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. | ||||
April 28, 2015 | By: | /s/ John C. Rickel | ||
Date | John C. Rickel, Senior Vice President and Chief Financial Officer |
▪ | Total revenue increased 7.6 percent (10.1 percent on a constant exchange basis) to $2.4 billion; total gross profit grew 7.6 percent (9.5 percent) to $363.9 million. |
▪ | New vehicle revenues increased 5.0 percent (7.8 percent) on 3.9 percent higher unit sales. New vehicle gross profit increased 4.2 percent (7.7 percent) to $69.7 million. |
▪ | Retail used vehicle revenues increased 13.3 percent (15.6 percent) on 11.6 percent higher unit sales. Retail used vehicle gross profit improved 7.8 percent (9.2 percent) to $46.1 million as lower margins, down $54 per unit, partially offset the revenue growth. |
▪ | Parts and service gross profit increased 6.4 percent (8.2 percent) on revenue growth of 4.8 percent (6.7 percent). Same Store parts and service gross profit increased 4.4 percent (6.1 percent) on revenue growth of 3.4 percent (5.2 percent). |
▪ | Finance and Insurance (F&I) gross profit per unit increased 5.6 percent (6.6 percent) to $1,366 per retail unit. |
▪ | Selling, General and Administrative (SG&A) expenses as a percent of gross profit improved 160 basis points to 74.6 percent. |
▪ | United States: |
▪ | United Kingdom: |
▪ | Brazil: |
Group 1 Automotive, Inc. | ||||||||||||
Consolidated Statements of Operations | ||||||||||||
(Unaudited) | ||||||||||||
(In thousands, except per share amounts) | ||||||||||||
Three Months Ended March 31, | ||||||||||||
2015 | 2014 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 1,332,724 | $ | 1,268,836 | 5.0 | |||||||
Used vehicle retail sales | 623,193 | 549,897 | 13.3 | |||||||||
Used vehicle wholesale sales | 100,192 | 89,173 | 12.4 | |||||||||
Parts and service | 282,189 | 269,317 | 4.8 | |||||||||
Finance and insurance | 94,556 | 83,640 | 13.1 | |||||||||
Total revenues | 2,432,854 | 2,260,863 | 7.6 | |||||||||
COST OF SALES: | ||||||||||||
New vehicle retail sales | 1,262,993 | 1,201,930 | 5.1 | |||||||||
Used vehicle retail sales | 577,072 | 507,096 | 13.8 | |||||||||
Used vehicle wholesale sales | 97,513 | 86,061 | 13.3 | |||||||||
Parts and service | 131,392 | 127,654 | 2.9 | |||||||||
Total cost of sales | 2,068,970 | 1,922,741 | 7.6 | |||||||||
GROSS PROFIT | 363,884 | 338,122 | 7.6 | |||||||||
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES | 271,469 | 257,558 | 5.4 | |||||||||
DEPRECIATION AND AMORTIZATION EXPENSE | 11,684 | 9,925 | 17.7 | |||||||||
OPERATING INCOME | 80,731 | 70,639 | 14.3 | |||||||||
OTHER EXPENSE: | ||||||||||||
Floorplan interest expense | (9,348 | ) | (10,913 | ) | (14.3 | ) | ||||||
Other interest expense, net | (13,911 | ) | (10,513 | ) | 32.3 | |||||||
INCOME BEFORE INCOME TAXES | 57,472 | 49,213 | 16.8 | |||||||||
PROVISION FOR INCOME TAXES | (21,657 | ) | (17,910 | ) | 20.9 | |||||||
NET INCOME | $ | 35,815 | $ | 31,303 | 14.4 | |||||||
Earnings allocated to participating securities | $ | (1,388 | ) | $ | (1,156 | ) | 20.1 | |||||
Earnings available to diluted common shares | $ | 34,427 | $ | 30,147 | 14.2 | |||||||
DILUTED EARNINGS PER SHARE | $ | 1.47 | $ | 1.19 | 23.5 | |||||||
Weighted average dilutive common shares outstanding | 23,446 | 25,428 | (7.8 | ) | ||||||||
Weighted average participating securities | 932 | 963 | (3.2 | ) | ||||||||
Total weighted average shares outstanding | 24,378 | 26,391 | (7.6 | ) |
Group 1 Automotive, Inc. | ||||||||||||
Consolidated Balance Sheets | ||||||||||||
(Dollars in thousands) | ||||||||||||
March 31, | December 31, | |||||||||||
2015 | 2014 | % Change | ||||||||||
(Unaudited) | ||||||||||||
ASSETS: | ||||||||||||
CURRENT ASSETS: | ||||||||||||
Cash and cash equivalents | $ | 26,279 | $ | 40,975 | (35.9 | ) | ||||||
Contracts in transit and vehicle receivables, net | 225,048 | 237,448 | (5.2 | ) | ||||||||
Accounts and notes receivable, net | 137,373 | 151,330 | (9.2 | ) | ||||||||
Inventories, net | 1,547,436 | 1,556,705 | (0.6 | ) | ||||||||
Deferred income taxes | 13,316 | 11,062 | 20.4 | |||||||||
Prepaid expenses and other current assets | 33,037 | 37,699 | (12.4 | ) | ||||||||
Total current assets | 1,982,489 | 2,035,219 | (2.6 | ) | ||||||||
PROPERTY AND EQUIPMENT, net | 944,485 | 950,388 | (0.6 | ) | ||||||||
GOODWILL AND INTANGIBLE FRANCHISE RIGHTS | 1,153,422 | 1,134,324 | 1.7 | |||||||||
OTHER ASSETS | 18,071 | 21,561 | (16.2 | ) | ||||||||
Total assets | $ | 4,098,467 | $ | 4,141,492 | (1.0 | ) | ||||||
LIABILITIES AND STOCKHOLDERS' EQUITY: | ||||||||||||
CURRENT LIABILITIES: | ||||||||||||
Floorplan notes payable - credit facility and other | $ | 1,138,495 | $ | 1,143,246 | (0.4 | ) | ||||||
Offset account related to floorplan notes payable - credit facility | (79,795 | ) | (39,616 | ) | 101.4 | |||||||
Floorplan notes payable - manufacturer affiliates | 290,038 | 307,656 | (5.7 | ) | ||||||||
Offset account related to floorplan notes payable - manufacturer affiliates | (21,000 | ) | (22,500 | ) | (6.7 | ) | ||||||
Current maturities of long-term debt and short-term financing | 69,275 | 72,630 | (4.6 | ) | ||||||||
Accounts payable | 250,526 | 288,320 | (13.1 | ) | ||||||||
Accrued expenses | 169,567 | 172,463 | (1.7 | ) | ||||||||
Total current liabilities | 1,817,106 | 1,922,199 | (5.5 | ) | ||||||||
5.00% SENIOR NOTES (aggregate principal of $550,000 at March 31, 2015 and December 31, 2014) | 540,381 | 540,100 | 0.1 | |||||||||
REAL ESTATE CREDIT FACILITY, net of current maturities | 26,264 | 27,099 | (3.1 | ) | ||||||||
ACQUISITION LINE | 123,739 | 69,713 | 77.5 | |||||||||
OTHER REAL ESTATE RELATED AND LONG-TERM DEBT, net of current maturities | 336,537 | 319,984 | 5.2 | |||||||||
CAPITAL LEASE OBLIGATIONS RELATED TO REAL ESTATE, net of current maturities | 51,043 | 51,941 | (1.7 | ) | ||||||||
DEFERRED INCOME TAXES | 142,074 | 141,239 | 0.6 | |||||||||
LIABILITIES FROM INTEREST RATE RISK MANAGEMENT ACTIVITIES | 33,793 | 25,311 | 33.5 | |||||||||
OTHER LIABILITIES | 67,703 | 65,896 | 2.7 | |||||||||
COMMITMENTS AND CONTINGENCIES | ||||||||||||
STOCKHOLDERS' EQUITY: | ||||||||||||
Common stock | 258 | 257 | 0.4 | |||||||||
Additional paid-in capital | 283,940 | 286,854 | (1.0 | ) | ||||||||
Retained earnings | 882,995 | 852,057 | 3.6 | |||||||||
Accumulated other comprehensive loss | (117,124 | ) | (81,984 | ) | 42.9 | |||||||
Treasury stock | (90,242 | ) | (79,174 | ) | 14.0 | |||||||
Total stockholders' equity | 959,827 | 978,010 | (1.9 | ) | ||||||||
Total liabilities and stockholders' equity | $ | 4,098,467 | $ | 4,141,492 | (1.0 | ) |
Group 1 Automotive, Inc. | ||||||||
Additional Information - Consolidated | ||||||||
(Unaudited) | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 (%) | 2014 (%) | |||||||
NEW VEHICLE UNIT SALES GEOGRAPHIC MIX: | ||||||||
Region | Geographic Market | |||||||
East | Massachusetts | 5.8 | 5.4 | |||||
Georgia | 4.7 | 4.4 | ||||||
New Jersey | 2.2 | 3.3 | ||||||
New Hampshire | 1.7 | 2.1 | ||||||
Louisiana | 1.6 | 2.0 | ||||||
Mississippi | 1.6 | 1.3 | ||||||
South Carolina | 1.4 | 1.3 | ||||||
Florida | 1.3 | 1.3 | ||||||
Alabama | 0.8 | 0.8 | ||||||
Maryland | 0.5 | 0.4 | ||||||
New York | — | 1.7 | ||||||
21.6 | 24.0 | |||||||
West | Texas | 38.5 | 34.2 | |||||
California | 9.4 | 9.6 | ||||||
Oklahoma | 7.7 | 8.5 | ||||||
Kansas | 2.2 | 2.4 | ||||||
Louisiana | 0.7 | 0.7 | ||||||
58.5 | 55.4 | |||||||
International | United Kingdom | 11.5 | 9.9 | |||||
Brazil | 8.4 | 10.7 | ||||||
100.0 | 100.0 | |||||||
NEW VEHICLE UNIT SALES BRAND MIX: | ||||||||
Toyota/Scion/Lexus | 26.1 | 25.8 | ||||||
Ford/Lincoln | 12.0 | 12.1 | ||||||
BMW/MINI | 11.7 | 11.2 | ||||||
Honda/Acura | 10.7 | 11.6 | ||||||
Nissan | 9.3 | 9.7 | ||||||
Chevrolet/GMC/Buick/Cadillac | 7.5 | 5.5 | ||||||
Volkswagen/Audi/Porsche | 6.0 | 6.6 | ||||||
Hyundai/Kia | 5.7 | 5.4 | ||||||
Chrysler/Dodge/Jeep/RAM | 4.5 | 4.6 | ||||||
Mercedes-Benz/smart/Sprinter | 4.1 | 4.0 | ||||||
Other | 2.4 | 3.5 | ||||||
100.0 | 100.0 |
Group 1 Automotive, Inc. | ||||||||||||
Additional Information - U.S. | ||||||||||||
(Unaudited) | ||||||||||||
(Dollars in thousands, except per unit amounts) | ||||||||||||
Three Months Ended March 31, | ||||||||||||
2015 | 2014 | % Change | ||||||||||
REVENUES: | ||||||||||||
New vehicle retail sales | $ | 1,087,159 | $ | 1,012,552 | 7.4 | |||||||
Used vehicle retail sales | 511,973 | 450,487 | 13.6 | |||||||||
Used vehicle wholesale sales | 69,378 | 64,471 | 7.6 | |||||||||
Total used | 581,351 | 514,958 | 12.9 | |||||||||
Parts and service | 242,944 | 230,319 | 5.5 | |||||||||
Finance and insurance | 87,046 | 76,797 | 13.3 | |||||||||
Total | $ | 1,998,500 | $ | 1,834,626 | 8.9 | |||||||
GROSS MARGIN %: | ||||||||||||
New vehicle retail sales | 4.9 | 5.0 | ||||||||||
Used vehicle retail sales | 7.9 | 8.3 | ||||||||||
Used vehicle wholesale sales | 3.1 | 3.5 | ||||||||||
Total used | 7.3 | 7.7 | ||||||||||
Parts and service | 53.9 | 53.1 | ||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||
Total | 15.7 | 15.8 | ||||||||||
GROSS PROFIT: | ||||||||||||
New vehicle retail sales | $ | 53,687 | $ | 50,935 | 5.4 | |||||||
Used vehicle retail sales | 40,552 | 37,440 | 8.3 | |||||||||
Used vehicle wholesale sales | 2,145 | 2,256 | (4.9 | ) | ||||||||
Total used | 42,697 | 39,696 | 7.6 | |||||||||
Parts and service | 131,058 | 122,303 | 7.2 | |||||||||
Finance and insurance | 87,046 | 76,797 | 13.3 | |||||||||
Total | $ | 314,488 | $ | 289,731 | 8.5 | |||||||
UNITS SOLD: | ||||||||||||
Retail new vehicles sold | 31,438 | 29,947 | 5.0 | |||||||||
Retail used vehicles sold | 25,148 | 22,743 | 10.6 | |||||||||
Wholesale used vehicles sold | 10,544 | 9,950 | 6.0 | |||||||||
Total used | 35,692 | 32,693 | 9.2 | |||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||
New vehicle retail | $ | 34,581 | $ | 33,811 | 2.3 | |||||||
Used vehicle retail | $ | 20,358 | $ | 19,808 | 2.8 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||
New vehicle retail sales | $ | 1,708 | $ | 1,701 | 0.4 | |||||||
Used vehicle retail sales | 1,613 | 1,646 | (2.0 | ) | ||||||||
Used vehicle wholesale sales | 203 | 227 | (10.6 | ) | ||||||||
Total used | 1,196 | 1,214 | (1.5 | ) | ||||||||
Finance and insurance (per retail unit) | $ | 1,538 | $ | 1,458 | 5.5 | |||||||
OTHER: | ||||||||||||
SG&A expenses | $ | 229,973 | $ | 216,397 | 6.3 | |||||||
SG&A as % revenues | 11.5 | 11.8 | ||||||||||
SG&A as % gross profit | 73.1 | 74.7 | ||||||||||
Operating margin % | 3.7 | 3.5 | ||||||||||
Pretax margin % | 2.7 | 2.5 | ||||||||||
INTEREST EXPENSE: | ||||||||||||
Floorplan interest | $ | (8,518 | ) | $ | (8,584 | ) | (0.8 | ) | ||||
Floorplan assistance | 10,576 | 9,715 | 8.9 | |||||||||
Net floorplan income | $ | 2,058 | $ | 1,131 | 82.0 | |||||||
Other interest expense, net | $ | (12,724 | ) | $ | (10,263 | ) | 24.0 |
Group 1 Automotive, Inc. | |||||||||||||||
Additional Information - U.K. | |||||||||||||||
(Unaudited) | |||||||||||||||
(Dollars in thousands, except per unit amounts) | |||||||||||||||
Three Months Ended March 31, | |||||||||||||||
2015 | 2014 | % Change | Local Currency % Change | ||||||||||||
REVENUES: | |||||||||||||||
New vehicle retail sales | $ | 151,211 | $ | 130,601 | 15.8 | 27.3 | |||||||||
Used vehicle retail sales | 89,136 | 71,477 | 24.7 | 36.2 | |||||||||||
Used vehicle wholesale sales | 28,078 | 19,645 | 42.9 | 56.1 | |||||||||||
Total used | 117,214 | 91,122 | 28.6 | 40.5 | |||||||||||
Parts and service | 25,588 | 21,360 | 19.8 | 30.8 | |||||||||||
Finance and insurance | 5,528 | 4,618 | 19.7 | 31.2 | |||||||||||
Total | $ | 299,541 | $ | 247,701 | 20.9 | 32.5 | |||||||||
GROSS MARGIN %: | |||||||||||||||
New vehicle retail sales | 6.6 | 6.5 | |||||||||||||
Used vehicle retail sales | 5.2 | 5.0 | |||||||||||||
Used vehicle wholesale sales | 1.1 | 2.3 | |||||||||||||
Total used | 4.2 | 4.4 | |||||||||||||
Parts and service | 53.6 | 54.2 | |||||||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||||||
Total | 11.4 | 11.6 | |||||||||||||
GROSS PROFIT: | |||||||||||||||
New vehicle retail sales | $ | 9,950 | $ | 8,498 | 17.1 | 29.3 | |||||||||
Used vehicle retail sales | 4,638 | 3,589 | 29.2 | 41.2 | |||||||||||
Used vehicle wholesale sales | 321 | 451 | (28.8 | ) | (21.3 | ) | |||||||||
Total used | 4,959 | 4,040 | 22.7 | 34.2 | |||||||||||
Parts and service | 13,721 | 11,573 | 18.6 | 29.5 | |||||||||||
Finance and insurance | 5,528 | 4,618 | 19.7 | 31.2 | |||||||||||
Total | $ | 34,158 | $ | 28,729 | 18.9 | 30.4 | |||||||||
UNITS SOLD: | |||||||||||||||
Retail new vehicles sold | 4,509 | 3,745 | 20.4 | ||||||||||||
Retail used vehicles sold | 3,643 | 2,739 | 33.0 | ||||||||||||
Wholesale used vehicles sold | 2,935 | 2,161 | 35.8 | ||||||||||||
Total used | 6,578 | 4,900 | 34.2 | ||||||||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||||||
New vehicle retail | $ | 33,535 | $ | 34,873 | (3.8 | ) | 5.7 | ||||||||
Used vehicle retail | $ | 24,468 | $ | 26,096 | (6.2 | ) | 2.4 | ||||||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||||||
New vehicle retail sales | $ | 2,207 | $ | 2,269 | (2.7 | ) | 7.4 | ||||||||
Used vehicle retail sales | 1,273 | 1,310 | (2.8 | ) | 6.2 | ||||||||||
Used vehicle wholesale sales | 109 | 209 | (47.8 | ) | (42.0 | ) | |||||||||
Total used | 754 | 824 | (8.5 | ) | — | ||||||||||
Finance and insurance (per retail unit) | $ | 678 | $ | 712 | (4.8 | ) | 4.3 | ||||||||
OTHER: | |||||||||||||||
SG&A expenses | $ | 26,762 | $ | 22,472 | 19.1 | 30.1 | |||||||||
SG&A as % revenues | 8.9 | 9.1 | |||||||||||||
SG&A as % gross profit | 78.3 | 78.2 | |||||||||||||
Operating margin % | 2.1 | 2.2 | |||||||||||||
Pretax margin % | 1.7 | 1.9 | |||||||||||||
INTEREST EXPENSE: | |||||||||||||||
Floorplan interest | $ | (510 | ) | $ | (433 | ) | 17.8 | ||||||||
Floorplan assistance | 185 | 102 | 81.4 | ||||||||||||
Net floorplan expense | $ | (325 | ) | $ | (331 | ) | (1.8 | ) | |||||||
Other interest expense, net | $ | (735 | ) | $ | (452 | ) | 62.6 |
Group 1 Automotive, Inc. | |||||||||||||||
Additional Information - Brazil | |||||||||||||||
(Unaudited) | |||||||||||||||
(Dollars in thousands, except per unit amounts) | |||||||||||||||
Three Months Ended March 31, | |||||||||||||||
2015 | 2014 | % Change | Local Currency % Change | ||||||||||||
REVENUES: | |||||||||||||||
New vehicle retail sales | $ | 94,354 | $ | 125,683 | (24.9 | ) | (9.4 | ) | |||||||
Used vehicle retail sales | 22,084 | 27,933 | (20.9 | ) | (5.4 | ) | |||||||||
Used vehicle wholesale sales | 2,736 | 5,057 | (45.9 | ) | (35.7 | ) | |||||||||
Total used | 24,820 | 32,990 | (24.8 | ) | (10.0 | ) | |||||||||
Parts and service | 13,657 | 17,638 | (22.6 | ) | (6.3 | ) | |||||||||
Finance and insurance | 1,982 | 2,225 | (10.9 | ) | 7.4 | ||||||||||
Total | $ | 134,813 | $ | 178,536 | (24.5 | ) | (9.0 | ) | |||||||
GROSS MARGIN %: | |||||||||||||||
New vehicle retail sales | 6.5 | 5.9 | |||||||||||||
Used vehicle retail sales | 4.2 | 6.3 | |||||||||||||
Used vehicle wholesale sales | 7.8 | 8.0 | |||||||||||||
Total used | 4.6 | 6.6 | |||||||||||||
Parts and service | 44.1 | 44.1 | |||||||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||||||
Total | 11.3 | 11.0 | |||||||||||||
GROSS PROFIT: | |||||||||||||||
New vehicle retail sales | $ | 6,094 | $ | 7,473 | (18.5 | ) | (1.6 | ) | |||||||
Used vehicle retail sales | 931 | 1,772 | (47.5 | ) | (37.7 | ) | |||||||||
Used vehicle wholesale sales | 213 | 405 | (47.4 | ) | (37.4 | ) | |||||||||
Total used | 1,144 | 2,177 | (47.5 | ) | (37.6 | ) | |||||||||
Parts and service | 6,018 | 7,787 | (22.7 | ) | (6.6 | ) | |||||||||
Finance and insurance | 1,982 | 2,225 | (10.9 | ) | 7.4 | ||||||||||
Total | $ | 15,238 | $ | 19,662 | (22.5 | ) | (6.5 | ) | |||||||
UNITS SOLD: | |||||||||||||||
Retail new vehicles sold | 3,292 | 4,057 | (18.9 | ) | |||||||||||
Retail used vehicles sold | 1,192 | 1,395 | (14.6 | ) | |||||||||||
Wholesale used vehicles sold | 461 | 673 | (31.5 | ) | |||||||||||
Total used | 1,653 | 2,068 | (20.1 | ) | |||||||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||||||
New vehicle retail | $ | 28,662 | $ | 30,979 | (7.5 | ) | 11.7 | ||||||||
Used vehicle retail | $ | 18,527 | $ | 20,024 | (7.5 | ) | 10.7 | ||||||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||||||
New vehicle retail sales | $ | 1,851 | $ | 1,842 | 0.5 | 21.3 | |||||||||
Used vehicle retail sales | 781 | 1,270 | (38.5 | ) | (27.1 | ) | |||||||||
Used vehicle wholesale sales | 462 | 602 | (23.3 | ) | (8.6 | ) | |||||||||
Total used | 692 | 1,053 | (34.3 | ) | (22.0 | ) | |||||||||
Finance and insurance (per retail unit) | $ | 442 | $ | 408 | 8.3 | 30.6 | |||||||||
OTHER: | |||||||||||||||
SG&A expenses | $ | 14,735 | $ | 18,689 | (21.2 | ) | (4.8 | ) | |||||||
SG&A as % revenues | 10.9 | 10.5 | |||||||||||||
SG&A as % gross profit | 96.7 | 95.1 | |||||||||||||
Operating margin % | — | 0.2 | |||||||||||||
Pretax margin % | (0.6 | ) | (0.7 | ) | |||||||||||
INTEREST EXPENSE: | |||||||||||||||
Floorplan interest | $ | (320 | ) | $ | (1,896 | ) | (83.1 | ) | |||||||
Floorplan assistance | — | — | — | ||||||||||||
Net floorplan expense | $ | (320 | ) | $ | (1,896 | ) | (83.1 | ) | |||||||
Other interest (expense) income, net | $ | (452 | ) | $ | 202 | (323.8 | ) |
Group 1 Automotive, Inc. | |||||||||||||||
Additional Information - Consolidated | |||||||||||||||
(Unaudited) | |||||||||||||||
(Dollars in thousands, except per unit amounts) | |||||||||||||||
Three Months Ended March 31, | |||||||||||||||
2015 | 2014 | % Change | Local Currency % Change | ||||||||||||
REVENUES: | |||||||||||||||
New vehicle retail sales | $ | 1,332,724 | $ | 1,268,836 | 5.0 | 7.8 | |||||||||
Used vehicle retail sales | 623,193 | 549,897 | 13.3 | 15.6 | |||||||||||
Used vehicle wholesale sales | 100,192 | 89,173 | 12.4 | 15.8 | |||||||||||
Total used | 723,385 | 639,070 | 13.2 | 15.6 | |||||||||||
Parts and service | 282,189 | 269,317 | 4.8 | 6.7 | |||||||||||
Finance and insurance | 94,556 | 83,640 | 13.1 | 14.2 | |||||||||||
Total | $ | 2,432,854 | $ | 2,260,863 | 7.6 | 10.1 | |||||||||
GROSS MARGIN %: | |||||||||||||||
New vehicle retail sales | 5.2 | 5.3 | |||||||||||||
Used vehicle retail sales | 7.4 | 7.8 | |||||||||||||
Used vehicle wholesale sales | 2.7 | 3.5 | |||||||||||||
Total used | 6.7 | 7.2 | |||||||||||||
Parts and service | 53.4 | 52.6 | |||||||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||||||
Total | 15.0 | 15.0 | |||||||||||||
GROSS PROFIT: | |||||||||||||||
New vehicle retail sales | $ | 69,731 | $ | 66,906 | 4.2 | 7.7 | |||||||||
Used vehicle retail sales | 46,121 | 42,801 | 7.8 | 9.2 | |||||||||||
Used vehicle wholesale sales | 2,679 | 3,112 | (13.9 | ) | (11.5 | ) | |||||||||
Total used | 48,800 | 45,913 | 6.3 | 7.8 | |||||||||||
Parts and service | 150,797 | 141,663 | 6.4 | 8.2 | |||||||||||
Finance and insurance | 94,556 | 83,640 | 13.1 | 14.2 | |||||||||||
Total | $ | 363,884 | $ | 338,122 | 7.6 | 9.5 | |||||||||
UNITS SOLD: | |||||||||||||||
Retail new vehicles sold | 39,239 | 37,749 | 3.9 | ||||||||||||
Retail used vehicles sold | 29,983 | 26,877 | 11.6 | ||||||||||||
Wholesale used vehicles sold | 13,940 | 12,784 | 9.0 | ||||||||||||
Total used | 43,923 | 39,661 | 10.7 | ||||||||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||||||
New vehicle retail | $ | 33,964 | $ | 33,612 | 1.0 | 3.7 | |||||||||
Used vehicle retail | $ | 20,785 | $ | 20,460 | 1.6 | 3.6 | |||||||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||||||
New vehicle retail sales | $ | 1,777 | $ | 1,772 | 0.3 | 3.6 | |||||||||
Used vehicle retail sales | 1,538 | 1,592 | (3.4 | ) | (2.1 | ) | |||||||||
Used vehicle wholesale sales | 192 | 243 | (21.0 | ) | (18.8 | ) | |||||||||
Total used | 1,111 | 1,158 | (4.1 | ) | (2.7 | ) | |||||||||
Finance and insurance (per retail unit) | $ | 1,366 | $ | 1,294 | 5.6 | 6.6 | |||||||||
OTHER: | |||||||||||||||
SG&A expenses | $ | 271,469 | $ | 257,558 | 5.4 | 7.6 | |||||||||
SG&A as % revenues | 11.2 | 11.4 | |||||||||||||
SG&A as % gross profit | 74.6 | 76.2 | |||||||||||||
Operating margin % | 3.3 | 3.1 | |||||||||||||
Pretax margin % | 2.4 | 2.2 | |||||||||||||
INTEREST EXPENSE: | |||||||||||||||
Floorplan interest | $ | (9,348 | ) | $ | (10,913 | ) | (14.3 | ) | |||||||
Floorplan assistance | 10,761 | 9,817 | 9.6 | ||||||||||||
Net floorplan (expense) income | $ | 1,413 | $ | (1,096 | ) | 228.9 | |||||||||
Other interest expense, net | $ | (13,911 | ) | $ | (10,513 | ) | 32.3 |
Group 1 Automotive, Inc. | |||||||||||
Additional Information - Same Store U.S. (1) | |||||||||||
(Unaudited) | |||||||||||
(Dollars in thousands, except per unit amounts) | |||||||||||
Three Months Ended March 31, | |||||||||||
2015 | 2014 | % Change | |||||||||
REVENUES: | |||||||||||
New vehicle retail sales | $ | 1,018,675 | $ | 964,299 | 5.6 | ||||||
Used vehicle retail sales | 469,630 | 432,741 | 8.5 | ||||||||
Used vehicle wholesale sales | 64,770 | 60,162 | 7.7 | ||||||||
Total used | 534,400 | 492,903 | 8.4 | ||||||||
Parts and service | 230,364 | 218,353 | 5.5 | ||||||||
Finance and insurance | 81,076 | 74,930 | 8.2 | ||||||||
Total | $ | 1,864,515 | $ | 1,750,485 | 6.5 | ||||||
GROSS MARGIN %: | |||||||||||
New vehicle retail sales | 4.8 | 5.0 | |||||||||
Used vehicle retail sales | 7.9 | 8.5 | |||||||||
Used vehicle wholesale sales | 3.1 | 3.8 | |||||||||
Total used | 7.3 | 7.9 | |||||||||
Parts and service | 53.4 | 53.0 | |||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||
Total | 15.7 | 15.9 | |||||||||
GROSS PROFIT: | |||||||||||
New vehicle retail sales | $ | 48,907 | $ | 48,559 | 0.7 | ||||||
Used vehicle retail sales | 37,161 | 36,665 | 1.4 | ||||||||
Used vehicle wholesale sales | 2,020 | 2,297 | (12.1 | ) | |||||||
Total used | 39,181 | 38,962 | 0.6 | ||||||||
Parts and service | 123,123 | 115,707 | 6.4 | ||||||||
Finance and insurance | 81,076 | 74,930 | 8.2 | ||||||||
Total | $ | 292,287 | $ | 278,158 | 5.1 | ||||||
UNITS SOLD: | |||||||||||
Retail new vehicles sold | 29,679 | 28,714 | 3.4 | ||||||||
Retail used vehicles sold | 23,357 | 22,061 | 5.9 | ||||||||
Wholesale used vehicles sold | 9,836 | 9,461 | 4.0 | ||||||||
Total used | 33,193 | 31,522 | 5.3 | ||||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||
New vehicle retail | $ | 34,323 | $ | 33,583 | 2.2 | ||||||
Used vehicle retail | $ | 20,107 | $ | 19,616 | 2.5 | ||||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||
New vehicle retail sales | $ | 1,648 | $ | 1,691 | (2.5 | ) | |||||
Used vehicle retail sales | 1,591 | 1,662 | (4.3 | ) | |||||||
Used vehicle wholesale sales | 205 | 243 | (15.6 | ) | |||||||
Total used | 1,180 | 1,236 | (4.5 | ) | |||||||
Finance and insurance (per retail unit) | $ | 1,529 | $ | 1,476 | 3.6 | ||||||
OTHER: | |||||||||||
SG&A expenses | $ | 214,674 | $ | 203,370 | 5.6 | ||||||
SG&A as % revenues | 11.5 | 11.6 | |||||||||
SG&A as % gross profit | 73.4 | 73.1 | |||||||||
Operating margin % | 3.7 | 3.8 |
Group 1 Automotive, Inc. | ||||||||||||||
Additional Information - Same Store U.K. (1) | ||||||||||||||
(Unaudited) | ||||||||||||||
(Dollars in thousands, except per unit amounts) | ||||||||||||||
Three Months Ended March 31, | ||||||||||||||
2015 | 2014 | % Change | Local Currency % Change | |||||||||||
REVENUES: | ||||||||||||||
New vehicle retail sales | $ | 124,062 | $ | 130,601 | (5.0 | ) | 4.4 | |||||||
Used vehicle retail sales | 73,063 | 71,477 | 2.2 | 11.7 | ||||||||||
Used vehicle wholesale sales | 20,801 | 19,645 | 5.9 | 15.7 | ||||||||||
Total used | 93,864 | 91,122 | 3.0 | 12.5 | ||||||||||
Parts and service | 20,180 | 21,360 | (5.5 | ) | 3.1 | |||||||||
Finance and insurance | 4,821 | 4,618 | 4.4 | 14.4 | ||||||||||
Total | $ | 242,927 | $ | 247,701 | (1.9 | ) | 7.5 | |||||||
GROSS MARGIN %: | ||||||||||||||
New vehicle retail sales | 6.6 | 6.5 | ||||||||||||
Used vehicle retail sales | 5.2 | 5.0 | ||||||||||||
Used vehicle wholesale sales | 1.8 | 2.3 | ||||||||||||
Total used | 4.4 | 4.4 | ||||||||||||
Parts and service | 55.6 | 54.2 | ||||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||||
Total | 11.7 | 11.6 | ||||||||||||
GROSS PROFIT: | ||||||||||||||
New vehicle retail sales | $ | 8,127 | $ | 8,498 | (4.4 | ) | 5.6 | |||||||
Used vehicle retail sales | 3,790 | 3,589 | 5.6 | 15.4 | ||||||||||
Used vehicle wholesale sales | 376 | 451 | (16.6 | ) | (8.2 | ) | ||||||||
Total used | 4,166 | 4,040 | 3.1 | 12.8 | ||||||||||
Parts and service | 11,221 | 11,573 | (3.0 | ) | 5.9 | |||||||||
Finance and insurance | 4,821 | 4,618 | 4.4 | 14.4 | ||||||||||
Total | $ | 28,335 | $ | 28,729 | (1.4 | ) | 8.2 | |||||||
UNITS SOLD: | ||||||||||||||
Retail new vehicles sold | 3,819 | 3,745 | 2.0 | |||||||||||
Retail used vehicles sold | 3,045 | 2,739 | 11.2 | |||||||||||
Wholesale used vehicles sold | 2,377 | 2,161 | 10.0 | |||||||||||
Total used | 5,422 | 4,900 | 10.7 | |||||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||||
New vehicle retail | $ | 32,485 | $ | 34,873 | (6.8 | ) | 2.4 | |||||||
Used vehicle retail | $ | 23,994 | $ | 26,096 | (8.1 | ) | 0.4 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||||
New vehicle retail sales | $ | 2,128 | $ | 2,269 | (6.2 | ) | 3.5 | |||||||
Used vehicle retail sales | 1,245 | 1,310 | (5.0 | ) | 3.8 | |||||||||
Used vehicle wholesale sales | 158 | 209 | (24.4 | ) | (16.6 | ) | ||||||||
Total used | 768 | 824 | (6.8 | ) | 1.9 | |||||||||
Finance and insurance (per retail unit) | $ | 702 | $ | 712 | (1.4 | ) | 8.1 | |||||||
OTHER: | ||||||||||||||
SG&A expenses | $ | 21,624 | $ | 22,472 | (3.8 | ) | 5.1 | |||||||
SG&A as % revenues | 8.9 | 9.1 | ||||||||||||
SG&A as % gross profit | 76.3 | 78.2 | ||||||||||||
Operating margin % | 2.5 | 2.2 |
Group 1 Automotive, Inc. | ||||||||||||||
Additional Information - Same Store Brazil (1) | ||||||||||||||
(Unaudited) | ||||||||||||||
(Dollars in thousands, except per unit amounts) | ||||||||||||||
Three Months Ended March 31, | ||||||||||||||
2015 | 2014 | % Change | Local Currency % Change | |||||||||||
REVENUES: | ||||||||||||||
New vehicle retail sales | $ | 92,154 | $ | 117,215 | (21.4 | ) | (5.2 | ) | ||||||
Used vehicle retail sales | 22,043 | 26,183 | (15.8 | ) | 0.7 | |||||||||
Used vehicle wholesale sales | 2,734 | 4,135 | (33.9 | ) | (21.4 | ) | ||||||||
Total used | 24,777 | 30,318 | (18.3 | ) | (2.3 | ) | ||||||||
Parts and service | 13,540 | 15,735 | (13.9 | ) | 4.1 | |||||||||
Finance and insurance | 1,966 | 1,976 | (0.5 | ) | 19.9 | |||||||||
Total | $ | 132,437 | $ | 165,244 | (19.9 | ) | (3.5 | ) | ||||||
GROSS MARGIN %: | ||||||||||||||
New vehicle retail sales | 6.5 | 5.7 | ||||||||||||
Used vehicle retail sales | 4.3 | 6.3 | ||||||||||||
Used vehicle wholesale sales | 7.8 | 7.7 | ||||||||||||
Total used | 4.7 | 6.5 | ||||||||||||
Parts and service | 44.1 | 45.5 | ||||||||||||
Finance and insurance | 100.0 | 100.0 | ||||||||||||
Total | 11.4 | 10.8 | ||||||||||||
GROSS PROFIT: | ||||||||||||||
New vehicle retail sales | $ | 5,999 | $ | 6,679 | (10.2 | ) | 8.4 | |||||||
Used vehicle retail sales | 941 | 1,639 | (42.6 | ) | (32.0 | ) | ||||||||
Used vehicle wholesale sales | 213 | 318 | (33.0 | ) | (20.3 | ) | ||||||||
Total used | 1,154 | 1,957 | (41.0 | ) | (30.1 | ) | ||||||||
Parts and service | 5,966 | 7,159 | (16.7 | ) | 0.7 | |||||||||
Finance and insurance | 1,966 | 1,976 | (0.5 | ) | 19.9 | |||||||||
Total | $ | 15,085 | $ | 17,771 | (15.1 | ) | 2.4 | |||||||
UNITS SOLD: | ||||||||||||||
Retail new vehicles sold | 3,253 | 3,593 | (9.5 | ) | ||||||||||
Retail used vehicles sold | 1,192 | 1,261 | (5.5 | ) | ||||||||||
Wholesale used vehicles sold | 460 | 528 | (12.9 | ) | ||||||||||
Total used | 1,652 | 1,789 | (7.7 | ) | ||||||||||
AVERAGE RETAIL SALES PRICE: | ||||||||||||||
New vehicle retail | $ | 28,329 | $ | 32,623 | (13.2 | ) | 4.7 | |||||||
Used vehicle retail | $ | 18,492 | $ | 20,764 | (10.9 | ) | 6.6 | |||||||
GROSS PROFIT PER UNIT SOLD: | ||||||||||||||
New vehicle retail sales | $ | 1,844 | $ | 1,859 | (0.8 | ) | 19.8 | |||||||
Used vehicle retail sales | 789 | 1,300 | (39.3 | ) | (28.1 | ) | ||||||||
Used vehicle wholesale sales | 463 | 602 | (23.1 | ) | (8.5 | ) | ||||||||
Total used | 699 | 1,094 | (36.1 | ) | (24.3 | ) | ||||||||
Finance and insurance (per retail unit) | $ | 442 | $ | 407 | 8.6 | 30.9 | ||||||||
OTHER: | ||||||||||||||
SG&A expenses | $ | 13,949 | $ | 16,327 | (14.6 | ) | 3.3 | |||||||
SG&A as % revenues | 10.5 | 9.9 | ||||||||||||
SG&A as % gross profit | 92.5 | 91.9 | ||||||||||||
Operating margin % | 0.5 | 0.6 |
Group 1 Automotive, Inc. | |||||||||||||||
Additional Information - Same Store Consolidated (1) | |||||||||||||||
(Unaudited) | |||||||||||||||
(Dollars in thousands, except per unit amounts) | |||||||||||||||
Three Months Ended March 31, | |||||||||||||||
2015 | 2014 | % Change | Local Currency % Change | ||||||||||||
REVENUES: | |||||||||||||||
New vehicle retail sales | $ | 1,234,891 | $ | 1,212,115 | 1.9 | 4.5 | |||||||||
Used vehicle retail sales | 564,736 | 530,401 | 6.5 | 8.6 | |||||||||||
Used vehicle wholesale sales | 88,305 | 83,942 | 5.2 | 8.1 | |||||||||||
Total used | 653,041 | 614,343 | 6.3 | 8.5 | |||||||||||
Parts and service | 264,084 | 255,448 | 3.4 | 5.2 | |||||||||||
Finance and insurance | 87,863 | 81,524 | 7.8 | 8.8 | |||||||||||
Total | $ | 2,239,879 | $ | 2,163,430 | 3.5 | 5.9 | |||||||||
GROSS MARGIN %: | |||||||||||||||
New vehicle retail sales | 5.1 | 5.3 | |||||||||||||
Used vehicle retail sales | 7.4 | 7.9 | |||||||||||||
Used vehicle wholesale sales | 3.0 | 3.7 | |||||||||||||
Total used | 6.8 | 7.3 | |||||||||||||
Parts and service | 53.1 | 52.6 | |||||||||||||
Finance and insurance | 100.0 | 100.0 | |||||||||||||
Total | 15.0 | 15.0 | |||||||||||||
GROSS PROFIT: | |||||||||||||||
New vehicle retail sales | $ | 63,033 | $ | 63,736 | (1.1 | ) | 2.2 | ||||||||
Used vehicle retail sales | 41,892 | 41,893 | — | 1.3 | |||||||||||
Used vehicle wholesale sales | 2,609 | 3,066 | (14.9 | ) | (12.3 | ) | |||||||||
Total used | 44,501 | 44,959 | (1.0 | ) | 0.3 | ||||||||||
Parts and service | 140,310 | 134,439 | 4.4 | 6.1 | |||||||||||
Finance and insurance | 87,863 | 81,524 | 7.8 | 8.8 | |||||||||||
Total | $ | 335,707 | $ | 324,658 | 3.4 | 5.2 | |||||||||
UNITS SOLD: | |||||||||||||||
Retail new vehicles sold | 36,751 | 36,052 | 1.9 | ||||||||||||
Retail used vehicles sold | 27,594 | 26,061 | 5.9 | ||||||||||||
Wholesale used vehicles sold | 12,673 | 12,150 | 4.3 | ||||||||||||
Total used | 40,267 | 38,211 | 5.4 | ||||||||||||
AVERAGE RETAIL SALES PRICE: | |||||||||||||||
New vehicle retail | $ | 33,602 | $ | 33,621 | (0.1 | ) | 2.5 | ||||||||
Used vehicle retail | $ | 20,466 | $ | 20,352 | 0.6 | 2.5 | |||||||||
GROSS PROFIT PER UNIT SOLD: | |||||||||||||||
New vehicle retail sales | $ | 1,715 | $ | 1,768 | (3.0 | ) | 0.2 | ||||||||
Used vehicle retail sales | 1,518 | 1,607 | (5.5 | ) | (4.4 | ) | |||||||||
Used vehicle wholesale sales | 206 | 252 | (18.3 | ) | (15.9 | ) | |||||||||
Total used | 1,105 | 1,177 | (6.1 | ) | (4.8 | ) | |||||||||
Finance and insurance (per retail unit) | $ | 1,365 | $ | 1,313 | 4.0 | 5.1 | |||||||||
OTHER: | |||||||||||||||
SG&A expenses | $ | 250,247 | $ | 242,168 | 3.3 | 5.4 | |||||||||
SG&A as % revenues | 11.2 | 11.2 | |||||||||||||
SG&A as % gross profit | 74.5 | 74.6 | |||||||||||||
Operating margin % | 3.3 | 3.4 |