ||||||
Used vehicle retail sales | 42,497 | 42,460 | 0.1 | |||||||||
Used vehicle wholesale sales | 1,294 | 726 | 78.2 | |||||||||
Total used | 43,791 | 43,186 | 1.4 | |||||||||
Parts and service | 141,904 | 132,578 | 7.0 | |||||||||
Finance and insurance | 85,573 | 77,893 | 9.9 | |||||||||
Total | $ | 347,239 | $ | 332,775 | 4.3 | |||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 39,944 | 40,239 | (0.7 | ) | ||||||||
Retail used vehicles sold | 24,946 | 24,921 | 0.1 | |||||||||
Wholesale used vehicles sold | 12,639 | 12,585 | 0.4 | |||||||||
Total used | 37,585 | 37,506 | 0.2 | |||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 34,542 | $ | 33,279 | 3.8 | |||||||
Used vehicle retail | $ | 21,787 | $ | 20,920 | 4.1 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 1,902 | $ | 1,966 | (3.3 | ) | ||||||
Used vehicle retail sales | 1,704 | 1,704 | — | |||||||||
Used vehicle wholesale sales | 102 | 58 | 75.9 | |||||||||
Total used | 1,165 | 1,151 | 1.2 | |||||||||
Finance and insurance (per retail unit) | $ | 1,319 | $ | 1,195 | 10.4 | |||||||
OTHER: (2) | ||||||||||||
SG&A expenses | $ | 252,612 | $ | 239,063 | 5.7 | |||||||
SG&A as % revenues | 10.7 | 10.5 | ||||||||||
SG&A as % gross profit | 72.7 | 71.8 | ||||||||||
Operating margin % | 3.6 | 3.7 |
Six Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 2,493,991 | $ | 2,408,273 | 3.6 | |||||||
Used vehicle retail sales | 1,034,349 | 978,208 | 5.7 | |||||||||
Used vehicle wholesale sales | 170,257 | 152,355 | 11.8 | |||||||||
Total used | 1,204,606 | 1,130,563 | 6.5 | |||||||||
Parts and service | 507,677 | 479,270 | 5.9 | |||||||||
Finance and insurance | 163,838 | 145,742 | 12.4 | |||||||||
Total | $ | 4,370,112 | $ | 4,163,848 | 5.0 | |||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 5.4 | 5.8 | ||||||||||
Used vehicle retail sales | 7.8 | 8.3 | ||||||||||
Used vehicle wholesale sales | 2.4 | 2.1 | ||||||||||
Total used | 7.0 | 7.5 | ||||||||||
Parts and service | 53.0 | 52.6 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 14.9 | 14.9 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 134,335 | $ | 140,237 | (4.2 | ) | ||||||
Used vehicle retail sales | 80,496 | 81,465 | (1.2 | ) | ||||||||
Used vehicle wholesale sales | 4,130 | 3,135 | 31.7 | |||||||||
Total used | 84,626 | 84,600 | — | |||||||||
Parts and service | 269,290 | 251,915 | 6.9 | |||||||||
Finance and insurance | 163,838 | 145,742 | 12.4 | |||||||||
Total | $ | 652,089 | $ | 622,494 | 4.8 | |||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 72,632 | 71,826 | 1.1 | |||||||||
Retail used vehicles sold | 48,534 | 47,377 | 2.4 | |||||||||
Wholesale used vehicles sold | 24,043 | 23,448 | 2.5 | |||||||||
Total used | 72,577 | 70,825 | 2.5 | |||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 34,337 | $ | 33,529 | 2.4 | |||||||
Used vehicle retail | $ | 21,312 | $ | 20,647 | 3.2 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 1,850 | $ | 1,952 | (5.2 | ) | ||||||
Used vehicle retail sales | 1,659 | 1,720 | (3.5 | ) | ||||||||
Used vehicle wholesale sales | 172 | 134 | 28.4 | |||||||||
Total used | 1,166 | 1,194 | (2.3 | ) | ||||||||
Finance and insurance (per retail unit) | $ | 1,352 | $ | 1,223 | 10.5 | |||||||
OTHER: (2) | ||||||||||||
SG&A expenses | $ | 480,949 | $ | 455,869 | 5.5 | |||||||
SG&A as % revenues | 11.0 | 10.9 | ||||||||||
SG&A as % gross profit | 73.8 | 73.2 | ||||||||||
Operating margin % | 3.5 | 3.6 |
Group 1 Automotive, Inc. | ||||||||||||
Reconciliation of Certain Non-GAAP Financial Measures - U.S. | ||||||||||||
(Unaudited) | ||||||||||||
(Dollars in thousands) | ||||||||||||
Three Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
SG&A RECONCILIATION: | ||||||||||||
As reported | $ | 227,506 | $ | 210,820 | 7.9 | |||||||
Pre-tax adjustments: | ||||||||||||
Catastrophic events | (1,676 | ) | (11,092 | ) | ||||||||
Net gain on real estate and dealership transactions | 510 | 8,249 | ||||||||||
Legal settlements | (442 | ) | — | |||||||||
Adjusted SG&A (1) | $ | 225,898 | $ | 207,977 | 8.6 | |||||||
SG&A AS % REVENUES: | ||||||||||||
Unadjusted | 11.0 | 11.2 | ||||||||||
Adjusted (1) | 11.0 | 11.1 | ||||||||||
SG&A AS % GROSS PROFIT: | ||||||||||||
Unadjusted | 71.8 | 72.6 | ||||||||||
Adjusted (1) | 71.3 | 71.6 | ||||||||||
OPERATING MARGIN %: | ||||||||||||
Unadjusted | 3.8 | 3.8 | ||||||||||
Adjusted (1),(2) | 4.0 | 4.0 | ||||||||||
PRETAX MARGIN %: | ||||||||||||
Unadjusted | 1.7 | 2.8 | ||||||||||
Adjusted (1),(3) | 3.0 | 3.0 | ||||||||||
SAME STORE SG&A RECONCILIATION: | ||||||||||||
As reported | $ | 210,923 | $ | 210,023 | 0.4 | |||||||
Pre-tax adjustments: | ||||||||||||
Catastrophic events | (1,676 | ) | (11,092 | ) | ||||||||
Net gain on real estate and dealership transactions | — | (200 | ) | |||||||||
Legal settlements | (442 | ) | — | |||||||||
Adjusted Same Store SG&A (1) | $ | 208,805 | $ | 198,731 | 5.1 | |||||||
SAME STORE SG&A AS % REVENUES: | ||||||||||||
Unadjusted | 11.0 | 11.6 | ||||||||||
Adjusted (1) | 10.9 | 10.9 | ||||||||||
SAME STORE SG&A AS % GROSS PROFIT: | ||||||||||||
Unadjusted | 71.4 | 74.5 | ||||||||||
Adjusted (1) | 70.7 | 70.5 | ||||||||||
SAME STORE OPERATING MARGIN %: | ||||||||||||
Unadjusted | 3.9 | 3.5 | ||||||||||
Adjusted (1),(4) | 4.1 | 4.2 |
Six Months Ended June 30, | |||||||||||
2014 | 2013 | % Change | |||||||||
SG&A RECONCILIATION: | |||||||||||
As reported | $ | 443,902 | $ | 420,304 | 5.6 | ||||||
Pre-tax adjustments: | |||||||||||
Acquisition costs | — | (5,159 | ) | ||||||||
Catastrophic events | (1,676 | ) | (11,900 | ) | |||||||
Net gain on real estate and dealership transactions | 510 | 8,823 | |||||||||
Legal settlements | (442 | ) | — | ||||||||
Adjusted SG&A (1) | $ | 442,294 | $ | 412,068 | 7.3 | ||||||
SG&A AS % REVENUES: | |||||||||||
Unadjusted | 11.4 | 11.7 | |||||||||
Adjusted (1) | 11.4 | 11.4 | |||||||||
SG&A AS % GROSS PROFIT: | |||||||||||
Unadjusted | 73.2 | 74.6 | |||||||||
Adjusted (1) | 72.9 | 73.1 | |||||||||
OPERATING MARGIN %: | |||||||||||
Unadjusted | 3.7 | 3.5 | |||||||||
Adjusted (1),(2) | 3.8 | 3.8 | |||||||||
PRETAX MARGIN %: | |||||||||||
Unadjusted | 2.1 | 2.5 | |||||||||
Adjusted (1),(3) | 2.8 | 2.8 | |||||||||
SAME STORE SG&A RECONCILIATION: | |||||||||||
As reported | $ | 413,884 | $ | 410,200 | 0.9 | ||||||
Pre-tax adjustments: | |||||||||||
Catastrophic events | (1,676 | ) | (11,900 | ) | |||||||
Acquisition costs | — | (5,159 | ) | ||||||||
Net gain on real estate and dealership transactions | — | (200 | ) | ||||||||
Legal settlements | (442 | ) | — | ||||||||
Adjusted Same Store SG&A (1) | $ | 411,766 | $ | 392,941 | 4.8 | ||||||
SAME STORE SG&A AS % REVENUES: | |||||||||||
Unadjusted | 11.4 | 11.8 | |||||||||
Adjusted (1) | 11.3 | 11.3 | |||||||||
SAME STORE SG&A AS % GROSS PROFIT: | |||||||||||
Unadjusted | 72.8 | 75.4 | |||||||||
Adjusted (1) | 72.4 | 72.2 | |||||||||
SAME STORE OPERATING MARGIN %: | |||||||||||
Unadjusted | 3.7 | 3.4 | |||||||||
Adjusted (1),(4) | 3.8 | 3.9 | |||||||||
(1) | We have included certain non-GAAP financial measures as defined under SEC rules, which exclude certain items. These adjusted measures are not measures of financial performance under GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations. | ||||||||||
(2) | Excludes the impact of SG&A reconciling items above, as well as non-cash asset impairment charges of $1,721 for the three and six months ended June 30, 2014, and $609 for the three and six months ended June 30, 2013. | ||||||||||
(3) | Excludes the impact of SG&A reconciling items above, as well as loss on redemption of long-term debt of $23,614 for the three and six months ended June 30, 2014, non-cash asset impairment charges of $1,721 for the three and six months ended June 30, 2014, and non-cash asset impairment charges of $609 for the three and six months ended June 30, 2013. | ||||||||||
(4) | Excludes the impact of Same Store SG&A reconciling items above, as well as non-cash asset impairment charges of $1,721 for the three and six months ended June 30, 2014, and $609 and $607 for the three and six months ended June 30, 2013, respectively. |
Group 1 Automotive, Inc. | |||||||
Reconciliation of Certain Non-GAAP Financial Measures - U.K. | |||||||
(Unaudited) | |||||||
(Dollars in thousands) |
Six Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
SG&A RECONCILIATION: | ||||||||||||
As reported | $ | 44,788 | $ | 34,606 | 29.4 | |||||||
Pre-tax adjustments: | ||||||||||||
Acquisition costs | — | (142 | ) | |||||||||
Adjusted SG&A (1) | $ | 44,788 | $ | 34,464 | 30.0 | |||||||
SG&A AS % REVENUES: | ||||||||||||
Unadjusted | 9.0 | 9.1 | ||||||||||
Adjusted (1) | 9.0 | 9.1 | ||||||||||
SG&A AS % GROSS PROFIT: | ||||||||||||
Unadjusted | 76.9 | 80.6 | ||||||||||
Adjusted (1) | 76.9 | 80.3 | ||||||||||
OPERATING MARGIN %: | ||||||||||||
Unadjusted | 2.4 | 1.9 | ||||||||||
Adjusted (1),(2) | 2.4 | 1.9 | ||||||||||
PRETAX MARGIN %: | ||||||||||||
Unadjusted | 2.0 | 1.5 | ||||||||||
Adjusted (1),(2) | 2.0 | 1.6 | ||||||||||
SAME STORE SG&A RECONCILIATION: | ||||||||||||
As reported | $ | 41,977 | $ | 34,599 | 21.3 | |||||||
Pre-tax adjustments: | ||||||||||||
Acquisition costs | — | (142 | ) | |||||||||
Adjusted Same Store SG&A (1) | $ | 41,977 | $ | 34,457 | 21.8 | |||||||
SAME STORE SG&A AS % REVENUES: | ||||||||||||
Unadjusted | 8.9 | 9.1 | ||||||||||
Adjusted (1) | 8.9 | 9.1 | ||||||||||
SAME STORE SG&A AS % GROSS PROFIT: | ||||||||||||
Unadjusted | 76.3 | 80.7 | ||||||||||
Adjusted (1) | 76.3 | 80.4 | ||||||||||
SAME STORE OPERATING MARGIN %: | ||||||||||||
Unadjusted | 2.4 | 1.9 | ||||||||||
Adjusted (1),(2) | 2.4 | 1.9 | ||||||||||
(1) | We have included certain non-GAAP financial measures as defined under SEC rules, which exclude certain items. These adjusted measures are not measures of financial performance under GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations. | |||||||||||
(2) | Excludes the impact of SG&A reconciling item above. |
Group 1 Automotive, Inc. | |||||||||||
Reconciliation of Certain Non-GAAP Financial Measures - Brazil | |||||||||||
(Unaudited) | |||||||||||
(Dollars in thousands) | |||||||||||
Three Months Ended June 30, | |||||||||||
2014 | 2013 | % Change | |||||||||
SG&A RECONCILIATION: | |||||||||||
As reported | $ | 22,148 | $ | 21,769 | 1.7 | ||||||
Pre-tax adjustments: | |||||||||||
Foreign transaction tax | (416 | ) | — | ||||||||
Adjusted SG&A (1) | $ | 21,732 | $ | 21,769 | (0.2 | ) | |||||
SG&A AS % REVENUES: | |||||||||||
Unadjusted | 11.1 | 8.8 | |||||||||
Adjusted (1) | 10.9 | 8.8 | |||||||||
SG&A AS % GROSS PROFIT: | |||||||||||
Unadjusted | 96.9 | 80.5 | |||||||||
Adjusted (1) | 95.1 | 80.5 | |||||||||
OPERATING MARGIN % | |||||||||||
Unadjusted | 0.1 | 2.0 | |||||||||
Adjusted (1),(2) | 0.3 | 2.0 | |||||||||
PRETAX MARGIN %: | |||||||||||
Unadjusted | (0.9 | ) | 1.3 | ||||||||
Adjusted (1),(3) | (0.7 | ) | 1.3 | ||||||||
SAME STORE SG&A RECONCILIATION: | |||||||||||
As reported | $ | 21,907 | $ | 21,769 | 0.6 | ||||||
Pre-tax adjustments: | |||||||||||
Foreign transaction tax | (416 | ) | — | ||||||||
Adjusted Same Store SG&A (1) | $ | 21,491 | $ | 21,769 | (1.3 | ) | |||||
SAME STORE SG&A AS % REVENUES: | |||||||||||
Unadjusted | 11.1 | 8.8 | |||||||||
Adjusted (1) | 10.9 | 8.8 | |||||||||
SAME STORE SG&A AS % GROSS PROFIT: | |||||||||||
Unadjusted | 98.1 | 80.5 | |||||||||
Adjusted (1) | 96.3 | 80.5 | |||||||||
SAME STORE OPERATING MARGIN %: | |||||||||||
Unadjusted | (0.1 | ) | 2.0 | ||||||||
Adjusted (1),(2) | 0.2 | 2.0 |
Six Months Ended June 30, | |||||||||||
2014 | 2013 (4) | % Change | |||||||||
SG&A RECONCILIATION: | |||||||||||
As reported | $ | 40,838 | $ | 29,682 | 37.6 | ||||||
Pre-tax adjustments: | |||||||||||
Acquisition costs | — | (1,211 | ) | ||||||||
Foreign transaction tax | (416 | ) | — | ||||||||
Adjusted SG&A (1) | $ | 40,422 | $ | 28,471 | 42.0 | ||||||
SG&A AS % REVENUES: | |||||||||||
Unadjusted | 10.8 | 9.4 | |||||||||
Adjusted (1) | 10.7 | 9.0 | |||||||||
SG&A AS % GROSS PROFIT: | |||||||||||
Unadjusted | 96.1 | 83.8 | |||||||||
Adjusted (1) | 95.1 | 80.4 | |||||||||
OPERATING MARGIN %: | |||||||||||
Unadjusted | 0.1 | 1.6 | |||||||||
Adjusted (1),(2) | 0.3 | 2.0 | |||||||||
PRETAX MARGIN %: | |||||||||||
Unadjusted | (0.8 | ) | 0.6 | ||||||||
Adjusted (1),(3) | (0.7 | ) | 1.2 | ||||||||
SAME STORE SG&A RECONCILIATION: | |||||||||||
As reported | $ | 27,622 | $ | 29,682 | (6.9 | ) | |||||
Pre-tax adjustments: | |||||||||||
Acquisition costs | — | (1,211 | ) | ||||||||
Foreign transaction tax | (416 | ) | — | ||||||||
Adjusted Same Store SG&A (1) | $ | 27,206 | $ | 28,471 | (4.4 | ) | |||||
SAME STORE SG&A AS % REVENUES: | |||||||||||
Unadjusted | 11.0 | 9.4 | |||||||||
Adjusted (1) | 10.8 | 9.0 | |||||||||
SAME STORE SG&A AS % GROSS PROFIT: | |||||||||||
Unadjusted | 97.2 | 83.8 | |||||||||
Adjusted (1) | 95.8 | 80.4 | |||||||||
SAME STORE OPERATING MARGIN %: | |||||||||||
Unadjusted | — | 1.6 | |||||||||
Adjusted (1),(2) | 0.2 | 2.0 | |||||||||
(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 GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations. | ||||||||||
(2) | Excludes the impact of SG&A reconciling items above. | ||||||||||
(3) | Excludes the impact of SG&A reconciling items above, as well as the other expense, net of $789, for the period from the date of acquisition (February 28, 2013) through June 30, 2013. | ||||||||||
(4) | Results are for the period from the date of acquisition (February 28, 2013) through June 30, 2013. |
Group 1 Automotive, Inc. | ||||||||||||
Reconciliation of Certain Non-GAAP Financial Measures - Consolidated | ||||||||||||
(Unaudited) | ||||||||||||
(Dollars in thousands, except per share amounts) | ||||||||||||
Three Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
NET INCOME RECONCILIATION: | ||||||||||||
As reported | $ | 16,862 | $ | 37,388 | (54.9 | ) | ||||||
After-tax adjustments: | ||||||||||||
Catastrophic events (6) | 1,039 | 6,757 | ||||||||||
Net gain on real estate and dealership transactions (7) | (316 | ) | (4,785 | ) | ||||||||
Non-cash asset impairment charges (8) | 1,067 | 369 | ||||||||||
Loss on redemption of long-term debt (9) | 20,778 | — | ||||||||||
Legal settlements (10) | 274 | — | ||||||||||
Foreign transaction tax (11) | 274 | — | ||||||||||
Adjusted net income (1) | $ | 39,978 | $ | 39,729 | 0.6 | |||||||
ADJUSTED NET INCOME ATTRIBUTABLE TO DILUTED COMMON SHARES RECONCILIATION | ||||||||||||
Adjusted net income | $ | 39,978 | $ | 39,729 | 0.6 | |||||||
Less: Adjusted earnings allocated to participating securities | 1,456 | 1,692 | (13.9 | ) | ||||||||
Adjusted net income available to diluted common shares | $ | 38,522 | $ | 38,037 | 1.3 | |||||||
DILUTED INCOME PER COMMON SHARE RECONCILIATION: | ||||||||||||
As reported | $ | 0.62 | $ | 1.43 | (56.6 | ) | ||||||
After-tax adjustments: | ||||||||||||
Catastrophic events | 0.04 | 0.26 | ||||||||||
Net gain on real estate and dealership transactions | (0.01 | ) | (0.18 | ) | ||||||||
Non-cash asset impairment charges | 0.04 | 0.01 | ||||||||||
Loss on redemption of long-term debt | 0.76 | — | ||||||||||
Legal settlements | 0.01 | — | ||||||||||
Foreign transaction tax | 0.01 | — | ||||||||||
Adjusted diluted income per share (1) | $ | 1.47 | $ | 1.52 | (3.3 | ) | ||||||
SG&A RECONCILIATION: | ||||||||||||
As reported | $ | 271,970 | $ | 251,159 | 8.3 | |||||||
Pre-tax adjustments: | ||||||||||||
Catastrophic events | (1,676 | ) | (11,092 | ) | ||||||||
Net gain on real estate and dealership transactions | 510 | 8,249 | ||||||||||
Legal settlements | (442 | ) | — | |||||||||
Foreign transaction tax | (416 | ) | — | |||||||||
Adjusted SG&A (1) | $ | 269,946 | $ | 248,316 | 8.7 |
SG&A AS % REVENUES: | ||||||||||||
Unadjusted | 10.8 | 10.8 | ||||||||||
Adjusted (1) | 10.7 | 10.6 | ||||||||||
SG&A AS % GROSS PROFIT: | ||||||||||||
Unadjusted | 73.7 | 73.6 | ||||||||||
Adjusted (1) | 73.1 | 72.8 | ||||||||||
OPERATING MARGIN %: | ||||||||||||
Unadjusted | 3.4 | 3.5 | ||||||||||
Adjusted (1),(2) | 3.5 | 3.6 | ||||||||||
PRETAX MARGIN %: | ||||||||||||
Unadjusted | 1.5 | 2.6 | ||||||||||
Adjusted (1),(3) | 2.6 | 2.7 |
SAME STORE SG&A RECONCILIATION: | ||||||||||||
As reported | $ | 255,146 | $ | 250,355 | 1.9 | |||||||
Pre-tax adjustments: | ||||||||||||
Catastrophic events | (1,676 | ) | (11,092 | ) | ||||||||
Net gain on real estate and dealership transactions | — | (200 | ) | |||||||||
Legal settlements | (442 | ) | — | |||||||||
Foreign transaction tax | (416 | ) | — | |||||||||
Adjusted Same Store SG&A (1) | $ | 252,612 | $ | 239,063 | 5.7 | |||||||
SAME STORE SG&A AS % REVENUES: | ||||||||||||
Unadjusted | 10.8 | 11.0 | ||||||||||
Adjusted (1) | 10.7 | 10.5 | ||||||||||
SAME STORE SG&A AS % GROSS PROFIT: | ||||||||||||
Unadjusted | 73.5 | 75.2 | ||||||||||
Adjusted (1) | 72.7 | 71.8 | ||||||||||
SAME STORE OPERATING MARGIN %: | ||||||||||||
Unadjusted | 3.4 | 3.2 | ||||||||||
Adjusted (1),(4) | 3.6 | 3.7 |
Six Months Ended June 30, | ||||||||||||
2014 | 2013 | % Change | ||||||||||
NET INCOME RECONCILIATION: | ||||||||||||
As reported | $ | 48,165 | $ | 59,506 | (19.1 | ) | ||||||
After-tax adjustments: | ||||||||||||
Acquisition costs (5) | — | 6,968 | ||||||||||
Catastrophic events (6) | 1,039 | 7,261 | ||||||||||
Net gain on real estate and dealership transactions (7) | (316 | ) | (5,141 | ) | ||||||||
Non-cash asset impairment charges (8) | 1,067 | 369 | ||||||||||
Loss on redemption of long-term debt (9) | 20,778 | — | ||||||||||
Legal settlements (10) | 274 | — | ||||||||||
Foreign transaction tax (11) | 274 | — | ||||||||||
Adjusted net income (1) | $ | 71,281 | $ | 68,963 | 3.4 | |||||||
ADJUSTED NET INCOME ATTRIBUTABLE TO DILUTED COMMON SHARES RECONCILIATION | ||||||||||||
Adjusted net income | $ | 71,281 | $ | 68,963 | 3.4 | |||||||
Less: Adjusted earnings allocated to participating securities | 2,613 | 2,925 | (10.7 | ) | ||||||||
Adjusted net income available to diluted common shares | $ | 68,668 | $ | 66,038 | 4.0 | |||||||
DILUTED INCOME PER COMMON SHARE RECONCILIATION: | ||||||||||||
As reported | $ | 1.80 | $ | 2.32 | (22.4 | ) | ||||||
After-tax adjustments: | ||||||||||||
Acquisition costs | — | 0.27 | ||||||||||
Catastrophic events | 0.04 | 0.28 | ||||||||||
Net gain on real estate and dealership transactions | (0.01 | ) | (0.19 | ) | ||||||||
Non-cash asset impairment charges | 0.04 | 0.01 | ||||||||||
Loss on redemption of long-term debt | 0.77 | — | ||||||||||
Legal settlements | 0.01 | — | ||||||||||
Foreign transaction tax | 0.01 | — | ||||||||||
Adjusted diluted income per share (1) | $ | 2.66 | $ | 2.69 | (1.1 | ) | ||||||
SG&A RECONCILIATION: | ||||||||||||
As reported | $ | 529,528 | $ | 484,592 | 9.3 | |||||||
Pre-tax adjustments: | ||||||||||||
Acquisition costs | — | (6,512 | ) | |||||||||
Catastrophic events | (1,676 | ) | (11,900 | ) | ||||||||
Net gain on real estate and dealership transactions | 510 | 8,823 | ||||||||||
Legal settlements | (442 | ) | — | |||||||||
Foreign transaction tax | (416 | ) | — | |||||||||
Adjusted SG&A (1) | $ | 527,504 | $ | 475,003 | 11.1 |
SG&A AS % REVENUES: | ||||||||||||
Unadjusted | 11.1 | 11.3 | ||||||||||
Adjusted (1) | 11.1 | 11.0 | ||||||||||
SG&A AS % GROSS PROFIT: | ||||||||||||
Unadjusted | 74.9 | 75.5 | ||||||||||
Adjusted (1) | 74.6 | 74.0 | ||||||||||
OPERATING MARGIN %: | ||||||||||||
Unadjusted | 3.3 | 3.2 | ||||||||||
Adjusted (1),(2) | 3.3 | 3.5 | ||||||||||
PRETAX MARGIN %: | ||||||||||||
Unadjusted | 1.8 | 2.3 | ||||||||||
Adjusted (1),(3) | 2.4 | 2.6 |
SAME STORE SG&A RECONCILIATION: | ||||||||||||
As reported | $ | 483,483 | $ | 474,481 | 1.9 | |||||||
Pre-tax adjustments: | ||||||||||||
Acquisition costs | — | (6,512 | ) | |||||||||
Catastrophic events | (1,676 | ) | (11,900 | ) | ||||||||
Net gain on real estate and dealership transactions | — | (200 | ) | |||||||||
Legal settlements | (442 | ) | — | |||||||||
Foreign transaction tax | (416 | ) | — | |||||||||
Adjusted Same Store SG&A (1) | $ | 480,949 | $ | 455,869 | 5.5 | |||||||
SAME STORE SG&A AS % REVENUES: | ||||||||||||
Unadjusted | 11.1 | 11.4 | ||||||||||
Adjusted (1) | 11.0 | 10.9 | ||||||||||
SAME STORE SG&A AS % GROSS PROFIT: | ||||||||||||
Unadjusted | 74.1 | 76.2 | ||||||||||
Adjusted (1) | 73.8 | 73.2 | ||||||||||
SAME STORE OPERATING MARGIN %: | ||||||||||||
Unadjusted | 3.4 | 3.1 | ||||||||||
Adjusted (1),(4) | 3.5 | 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 GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations. | |||||
(2) | Excludes the impact of SG&A reconciling items above, as well as non-cash asset impairment charges for all periods. | |||||
(3) | Excludes the impact of SG&A reconciling items above, non-cash asset impairment charges for all periods, as well as loss on redemption of long-term debt of $23,614 for the three and six months ended June 30, 2014 and other expense, net of $789, for the six months ended June 30, 2013. | |||||
(4) | Excludes the impact of Same Store SG&A reconciling items above, as well as non-cash asset impairment charges of $1,721 for the three and six months ended June 30, 2014, respectively, and $609 and $607 for the three and six months ended June 30, 2013, respectively. | |||||
(5) | Adjustment is net of tax benefit of $2,394 for the six months ended June 30, 2013, calculated utilizing the applicable federal and state tax rates for the adjustment. | |||||
(6) | Adjustment is net of tax benefit of $637 for the three and six months ended June 30, 2014, and $4,335 and $4,639 for the three and six month ended June 30, 2013, respectively, calculated utilizing the applicable federal and state tax rates for the adjustment. | |||||
(7) | Adjustment is net of tax provision of $194 for the three and six months ended June 30, 2014 and $3,464 and $3,682 for the three and six months ended June 30, 2013, respectively, calculated utilizing the applicable federal and state tax rates for the adjustment. | |||||
(8) | Adjustment is net of tax benefit of $654 for the three and six months ended June 30, 2014, and $240 for the three and six months ended June 30, 2013, calculated utilizing the applicable federal and state tax rates for the adjustment. | |||||
(9) | Adjustment is net of tax benefit of $2,836 for the three and six months ended June 30, 2014, calculated utilizing the applicable federal and state tax rates for the adjustment. | |||||
(10) | Adjustment is net of tax benefit of $168 for the three and six months ended June 30, 2014, calculated utilizing the applicable federal and state tax rates for the adjustment. | |||||
(11) | Adjustment is net of tax benefit of $141 for the three and six months ended June 30, 2014, calculated utilizing the applicable federal and state tax rates for the adjustment. |