8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 ____________________________________

FORM 8-K

 ____________________________________

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): July 27, 2023

____________________________________

SONIC AUTOMOTIVE, INC.

(Exact name of registrant as specified in its charter)

 ____________________________________

Delaware

(State or other jurisdiction

of incorporation)

1-13395	56-2010790
(Commission File Number)	(IRS Employer Identification No.)

	4401 Colwick Road
	Charlotte,	North Carolina	28211
(Address of principal executive offices)			(Zip Code)

Registrant’s telephone number, including area code: (704) 566-2400

Not Applicable

(Former name or former address, if changed since last report.)

 ____________________________________ 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Class A Common Stock, par value $0.01 per share	SAH	New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company  ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐

Item 2.02. Results of Operations and Financial Condition.

On July 27, 2023, Sonic Automotive, Inc. (the “Company”) issued a press release announcing its financial results for its fiscal second quarter ended June 30, 2023 (the “Earnings Press Release”). A copy of the Earnings Press Release is attached hereto as Exhibit 99.1 and a copy of the earnings call presentation materials is attached hereto as Exhibit 99.2.

Item 7.01. Regulation FD Disclosure.

On July 27, 2023, in the Earnings Press Release, the Company announced the approval of a quarterly cash dividend.

Item 9.01. Financial Statements and Exhibits.

(d)    Exhibits.

Exhibit   No.	Description
99.1	Press Release of Sonic Automotive, Inc., dated July 27, 2023.
99.2	Earnings Call Presentation Materials.
104	Cover Page Interactive Data File (embedded within the Inline XBRL document).

The information in this Current Report on Form 8-K, including Exhibits 99.1 and 99.2 attached hereto, is being furnished and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed to be incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in any such filing.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

	SONIC AUTOMOTIVE, INC.
July 27, 2023	By:	/s/ STEPHEN K. COSS
		Stephen K. Coss
		Senior Vice President and General Counsel

EX-99.1

Exhibit 99.1

Sonic Automotive Reports All-Time Record Quarterly Revenues

Previously Announced Strategic Adjustments to EchoPark Business Expected to Enhance Near-Term Performance While Maintaining Long-Term Strategic Plan

CHARLOTTE, N.C. – July 27, 2023 – Sonic Automotive, Inc. (“Sonic Automotive,” “Sonic,” the “Company,” "we," "us" or "our") (NYSE:SAH), one of the nation’s largest automotive retailers, today reported financial results for the second quarter ended June 30, 2023.

Second Quarter 2023 Financial Summary

•All-time record quarterly revenues of $3.7 billion, up 4% year-over-year; quarterly gross profit of $568.9 million, down 3% year-over-year

•Reported second quarter net income of $23.4 million, down 75% year-over-year ($0.65 earnings per diluted share, down 72% year-over-year)

▪Adjusted second quarter net income* was $66.0 million, down 33% year-over-year ($1.83 adjusted earnings per diluted share*, down 25% year-over-year)

•Reported selling, general and administrative (“SG&A”) expenses as a percentage of gross profit of 68.9% (59.7% on a Franchised Dealerships Segment basis)

▪Adjusted SG&A expenses as a percentage of gross profit* of 70.5% (63.3% on a Franchised Dealerships Segment basis)

•EchoPark Segment revenues of $600.6 million, down 9% year-over-year; EchoPark Segment gross profit of $26.8 million, down 44% year-over-year; EchoPark Segment retail used vehicle unit sales volume of 17,084, up 4% year-over-year

EchoPark Update

•Completed previously announced plan to indefinitely suspend operations at eight EchoPark retail hub locations and 14 related EchoPark delivery/buy centers, plus three Northwest Motorsport locations within the EchoPark Segment (collectively, the "closed EchoPark stores"), representing a total of $13.2 million of segment loss in the second quarter of 2023

•Recorded a second quarter 2023 charge related to the closed EchoPark stores of approximately $75.2 million, including $62.6 million of non-cash impairment charges, $2.2 million of severance, $0.4 million of non-cash lease exit charges and $10.0 million of non-cash inventory valuation adjustments (of which $7.7 million relates to stores with ongoing operations)

•Expect ongoing expenses associated with the closed EchoPark stores of approximately $2.5 million to $3.0 million per quarter

•Reiterate previously issued guidance of an expected return to breakeven EchoPark Segment adjusted EBITDA* in the first quarter of 2024

* Represents a non-GAAP financial measure - please refer to the discussion and reconciliation of non-GAAP financial measures below.

Management Commentary

David Smith, Chairman and Chief Executive Officer of Sonic Automotive, stated, “Our team remains focused on executing our strategic plan and adapting our business to an evolving industry backdrop. I am extremely proud of our team's continued efforts to maximize profitability in the near-term, while positioning Sonic for long-term success. We believe the strategic investments in our business and our teammates will allow us to continue to deliver an exceptional guest experience while generating returns for our stockholders in the long run.”

Jeff Dyke, President of Sonic Automotive, commented, “Our team's combined decades of experience in the automotive retail industry has taught us that making tough business decisions in the short-term can pay dividends over time. We remain confident in the long-term potential for EchoPark and believe that the steps we have taken to improve near-term financial performance will position us to achieve our strategic goals. In the meantime, our franchised dealerships and powersports teams continue to perform at a high level, maintaining our focus on profitability enhancements and cash flow generation as market conditions begin to normalize.”

Heath Byrd, Chief Financial Officer of Sonic Automotive, added, “Our strong balance sheet and cash flows provide us with the flexibility to continue to enhance our diversified business model and adapt to changes in the macroeconomic and industry backdrop. As of June 30, 2023, we had $864 million of liquidity, including $407 million in cash and floor plan deposits on hand. With the improvements we have made to the EchoPark cost structure, we believe we remain well-positioned to achieve our financial goals and continue to deliver long-term returns for our stockholders.”

Second Quarter 2023 Segment Highlights

The financial measures discussed below are results for the second quarter of 2023 with comparisons made to the second quarter of 2022, unless otherwise noted.

•Franchised Dealerships Segment operating results include:

•Same store revenues up 6%; same store gross profit down 2%

•Same store retail new vehicle unit sales volume up 12%; same store retail new vehicle gross profit per unit down 25%, to $4,986

•Same store retail used vehicle unit sales volume down 10%; same store retail used vehicle gross profit per unit down 3%, to $1,618

•Same store parts, service and collision repair (“Fixed Operations”) gross profit up 9%; same store customer pay gross profit up 11%; same store warranty gross profit up 6%; same store Fixed Operations gross margin down 10 basis points, to 49.6%

•Same store finance and insurance ("F&I") gross profit up 4%; same store F&I gross profit per retail unit of $2,522, up 4% (all-time record quarterly Franchised Dealerships Segment F&I per unit of $2,516, up 2%)

•On a trailing quarter cost of sales basis, the Franchised Dealerships Segment had 30 days’ supply of new vehicle inventory (including in-transit) and 31 days’ supply of used vehicle inventory

•EchoPark Segment operating results include:

•Revenues of $600.6 million, down 9%; gross profit of $26.8 million, down 44% (reported gross profit includes a $10.0 million charge related to used vehicle inventory valuation adjustments)

•Revenues from the closed EchoPark stores were $74.4 million, down 30%; gross profit from the closed EchoPark stores was $3.1, down 37%

•Retail used vehicle unit sales volume of 17,084, up 4%

•Retail used vehicle unit sales volume from the closed EchoPark stores was 2,324 units (14% of EchoPark Segment retail used vehicle unit sales volume)

•Reported segment loss of $52.8 million, adjusted segment loss* of $40.0 million, and adjusted EBITDA* loss of $31.8 million

•Reported segment loss from the closed EchoPark stores was $13.2 million

•Retail used vehicle unit sales volume was comprised of 82% 1-4-year-old vehicles and 18% 5-plus-year-old vehicles, with 23% of retail used vehicle unit sales volume sourced from non-auction sources

•On a trailing quarter cost of sales basis, the EchoPark Segment had 39 days’ supply of used vehicle inventory

•Powersports Segment operating results include:

•Revenues of $45.0 million, gross profit of $12.8 million, gross margin of 28.5%

•Segment income of $2.0 million and adjusted EBITDA* of $3.4 million

•Year-over-year comparative financial results are not meaningful due to the timing of acquisitions of Horny Toad Harley-Davidson in Temple, Texas (one store acquired in January 2022), Team Mancuso Powersports in Houston, Texas (seven stores acquired in August 2022), and Black Hills Harley-Davidson in Sturgis, South Dakota (five stores acquired in February 2023)

* Represents a non-GAAP financial measure - please refer to the discussion and reconciliation of non-GAAP financial measures below.

Acquisition and Disposition Activity

During the second quarter of 2023, Sonic disposed of three franchised dealerships in Alabama and North Carolina, which generated net cash from disposition of approximately $52.3 million and a net gain on disposition of approximately $20.9 million. These disposed stores represent projected annualized revenues of approximately $170 million and projected annualized pre-tax income of approximately $5 million.

Dividend

Sonic’s Board of Directors approved a quarterly cash dividend of $0.29 per share, payable on October 13, 2023 to all stockholders of record on September 15, 2023.

Second Quarter 2023 Earnings Conference Call

Senior management will hold a conference call today at 11:00 A.M. (Eastern). Investor presentation and earnings press release materials will be accessible beginning prior to the conference call on the Company’s website at ir.sonicautomotive.com.

To access the live webcast of the conference call, please go to ir.sonicautomotive.com and select the webcast link at the top of the page. For telephone access to this conference call, please dial (866) 682-6100 (domestic) or +1 (862) 298-0702 (international) and ask to be connected to the Sonic Automotive Second Quarter 2023 Earnings Conference Call. Dial-in access remains available throughout the live call; however, to ensure you are connected for the full call we suggest dialing in at least 10 minutes before the start of the call. A webcast replay will be available following the call for 14 days at ir.sonicautomotive.com.

About Sonic Automotive

Sonic Automotive, Inc., a Fortune 500 company based in Charlotte, North Carolina, is on a quest to become the most valuable automotive retailer and service brand in America. Our Company culture thrives on creating, innovating, and providing industry-leading guest experiences, driven by strategic investments in technology, teammates, and ideas that ultimately fulfill ownership dreams, enrich lives, and deliver happiness to our guests and teammates. As one of the largest automotive retailers in America, we are committed to delivering on this goal while pursuing expansive growth and taking progressive measures to be the leader in this category. Our new platforms, programs, and people are set to drive the next generation of automotive experiences. More information about Sonic Automotive can be found at www.sonicautomotive.com and ir.sonicautomotive.com.

About EchoPark Automotive

EchoPark Automotive is one of the most comprehensive retailers of nearly new pre-owned vehicles in America today. Our unique business model offers a best-in-class shopping and utilizes one of the most innovative technology-enabled sales strategies in our industry. Our approach provides a personalized and proven guest-centric buying process that consistently delivers award-winning guest experiences and superior value to car buyers nationwide, with savings of up to $3,000 versus the competition. Consumers have responded by putting EchoPark at number one among national pre-owned vehicle retailers in products, sales, and service based on Google Reviews between April 2021 through April 2022, while receiving the 2023 Consumer Satisfaction Award from DealerRater. EchoPark’s mission is in the name: Every Car, Happy Owner. This drives the experience for guests and differentiates EchoPark from the competition. More information about EchoPark Automotive can be found at www.echopark.com.

Forward-Looking Statements

Included herein are forward-looking statements, including statements regarding anticipated future EchoPark profitability, anticipated future EchoPark adjusted EBITDA, and anticipated future expenses related to closed locations. There are many factors that affect management’s views about future events and trends of the Company’s business. These factors involve risks and uncertainties that could cause actual results or trends to differ materially from management’s views, including, without limitation, economic conditions in the markets in which we operate, supply chain disruptions and manufacturing delays, labor shortages, the impacts of inflation and increases in interest rates, new and used vehicle industry sales volume, future levels of consumer demand for new and used vehicles, anticipated future growth in each of our operating segments, the success of our operational strategies, the rate and timing of overall economic expansion or contraction, the integration of recent or future acquisitions, and the risk factors described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 and other reports and information filed with the United States Securities and Exchange Commission (the “SEC”). The Company does not undertake any obligation to update forward-looking information, except as required under federal securities laws and the rules and regulations of the SEC.

Non-GAAP Financial Measures

This press release and the attached financial tables contain certain non-GAAP financial measures as defined under SEC rules, such as adjusted net income, adjusted earnings per diluted share, adjusted SG&A expenses as a percentage of gross profit, adjusted segment loss, and adjusted EBITDA. As required by SEC rules, the Company has provided reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures in the schedules included in this press release. The Company

believes that these non-GAAP financial measures improve the transparency of the Company’s disclosures and provide a meaningful presentation of the Company’s results.

Company Contacts

Investor Inquiries:

Heath Byrd, Executive Vice President and Chief Financial Officer

Danny Wieland, Vice President, Investor Relations & Financial Reporting

ir@sonicautomotive.com

Press Inquiries:

Sonic Automotive Media Relations

media.relations@sonicautomotive.com

Sonic Automotive, Inc.

Results of Operations (Unaudited)

Results of Operations - Consolidated

	Three Months Ended June 30,				Better / (Worse)		Six Months Ended June 30,				Better / (Worse)
	2023		2022		% Change		2023		2022		% Change
	(In millions, except per share amounts)
Revenues:
Retail new vehicles	$	1,608.2	$	1,344.3	20	%	$	3,051.0	$	2,695.6	13	%
Fleet new vehicles	28.3		19.8		43	%	47.1		38.0		24	%
Total new vehicles	1,636.5		1,364.1		20	%	3,098.1		2,733.6		13	%
Used vehicles	1,305.9		1,448.3		(10)	%	2,650.8		2,818.4		(6)	%
Wholesale vehicles	91.5		121.4		(25)	%	177.0		290.2		(39)	%
Total vehicles	3,033.9		2,933.8		3	%	5,925.9		5,842.2		1	%
Parts, service and collision repair	443.7		399.2		11	%	874.2		780.5		12	%
Finance, insurance and other, net	175.3		173.2		1	%	344.0		339.7		1	%
Total revenues	3,652.9		3,506.2		4	%	7,144.1		6,962.4		3	%
Cost of sales:
Retail new vehicles	(1,466.8)		(1,176.0)		(25)	%	(2,771.5)		(2,359.6)		(17)	%
Fleet new vehicles	(27.0)		(18.9)		(43)	%	(45.0)		(36.2)		(24)	%
Total new vehicles	(1,493.8)		(1,194.9)		(25)	%	(2,816.5)		(2,395.8)		(18)	%
Used vehicles	(1,274.4)		(1,401.7)		9	%	(2,589.3)		(2,724.0)		5	%
Wholesale vehicles	(92.5)		(120.2)		23	%	(174.9)		(287.6)		39	%
Total vehicles	(2,860.7)		(2,716.8)		(5)	%	(5,580.7)		(5,407.4)		(3)	%
Parts, service and collision repair	(223.3)		(200.6)		(11)	%	(440.9)		(394.9)		(12)	%
Total cost of sales	(3,084.0)		(2,917.4)		(6)	%	(6,021.6)		(5,802.3)		(4)	%
Gross profit	568.9		588.8		(3)	%	1,122.5		1,160.1		(3)	%
Selling, general and administrative expenses	(391.9)		(402.8)		3	%	(804.7)		(789.8)		(2)	%
Impairment charges	(62.6)		—		(100)	%	(62.6)		—		(100)	%
Depreciation and amortization	(36.1)		(31.2)		(16)	%	(70.5)		(61.1)		(15)	%
Operating income (loss)	78.3		154.8		(49)	%	184.7		309.2		(40)	%
Other income (expense):
Interest expense, floor plan	(17.0)		(6.1)		(179)	%	(31.5)		(11.1)		(184)	%
Interest expense, other, net	(28.9)		(21.3)		(36)	%	(57.3)		(42.1)		(36)	%
Other income (expense), net	0.1		(0.2)		150	%	0.2		0.1		100	%
Total other income (expense)	(45.8)		(27.6)		(66)	%	(88.6)		(53.1)		(67)	%
Income (loss) before taxes	32.5		127.2		(74)	%	96.1		256.1		(62)	%
Provision for income taxes - benefit (expense)	(9.1)		(32.4)		72	%	(25.0)		(64.0)		61	%
Net income (loss)	$	23.4	$	94.8	(75)	%	$	71.1	$	192.1	(63)	%
Basic earnings (loss) per common share	$	0.66	$	2.40	(73)	%	$	2.00	$	4.81	(58)	%
Basic weighted-average common shares outstanding	35.3		39.5		11	%	35.6		40.0		11	%
Diluted earnings (loss) per common share	$	0.65	$	2.34	(72)	%	$	1.95	$	4.67	(58)	%
Diluted weighted-average common shares outstanding	36.0		40.5		11	%	36.5		41.2		12	%
Dividends declared per common share	$	0.29	$	0.25	16	%	$	0.57	$	0.37	54	%

Franchised Dealerships Segment - Reported

	Three Months Ended June 30,				Better / (Worse)		Six Months Ended June 30,				Better / (Worse)
	2023		2022		% Change		2023		2022		% Change
	(In millions, except unit and per unit data)
Revenues:
Retail new vehicles	$	1,583.3	$	1,341.7	18	%	$	3,004.3	$	2,687.4	12	%
Fleet new vehicles	28.3		19.9		42	%	47.1		38.0		24	%
Total new vehicles	1,611.6		1,361.6		18	%	3,051.4		2,725.4		12	%
Used vehicles	774.5		871.9		(11)	%	1,542.0		1,725.7		(11)	%
Wholesale vehicles	55.6		79.2		(30)	%	114.0		185.5		(39)	%
Total vehicles	2,441.7		2,312.7		6	%	4,707.4		4,636.6		2	%
Parts, service and collision repair	433.4		398.1		9	%	857.2		778.7		10	%
Finance, insurance and other, net	132.2		129.8		2	%	249.4		256.2		(3)	%
Total revenues	3,007.3		2,840.6		6	%	5,814.0		5,671.5		3	%
Gross Profit:
Retail new vehicles	136.9		167.3		(18)	%	270.9		333.8		(19)	%
Fleet new vehicles	1.3		0.9		44	%	2.1		1.8		17	%
Total new vehicles	138.2		168.2		(18)	%	273.0		335.6		(19)	%
Used vehicles	44.5		43.7		2	%	85.3		90.6		(6)	%
Wholesale vehicles	(1.0)		(0.5)		(100)	%	1.0		(0.9)		211	%
Total vehicles	181.7		211.4		(14)	%	359.3		425.3		(16)	%
Parts, service and collision repair	215.4		198.1		9	%	425.0		384.8		10	%
Finance, insurance and other, net	132.2		129.8		2	%	249.4		256.2		(3)	%
Total gross profit	529.3		539.3		(2)	%	1,033.7		1,066.3		(3)	%
Selling, general and administrative expenses	(316.1)		(327.5)		3	%	(647.3)		(642.9)		(1)	%
Impairment charges	—		—		—	%	—		—		—	%
Depreciation and amortization	(27.9)		(25.3)		(10)	%	(54.5)		(50.0)		(9)	%
Operating income (loss)	185.3		186.5		(1)	%	331.9		373.4		(11)	%
Other income (expense):
Interest expense, floor plan	(11.9)		(3.9)		(205)	%	(21.8)		(7.2)		(203)	%
Interest expense, other, net	(27.5)		(20.2)		(36)	%	(54.4)		(40.3)		(35)	%
Other income (expense), net	—		(0.3)		100	%	0.1		0.1		—	%
Total other income (expense)	(39.4)		(24.4)		(61)	%	(76.1)		(47.4)		(61)	%
Income (loss) before taxes	145.9		162.1		(10)	%	255.8		326.0		(22)	%
Add: Impairment charges	—		—		—	%	—		—		—	%
Segment income (loss)	$	145.9	$	162.1	(10)	%	$	255.8	$	326.0	(22)	%
Unit Sales Volume:
Retail new vehicles	27,358		24,342		12	%	51,897		48,944		6	%
Fleet new vehicles	590		422		40	%	1,031		782		32	%
Total new vehicles	27,948		24,764		13	%	52,928		49,726		6	%
Used vehicles	25,197		28,156		(11)	%	50,304		55,234		(9)	%
Wholesale vehicles	5,516		5,851		(6)	%	10,999		12,623		(13)	%
Retail new & used vehicles	52,555		52,498		—	%	102,201		104,178		(2)	%
Used-to-New Ratio	0.92		1.16		(21)	%	0.97		1.13		(14)	%
Gross Profit Per Unit:
Retail new vehicles	$	5,003	$	6,871	(27)	%	$	5,221	$	6,821	(23)	%
Fleet new vehicles	$	2,099	$	2,235	(6)	%	$	2,065	$	2,285	(10)	%
New vehicles	$	4,942	$	6,792	(27)	%	$	5,159	$	6,749	(24)	%
Used vehicles	$	1,765	$	1,553	14	%	$	1,695	$	1,640	3	%
Finance, insurance and other, net	$	2,516	$	2,472	2	%	$	2,440	$	2,460	(1)	%

NM = Not Meaningful

Franchised Dealerships Segment - Same Store

	Three Months Ended June 30,				Better / (Worse)		Six Months Ended June 30,				Better / (Worse)
	2023		2022		% Change		2023		2022		% Change
	(In millions, except unit and per unit data)
Revenues:
Retail new vehicles	$	1,558.2	$	1,323.9	18	%	$	2,953.7	$	2,653.8	11	%
Fleet new vehicles	28.4		19.9		43	%	47.2		38.0		24	%
Total new vehicles	1,586.6		1,343.8		18	%	3,000.9		2,691.8		11	%
Used vehicles	761.9		857.2		(11)	%	1,513.4		1,695.2		(11)	%
Wholesale vehicles	54.5		78.3		(30)	%	112.0		183.0		(39)	%
Total vehicles	2,403.0		2,279.3		5	%	4,626.3		4,570.0		1	%
Parts, service and collision repair	427.3		392.5		9	%	843.5		767.9		10	%
Finance, insurance and other, net	130.1		124.8		4	%	245.4		246.2		—	%
Total revenues	2,960.4		2,796.6		6	%	5,715.2		5,584.1		2	%
Gross Profit:
Retail new vehicles	133.8		160.0		(16)	%	265.1		319.1		(17)	%
Fleet new vehicles	1.2		0.9		33	%	2.1		1.8		17	%
Total new vehicles	135.1		161.0		(16)	%	267.2		320.9		(17)	%
Used vehicles	40.0		45.9		(13)	%	78.5		93.0		(16)	%
Wholesale vehicles	(0.3)		(0.6)		50	%	1.4		(0.9)		256	%
Total vehicles	174.8		206.3		(15)	%	347.1		413.0		(16)	%
Parts, service and collision repair	212.0		195.2		9	%	417.5		379.1		10	%
Finance, insurance and other, net	130.1		124.8		4	%	245.4		246.2		—	%
Total gross profit	$	516.9	$	526.3	(2)	%	$	1,010.0	$	1,038.3	(3)	%
Unit Sales Volume:
Retail new vehicles	26,844		23,936		12	%	50,840		48,170		6	%
Fleet new vehicles	590		422		40	%	1,031		782		32	%
Total new vehicles	27,434		24,358		13	%	51,871		48,952		6	%
Used vehicles	24,737		27,596		(10)	%	49,260		54,099		(9)	%
Wholesale vehicles	5,418		5,764		(6)	%	10,790		12,426		(13)	%
Retail new & used vehicles	51,581		51,532		—	%	100,100		102,269		(2)	%
Used-to-New Ratio	0.92		1.15		(20)	%	0.97		1.12		(13)	%
Gross Profit Per Unit:
Retail new vehicles	$	4,986	$	6,686	(25)	%	$	5,215	$	6,624	(21)	%
Fleet new vehicles	$	2,099	$	2,235	(6)	%	$	2,065	$	2,285	(10)	%
New vehicles	$	4,924	$	6,609	(25)	%	$	5,152	$	6,555	(21)	%
Used vehicles	$	1,618	$	1,663	(3)	%	$	1,593	$	1,718	(7)	%
Finance, insurance and other, net	$	2,522	$	2,422	4	%	$	2,452	$	2,407	2	%

NM = Not Meaningful

Note: All currently operating franchised dealership stores are included within the same store group as of the first full month following the first anniversary of the store’s opening or acquisition.

EchoPark Segment - Reported

	Three Months Ended June 30,				Better / (Worse)		Six Months Ended June 30,				Better / (Worse)
	2023		2022		% Change		2023		2022		% Change
	(In millions, except unit and per unit data)
Revenues:
Retail new vehicles	$	—	$	1.3	(100)	%	$	1.0	$	5.7	(82)	%
Used vehicles	524.0		574.5		(9)	%	1,096.5		1,089.8		1	%
Wholesale vehicles	35.5		42.0		(15)	%	62.5		104.5		(40)	%
Total vehicles	559.5		617.8		(9)	%	1,160.0		1,200.0		(3)	%
Finance, insurance and other, net	41.1		43.1		(5)	%	91.1		83.0		10	%
Total revenues	600.6		660.9		(9)	%	1,251.1		1,283.0		(2)	%
Gross Profit:
Retail new vehicles	—		0.6		(100)	%	0.1		1.6		(94)	%
Used vehicles	(14.3)		2.4		(696)	%	(26.2)		3.1		(945)	%
Wholesale vehicles	—		1.7		(100)	%	1.2		3.4		(65)	%
Total vehicles	(14.3)		4.7		(404)	%	(24.9)		8.1		(407)	%
Finance, insurance and other, net	41.1		43.1		(5)	%	91.1		83.0		10	%
Total gross profit	26.8		47.8		(44)	%	66.2		91.1		(27)	%
Selling, general and administrative expenses	(66.6)		(73.0)		9	%	(140.4)		(144.1)		3	%
Impairment charges	(62.6)		—		(100)	%	(62.6)		—		(100)	%
Depreciation and amortization	(7.4)		(5.8)		(28)	%	(14.4)		(10.9)		(32)	%
Operating income (loss)	(109.8)		(31.0)		(254)	%	(151.2)		(63.9)		(137)	%
Other income (expense):
Interest expense, floor plan	(4.8)		(2.2)		(118)	%	(9.3)		(3.9)		(138)	%
Interest expense, other, net	(0.9)		(1.1)		18	%	(1.8)		(1.8)		—	%
Other income (expense), net	0.1		0.1		—	%	—		—		—	%
Total other income (expense)	(5.6)		(3.2)		(75)	%	(11.1)		(5.7)		(95)	%
Income (loss) before taxes	(115.4)		(34.2)		(237)	%	(162.3)		(69.6)		(133)	%
Add: Impairment charges	62.6		—		100	%	62.6		—		100	%
Segment income (loss)	$	(52.8)	$	(34.2)	(54)	%	$	(99.7)	$	(69.6)	(43)	%
Unit Sales Volume:
Retail new vehicles	—		37		(100)	%	11		81		(86)	%
Used vehicles	17,084		16,496		4	%	37,064		31,427		18	%
Wholesale vehicles	3,235		2,694		20	%	6,151		6,343		(3)	%
Gross Profit Per Unit:
Total used vehicle and F&I	$	1,569	$	2,751	(43)	%	$	1,750	$	2,730	(36)	%

NM = Not Meaningful

EchoPark Segment - Same Market

	Three Months Ended June 30,				Better / (Worse)		Six Months Ended June 30,				Better / (Worse)
	2023		2022		% Change		2023		2022		% Change
	(In millions, except unit and per unit data)
Revenues:
Used vehicles	$	422.3	$	338.7	25	%	$	875.9	$	621.2	41	%
Wholesale vehicles	23.7		26.8		(12)	%	43.9		72.2		(39)	%
Total vehicles	446.0		365.5		22	%	919.8		693.4		33	%
Finance, insurance and other, net	33.0		25.2		31	%	73.4		47.5		55	%
Total revenues	479.0		390.7		23	%	993.2		740.9		34	%
Gross Profit:
Used vehicles	(2.2)		(2.1)		(5)	%	(10.6)		(5.4)		(96)	%
Wholesale vehicles	0.1		1.3		(92)	%	1.1		3.0		(63)	%
Total vehicles	(2.1)		(0.8)		(163)	%	(9.5)		(2.4)		(296)	%
Finance, insurance and other, net	33.0		25.2		31	%	73.4		47.5		55	%
Total gross profit	$	30.9	$	24.4	27	%	$	63.9	$	45.1	42	%
Unit Sales Volume:
Used vehicles	13,732		10,104		36	%	29,823		18,791		59	%
Wholesale vehicles	2,462		1,849		33	%	4,736		4,452		6	%
Gross Profit Per Unit:
Total used vehicle and F&I	$	2,244	$	2,290	(2)	%	$	2,107	$	2,241	(6)	%

Note: All currently operating EchoPark stores in a local geographic market are included within the same market group as of the first full month following the first anniversary of the market's opening.

Powersports Segment - Reported

	Three Months Ended June 30,				Better / (Worse)	Six Months Ended June 30,				Better / (Worse)
	2023		2022		% Change	2023		2022		% Change
	(In millions, except unit and per unit data)
Revenues:
Retail new vehicles	$	24.9	$	1.2	NM	$	45.7	$	2.5	NM
Used vehicles	7.4		1.9		NM	12.3		2.9		NM
Wholesale vehicles	0.4		0.2		NM	0.5		0.2		NM
Total vehicles	32.7		3.3		NM	58.5		5.6		NM
Parts, service and collision repair	10.3		1.1		NM	17.0		1.8		NM
Finance, insurance and other, net	2.0		0.3		NM	3.5		0.5		NM
Total revenues	45.0		4.7		NM	79.0		7.9		NM
Gross Profit:
Retail new vehicles	4.5		0.4		NM	8.5		0.6		NM
Used vehicles	1.3		0.5		NM	2.4		0.7		NM
Wholesale vehicles	—		—		NM	(0.1)		—		NM
Total vehicles	5.8		0.9		NM	10.8		1.3		NM
Parts, service and collision repair	5.0		0.5		NM	8.3		0.9		NM
Finance, insurance and other, net	2.0		0.3		NM	3.5		0.5		NM
Total gross profit	12.8		1.7		NM	22.6		2.7		NM
Selling, general and administrative expenses	(9.2)		(2.3)		NM	(17.0)		(2.8)		NM
Depreciation and amortization	(0.8)		(0.1)		NM	(1.6)		(0.2)		NM
Operating income (loss)	2.8		(0.7)		NM	4.0		(0.3)		NM
Other income (expense):
Interest expense, floor plan	(0.3)		—		NM	(0.4)		—		NM
Interest expense, other, net	(0.5)		—		NM	(1.1)		—		NM
Other income (expense), net	—		—		NM	0.1		—		NM
Total other income (expense)	(0.8)		—		NM	(1.4)		—		NM
Income (loss) before taxes	2.0		(0.7)		NM	2.6		(0.3)		NM
Add: Impairment charges	—		—		NM	—		—		NM
Segment income (loss)	$	2.0	$	(0.7)	NM	$	2.6	$	(0.3)	NM
Unit Sales Volume:
Retail new vehicles	1,396		48		NM	2,503		89		NM
Used vehicles	691		112		NM	1,135		176		NM
Wholesale vehicles	50		—		NM	57		—		NM
Gross Profit Per Unit:
Retail new vehicles	$	3,235	$	7,401	NM	$	3,385	$	7,156	NM
Used vehicles	$	1,942	$	4,196	NM	$	2,093	$	4,028	NM
Finance, insurance and other, net	$	952	$	1,933	NM	$	964	$	1,818	NM

NM = Not Meaningful

Note: Year-over-year comparative financial results are not meaningful due to the timing of acquisitions of Horny Toad Harley-Davidson in Temple, Texas (one store acquired in January 2022), Team Mancuso Powersports in Houston, Texas (seven stores acquired in August 2022), and Black Hills Harley-Davidson in Sturgis, South Dakota (five stores acquired in February 2023).

Non-GAAP Reconciliation - Consolidated - SG&A Expenses

	Three Months Ended June 30,						Better / (Worse)
	2023			2022			Change			% Change
	(In millions)
Reported:
Compensation	$	261.0		$	266.4		$	5.4		2	%
Advertising	22.8			25.6			2.8			11	%
Rent	11.5			13.7			2.2			16	%
Other	96.6			97.1			0.5			1	%
Total SG&A expenses	$	391.9		$	402.8		$	10.9		3	%
Adjustments:
Acquisition and disposition-related gain (loss)	$	20.7		$	—
Hail and storm damage charges	(1.9)			—
Lease exit charges	(0.4)			—
Severance and long-term compensation charges	(2.2)			(4.4)
Total SG&A adjustments	$	16.2		$	(4.4)
Adjusted:
Total adjusted SG&A expenses	$	408.1		$	398.4		$	(9.7)		(2)	%
Reported:
SG&A expenses as a % of gross profit:
Compensation	45.9		%	45.2		%	(70)		bps
Advertising	4.0		%	4.3		%	30		bps
Rent	2.0		%	2.3		%	30		bps
Other	17.0		%	16.6		%	(40)		bps
Total SG&A expenses as a % of gross profit	68.9		%	68.4		%	(50)		bps
Adjustments:
Acquisition and disposition-related gain (loss)	2.0		%	—		%
Hail and storm damage charges	(0.2)		%	—		%
Lease exit charges	—		%	—		%
Severance and long-term compensation charges	(0.2)		%	(0.7)		%
Total effect of adjustments	1.6		%	(0.7)		%
Adjusted:
Total adjusted SG&A expenses as a % of gross profit	70.5		%	67.7		%	(280)		bps
Reported:
Total gross profit	$	568.9		$	588.8		$	(19.9)		(3)	%
Adjustments:
Used vehicle inventory valuation adjustment	$	10.0		$	—
Total adjustments	$	10.0		$	—
Adjusted:
Total adjusted gross profit	$	578.9		$	588.8		$	(9.9)		(2)	%

Non-GAAP Reconciliation - Consolidated - SG&A Expenses (Continued)

	Six Months Ended June 30,						Better / (Worse)
	2023			2022			Change			% Change
	(In millions)
Reported:
Compensation	$	519.7		$	518.9		$	(0.8)		—	%
Advertising	48.9			51.7			2.8			5	%
Rent	22.8			26.4			3.6			14	%
Other	213.3			192.8			(20.5)			(11)	%
Total SG&A expenses	$	804.7		$	789.8		$	(14.9)		(2)	%
Adjustments:
Acquisition and disposition-related gain (loss)	$	20.7		$	—
Hail and storm damage charges	(1.9)			—
Lease exit charges	(0.4)			—
Severance and long-term compensation charges	(4.2)			(4.4)
Total SG&A adjustments	$	14.2		$	(4.4)
Adjusted:
Total adjusted SG&A expenses	$	818.9		$	785.4		$	(33.5)		(4)	%
Reported:
SG&A expenses as a % of gross profit:
Compensation	46.3		%	44.7		%	(160)			bps
Advertising	4.4		%	4.5		%	10			bps
Rent	2.0		%	2.3		%	30			bps
Other	19.0		%	16.6		%	(240)			bps
Total SG&A expenses as a % of gross profit	71.7		%	68.1		%	(360)			bps
Adjustments:
Acquisition and disposition-related gain (loss)	0.9		%	—		%
Hail and storm damage charges	(0.1)		%	—		%
Lease exit charges	—		%	—		%
Severance and long-term compensation charges	(0.2)		%	(0.4)		%
Total effect of adjustments	0.6		%	(0.4)		%
Adjusted:
Total adjusted SG&A expenses as a % of gross profit	72.3		%	67.7		%	(460)		bps
Reported:
Total gross profit	$	1,122.5		$	1,160.1		$	(37.6)		(3)	%
Adjustments:
Used vehicle inventory valuation adjustment	$	10.0		$	—
Total adjustments	$	10.0		$	—
Adjusted:
Total adjusted gross profit	$	1,132.5		$	1,160.1		$	(27.6)		(2)	%

Non-GAAP Reconciliation - Franchised Dealerships Segment - SG&A Expenses

	Three Months Ended June 30,						Better / (Worse)
	2023			2022			Change			% Change
	(In millions)
Reported:
Compensation	$	219.0		$	225.9		$	6.9		3	%
Advertising	8.7			7.8			(0.9)			(12)	%
Rent	9.4			11.0			1.6			15	%
Other	79.0			82.8			3.8			5	%
Total SG&A expenses	$	316.1		$	327.5		$	11.4		3	%
Adjustments:
Acquisition and disposition-related gain (loss)	$	20.9		$	—
Hail and storm damage charges	(1.9)			—
Long-term compensation charges	—			(4.4)
Total SG&A adjustments	$	19.0		$	(4.4)
Adjusted:
Total adjusted SG&A expenses	$	335.1		$	323.1		$	(12.0)		(4)	%
Reported:
SG&A expenses as a % of gross profit:
Compensation	41.4		%	41.9		%	50		bps
Advertising	1.6		%	1.4		%	(20)		bps
Rent	1.8		%	2.0		%	20		bps
Other	14.9		%	15.4		%	50		bps
Total SG&A expenses as a % of gross profit	59.7		%	60.7		%	100		bps
Adjustments:
Acquisition and disposition-related gain (loss)	4.0		%	—		%
Hail and storm damage charges	(0.4)		%	—		%
Long-term compensation charges	—		%	(0.8)		%
Total effect of adjustments	3.6		%	(0.8)		%
Adjusted:
Total adjusted SG&A expenses as a % of gross profit	63.3		%	59.9		%	(340)		bps
Reported:
Total gross profit	$	529.3		$	539.3		$	(10.0)		(2)	%

Non-GAAP Reconciliation - Franchised Dealerships Segment - SG&A Expenses (Continued)

	Six Months Ended June 30,						Better / (Worse)
	2023			2022			Change			% Change
	(In millions)
Reported:
Compensation	$	432.8		$	441.0		$	8.2		2	%
Advertising	18.6			15.6			(3.0)			(19)	%
Rent	19.5			21.9			2.4			11	%
Other	176.4			164.4			(12.0)			(7)	%
Total SG&A expenses	$	647.3		$	642.9		$	(4.4)		(1)	%
Adjustments:
Acquisition and disposition-related gain (loss)	$	20.9		$	—
Hail and storm damage charges	(1.9)			—
Long-term compensation charges	—			(4.4)
Total SG&A adjustments	$	19.0		$	(4.4)
Adjusted:
Total adjusted SG&A expenses	$	666.3		$	638.5		$	(27.8)		(4)	%
Reported:
SG&A expenses as a % of gross profit:
Compensation	41.9		%	41.4		%	(50)			bps
Advertising	1.8		%	1.5		%	(30)			bps
Rent	1.9		%	2.1		%	20			bps
Other	17.0		%	15.3		%	(170)			bps
Total SG&A expenses as a % of gross profit	62.6		%	60.3		%	(230)			bps
Adjustments:
Acquisition and disposition-related gain (loss)	2.1		%	—		%
Hail and storm damage charges	(0.2)		%	—		%
Long-term compensation charges	—		%	(0.4)		%
Total effect of adjustments	1.9		%	(0.4)		%
Adjusted:
Total adjusted SG&A expenses as a % of gross profit	64.5		%	59.9		%	(460)		bps
Reported:
Total gross profit	$	1,033.6		$	1,066.3		$	(32.7)		(3)	%

Non-GAAP Reconciliation - EchoPark Segment - SG&A Expenses

	Three Months Ended June 30,						Better / (Worse)
	2023			2022			Change			% Change
	(In millions)
Reported:
Compensation	$	35.4		$	38.6		$	3.2		8	%
Advertising	13.7			17.8			4.1			23	%
Rent	2.1			2.7			0.6			22	%
Other	15.4			13.9			(1.5)			(11)	%
Total SG&A expenses	$	66.6		$	73.0		$	6.4		9	%
Adjustments:
Acquisition and disposition-related gain (loss)	$	(0.2)		$	—
Lease exit charges	(0.4)			—
Severance charges	(2.2)			—
Total SG&A adjustments	$	(2.8)		$	—
Adjusted:
Total adjusted SG&A expenses	$	63.8		$	73.0		$	9.2		12.6	%
Reported:
SG&A expenses as a % of gross profit:
Compensation	132.2		%	80.8		%	NM
Advertising	51.2		%	37.1		%	NM
Rent	8.0		%	5.7		%	(230)		bps
Other	57.1		%	29.0		%	NM
Total SG&A expenses as a % of gross profit	248.5		%	152.6		%	NM
Adjustments:
Acquisition and disposition-related gain (loss)	(5.4)		%	—		%
Lease exit charges	(10.7)		%	—		%
Severance charges	(58.9)		%	—		%
Total effect of adjustments	(75.0)		%	—		%
Adjusted:
Total adjusted SG&A expenses as a % of gross profit	173.5		%	152.6		%	NM
Reported:
Total gross profit	$	26.8		$	47.8		$	(21.0)		(44)	%
Adjustments:
Used vehicle inventory valuation adjustment	$	10.0		$	—
Total adjustments	$	10.0		$	—
Adjusted:
Total adjusted gross profit	$	36.8		$	47.8		$	(11.0)		(23)	%

NM = Not Meaningful

Non-GAAP Reconciliation - EchoPark Segment - SG&A Expenses (Continued)

	Six Months Ended June 30,						Better / (Worse)
	2023			2022			Change			% Change
	(In millions)
Reported:
Compensation	$	75.1		$	75.7		$	0.6		1	%
Advertising	29.5			36.0			6.5			18	%
Rent	3.2			4.5			1.3			29	%
Other	32.6			27.9			(4.7)			(17)	%
Total SG&A expenses	$	140.4		$	144.1		$	3.7		3	%
Adjustments:
Acquisition and disposition-related gain (loss)	$	(0.2)		$	—
Lease exit charges	(0.4)			—
Severance and long-term compensation charges	(4.2)			—
Total SG&A adjustments	$	(4.8)		$	—
Adjusted:
Total adjusted SG&A expenses	$	135.6		$	144.1		$	8.5		5.9	%
Reported:
SG&A expenses as a % of gross profit:
Compensation	113.4		%	83.1		%	NM
Advertising	44.5		%	39.6		%	(490)		bps
Rent	4.9		%	4.9		%	—		bps
Other	49.2		%	30.6		%	NM
Total SG&A expenses as a % of gross profit	212.0		%	158.2		%	NM
Adjustments:
Acquisition and disposition-related gain (loss)	(1.4)		%	—		%
Lease exit charges	(2.8)		%	—		%
Severance and long-term compensation charges	(29.8)		%	—		%
Total effect of adjustments	(34.1)		%	—		%
Adjusted:
Total adjusted SG&A expenses as a % of gross profit	177.9		%	158.2		%	NM
Reported:
Total gross profit	$	66.2		$	91.1		$	(24.9)		(27)	%
Adjustments:
Used vehicle inventory valuation adjustment	$	10.0		$	—
Total adjustments	$	10.0		$	—
Adjusted:
Total adjusted gross profit	$	76.2		$	91.1		$	(14.9)		(16)	%

NM = Not Meaningful

Non-GAAP Reconciliation - Powersports Segment - SG&A Expenses

	Three Months Ended June 30,						Better / (Worse)
	2023			2022			Change		% Change
	(In millions)
Reported:
Compensation	$	6.6		$	1.9		$	(4.7)	NM
Advertising	0.4			—			(0.4)		NM
Rent	—			—			—		NM
Other	2.2			0.4			(1.8)		NM
Total SG&A expenses	$	9.2		$	2.3		$	(6.9)	NM
Reported:
SG&A expenses as a % of gross profit:
Compensation	51.3		%	110.8		%	NM
Advertising	2.9		%	2.3		%	NM
Rent	0.2		%	—		%	NM
Other	17.2		%	22.0		%	NM
Total SG&A expenses as a % of gross profit	71.6		%	135.1		%	NM
Reported:
Total gross profit	$	12.8		$	1.7		$	11.1	NM

NM = Not Meaningful

	Six Months Ended June 30,						Better / (Worse)
	2023			2022			Change		% Change
	(In millions)
Reported:
Compensation	$	11.8		$	2.2		$	(9.6)	NM
Advertising	0.8			0.1			(0.7)		NM
Rent	0.1			—			(0.1)		NM
Other	4.3			0.5			(3.8)		NM
Total SG&A expenses	$	17.0		$	2.8		$	(14.2)	NM
Reported:
SG&A expenses as a % of gross profit:
Compensation	52.4		%	80.0		%	NM
Advertising	3.5		%	2.2		%	NM
Rent	0.3		%	—		%	NM
Other	19.0		%	21.3		%	NM
Total SG&A expenses as a % of gross profit	75.2		%	103.5		%	NM
Reported:
Total gross profit	$	22.6		$	2.7		$	19.9	NM

NM = Not Meaningful

Non-GAAP Reconciliation - Franchised Dealerships Segment - Income (Loss) Before Taxes and Segment Income (Loss)

	Three Months Ended June 30,						Six Months Ended June 30,
	2023		2022		% Change		2023		2022		% Change
	(In millions)
Reported:
Income (loss) before taxes	$	145.9	$	162.1	(10)	%	$	255.8	$	326.0	(22)	%
Add: Impairment charges	—		—				—		—
Segment income (loss)	$	145.9	$	162.1	(10)	%	$	255.8	$	326.0	(22)	%
Adjustments:
Acquisition and disposition-related (gain) loss	$	(20.9)	$	—			$	(20.9)	$	—
Hail and storm damage charges	1.9		—				1.9		—
Long-term compensation charges	—		4.4				—		4.4
Total pre-tax adjustments	$	(19.0)	$	4.4			$	(19.0)	$	4.4
Adjusted:
Segment income (loss)	$	126.9	$	166.5	(24)	%	$	236.8	$	330.4	(28)	%

Non-GAAP Reconciliation - EchoPark Segment - Income (Loss) Before Taxes and Segment Income (Loss)

	Three Months Ended June 30,						Six Months Ended June 30,
	2023		2022		% Change		2023		2022		% Change
	(In millions)
Reported:
Income (loss) before taxes	$	(115.4)	$	(34.2)	(237)	%	$	(162.3)	$	(69.6)	(133)	%
Add: Impairment charges	62.6		—				62.6		—
Segment income (loss)	$	(52.8)	$	(34.2)	(54)	%	$	(99.7)	$	(69.6)	(43)	%
Adjustments:
Acquisition and disposition-related (gain) loss	$	0.2	$	—			$	0.2	$	—
Lease exit charges	0.4		—				0.4		—
Severance and long-term compensation charges	2.2		—				4.2		—
Used vehicle inventory valuation adjustment	10.0		—				10.0		—
Total pre-tax adjustments	$	12.8	$	—			$	14.8	$	—
Adjusted:
Segment income (loss)	$	(40.0)	$	(34.2)	(17)	%	$	(84.9)	$	(69.6)	(22)	%

Non-GAAP Reconciliation - Powersports Segment - Income (Loss) Before Taxes and Segment Income (Loss)

	Three Months Ended June 30,					Six Months Ended June 30,
	2023		2022		% Change	2023		2022		% Change
	(In millions)
Reported:
Income (loss) before taxes	$	2.0	$	(0.7)	NM	$	2.6	$	(0.3)	NM
Add: Impairment charges	—		—			—		—
Segment income (loss)	$	2.0	$	(0.7)	NM	2.6		(0.3)		NM

NM = Not Meaningful

Non-GAAP Reconciliation - Consolidated - Net Income (Loss) and Diluted Earnings (Loss) Per Share

	Three Months Ended June 30, 2023					Three Months Ended June 30, 2022
	Weighted- Average Shares	Amount		Per Share Amount		Weighted- Average Shares	Amount		Per Share Amount
	(In millions, except per share amounts)
Reported net income (loss), diluted shares, and diluted earnings (loss) per share	36.0	$	23.4	$	0.65	40.5	$	94.8	$	2.34
Adjustments:
Acquisition and disposition-related gain (loss)		$	(20.7)				$	—
Hail and storm damage charges		1.9					—
Impairment charges		62.6					—
Lease exit charges		0.4					—
Severance and long-term compensation charges		2.2					4.4
Used vehicle inventory valuation adjustment		10.0					—
Total pre-tax items of interest		$	56.4				$	4.4
Tax effect of above items		(13.8)					—
Adjusted net income (loss), diluted shares, and diluted earnings (loss) per share	36.0	$	66.0	$	1.83	40.5	$	99.2	$	2.45

	Six Months Ended June 30, 2023					Six Months Ended June 30, 2022
	Weighted- Average Shares	Net Income (Loss)		Per Share Amount		Weighted- Average Shares	Net Income (Loss)		Per Share Amount
	(In millions, except per share amounts)
Reported net income (loss), diluted shares, and diluted earnings (loss) per share	36.5	$	71.1	$	1.95	41.2	$	192.1	$	4.67
Adjustments:
Acquisition and disposition-related gain (loss)		$	(20.7)				$	—
Hail and storm damage charges		1.9					—
Impairment charges		62.6					—
Lease exit charges		0.4					—
Severance and long-term compensation charges		4.2					4.4
Used vehicle inventory valuation adjustment		10.0					—
Total pre-tax items of interest		$	58.4				$	4.4
Tax effect of above items		(14.3)					—
Adjusted net income (loss), diluted shares, and diluted earnings (loss) per share	36.5	$	115.2	$	3.16	41.2	$	196.5	$	4.77

Non-GAAP Reconciliation - Adjusted EBITDA

	Three Months Ended June 30, 2023								Three Months Ended June 30, 2022
	Franchised Dealerships Segment		EchoPark Segment		Powersports Segment		Total		Franchised Dealerships Segment		EchoPark Segment		Powersports Segment		Total
	(In millions)
Net income (loss)							$	23.4							$	94.8
Provision for income taxes							9.1								32.4
Income (loss) before taxes	$	145.9	$	(115.4)	$	2.0	$	32.5	$	162.1	$	(34.2)	$	(0.7)	$	127.2
Non-floor plan interest (1)	25.8		0.8		0.6		27.2		19.1		1.0		—		20.1
Depreciation and amortization (2)	29.5		7.4		0.8		37.7		26.4		5.9		0.1		32.4
Stock-based compensation expense	5.6		—		—		5.6		4.2		—		—		4.2
Loss (gain) on exit of leased dealerships	—		0.4		—		0.4		—		—		—		—
Impairment charges	—		62.6		—		62.6		—		—		—		—
Severance and long-term compensation charges	—		2.2		—		2.2		4.4		—		—		4.4
Acquisition and disposition related (gain) loss	(20.9)		0.2		—		(20.7)		0.1		—		—		0.1
Hail and storm damage charges	1.9		—		—		1.9		—		—		—		—
Used vehicle inventory valuation adjustment	—		10.0		—		10.0		—		—		—		—
Adjusted EBITDA	$	187.8	$	(31.8)	$	3.4	$	159.4	$	216.3	$	(27.3)	$	(0.6)	$	188.4

	Six Months Ended June 30, 2023								Six Months Ended June 30, 2022
	Franchised Dealerships Segment		EchoPark Segment		Powersports Segment		Total		Franchised Dealerships Segment		EchoPark Segment		Powersports Segment		Total
	(In millions)
Net income (loss)							$	71.1							$	192.1
Provision for income taxes							25.0								64.0
Income (loss) before taxes	$	255.8	$	(162.3)	$	2.6	$	96.1	$	326.0	$	(69.6)	$	(0.3)	$	256.1
Non-floor plan interest (1)	51.2		1.7		1.2		54.1		38.1		1.7		—		39.8
Depreciation & amortization (2)	57.7		14.4		1.5		73.6		52.3		11.0		0.2		63.5
Stock-based compensation expense	10.6		—		—		10.6		8.6		—		—		8.6
Loss (gain) on exit of leased dealerships	—		0.4		—		0.4		—		—		—		—
Impairment charges	—		62.6		—		62.6		—		—		—		—
Severance and long-term compensation charges	—		4.2		—		4.2		4.4		—		—		4.4
Acquisition and disposition related (gain) loss	(20.9)		0.2		—		(20.7)		(1.0)		—		—		(1.0)
Hail and storm damage charges	1.9		—		—		1.9		—		—		—		—
Used vehicle inventory valuation adjustment	—		10.0		—		10.0		—		—		—		—
Adjusted EBITDA	$	356.3	$	(68.8)	$	5.3	$	292.8	$	428.4	$	(56.9)	$	(0.1)	$	371.4

(1)Includes interest expense, other, net in the accompanying consolidated statements of operations, net of any amortization of debt issuance costs or net debt discount/premium included in (2) below.

(2)Includes the following line items from the accompanying consolidated statements of cash flows: depreciation and amortization of property and equipment; debt issuance cost amortization; and debt discount amortization, net of premium amortization.

EX-99.2

® Sonic Automotive – Investor Presentation Second Quarter 2023 Updated July 27, 2023

2 Forward-Looking Statements This presentation contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to future events, are not historical facts and are based on our current expectations and assumptions regarding our business, the economy and other future conditions. These statements can generally be identified by lead-in words such as “may,” “will,” “should,” “could,” “believe,” “expect,” “estimate,” “anticipate,” “intend,” “plan,” “project,” “foresee” and other similar words or phrases. Statements that describe our Company’s objectives, plans or goals are also forward-looking statements. Examples of such forward- looking information we may be discussing in this presentation include, without limitation, our anticipated future new vehicle unit sales volume, revenues and profitability, our anticipated future used vehicle unit sales volume, revenues and profitability, future levels of consumer demand for new and used vehicles, our anticipated future parts, service and collision repair (“Fixed Operations”) gross profit, our anticipated expense reductions, long-term annual revenue and profitability targets, anticipated future growth capital expenditures, profitability and pricing expectations in our EchoPark Segment, EchoPark’s omnichannel strategy, anticipated future EchoPark population coverage, anticipated future EchoPark revenue and unit sales volume, anticipated future performance and growth of our Franchised Dealerships Segment, anticipated growth of our Powersports Segment, anticipated liquidity positions, anticipated industry new vehicle sales volume, the implementation of growth and operating strategies, including acquisitions of dealerships and properties, anticipated future acquisition synergies, the return of capital to stockholders, anticipated future success and impacts from the implementation of our strategic initiatives, and earnings per share expectations. You are cautioned that these forward-looking statements are not guarantees of future performance, involve risks and uncertainties and actual results may differ materially from those projected in the forward-looking statements as a result of various factors. These risks and uncertainties include, without limitation, economic conditions in the markets in which we operate, supply chain disruptions and manufacturing delays, labor shortages, the impacts of inflation and increases in interest rates, new and used vehicle industry sales volume, the success of our operational strategies, the rate and timing of overall economic expansion or contraction, and the risk factors described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 and other reports and information filed with the United States Securities and Exchange Commission (the “SEC”). These forward-looking statements, risks, uncertainties and additional factors speak only as of the date of this presentation. We undertake no obligation to update any such statements, except as required under federal securities laws and the rules and regulations of the SEC.

3 Company Overview

4 ® Sonic Automotive: Who We Are QUICK FACTS (NYSE: SAH) a Fortune 500 Company and One of the Nation’s Largest Automotive Retailers 146 25+ 20 16 $14.0 Billion $2.3 Billion 103K New Vehicles Sold 173K Total Revenues Automotive Brands Locations Used Vehicles Sold Collision Centers States Gross Profit Note: Location Counts As Of July 27, 2023 Revenues, Gross Profit, New & Used Vehicles Sold are for FY 2022 Our Core Franchised Dealerships Segment Is A Full-Service Automotive Retail Business With Strategic Growth Levers Across Multiple Business Lines And A Diversified Brand Portfolio Our High Growth Potential EchoPark Segment Offers A Unique Approach To Pre-Owned Vehicle And F&I Sales Below-Market Pricing With A No Haggle Purchase Experience Drives Industry-Leading Used Vehicle Volume Throughput Early-Stage Consolidation Growth Opportunity At Attractive Multiples

5 Investment Highlights Multiple Growth And Profit Drivers For Franchised Dealerships Segment Unique, High Return Potential EchoPark Business Model Broad Revenue Stream Diversification Complementary Relationship Between Operating Segments Disciplined Capital Allocation To Drive Shareholder Returns Focused On Expense Control And Maintaining Strong Balance Sheet

6 Revenue Composition BY GEOGRAPHY TX 26% CA 22% CO 8% TN 7% ID 6% FL 6% AL 5% NC 4% GA 4% VA 2% MD 2% SC 2% All Others 6% Broad Geographic Distribution Geographic Footprint, Revenue Streams and Brand Mix Offer Attractive Diversification Across the Automotive Retail Space Note: Percentages are Percent of Total Revenue for Year Ended December 31, 2022

7 Revenue Composition – Diversified Revenue Streams Note: Percentages are Percent of Total for the Year Ended December 31, 2022 5% 29% 11% 34% 43% 8% 41% 29% Revenue Gross Profit New Vehicle Used Vehicle (Including Wholesale) Parts, Service & Collision Repair ("Fixed Operations") Finance & Insurance ("F&I") Brand Distribution Note: Percentages are Percent of Total Revenue for the Year Ended December 31, 2022 Brand % of Revenue Franchise Brand % of Revenue BMW 21% Mercedes 10% Audi 5% Lexus 4% Porsche 3% Land Rover 3% Cadillac 2% Other Luxury (1) 4% Honda 8% Toyota 7% Other Import (2) 3% EchoPark 17% Non-Franchise 17% Chevrolet GMC Buick 5% Ford 4% Chrysler Dodge Jeep RAM 4% Powersports <1% Powersports (3) <1% Luxury 52% 18%Import Domestic 13% (1) Includes Alfa Romeo, Infiniti, Jaguar, Maserati, MINI and Volvo (2) Includes Hyundai, Nissan, Mazda, Subaru and Volkswagen (3) Includes Harley-Davidson, Kawasaki, BRP, Polaris, Honda, Suzuki, BMW Motorrad, Yamaha, Ducati, and Indian Motorcycle Business Line Mix Majority Of Gross Profit Driven By Stable Business Lines

8 ® EchoPark Automotive – A Unique Growth Story Planned Nationwide Distribution Network At Maturity Unique, High Return Potential Business Model Focus On High Quality Pre-Owned Vehicles, In-Store or Online Plan To Reach 90% Of U.S. Population At Maturity Priced Up To $3,000 Below Market With Simplified, Easy Purchase Experience Focus On Pre-Owned Market – 2.5x Larger & More Stable Than New Vehicle Market The New Car Alternative™ Price. Quality. Experience. Note: Expected U.S. population reach is a projection, actual results may differ. See “Forward-Looking Statements.”

9 Strategic Focus • Continued Growth Opportunity In Parts & Service, F&I Per Unit • Ongoing Profitability Enhancement Through SG&A Expense Control, Inventory Management • Pursue Strategic Acquisition Opportunities As Market Evolves • Utilize Existing Infrastructure To Support Omnichannel Distribution Network • Targeting Return To Breakeven EBITDA By Q1 2024 • Growing eCommerce Presence Offers Scalable Incremental Reach • Addressable Market Opportunity Of 2 Million Vehicles Annually At Maturity • Positioned To Resume Expansion Of EchoPark Footprint As Used Vehicle Market Conditions Improve • Focus On Guest Experience And eCommerce Opportunity To Drive Market Share Gains • Balanced Capital Allocation Strategy Prioritizes Highest Return on Investment • Return Of Capital To Shareholders Via Share Repurchase Program And Dividend • Further Diversify Business Model In Adjacent Sectors (Powersports) Franchised Dealerships EchoParkStrategic Focus Note: Profitability and unit sales volume projections are estimates of future results. Actual results may differ. See “Forward-Looking Statements.”

10 Strong Balance Sheet And Liquidity June 30, 2023 December 31, 2022 (In Millions) Cash and cash equivalents 119.7$ 229.2$ Floor plan deposit balance 287.0 272.0 Availability under the 2021 Revolving Credit Facility 289.0 292.9 Availability under the 2019 Mortgage Facility 173.0 - Total available liquidity resources 868.7$ 794.1$ Covenant Requirement* June 30, 2023 December 31, 2022 Liquidity ratio >= 1.05 1.30 1.38 Fixed charge coverage ratio >= 1.20 1.62 1.87 Total lease adjusted leverage ratio <= 5.75 2.72 2.31 Net debt to Adjusted EBITDA ratio(1) 2.01 1.69 Cash On Hand And Total Liquidity Remain At Target Levels Leverage Ratios Remain Within Our Internal Target Range Total Cash On Hand (1) Refer To Appendix For Calculation And Reconciliation of Adjusted EBITDA (A Non-GAAP Measure) and Net Debt To Adjusted EBITDA Ratio (A Non-GAAP Measure) * As Defined In The 2021 Revolving Credit Facility and 2019 Mortgage Facility

11 Share Repurchase Update ($ in Millions) Share Repurchase Authorization Remaining at December 31, 2022 464.3$ YTD 2023 Share Repurchase Activity (90.7) Remaining Authorization 373.6$ 43.1 41.8 40.7 36.2 35.4 30.0 35.0 40.0 45.0 Dec 2019 Dec 2020 Dec 2021 Dec 2022 Jun 2023 (T ot al C la ss A a nd C la ss B O ut st an di ng S ha re s, In M illi on s) 18% Reduction In Outstanding Share Count Since 2019

12 Franchised Dealerships

13 New & Used Vehicle Sales Parts & Service (P&S) Finance & Insurance (F&I) ® Franchised Dealerships Franchised Dealerships108 Brands, Luxury Weighted25+ Diversified Revenue Streams • New & Used Vehicle Sales • Parts Service (P S) • Finance & Insurance (F&I) Collision Repair Centers16 18 States Stable Business With Organic And Acquisition Growth Opportunities Resilient And Flexible Business Model Through Economic Cycles

14 Franchised Dealerships – Geographic Footprint Diversified Geographic Market Platform 108 Stores, 25+ Brands, 16 Collision Repair Centers

15 Franchised Dealerships – Strategic Growth Levers Mature Cash Flows + Multiple Growth Drivers Pursue Strategic Acquisitions Opportunities Grow Parts and Service Retention Maximize F&I Penetration High Used Vehicle Volume Throughput Data-Driven Inventory Management Apply EchoPark Learnings Develop Omnichannel Platform SG&A Expense Discipline Realize Synergies From Acquisitions

16 EchoPark

17 EchoPark – Brand Promise Up To 40% Below New Vehicle Price Up To $3,000 Below Used Vehicle Market Price High Quality Pre-Owned Vehicles With Available Warranty Transparent Guest-Centric Experience New Car Feel Without The New Car Price Complete Purchase In Under An Hour Free CARFAX Report With Every Vehicle Buy & Sell Your Way – On-Site Or Online P r i c e . Q u a l i t y. E x p e r i e n c e . L o w C o s t O m n i c h a n n e l M o d e l

18 EchoPark – Planned Nationwide Distribution Network Target 90% Population Coverage At Maturity Note: Future locations and U.S. population coverage are based on projections. Actual results may differ. See “Forward-Looking Statements.” Suspended Operations Expected Coverage Area Existing Retail Hub Future New Market Opportunities Suspended Operations Can Be Reopened Once Market Conditions Improve

19 EchoPark – Addressable Market Opportunity * Share Of Vehicles That Fit Core1-4-Year-Old Model In Existing EchoPark Markets Plan To Achieve 90% Population Coverage At Maturity Once Market Conditions Improve Target 10% Market Share Already Achieving This Share* In Most Mature Market Priced Up to $3,000 Below Market Price Competes On Price vs. Older Vehicles, Consumer Can Buy Newer Vehicle For Same Price Pricing Up To 40% Below New Converts Prospective New Car Buyers 2 MILLION Opportunity 15+ MILLION 1–4-Year-Old Vehicles 10+ MILLION 5–8-Year- Old Vehicles 13+ MILLION New Vehicles Long-Term Strategy Remains Focused On Nearly-New, 1–4-Year-Old Vehicle Segment Despite Recent Strategic Adjustments To Include 5+ Year-Old Inventory Annual Retail Vehicle Sales Volume Note: Annual Retail Vehicle Sales Volume, EchoPark Volume Opportunity, Population Coverage And Market Share Targets Are Based On Projections. Actual Results May Differ. See “Forward-Looking Statements.”

20 EchoPark – Industry Headwinds & Action Plan Industry Headwinds • Supply Chain Disruption Continues To Suppress New Vehicle Production And Inventory Levels – Began To Ease In Q1 2023 But Nearly-New Vehicle Sourcing Challenges Are Expected To Persist Beyond 2023 • Elevated Used Prices And Interest Rates Continue To Negatively Impact Consumer Affordability And Industry Sales Volume • At Wholesale Auction, Off-Lease/Off-Rental Inventory Supply Remains Limited And Expensive • Used Wholesale Pricing Volatility – After Increasing 6.3% In Q1 2023, 3-Year-Old Vehicle Manheim Prices Decreased 6.3% In Q2 2023 – We Anticipate A 5-10% Decrease In Second Half Of 2023 EchoPark Action Plan • In June 2023, Indefinitely Suspended Operations At Eight EchoPark Retail Hubs And 14 Related EchoPark Delivery/Buy Centers, As Well As Three Northwest Motorsport Locations Within The EchoPark Segment (Collectively, the “Closed EchoPark Stores”), Representing A Total of $13.2 Million Of Q2 2023 Reported Segment Losses • Expect Ongoing Expenses Associated With The Closed EchoPark Stores Between $2.5 Million To $3.0 Million Per Quarter • Anticipated Reallocation Of Inventory And Resources To Smaller Store Footprint Should Accelerate Profitability Improvement Despite Ongoing Used Vehicle Market Challenges • Reiterate Expected Return To Breakeven EchoPark Segment Adjusted EBITDA In Q1 2024 • Plan To Resume Disciplined Expansion Of EchoPark Nationwide Distribution Network As Market Conditions Improve • Remain Focused On Sourcing More Vehicles From Non-Auction Sources (23% Of Q2 2023 Sales vs. Historically Less Than 10%) And Expanding Inventory To Include 5+ Year-Old Vehicles (18% of Q2 2023 Sales), Driving Lower Inventory Acquisition Cost And 35% Lower Retail Selling Price, Benefiting Consumer Affordability Note: Expected Improvement In Adjusted EBITDA Losses Is Based On Projections. Actual Results May Differ. See “Forward-Looking Statements.”

21 EchoPark Segment – Growth Path 212 660 881 920 764 941 1,136 1,585 1,685 1,673 2,049 2,400 4,496 5,518 7,459 7,698 8,762 11,051 12,587 13,206 12,676 13,986 13,207 15,127 14,841 19,670 21,261 21,255 15,649 14,931 16,496 15,245 17,435 19,980 17,084 $- $100 $200 $300 $400 $500 $600 $700 (In M illi on s) Quarterly Used Retail Units Quarterly Revenue Wholesale Price Increases In Late Q1 2023 Reversed Through Q2 2023, Driving Lower Unit Sales Volume To Manage Losses Due To GPU Compression Expect Continued Wholesale Price Declines Through Remainder Of 2023 Note: Expected 2023 Wholesale Price Declines Are Based On Projections. Actual Results May Differ. See “Forward-Looking Statements.”

22 EchoPark Segment – Adjusted EBITDA Trend $4.9 $4.9 $6.4 $5.3 $5.2 $5.6 $3.2 ($3.6) $5.3 ($10.9) ($30.5) ($19.2) ($36.2) ($30.8) ($23.7) ($24.1) ($24.4) ($27.3) $0.7 $0.9 $1.5 $2.0 $4.6 $6.7 $3.4 $0.5 $(1.3) $(12.5) $(4.5) $(40) $(30) $(20) $(10) $- $10 Q 1 2019 Q 2 2019 Q 3 2019 Q 4 2019 Q 1 2020 Q 2 2020 Q 3 2020 Q 4 2020 Q 1 2021 Q 2 2021 Q 3 2021 Q 4 2021 Q 1 2022 Q 2 2022 Q 3 2022 Q 4 2022 Q 1 2023 Q 2 2023 EchoPark All Other (In M illi on s) Target Breakeven Adjusted EBITDA In Q1 2024 Refer To Appendix For Calculation And Reconciliation of Adjusted EBITDA (A Non-GAAP Measure). Note: Expected Improvement In Adjusted EBITDA Losses Is Based On Projections. Actual Results May Differ. See “Forward-Looking Statements.” Note: EchoPark Brand Data Includes EchoPark-Branded Stores And Corporate/Holding Company Results. All Other Pre-Owned Data Includes Northwest Motorsport And Other Acquired Pre- Owned Businesses That Have Not Been Re-Branded As EchoPark.

23 Powersports

24 Powersports – Opportunistic Growth • Growth Via Acquisition At Attractive Earnings Multiples • Consolidation Opportunity In A $34 Billion Market* Where 85% Of U.S. Dealers Own A Single Location • Drive Profitability Enhancement Through Technology And Process Development • Generate Higher Margins Compared To Traditional Automotive Retail * Estimated Value Of North American Powersports Industry In 2022, Per Global Market Insights Sonic Powersports

25 Omnichannel Strategy

26 Buy & Sell Your Way • Complete A Traditional Vehicle Purchase Experience With A Modern, Technology- Enabled Approach • Can Be Completed In Under An Hour • Research Online, Utilize Chat, Text, Phone, Zoom To Reduce In-Person Process • Review And Select Insurance Products And Financing Options • Includes Online Trade-In Appraisal And Firm Purchase Offer • Complete A Full eCommerce Transaction In Minutes • Conveniently Test Drive And Finalize Purchase At Franchised Dealership, EchoPark Retail Hub Or EchoPark Delivery Center Buy & Sell Your Way Start Online, Finish On-Site Or Buy Completely Online Buy On-Site • Our Blend Of Brick And Mortar And eCommerce Strategies Allows Guests To Choose Their Preferred Buying Approach • A Flexible, Guest- Centric Experience With Options • Will Be Seamless To The Guest, Regardless Of Which Path They Choose Represents 33% Of Q2 2023 EchoPark Unit Sales Volume

27 New EchoPark.com Results to Date Rolled Out To 100% Of National Web Traffic In June 2022 Conversion Rate 30% Higher Compared To Old Website Q2 2023 F&I of $2,025 Per Unit Exceeding Projections For End-To-End Online F&I Product Sales Over 30% Of Vehicles Sold Out Of Market In Q2 2023, Driving Incremental Reach 4.0 Million Unique Visitors To EchoPark.com In Q2 2023

28 Appendix

29 GAAP Income Statement Annual Trend – Consolidated NM = Not MeaningfulNote: Earnings (Loss) Per Share and Gross Profit Per Unit Metrics Are Calculated Based On Actual Unrounded Amounts FY 2022 Better / (Worse) % Change (In millions, except unit, per unit, and per share data) FY 2022 FY 2021 FY 2020 FY 2019 FY 2018 Year-Over-Year Revenues: Retail new vehicles 5,622.6$ 4,993.4$ 4,224.4$ 4,777.3$ 4,905.9$ 13% Fleet new vehicles 99.4 124.6 56.8 111.9 68.2 (20%) Total new vehicles 5,722.0 5,118.0 4,281.2 4,889.2 4,974.1 12% Used vehicles 5,515.4 4,933.6 3,604.2 3,490.0 2,973.5 13% Wholesale vehicles 484.9 367.2 197.4 202.8 217.6 32% Total vehicles 11,722.3 10,418.8 8,082.8 8,582.0 8,165.2 13% Parts, service and collision repair 1,599.7 1,340.4 1,194.3 1,395.3 1,380.9 15% Finance, insurance and other, net ("F&I") 679.1 637.2 489.9 477.0 405.5 7% Total revenues 14,001.1 12,396.4 9,767.0 10,454.3 9,951.6 13% Gross profit: Retail new vehicles 662.8 459.8 233.2 231.7 240.5 44% Fleet new vehicles 4.9 1.6 0.9 1.4 1.0 201% Total new vehicles 667.7 461.4 234.1 233.1 241.5 45% Used vehicles 180.8 133.0 105.2 147.4 143.0 37% Wholesale vehicles (3.1) 9.6 0.1 (4.5) (11.3) (131%) Total vehicles 845.4 604.0 339.4 376.0 373.2 40% Parts, service and collision repair 792.5 673.1 594.3 668.0 667.4 18% Finance, insurance and other, net 679.1 637.2 489.9 477.0 405.5 7% Total gross profit 2,317.0 1,914.3 1,423.6 1,521.0 1,446.1 21% SG&A expenses (1,555.1) (1,274.7) (1,028.7) (1,099.4) (1,145.3) (22%) Impairment charges (320.4) (0.1) (270.0) (20.8) (29.5) NM Depreciation and amortization (127.5) (101.1) (91.0) (93.1) (93.6) (26%) Operating income (loss) 314.0 538.4 33.9 307.7 177.7 (42%) Interest expense, floor plan (34.3) (16.7) (27.2) (48.5) (48.4) (105%) Interest expense, other, net (89.9) (48.0) (41.6) (53.0) (54.1) (87%) Other income (expense), net 0.2 (15.5) 0.1 (6.6) 0.1 NM Income (loss) from continuing operations before taxes 190.0 458.2 (34.8) 199.6 75.3 (59%) Income tax benefit (expense) (101.5) (109.3) (15.9) (55.1) (22.9) 7% Net income (loss) from continuing operations 88.5$ 348.9$ (50.7)$ 144.5$ 52.4$ (75%) Diluted weighted-average shares outstanding 39.7 43.3 42.5 43.7 43.0 8% Diluted earnings (loss) per share from continuing operations 2.23$ 8.06$ (1.19)$ 3.31$ 1.22$ (72%) Unit sales volume: Retail new vehicles 101,168 99,943 91,939 111,457 120,819 1% Fleet new vehicles 2,115 3,543 1,342 2,674 1,898 (40%) Used vehicles 173,209 183,292 159,025 162,149 139,605 (6%) Wholesale vehicles 35,323 36,795 32,057 34,153 34,167 (4%) Gross profit per unit ("GPU"): Retail new vehicles 6,552$ 4,600$ 2,536$ 2,078$ 1,991$ 42% Used vehicles 1,044$ 720$ 667$ 909$ 1,024$ 45% F&I 2,475$ 2,250$ 1,952$ 1,743$ 1,557$ 10%

30 Non-GAAP Reconciliation – Annual Trend – Consolidated NM = Not Meaningful Note: Earnings (Loss) Per Share and SG&A Expenses As A Percentage Of Gross Profit Metrics Are Calculated Based On Actual Unrounded Amounts Note: Balance Sheet Amounts Are As Of December 31 For The FY Then Ended, Balance Sheet Amounts For LTM Q2 2023 Are As Of June 30, 2023 (In millions, except per share data) LTM Q2 2023 FY 2022 FY 2021 FY 2020 FY 2019 FY 2018 Reported net income (loss) from continuing operations 88.5$ 348.9$ (50.7)$ 144.5$ 52.4$ Adjustments: Impairment charges 320.4$ -$ 269.2$ 19.6$ 29.5$ Acquisition and disposition-related (gain) loss (9.1) 1.2 (9.2) (76.0) (38.9) Long-term compensation charges 4.4 6.5 - 6.3 34.1 Loss on debt extinguishment - 15.6 - 7.2 - Legal and storm damage charges - - - - 5.7 Loss (gain) on exit of leased dealerships - - - - 1.5 Total pre-tax adjustments 315.7 23.3 260.0 (42.9) 31.9 Tax effect of above items (22.6) (5.9) (40.4) 14.2 (7.4) Total net income effect of adjustments 293.1 17.4 219.6 (28.7) 24.5 Adjusted net income (loss) from continuing operations 381.6$ 366.3$ 168.9$ 115.8$ 76.9$ Diluted weighted-average shares outstanding 39.7 43.3 43.9 43.7 43.0 Adjusted diluted earnings (loss) per share from continuing operations 9.61$ 8.46$ 3.85$ 2.65$ 1.79$ Reported SG&A expenses (1,555.1)$ (1,274.7)$ (1,028.7)$ (1,099.4)$ (1,145.3)$ Acquisition and disposition-related (gain) loss (9.1) 1.2 (9.2) (76.0) (38.9) Long-term compensation charges 4.4 6.5 - 6.3 34.1 Legal and storm damage charges - - - - 5.7 Loss (gain) on exit of leased dealerships - - - - 1.5 Adjusted SG&A expenses (1,559.8)$ (1,267.0)$ (1,037.9)$ (1,169.1)$ (1,142.9)$ Adjusted SG&A expenses as a percentage of gross profit 67.3% 66.2% 72.9% 76.9% 79.0% Reported net income (loss) (32.5)$ 88.5$ 348.9$ (51.4)$ 144.1$ 51.7$ Income tax (benefit) expense 62.5 101.5 109.3 15.6 55.0 22.6 Income (loss) before taxes 30.0 190.0 458.2 (35.8) 199.1 74.3 Non-floor plan interest 99.0 84.7 44.7 38.7 50.5 52.0 Depreciation and amortization 142.8 132.7 104.3 93.9 95.6 96.7 Stock-based compensation expense 18.0 16.0 15.0 11.7 10.8 11.9 Loss (gain) on exit of leased dealerships 0.4 - - - (0.2) 1.7 Impairment charges 383.0 320.4 0.1 270.0 20.8 29.5 Loss on debt extinguishment - - 15.6 - 6.7 - Long-term compensation charges 4.2 4.4 8.0 - - 32.5 Acquisition and disposition-related (gain) loss (29.4) (9.7) (0.4) (8.2) (74.8) (39.3) Adjusted EBITDA 659.9$ 738.5$ 645.5$ 370.3$ 308.5$ 259.3$ Long-term debt (including current portion) 1,732.5$ 1,751.7$ 1,561.2$ 720.1$ 706.9$ 945.1$ Cash and equivalents (119.7) (229.2) (299.4) (170.3) (29.1) (5.9) Floor plan deposit balance (287.0) (272.0) (99.8) (73.2) - - Net debt 1,325.8$ 1,250.5$ 1,162.0$ 476.6$ 677.8$ 939.2$ Net debt to adjusted EBITDA ratio 2.01 1.69 1.80 1.29 2.20 3.62 Long-term debt (including current portion) to adjusted EBITDA ratio 2.63 2.37 2.42 1.94 2.29 3.64

31 GAAP Income Statement Quarterly Trend – Consolidated NM = Not MeaningfulNote: Earnings (Loss) Per Share and Gross Profit Per Unit Metrics Are Calculated Based On Actual Unrounded Amounts Q2 2023 Better / (Worse) % Change (In millions, except unit, per unit, and per share data) Q2 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Sequential Year-Over-Year Revenues: Retail new vehicles 1,608.2$ 1,442.8$ 1,555.3$ 1,371.8$ 1,344.3$ 11% 20% Fleet new vehicles 28.3 18.8 29.3 32.0 19.8 51% 42% Total new vehicles 1,636.5 1,461.6 1,584.6 1,403.8 1,364.1 12% 20% Used vehicles 1,305.9 1,344.9 1,341.1 1,355.9 1,448.3 (3%) (10%) Wholesale vehicles 91.5 85.6 80.0 114.6 121.4 7% (25%) Total vehicles 3,033.9 2,892.1 3,005.7 2,874.3 2,933.8 5% 3% Parts, service and collision repair 443.7 430.5 411.1 408.2 399.2 3% 11% Finance, insurance and other, net ("F&I") 175.3 168.6 173.8 165.6 173.2 4% 1% Total revenues 3,652.9 3,491.2 3,590.6 3,448.1 3,506.2 5% 4% Gross profit: Retail new vehicles 141.4 138.1 164.6 162.2 168.3 2% (16%) Fleet new vehicles 1.3 0.9 1.8 1.3 0.9 39% 31% Total new vehicles 142.7 139.0 166.4 163.5 169.2 3% (16%) Used vehicles 31.5 30.0 35.5 51.0 46.6 5% (32%) Wholesale vehicles (1.0) 3.0 (3.7) (2.2) 1.1 (132%) (188%) Total vehicles 173.2 172.0 198.2 212.3 216.9 1% (20%) Parts, service and collision repair 220.4 212.9 204.1 202.8 198.7 4% 11% Finance, insurance and other, net 175.3 168.6 173.8 165.6 173.2 4% 1% Total gross profit 568.9 553.5 576.1 580.7 588.8 3% (3%) SG&A expenses (391.9) (412.8) (366.3) (399.0) (402.8) 5% 3% Impairment charges (62.6) - (320.4) - - NM NM Depreciation and amortization (36.1) (34.3) (33.5) (32.8) (31.2) (5%) (16%) Operating income (loss) 78.3 106.4 (144.1) 148.9 154.8 (26%) (49%) Interest expense, floor plan (17.0) (14.6) (13.6) (9.6) (6.1) (17%) (176%) Interest expense, other, net (28.9) (28.4) (24.9) (22.9) (21.3) (2%) (36%) Other income (expense), net 0.1 0.2 0.1 - (0.2) NM NM Income (loss) before taxes 32.5 63.6 (182.5) 116.4 127.2 (49%) (74%) Income tax benefit (expense) (9.1) (15.9) (8.4) (29.1) (32.5) 43% 72% Net income (loss) 23.4$ 47.7$ (190.9)$ 87.3$ 94.8$ (51%) (75%) Diluted weighted-average shares outstanding 36 36.9 36.5 39.2 40.5 2% 11% Diluted earnings (loss) per share 0.65$ 1.29$ (5.22)$ 2.23$ 2.34$ (50%) (72%) Unit sales volume: Retail new vehicles 28,754 25,657 27,278 24,776 24,427 12% 18% Fleet new vehicles 590 441 661 672 422 34% 40% Used vehicles 42,972 45,531 44,303 42,069 44,764 (6%) (4%) Wholesale vehicles 8,801 8,406 8,094 8,263 8,545 5% 3% Gross profit per unit ("GPU"): Retail new vehicles 4,918$ 5,381$ 6,034$ 6,547$ 6,890$ (9%) (29%) Used vehicles 732$ 660$ 800$ 1,211$ 1,041$ 11% (30%) F&I 2,445$ 2,369$ 2,428$ 2,477$ 2,503$ 3% (2%)

32 Non-GAAP Reconciliation – Quarterly Trend – Consolidated NM = Not MeaningfulNote: Earnings (Loss) Per Share and SG&A Expenses As A Percentage Of Gross Profit Metrics Are Calculated Based On Actual Unrounded Amounts Q2 2023 Better / (Worse) % Change (In millions, except per share data) Q2 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Sequential Year-Over-Year Reported net income (loss) 23.4$ 47.7$ (190.9)$ 87.3$ 94.8$ (51%) (75%) Adjustments: Impairment charges 62.6$ -$ 320.4$ -$ -$ NM NM Acquisition and disposition-related (gain) loss (20.7) - (9.1) - - NM NM Severance and long-term compensation charges 2.2 2.0 - - 4.4 NM NM Hail and storm damage charges 1.9 - - - - NM NM Lease exit charges 0.4 - - - - NM NM Used vehicle inventory valuation adjustment 10.0 - - - - NM NM Total pre-tax adjustments 56.4 2.0 311.3 - 4.4 NM NM Tax effect of above items (13.8) (0.5) (22.6) - - NM NM Total net income effect of adjustments 42.6 1.5 288.7 - 4.4 NM NM Adjusted net income (loss) 66.0$ 49.2$ 97.8$ 87.3$ 99.2$ 34% (34%) Diluted weighted-average shares outstanding 36 36.9 37.4 39.2 40.5 2% 11% Adjusted diluted earnings (loss) per share 1.83$ 1.33$ 2.61$ 2.23$ 2.45$ 38% (25%) Reported gross profit 568.9$ 553.5$ 576.1$ 580.7$ 588.8$ 3% (3%) Used vehicle inventory valuation adjustment 10.0 - - - - NM NM Adjusted gross profit 578.9$ 553.5$ 576.1$ 580.7$ 588.8$ 5% (2%) Reported SG&A expenses (391.9)$ (412.8)$ (366.3)$ (399.0)$ (402.8)$ 5% 3% Acquisition and disposition-related (gain) loss (20.7) - (9.1) - - NM NM Severance and long-term compensation charges 2.2 2.0 - - 4.4 NM NM Hail and storm damage charges 1.9 - - - - NM NM Lease exit charges 0.4 - - - - NM NM Adjusted SG&A expenses (408.1)$ (410.8)$ (375.4)$ (399.0)$ (398.4)$ 1% (2%) Adjusted SG&A expenses as a percentage of gross profit 70.5% 74.2% 65.2% 68.7% 67.7% 370 bps (280) bps Reported net income (loss) 23.4$ 47.7$ (190.9)$ 87.3$ 94.8$ NM NM Income tax (benefit) expense 9.1 15.9 8.4 29.1 32.5 NM NM Income (loss) before taxes 32.5 63.6 (182.5) 116.4 127.2 NM NM Non-floor plan interest 27.2 26.9 23.5 21.4 20.1 NM NM Depreciation and amortization 37.7 35.9 34.9 34.3 32.4 NM NM Stock-based compensation expense 5.6 5.0 3.6 3.8 4.2 NM NM Lease exit charges 0.4 - - - - NM NM Impairment charges 62.6 - 320.4 - - NM NM Severance and long-term compensation charges 2.2 2.0 - - 4.4 NM NM Acquisition and disposition-related (gain) loss (20.7) - (9.2) 0.5 0.1 NM NM Hail and storm damage charges 1.9 - - - - NM NM Used vehicle inventory valuation adjustment 10.0 - - - - NM NM Adjusted EBITDA 159.4$ 133.4$ 190.7$ 176.4$ 188.4$ 19% (15%)

33 GAAP Income Statement – Quarterly Trend – Franchised Dealerships Segment NM = Not MeaningfulNote: Gross Profit Per Unit Metrics Are Calculated Based On Actual Unrounded Amounts Q2 2023 Better / (Worse) % Change (In millions, except unit and per unit data) Q2 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Sequential Year-Over-Year Revenues: Retail new vehicles 1,583.3$ 1,421.0$ 1,534.5$ 1,359.6$ 1,341.7$ 11% 18% Fleet new vehicles 28.3 18.8 29.4 32.0 19.9 51% 42% Total new vehicles 1,611.6 1,439.8 1,563.9 1,391.6 1,361.6 12% 18% Used vehicles 774.5 767.6 823.4 842.4 871.9 1% (11%) Wholesale vehicles 55.6 58.4 52.6 75.7 79.3 (5%) (30%) Total vehicles 2,441.7 2,265.8 2,439.9 2,309.7 2,312.8 8% 6% Parts, service and collision repair 433.4 423.8 404.8 404.7 398.1 2% 9% Finance, insurance and other, net ("F&I") 132.2 117.1 128.0 125.9 129.8 13% 2% Total revenues 3,007.3 2,806.7 2,972.7 2,840.3 2,840.7 7% 6% Gross profit: Retail new vehicles 136.9 134.0 160.8 160.7 167.3 2% (18%) Fleet new vehicles 1.3 0.9 1.8 1.3 0.9 39% 31% Total new vehicles 138.2 134.9 162.6 162.0 168.2 2% (18%) Used vehicles 44.5 40.8 38.4 45.4 43.7 9% 2% Wholesale vehicles (1.0) 1.9 (3.2) (2.1) (0.5) (151%) (70%) Total vehicles 181.7 177.6 197.8 205.3 211.4 2% (14%) Parts, service and collision repair 215.4 209.6 200.9 201.0 198.1 3% 9% Finance, insurance and other, net 132.2 117.1 128.0 125.9 129.8 13% 2% Total gross profit 529.3 504.3 526.7 532.2 539.3 5% (2%) SG&A expenses (316.1) (331.2) (298.1) (332.0) (327.6) 5% 3% Impairment charges - - (115.5) - - NM NM Depreciation and amortization (27.9) (26.5) (26.0) (25.9) (25.2) (5%) (10%) Operating income (loss) 185.3 146.6 87.1 174.3 186.5 26% (1%) Interest expense, floor plan (11.9) (9.9) (9.8) (6.6) (3.9) (20%) (202%) Interest expense, other, net (27.5) (26.9) (23.4) (21.4) (20.2) (2%) (36%) Other income (expense), net - - - - (0.3) NM NM Income (loss) before taxes 145.9$ 109.8$ 53.9$ 146.3$ 162.1$ 33% (10%) Unit sales volume: Retail new vehicles 27,358 24,539 26,239 24,241 24,342 11% 12% Fleet new vehicles 590 441 661 672 422 34% 40% Used vehicles 25,197 25,107 26,631 26,647 28,156 0% (11%) Wholesale vehicles 5,516 5,483 5,616 5,813 5,851 1% (6%) Gross profit per unit ("GPU"): Retail new vehicles 5,003$ 5,463$ 6,130$ 6,627$ 6,871$ (8%) (27%) Used vehicles 1,765$ 1,626$ 1,442$ 1,704$ 1,553$ 9% 14% F&I 2,516$ 2,360$ 2,421$ 2,473$ 2,472$ 7% 2%

34 Non-GAAP Reconciliation – Quarterly Trend – Franchised Dealerships Segment NM = Not MeaningfulNote: SG&A Expenses As A Percentage Of Gross Profit Metrics Are Calculated Based On Actual Unrounded Amounts Q2 2023 Better / (Worse) % Change (In millions) Q2 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Sequential Year-Over-Year Reported income (loss) before taxes 145.9$ 109.8$ 53.9$ 146.3$ 162.1$ 33% (10%) Impairment charges - - 115.5 - - NM NM Segment income (loss) 145.9$ 109.8$ 169.4$ 146.3$ 162.1$ 33% (10%) Acquisition and disposition-related (gain) loss (20.9) - (9.1) - - NM NM Long-term compensation charges - - - - 4.4 NM NM Hail and storm damage charges 1.9 - - - - NM NM Adjusted segment income (loss) 126.9$ 109.8$ 160.3$ 146.3$ 166.5$ 16% (24%) Reported SG&A expenses (316.1)$ (331.2)$ (298.1)$ (332.0)$ (327.6)$ 5% 3% Acquisition and disposition-related (gain) loss (20.9) - (9.1) - - NM NM Long-term compensation charges - - - - 4.4 NM NM Hail and storm damage charges 1.9 - - - - NM NM Adjusted SG&A expenses (335.1)$ (331.2)$ (307.2)$ (332.0)$ (323.2)$ (1%) (4%) Adjusted SG&A expenses as a percentage of gross profit 63.3% 65.7% 58.3% 62.4% 59.9% 240 bps (340) bps Income (loss) before taxes 145.9$ 109.8$ 53.9$ 146.3$ 162.1$ NM NM Non-floor plan interest 25.8 25.4 22.0 19.9 19.1 NM NM Depreciation and amortization 29.3 28.2 27.4 27.3 26.4 NM NM Stock-based compensation expense 5.6 5.0 3.6 3.8 4.2 NM NM Impairment charges - - 115.5 - - NM NM Long-term compensation charges - - - - 4.4 NM NM Acquisition and disposition-related (gain) loss (20.7) - (9.2) 0.5 0.1 NM NM Hail and storm damage charges 1.9 - - - - NM NM Adjusted EBITDA 187.8$ 168.4$ 213.2$ 197.8$ 216.3$ 12% (13%)

35 GAAP Income Statement – Quarterly Trend – EchoPark Segment NM = Not MeaningfulNote: Gross Profit Per Unit Metrics Are Calculated Based On Actual Unrounded Amounts Q2 2023 Better / (Worse) % Change (In millions, except unit and per unit data) Q2 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Sequential Year-Over-Year Revenues: Retail new vehicles -$ 1.0$ 2.0$ 1.6$ 1.2$ (104%) (103%) Used vehicles 524.0 572.5 515.5 511.4 574.5 (8%) (9%) Wholesale vehicles 35.5 27.0 27.3 38.9 42.2 31% (16%) Total vehicles 559.5 600.5 544.8 551.9 617.8 (7%) (9%) Finance, insurance and other, net ("F&I") 41.1 50.0 44.5 38.9 43.1 (18%) (5%) Total revenues 600.6 650.5 589.3 590.8 660.9 (8%) (9%) Gross profit: Retail new vehicles - 0.1 0.2 (0.6) 0.7 (69%) (97%) Used vehicles (14.3) (11.8) (3.6) 5.0 2.4 (21%) (696%) Wholesale vehicles - 1.1 (0.3) (0.1) 1.6 (103%) (102%) Total vehicles (14.3) (10.6) (3.7) 4.3 4.7 (36%) (404%) Finance, insurance and other, net 41.1 50.0 44.5 38.9 43.1 (18%) (5%) Total gross profit 26.8 39.4 40.8 43.2 47.8 (32%) (44%) SG&A expenses (66.6) (73.8) (62.3) (63.4) (72.9) 10% 9% Impairment charges (62.6) - (204.9) - - NM NM Depreciation and amortization (7.4) (7.0) (7.0) (6.7) (5.9) (6%) (26%) Operating income (loss) (109.8) (41.4) (233.4) (26.9) (31.0) (165%) (254%) Interest expense, floor plan (4.8) (4.6) (3.9) (3.0) (2.2) (5%) (117%) Interest expense, other, net (0.9) (0.9) (0.9) (1.1) (1.0) 6% 18% Other income (expense), net 0.1 0.1 - - - NM NM Income (loss) before taxes (115.4)$ (46.8)$ (238.2)$ (31.0)$ (34.2)$ (147%) (237%) Unit sales volume: Retail new vehicles - 11 26 45 37 (100%) (100%) Used vehicles 17,084 19,980 17,435 15,245 16,496 (14%) 4% Wholesale vehicles 3,235 2,916 2,444 2,449 2,694 11% 20% Gross profit per unit ("GPU"): Total used vehicle and F&I 1,569$ 1,907$ 2,340$ 2,869$ 2,751$ (18%) (43%)

36 Non-GAAP Reconciliation – Quarterly Trend – EchoPark Segment NM = Not MeaningfulNote: SG&A Expenses As A Percentage Of Gross Profit Metrics Are Calculated Based On Actual Unrounded Amounts Q2 2023 Better / (Worse) % Change (In millions) Q2 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Sequential Year-Over-Year Reported income (loss) before taxes (115.4)$ (46.8)$ (238.2)$ (31.0)$ (34.2)$ (147%) (237%) Impairment charges 62.6 - 204.9 - - NM NM Segment income (loss) (52.8)$ (46.8)$ (33.3)$ (31.0)$ (34.2)$ (13%) (54%) Acquisition and disposition-related (gain) loss 0.2 - - - - NM NM Lease exit charges 0.4 - - - - NM NM Severance and long-term compensation charges 2.2 2.0 - - - NM NM Used vehicle inventory valuation adjustment 10.0 - - - - NM NM Adjusted segment income (loss) (40.0)$ (44.8)$ (33.3)$ (31.0)$ (34.2)$ 11% (17%) Reported gross profit 26.8$ 39.4$ 40.8$ 43.2$ 47.8$ (32%) (44%) Used vehicle inventory valuation adjustment 10.0 - - - - NM NM Adjusted gross profit 36.8$ 39.4$ 40.8$ 43.2$ 47.8$ (7%) (23%) Reported SG&A expenses (66.6)$ (73.8)$ (62.3)$ (63.4)$ (72.9)$ 10% 9% Acquisition and disposition-related (gain) loss 0.2 - - - - NM NM Lease exit charges 0.4 - - - - NM NM Severance and long-term compensation charges 2.2 2.0 - - - NM NM Adjusted SG&A expenses (63.8)$ (71.8)$ (62.3)$ (63.4)$ (72.9)$ 11% 13% Adjusted SG&A expenses as a percentage of gross profit 173.5% 182.1% 152.8% 146.8% 152.6% 860 bps (2,090) bps Income (loss) before taxes (115.4)$ (46.8)$ (238.2)$ (31.0)$ (34.2)$ NM NM Non-floor plan interest 0.8 0.9 0.9 1.1 1.0 NM NM Depreciation and amortization 7.6 7.0 7.0 6.8 5.9 NM NM Lease exit charges 0.4 - - - - NM NM Impairment charges 62.6 - 204.9 - - NM NM Long-term compensation charges 2.2 2.0 - - - NM NM Used vehicle inventory valuation adjustment 10.0 - - - - NM NM Adjusted EBITDA (31.8)$ (36.9)$ (25.4)$ (23.2)$ (27.3)$ (14%) 16%

37 GAAP Income Statement – Quarterly Trend – Powersports Segment NM = Not MeaningfulNote: Gross Profit Per Unit Metrics Are Calculated Based On Actual Unrounded Amounts Q2 2023 Better / (Worse) % Change (In millions, except unit and per unit data) Q2 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Sequential Year-Over-Year Revenues: Retail new vehicles 24.9$ 20.8$ 18.8$ 10.6$ 1.3$ 20% NM Used vehicles 7.4 4.8 2.1 2.0 1.9 54% NM Wholesale vehicles 0.4 0.2 0.1 - 0.1 NM NM Total vehicles 32.7 25.8 21.0 12.6 3.3 27% NM Parts, service and collision repair 10.3 6.7 6.3 3.5 1.1 54% NM Finance, insurance and other, net ("F&I") 2.0 1.5 1.3 0.9 0.3 31% NM Total revenues 45.0 34.0 28.6 17.0 4.7 33% NM Gross profit: NM Retail new vehicles 4.5 4.0 3.6 2.1 0.4 14% NM Used vehicles 1.3 1.0 0.7 0.6 0.5 30% NM Wholesale vehicles - - - - - NM NM Total vehicles 5.8 5.0 4.3 2.7 0.9 17% NM Parts, service and collision repair 5.0 3.3 3.1 1.8 0.5 52% NM Finance, insurance and other, net 2.0 1.5 1.3 0.9 0.3 31% NM Total gross profit 12.8 9.8 8.7 5.4 1.7 31% NM SG&A expenses (9.2) (7.8) (5.9) (3.6) (2.3) (17%) NM Impairment charges - - - - - NM NM Depreciation and amortization (0.8) (0.8) (0.6) (0.2) (0.1) (16%) NM Operating income (loss) 2.8 1.2 2.2 1.6 (0.7) 128% NM Interest expense, floor plan (0.3) (0.1) - - - NM NM Interest expense, other, net (0.5) (0.6) (0.6) (0.4) - 4% NM Other income (expense), net - 0.1 0.2 - - NM NM Income (loss) before taxes 2.0$ 0.6$ 1.8$ 1.2$ (0.7)$ 236% NM Unit sales volume: Retail new vehicles 1,396 1,107 1,013 490 48 26% NM Used vehicles 691 444 237 177 112 56% NM Wholesale vehicles 50 7 34 1 - NM NM Gross profit per unit ("GPU"): Retail new vehicles 3,235$ 3,573$ 3,535$ 4,304$ 7,401$ (9%) NM Used vehicles 1,942$ 2,328$ 2,860$ 3,328$ 4,196$ (17%) NM F&I 952$ 980$ 1,026$ 1,297$ 1,933$ (3%) NM

38 Non-GAAP Reconciliation – Quarterly Trend – Powersports Segment NM = Not MeaningfulNote: SG&A Expenses As A Percentage Of Gross Profit Metrics Are Calculated Based On Actual Unrounded Amounts Q2 2023 Better / (Worse) % Change (In millions) Q2 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Sequential Year-Over-Year Reported income (loss) before taxes 2.0$ 0.6$ 1.8$ 1.2$ (0.7)$ 236% NM Impairment charges - - - - - NM NM Segment income (loss) 2.0$ 0.6$ 1.8$ 1.2$ (0.7)$ 236% NM Reported SG&A expenses (9.2)$ (7.8)$ (5.9)$ (3.6)$ (2.3)$ (17%) NM Reported SG&A expenses as a percentage of gross profit 71.6% 80.1% 68.4% 66.2% 135.2% 850 bps NM Income (loss) before taxes 2.0$ 0.6$ 1.8$ 1.2$ (0.7)$ NM NM Non-floor plan interest 0.6 0.6 0.6 0.4 - NM NM Depreciation and amortization 0.8 0.7 0.5 0.2 0.1 NM NM Adjusted EBITDA 3.4$ 1.9$ 2.9$ 1.8$ (0.6)$ 79% NM

39 Non-GAAP Reconciliation – Adjusted EBITDA – EchoPark Segment (In millions) Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Income (loss) before taxes 0.2$ 1.7$ 2.1$ (14.5)$ 2.1$ 2.6$ 0.2$ (0.8)$ 2.0$ Non-floor plan interest 0.5 0.4 0.5 0.4 0.4 0.2 0.1 0.2 0.4 Depreciation and amortization 2.4 2.7 2.7 2.8 2.7 2.8 2.8 2.9 3.3 Loss (gain) on exit of leased dealerships - - - - - - - - - Impairment charges 1.9 - 1.1 16.6 - - - - - Long-term compensation charges - - - - - - - - 0.5 Acquisition and disposition-related (gain) loss - - - - - - - (5.2) - Used vehicle inventory adjustment - Adjusted EBITDA 5.0$ 4.8$ 6.4$ 5.3$ 5.2$ 5.6$ 3.1$ (2.9)$ 6.2$ (In millions) Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q22023 Income (loss) before taxes (14.4)$ (32.9)$ (26.8)$ (35.3)$ (34.2)$ (31.1)$ (238.2)$ (46.8)$ (115.4)$ Non-floor plan interest 0.3 0.3 0.7 0.7 1.0 1.1 0.9 0.9 0.8 Depreciation and amortization 4.2 4.0 4.9 5.1 5.9 6.8 7.0 7.0 7.4 Loss (gain) on exit of leased dealerships - - - - - - - - 0.4 Impairment charges - - 0.1 - - - 204.9 - 62.6 Long-term compensation charges 0.5 0.5 6.5 - - - - 2.0 2.2 Acquisition and disposition-related (gain) loss - (0.4) - - - - - - 0.2 Used vehicle inventory adjustment - - - - - - - - 10.0 Adjusted EBITDA (9.4)$ (28.5)$ (14.6)$ (29.5)$ (27.3)$ (23.2)$ (25.4)$ (36.9)$ (31.8)$

® Investor Relations Contact: Danny Wieland, Vice President, Investor Relations & Financial Reporting Sonic Automotive Inc. (NYSE: SAH) Email: ir@sonicautomotive.com Investor Relations Website: ir.sonicautomotive.com

XML

Document	Jul. 27, 2023
Cover [Abstract]
Document Type	8-K
Document Period End Date	Jul. 27, 2023
Entity Registrant Name	SONIC AUTOMOTIVE, INC.
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Entity Emerging Growth Company	false
Title of 12(b) Security	Class A Common Stock, par value $0.01 per share
Entity File Number	1-13395
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	56-2010790
Entity Address, Address Line One	4401 Colwick Road
Entity Address, City or Town	Charlotte,
Entity Address, State or Province	NC
Entity Address, Postal Zip Code	28211
City Area Code	(704)
Local Phone Number	566-2400
Pre-commencement Issuer Tender Offer	false
Trading Symbol	SAH
Security Exchange Name	NYSE
Amendment Flag	false
Entity Central Index Key	0001043509