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): November 8, 2013
SONIC AUTOMOTIVE, INC.
(Exact name of registrant as specified in its charter)
Delaware | 1-13395 | 56-201079 | ||
(State or other jurisdiction of incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) | ||
4401 Colwick Road Charlotte, North Carolina |
28211 | |||
(Address of principal executive offices) | (Zip Code) |
Registrants telephone number, including area code: (704) 566-2400
N/A
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02. Results of Operations and Financial Condition.
On November 8, 2013, we issued a press release announcing additional results for our fiscal quarter ended September 30, 2013.
A copy of the press release is attached hereto as Exhibit 99.1.
Item 9.01. Financial Statements and Exhibits.
(d) | Exhibits. |
99.1 | Press release of Sonic Automotive, Inc. dated November 8, 2013 |
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. | ||
By: | /s/ Stephen K. Coss | |
Stephen K. Coss | ||
Senior Vice President and General Counsel |
Dated: November 8, 2013
2
INDEX TO EXHIBITS
Exhibit No. |
Description | |
99.1 | Press release of Sonic Automotive, Inc. dated November 8, 2013 |
3
Exhibit 99.1
FOR IMMEDIATE RELEASE
Sonic Automotive, Inc. Reports 3rd Quarter Continuing
Operations EPS of $0.46 15% EPS Growth
CHARLOTTE, N.C. November 8, 2013 Sonic Automotive, Inc. (NYSE: SAH), one of the nations largest automotive retailers, today reported 2013 third quarter earnings from continuing operations of $24.7 million. Earnings from continuing operations per diluted share increased 15.0% to $0.46 compared to an adjusted $0.40 in the prior year quarter. Adjusted results in the third quarter of 2012 exclude a pre-tax charge of approximately $18.5 million, or $0.19 per diluted share, related to costs associated with retiring its outstanding 5.0% Convertible Senior Notes due 2029 (5% Notes).
Q3 2013 Highlights
| Total revenue up 5.4% compared to the prior year quarter |
| New revenue increased $65.4 million, or 5.5%, over prior year quarter |
| Pre-owned revenue increased $31.9 million, or 6.0%, over prior year quarter |
| All-time 3rd quarter record retailing 34,087 new units (excludes fleet) |
| All-time record retailing 27,632 pre-owned units |
| Pre-owned average quarterly volume per store per month at a record level - 91 units |
| Q3 record fixed operations gross profit of $149.1 million, up $8.6 million, or 6.1%, compared to the prior year quarter |
| Q3 record finance and insurance gross profit of $68.7 million, up 6.8%, and profit per retail unit of $1,114 |
| SG&A to gross profit % was 78.1%; adjusted for customer experience, pre-owned and SOX remediation costs discussed below amount was 76.7% |
| Acquired two luxury dealerships in Denver, CO |
Sonic is targeting adjusted fully diluted earnings per share from continuing operations at $1.96-$2.03 for the full year 2013.
About Sonic Automotive
Sonic Automotive, Inc., a Fortune 500 company based in Charlotte, N.C., is one of the nations largest automotive retailers. Sonic can be reached on the web at www.sonicautomotive.com.
Included herein are forward-looking statements, including statements with respect to anticipated growth in used vehicle sales, and future success and impacts from the implementation of our strategic initiatives. There are many factors that affect managements views about future events and trends of the Companys business. These factors involve risk and uncertainties that could cause actual results or trends to differ materially from managements view, including without limitation, economic conditions in the markets in which we operate, new and used vehicle industry sales volume, the success of our operational strategies, the rate and timing of overall economic recovery or decline, and the risk factors described in the Companys annual report on Form 10-K for the year ending December 31, 2012 and quarterly report on Form 10-Q for the period ended June 30, 2013. The Company does not undertake any obligation to update forward-looking information.
###
Contact: | Heath Byrd, Chief Financial Officer (704) 566-2400 C.G. Saffer, Vice President and Chief Accounting Officer (704) 566-2439 |
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(Dollars and shares in thousands, except per share amounts)
This release contains certain non-GAAP financial measures (the Adjusted columns) as defined under SEC rules, such as, but not limited to, adjusted income from continuing operations and related earnings per share data. The Company has reconciled these measures to the most directly comparable GAAP measures (the Reported columns) in the release. The Company believes that these non-GAAP financial measures improve the transparency of the Companys disclosure by providing period-to-period comparability of the Companys results from operations.
Third Quarter Ended September 30, 2013 | Third Quarter Ended September 30, 2012 | |||||||||||||||||||||||
Reported | Adjustments | Adjusted | Reported | Adjustments | Adjusted | |||||||||||||||||||
Revenues: |
||||||||||||||||||||||||
New retail vehicles |
$ | 1,219,525 | $ | | $ | 1,219,525 | $ | 1,158,524 | $ | | $ | 1,158,524 | ||||||||||||
Fleet vehicles |
41,745 | | 41,745 | 37,302 | | 37,302 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total new vehicles |
1,261,270 | | 1,261,270 | 1,195,826 | | 1,195,826 | ||||||||||||||||||
Used vehicles |
559,848 | | 559,848 | 527,914 | | 527,914 | ||||||||||||||||||
Wholesale vehicles |
42,731 | | 42,731 | 52,280 | | 52,280 | ||||||||||||||||||
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|
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|
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|
|||||||||||||
Total vehicles |
1,863,849 | | 1,863,849 | 1,776,020 | | 1,776,020 | ||||||||||||||||||
Parts, service and collision repair |
309,600 | | 309,600 | 287,311 | | 287,311 | ||||||||||||||||||
Finance, insurance and other |
68,747 | | 68,747 | 64,390 | | 64,390 | ||||||||||||||||||
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|
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|
|
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|
|||||||||||||
Total revenues |
2,242,196 | | 2,242,196 | 2,127,721 | | 2,127,721 | ||||||||||||||||||
Gross profit |
326,081 | | 326,081 | 304,428 | | 304,428 | ||||||||||||||||||
Selling, general and administrative expenses |
(254,564 | ) | | (254,564 | ) | (235,328 | ) | | (235,328 | ) | ||||||||||||||
Impairment charges |
(18 | ) | | (18 | ) | (23 | ) | | (23 | ) | ||||||||||||||
Depreciation and amortization |
(13,744 | ) | | (13,744 | ) | (11,295 | ) | | (11,295 | ) | ||||||||||||||
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|
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|
|||||||||||||
Operating income (loss) |
57,755 | | 57,755 | 57,782 | | 57,782 | ||||||||||||||||||
Other income (expense): |
||||||||||||||||||||||||
Interest expense, floor plan |
(5,463 | ) | | (5,463 | ) | (4,799 | ) | | (4,799 | ) | ||||||||||||||
Interest expense, other, net |
(13,553 | ) | | (13,553 | ) | (15,632 | ) | 1,167 | (1) | (14,465 | ) | |||||||||||||
Other income (expense), net |
29 | | 29 | (17,274 | ) | 17,320 | (2) | 46 | ||||||||||||||||
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|
|||||||||||||
Total other income (expense) |
(18,987 | ) | | (18,987 | ) | (37,705 | ) | 18,487 | (19,218 | ) | ||||||||||||||
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|||||||||||||
Income (loss) from continuing operations before taxes |
38,768 | | 38,768 | 20,077 | 18,487 | 38,564 | ||||||||||||||||||
Provision for income taxes - benefit (expense) |
(14,066 | ) | | (14,066 | ) | (7,751 | ) | (7,210 | ) | (14,961 | ) | |||||||||||||
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|||||||||||||
Income (loss) from continuing operations |
24,702 | | 24,702 | 12,326 | 11,277 | 23,603 | ||||||||||||||||||
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|
|||||||||||||
Income (loss) from discontinued operations |
(1,375 | ) | | (1,375 | ) | (2,284 | ) | | (2,284 | ) | ||||||||||||||
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|||||||||||||
Net income (loss) |
$ | 23,327 | $ | | $ | 23,327 | $ | 10,042 | $ | 11,277 | $ | 21,319 | ||||||||||||
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Diluted earnings (loss) per common share: |
||||||||||||||||||||||||
Earnings (loss) per share from continuing operations |
$ | 0.46 | $ | | $ | 0.46 | $ | 0.22 | $ | 0.18 | $ | 0.40 | ||||||||||||
Earnings (loss) per share from discontinued operations |
(0.02 | ) | | (0.02 | ) | (0.04 | ) | 0.01 | (0.03 | ) | ||||||||||||||
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Earnings (loss) per common share |
$ | 0.44 | $ | | $ | 0.44 | $ | 0.18 | $ | 0.19 | $ | 0.37 | ||||||||||||
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|||||||||||||
Weighted average common shares outstanding |
52,918 | 52,918 | 59,011 | 59,011 | ||||||||||||||||||||
Gross Margin Data (Continuing Operations): |
||||||||||||||||||||||||
New retail vehicles |
5.9 | % | 5.9 | % | 5.7 | % | 5.7 | % | ||||||||||||||||
Fleet vehicles |
2.5 | % | 2.5 | % | 2.5 | % | 2.5 | % | ||||||||||||||||
Total new vehicles |
5.7 | % | 5.7 | % | 5.6 | % | 5.6 | % | ||||||||||||||||
Used vehicles |
7.0 | % | 7.0 | % | 6.7 | % | 6.7 | % | ||||||||||||||||
Wholesale vehicles |
(7.5 | %) | (7.5 | %) | (6.5 | %) | (6.5 | %) | ||||||||||||||||
Parts, service and collision repair |
48.2 | % | 48.2 | % | 48.9 | % | 48.9 | % | ||||||||||||||||
Finance, insurance and other |
100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | ||||||||||||||||
Overall gross margin |
14.5 | % | 14.5 | % | 14.3 | % | 14.3 | % | ||||||||||||||||
SG&A Expenses (Continuing Operations): |
||||||||||||||||||||||||
Compensation |
$ | 151,683 | $ | 140,771 | ||||||||||||||||||||
Advertising |
14,132 | 12,498 | ||||||||||||||||||||||
Rent |
18,901 | 18,619 | ||||||||||||||||||||||
Other |
69,848 | 63,440 | ||||||||||||||||||||||
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|
|||||||||||||
Total SG&A expenses |
$ | 254,564 | $ | | $ | 254,564 | $ | 235,328 | $ | | $ | 235,328 | ||||||||||||
SG&A expenses as % of gross profit |
78.1 | % | 78.1 | % | 77.3 | % | 77.3 | % | ||||||||||||||||
Operating Margin % |
2.6 | % | 2.6 | % | 2.7 | % | 2.7 | % | ||||||||||||||||
Unit Data (Continuing Operations): |
||||||||||||||||||||||||
New retail units |
34,087 | 33,264 | ||||||||||||||||||||||
Fleet units |
1,451 | 1,325 | ||||||||||||||||||||||
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|
|||||||||||||||||||||
Total new units |
35,538 | 34,589 | ||||||||||||||||||||||
Used units |
27,632 | 26,610 | ||||||||||||||||||||||
Wholesale units |
7,641 | 8,931 |
(1) | Represents double-carry interest on the 7.0% Senior Subordinated Notes. |
(2) | Represents loss on extinguishment of the 5.0% Convertible Senior Notes. |
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(Dollars and shares in thousands, except per share amounts)
Nine Months Ended September 30, 2013 | Nine Months Ended September 30, 2012 | |||||||||||||||||||||||
Reported | Adjustments | Adjusted | Reported | Adjustments | Adjusted | |||||||||||||||||||
Revenues: |
||||||||||||||||||||||||
New retail vehicles |
$ | 3,520,343 | $ | | $ | 3,520,343 | $ | 3,286,285 | $ | | $ | 3,286,285 | ||||||||||||
Fleet vehicles |
131,143 | | 131,143 | 126,585 | | 126,585 | ||||||||||||||||||
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|
|
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|
|
|
|||||||||||||
Total new vehicles |
3,651,486 | | 3,651,486 | 3,412,870 | | 3,412,870 | ||||||||||||||||||
Used vehicles |
1,625,006 | | 1,625,006 | 1,564,414 | | 1,564,414 | ||||||||||||||||||
Wholesale vehicles |
134,556 | | 134,556 | 138,506 | | 138,506 | ||||||||||||||||||
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|
|
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|
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|
|||||||||||||
Total vehicles |
5,411,048 | | 5,411,048 | 5,115,790 | | 5,115,790 | ||||||||||||||||||
Parts, service and collision repair |
913,290 | | 913,290 | 875,206 | | 875,206 | ||||||||||||||||||
Finance, insurance and other |
203,461 | | 203,461 | 185,737 | | 185,737 | ||||||||||||||||||
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|
|||||||||||||
Total revenues |
6,527,799 | | 6,527,799 | 6,176,733 | | 6,176,733 | ||||||||||||||||||
Gross profit |
962,907 | | 962,907 | 921,034 | | 921,034 | ||||||||||||||||||
Selling, general and administrative expenses |
(748,479 | ) | | (748,479 | ) | (712,228 | ) | | (712,228 | ) | ||||||||||||||
Impairment charges |
(69 | ) | | (69 | ) | (57 | ) | | (57 | ) | ||||||||||||||
Depreciation and amortization |
(39,020 | ) | | (39,020 | ) | (33,399 | ) | | (33,399 | ) | ||||||||||||||
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|
|||||||||||||
Operating income (loss) |
175,339 | | 175,339 | 175,350 | | 175,350 | ||||||||||||||||||
Other income (expense): |
||||||||||||||||||||||||
Interest expense, floor plan |
(16,267 | ) | | (16,267 | ) | (13,919 | ) | | (13,919 | ) | ||||||||||||||
Interest expense, other, net |
(42,302 | ) | 788 | (1) | (41,514 | ) | (45,875 | ) | 1,167 | (3) | (44,708 | ) | ||||||||||||
Other income (expense), net |
(28,143 | ) | 28,235 | (2) | 92 | (19,809 | ) | 19,898 | (4) | 89 | ||||||||||||||
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|||||||||||||
Total other income (expense) |
(86,712 | ) | 29,023 | (57,689 | ) | (79,603 | ) | 21,065 | (58,538 | ) | ||||||||||||||
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Income (loss) from continuing operations before taxes |
88,627 | 29,023 | 117,650 | 95,747 | 21,065 | 116,812 | ||||||||||||||||||
Provision for income taxes - benefit (expense) |
(33,510 | ) | (11,319 | ) | (44,829 | ) | (33,277 | ) | (11,784 | )(5) | (45,061 | ) | ||||||||||||
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|||||||||||||
Income (loss) from continuing operations |
55,117 | 17,704 | 72,821 | 62,470 | 9,281 | 71,751 | ||||||||||||||||||
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Income (loss) from discontinued operations |
(1,582 | ) | | (1,582 | ) | (3,751 | ) | | (3,751 | ) | ||||||||||||||
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Net income (loss) |
$ | 53,535 | $ | 17,704 | $ | 71,239 | $ | 58,719 | $ | 9,281 | $ | 68,000 | ||||||||||||
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Diluted earnings (loss) per common share: |
||||||||||||||||||||||||
Earnings (loss) per share from continuing operations |
$ | 1.03 | $ | 0.34 | $ | 1.37 | $ | 1.06 | $ | 0.15 | $ | 1.21 | ||||||||||||
Earnings (loss) per share from discontinued operations |
(0.03 | ) | | (0.03 | ) | (0.06 | ) | | (0.06 | ) | ||||||||||||||
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Earnings (loss) per common share |
$ | 1.00 | $ | 0.34 | $ | 1.34 | $ | 1.00 | $ | 0.15 | $ | 1.15 | ||||||||||||
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Weighted average common shares outstanding |
52,930 | 52,930 | 62,300 | 62,300 | ||||||||||||||||||||
Gross Margin Data (Continuing Operations): |
||||||||||||||||||||||||
New retail vehicles |
5.8 | % | 5.8 | % | 6.0 | % | 6.0 | % | ||||||||||||||||
Fleet vehicles |
2.7 | % | 2.7 | % | 2.9 | % | 2.9 | % | ||||||||||||||||
Total new vehicles |
5.7 | % | 5.7 | % | 5.9 | % | 5.9 | % | ||||||||||||||||
Used vehicles |
7.1 | % | 7.1 | % | 7.1 | % | 7.1 | % | ||||||||||||||||
Wholesale vehicles |
(4.7 | %) | (4.7 | %) | (3.2 | %) | (3.2 | %) | ||||||||||||||||
Parts, service and collision repair |
48.7 | % | 48.7 | % | 48.9 | % | 48.9 | % | ||||||||||||||||
Finance, insurance and other |
100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | ||||||||||||||||
Overall gross margin |
14.8 | % | 14.8 | % | 14.9 | % | 14.9 | % | ||||||||||||||||
SG&A Expenses (Continuing Operations): |
||||||||||||||||||||||||
Compensation |
$ | 449,791 | $ | 426,463 | ||||||||||||||||||||
Advertising |
41,282 | 37,107 | ||||||||||||||||||||||
Rent |
56,344 | 57,198 | ||||||||||||||||||||||
Other |
201,062 | 191,460 | ||||||||||||||||||||||
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|
|||||||||||||
Total SG&A expenses |
$ | 748,479 | $ | | $ | 748,479 | $ | 712,228 | $ | | $ | 712,228 | ||||||||||||
SG&A expenses as % of gross profit |
77.7 | % | 77.7 | % | 77.3 | % | 77.3 | % | ||||||||||||||||
Operating Margin % |
2.7 | % | 2.7 | % | 2.8 | % | 2.8 | % | ||||||||||||||||
Unit Data (Continuing Operations): |
||||||||||||||||||||||||
New retail units |
98,362 | 94,869 | ||||||||||||||||||||||
Fleet units |
4,661 | 4,616 | ||||||||||||||||||||||
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|
|
|||||||||||||||||||||
Total new units |
103,023 | 99,485 | ||||||||||||||||||||||
Used units |
80,700 | 78,613 | ||||||||||||||||||||||
Wholesale units |
23,291 | 23,736 |
(1) | Represents double-carry interest on the 9.0% Senior Subordinated Notes. |
(2) | Represents loss on extinguishment of the 9.0% Senior Subordinated Notes. |
(3) | Represents double-carry interest on the 7.0% Senior Subordinated Notes. |
(4) | Represents loss on extinguishment of the 5.0% Convertible Senior Notes. |
(5) | Includes tax adjustments related to the settlement of certain tax matters. |
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(Dollars and shares in thousands, except per share amounts)
Per Share Data
Third Quarter Ended September 30, 2013 | ||||||||||||||||||||||||||||
Income (Loss) | Income (Loss) | |||||||||||||||||||||||||||
From Continuing | From Discontinued | |||||||||||||||||||||||||||
Operations | Operations | Net Income (Loss) | ||||||||||||||||||||||||||
Weighted | Per | Per | Per | |||||||||||||||||||||||||
Average | Share | Share | Share | |||||||||||||||||||||||||
Shares | Amount | Amount | Amount | Amount | Amount | Amount | ||||||||||||||||||||||
Reported: |
||||||||||||||||||||||||||||
Earnings (loss) and shares |
52,553 | $ | 24,702 | $ | (1,375 | ) | $ | 23,327 | ||||||||||||||||||||
Effect of participating securities: |
||||||||||||||||||||||||||||
Non-vested restricted stock and stock units |
(172 | ) | | (172 | ) | |||||||||||||||||||||||
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Basic earnings (loss) and shares |
52,553 | $ | 24,530 | $ | 0.47 | $ | (1,375 | ) | $ | (0.03 | ) | $ | 23,155 | $ | 0.44 | |||||||||||||
Effect of dilutive securities: |
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Stock compensation plans |
365 | |||||||||||||||||||||||||||
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Diluted earnings (loss) and shares |
52,918 | $ | 24,530 | $ | 0.46 | $ | (1,375 | ) | $ | (0.02 | ) | $ | 23,155 | $ | 0.44 | |||||||||||||
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Third Quarter Ended September 30, 2012 | ||||||||||||||||||||||||||||
Income (Loss) | Income (Loss) | |||||||||||||||||||||||||||
From Continuing | From Discontinued | |||||||||||||||||||||||||||
Operations | Operations | Net Income (Loss) | ||||||||||||||||||||||||||
Weighted | Per | Per | Per | |||||||||||||||||||||||||
Average | Share | Share | Share | |||||||||||||||||||||||||
Shares | Amount | Amount | Amount | Amount | Amount | Amount | ||||||||||||||||||||||
Reported: |
||||||||||||||||||||||||||||
Earnings (loss) and shares |
55,069 | $ | 12,326 | $ | (2,284 | ) | $ | 10,042 | ||||||||||||||||||||
Effect of participating securities: |
||||||||||||||||||||||||||||
Non-vested restricted stock and stock units |
(182 | ) | | (182 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Basic earnings (loss) and shares |
55,069 | $ | 12,144 | $ | 0.22 | $ | (2,284 | ) | $ | (0.04 | ) | $ | 9,860 | $ | 0.18 | |||||||||||||
Effect of dilutive securities: |
||||||||||||||||||||||||||||
Contingently convertible debt (5.0% Convertible Notes) |
3,534 | 618 | 2 | 620 | ||||||||||||||||||||||||
Stock compensation plans |
408 | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Diluted earnings (loss) and shares |
59,011 | $ | 12,762 | $ | 0.22 | $ | (2,282 | ) | $ | (0.04 | ) | $ | 10,480 | $ | 0.18 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Adjustments (net of tax): |
||||||||||||||||||||||||||||
Double-carry interest |
$ | 712 | $ | 0.01 | $ | | $ | | $ | 712 | $ | 0.01 | ||||||||||||||||
Debt extinguishment charges |
10,565 | 0.17 | | | 10,565 | 0.17 | ||||||||||||||||||||||
Effect of two-class method & rounding |
| | | 0.01 | | 0.01 | ||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total adjustments |
$ | 11,277 | $ | 0.18 | $ | | $ | 0.01 | $ | 11,277 | $ | 0.19 | ||||||||||||||||
Adjusted: |
||||||||||||||||||||||||||||
|
|
|
|
|
|
|||||||||||||||||||||||
Diluted earnings (loss) per share |
$ | 0.40 | $ | (0.03 | ) | $ | 0.37 | |||||||||||||||||||||
|
|
|
|
|
|
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(Dollars and shares in thousands, except per share amounts)
Per Share Data
Nine Months Ended September 30, 2013 | ||||||||||||||||||||||||||||
Income (Loss) From Continuing Operations |
Income (Loss) From Discontinued Operations |
Net Income (Loss) | ||||||||||||||||||||||||||
Weighted Average Shares |
Amount | Per Share Amount |
Amount | Per Share Amount |
Amount | Per Share Amount |
||||||||||||||||||||||
Reported: |
||||||||||||||||||||||||||||
Earnings (loss) and shares |
52,578 | $ | 55,117 | $ | (1,582 | ) | $ | 53,535 | ||||||||||||||||||||
Effect of participating securities: |
||||||||||||||||||||||||||||
Non-vested restricted stock and stock units |
(393 | ) | | (393 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Basic earnings (loss) and shares |
52,578 | $ | 54,724 | $ | 1.04 | $ | (1,582 | ) | $ | (0.03 | ) | $ | 53,142 | $ | 1.01 | |||||||||||||
Effect of dilutive securities: |
||||||||||||||||||||||||||||
Stock compensation plans |
352 | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Diluted earnings (loss) and shares |
52,930 | $ | 54,724 | $ | 1.03 | $ | (1,582 | ) | $ | (0.03 | ) | $ | 53,142 | $ | 1.00 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Adjustments (net of tax): |
||||||||||||||||||||||||||||
Double-carry interest |
$ | 481 | $ | 0.01 | $ | | $ | | $ | 481 | $ | 0.01 | ||||||||||||||||
Debt extinguishment charges |
17,223 | 0.33 | | | 17,223 | 0.33 | ||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total adjustments |
$ | 17,704 | $ | 0.34 | $ | | $ | | $ | 17,704 | $ | 0.34 | ||||||||||||||||
Adjusted: |
||||||||||||||||||||||||||||
|
|
|
|
|
|
|||||||||||||||||||||||
Diluted earnings (loss) per share |
$ | 1.37 | $ | (0.03 | ) | $ | 1.34 | |||||||||||||||||||||
|
|
|
|
|
|
Nine Months Ended September 30, 2012 | ||||||||||||||||||||||||||||
Income (Loss) | Income (Loss) | |||||||||||||||||||||||||||
From Continuing | From Discontinued | |||||||||||||||||||||||||||
Operations | Operations | Net Income (Loss) | ||||||||||||||||||||||||||
Weighted | Per | Per | Per | |||||||||||||||||||||||||
Average | Share | Share | Share | |||||||||||||||||||||||||
Shares | Amount | Amount | Amount | Amount | Amount | Amount | ||||||||||||||||||||||
Reported: |
||||||||||||||||||||||||||||
Earnings (loss) and shares |
53,302 | $ | 62,470 | $ | (3,751 | ) | $ | 58,719 | ||||||||||||||||||||
Effect of participating securities: |
||||||||||||||||||||||||||||
Non-vested restricted stock and stock units |
(949 | ) | | (949 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Basic earnings (loss) and shares |
53,302 | $ | 61,521 | $ | 1.15 | $ | (3,751 | ) | $ | (0.07 | ) | $ | 57,770 | $ | 1.08 | |||||||||||||
Effect of dilutive securities: |
||||||||||||||||||||||||||||
Contingently convertible debt (5.0% Convertible Notes) |
8,563 | 4,599 | 82 | 4,681 | ||||||||||||||||||||||||
Stock compensation plans |
435 | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Diluted earnings (loss) and shares |
62,300 | $ | 66,120 | $ | 1.06 | $ | (3,669 | ) | $ | (0.06 | ) | $ | 62,451 | $ | 1.00 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Adjustments (net of tax): |
||||||||||||||||||||||||||||
Double-carry interest |
$ | 712 | $ | 0.01 | $ | | $ | | $ | 712 | $ | 0.01 | ||||||||||||||||
Debt extinguishment charges |
12,138 | 0.20 | | | 12,138 | 0.20 | ||||||||||||||||||||||
Settlement of tax matters |
(3,569 | ) | (0.06 | ) | | | (3,569 | ) | (0.06 | ) | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total adjustments |
$ | 9,281 | $ | 0.15 | $ | | $ | | $ | 9,281 | $ | 0.15 | ||||||||||||||||
Adjusted: |
||||||||||||||||||||||||||||
|
|
|
|
|
|
|||||||||||||||||||||||
Diluted earnings (loss) per share |
$ | 1.21 | $ | (0.06 | ) | $ | 1.15 | |||||||||||||||||||||
|
|
|
|
|
|
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(In thousands, except units and per unit data)
New Vehicles
Third Quarter Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Reported: |
||||||||||||||||
Revenue |
$ | 1,261,270 | $ | 1,195,826 | $ | 65,444 | 5.5 | % | ||||||||
Gross profit |
$ | 72,408 | $ | 67,312 | $ | 5,096 | 7.6 | % | ||||||||
Unit sales |
35,538 | 34,589 | 949 | 2.7 | % | |||||||||||
Revenue per unit |
$ | 35,491 | $ | 34,572 | $ | 919 | 2.7 | % | ||||||||
Gross profit per unit |
$ | 2,037 | $ | 1,946 | $ | 91 | 4.7 | % | ||||||||
Gross profit as a % of revenue |
5.7 | % | 5.6 | % | 10 | bps | ||||||||||
Nine Months Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Reported: |
||||||||||||||||
Revenue |
$ | 3,651,486 | $ | 3,412,870 | $ | 238,616 | 7.0 | % | ||||||||
Gross profit |
$ | 206,668 | $ | 200,968 | $ | 5,700 | 2.8 | % | ||||||||
Unit sales |
103,023 | 99,485 | 3,538 | 3.6 | % | |||||||||||
Revenue per unit |
$ | 35,443 | $ | 34,305 | $ | 1,138 | 3.3 | % | ||||||||
Gross profit per unit |
$ | 2,006 | $ | 2,020 | $ | (14 | ) | (0.7 | %) | |||||||
Gross profit as a % of revenue |
5.7 | % | 5.9 | % | (20 | ) | bps | |||||||||
Third Quarter Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Same Store: |
||||||||||||||||
Revenue |
$ | 1,251,683 | $ | 1,195,826 | $ | 55,857 | 4.7 | % | ||||||||
Gross profit |
$ | 71,605 | $ | 67,443 | $ | 4,162 | 6.2 | % | ||||||||
Unit sales |
35,364 | 34,589 | 775 | 2.2 | % | |||||||||||
Revenue per unit |
$ | 35,394 | $ | 34,572 | $ | 822 | 2.4 | % | ||||||||
Gross profit per unit |
$ | 2,025 | $ | 1,950 | $ | 75 | 3.8 | % | ||||||||
Gross profit as a % of revenue |
5.7 | % | 5.6 | % | 10 | bps | ||||||||||
Nine Months Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Same Store: |
||||||||||||||||
Revenue |
$ | 3,641,900 | $ | 3,412,870 | $ | 229,030 | 6.7 | % | ||||||||
Gross profit |
$ | 205,894 | $ | 201,687 | $ | 4,207 | 2.1 | % | ||||||||
Unit sales |
102,849 | 99,485 | 3,364 | 3.4 | % | |||||||||||
Revenue per unit |
$ | 35,410 | $ | 34,305 | $ | 1,105 | 3.2 | % | ||||||||
Gross profit per unit |
$ | 2,002 | $ | 2,027 | $ | (25 | ) | (1.2 | %) | |||||||
Gross profit as a % of revenue |
5.7 | % | 5.9 | % | (20 | ) | bps |
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(In thousands, except units and per unit data)
Used Vehicles
Third Quarter Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Reported: |
||||||||||||||||
Revenue |
$ | 559,848 | $ | 527,914 | $ | 31,934 | 6.0 | % | ||||||||
Gross profit |
$ | 38,976 | $ | 35,562 | $ | 3,414 | 9.6 | % | ||||||||
Unit sales |
27,632 | 26,610 | 1,022 | 3.8 | % | |||||||||||
Revenue per unit |
$ | 20,261 | $ | 19,839 | $ | 422 | 2.1 | % | ||||||||
Gross profit per unit |
$ | 1,411 | $ | 1,336 | $ | 75 | 5.6 | % | ||||||||
Gross profit as a % of revenue |
7.0 | % | 6.7 | % | 30 | bps | ||||||||||
Nine Months Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Reported: |
||||||||||||||||
Revenue |
$ | 1,625,006 | $ | 1,564,414 | $ | 60,592 | 3.9 | % | ||||||||
Gross profit |
$ | 114,615 | $ | 110,679 | $ | 3,936 | 3.6 | % | ||||||||
Unit sales |
80,700 | 78,613 | 2,087 | 2.7 | % | |||||||||||
Revenue per unit |
$ | 20,136 | $ | 19,900 | $ | 236 | 1.2 | % | ||||||||
Gross profit per unit |
$ | 1,420 | $ | 1,408 | $ | 12 | 0.9 | % | ||||||||
Gross profit as a % of revenue |
7.1 | % | 7.1 | % | 0 | bps | ||||||||||
Third Quarter Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Same Store: |
||||||||||||||||
Revenue |
$ | 554,361 | $ | 527,914 | $ | 26,447 | 5.0 | % | ||||||||
Gross profit |
$ | 38,587 | $ | 34,074 | $ | 4,513 | 13.2 | % | ||||||||
Unit sales |
27,444 | 26,610 | 834 | 3.1 | % | |||||||||||
Revenue per unit |
$ | 20,200 | $ | 19,839 | $ | 361 | 1.8 | % | ||||||||
Gross profit per unit |
$ | 1,406 | $ | 1,280 | $ | 126 | 9.8 | % | ||||||||
Gross profit as a % of revenue |
7.0 | % | 6.5 | % | 50 | bps | ||||||||||
Nine Months Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Same Store: |
||||||||||||||||
Revenue |
$ | 1,619,519 | $ | 1,564,414 | $ | 55,105 | 3.5 | % | ||||||||
Gross profit |
$ | 114,104 | $ | 109,984 | $ | 4,120 | 3.7 | % | ||||||||
Unit sales |
80,512 | 78,613 | 1,899 | 2.4 | % | |||||||||||
Revenue per unit |
$ | 20,115 | $ | 19,900 | $ | 215 | 1.1 | % | ||||||||
Gross profit per unit |
$ | 1,417 | $ | 1,399 | $ | 18 | 1.3 | % | ||||||||
Gross profit as a % of revenue |
7.0 | % | 7.0 | % | 0 | bps |
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(In thousands, except units and per unit data)
Wholesale Vehicles
Third Quarter Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Reported: |
||||||||||||||||
Revenue |
$ | 42,731 | $ | 52,280 | $ | (9,549 | ) | (18.3 | %) | |||||||
Gross profit (loss) |
$ | (3,197 | ) | $ | (3,394 | ) | $ | 197 | 5.8 | % | ||||||
Unit sales |
7,641 | 8,931 | (1,290 | ) | (14.4 | %) | ||||||||||
Revenue per unit |
$ | 5,592 | $ | 5,854 | $ | (262 | ) | (4.5 | %) | |||||||
Gross profit (loss) per unit |
$ | (418 | ) | $ | (380 | ) | $ | (38 | ) | (10.0 | %) | |||||
Gross profit (loss) as a % of revenue |
(7.5 | %) | (6.5 | %) | (100 | ) | bps | |||||||||
Nine Months Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Reported: |
||||||||||||||||
Revenue |
$ | 134,556 | $ | 138,506 | $ | (3,950 | ) | (2.9 | %) | |||||||
Gross profit (loss) |
$ | (6,343 | ) | $ | (4,399 | ) | $ | (1,944 | ) | (44.2 | %) | |||||
Unit sales |
23,291 | 23,736 | (445 | ) | (1.9 | %) | ||||||||||
Revenue per unit |
$ | 5,777 | $ | 5,835 | $ | (58 | ) | (1.0 | %) | |||||||
Gross profit (loss) per unit |
$ | (272 | ) | $ | (185 | ) | $ | (87 | ) | (47.0 | %) | |||||
Gross profit (loss) as a % of revenue |
(4.7 | %) | (3.2 | %) | (150 | ) | bps | |||||||||
Third Quarter Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Same Store: |
||||||||||||||||
Revenue |
$ | 42,433 | $ | 52,280 | $ | (9,847 | ) | (18.8 | %) | |||||||
Gross loss |
$ | (3,191 | ) | $ | (3,394 | ) | $ | 203 | 6.0 | % | ||||||
Unit sales |
7,612 | 8,931 | (1,319 | ) | (14.8 | %) | ||||||||||
Revenue per unit |
$ | 5,574 | $ | 5,854 | $ | (280 | ) | (4.8 | %) | |||||||
Gross loss per unit |
$ | (419 | ) | $ | (380 | ) | $ | (39 | ) | (10.3 | %) | |||||
Gross loss as a % of revenue |
(7.5 | %) | (6.5 | %) | (100 | ) | bps | |||||||||
Nine Months Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Same Store: |
||||||||||||||||
Revenue |
$ | 134,257 | $ | 138,506 | $ | (4,249 | ) | (3.1 | %) | |||||||
Gross loss |
$ | (6,336 | ) | $ | (4,399 | ) | $ | (1,937 | ) | (44.0 | %) | |||||
Unit sales |
23,262 | 23,736 | (474 | ) | (2.0 | %) | ||||||||||
Revenue per unit |
$ | 5,772 | $ | 5,835 | $ | (63 | ) | (1.1 | %) | |||||||
Gross loss per unit |
$ | (272 | ) | $ | (185 | ) | $ | (87 | ) | (47.0 | %) | |||||
Gross loss as a % of revenue |
(4.7 | %) | (3.2 | %) | (150 | ) | bps |
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(In thousands)
Parts, Service and Collision Repair (Fixed Operations)
Third Quarter Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Reported: |
||||||||||||||||
Revenue |
||||||||||||||||
Customer Pay |
$ | 137,106 | $ | 131,126 | $ | 5,980 | 4.6 | % | ||||||||
Warranty |
45,405 | 40,632 | 4,773 | 11.7 | % | |||||||||||
Wholesale Parts |
43,349 | 37,720 | 5,629 | 14.9 | % | |||||||||||
Internal, Sublet & Other |
83,740 | 77,833 | 5,907 | 7.6 | % | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 309,600 | $ | 287,311 | $ | 22,289 | 7.8 | % | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross profit |
||||||||||||||||
Customer Pay |
$ | 75,203 | $ | 71,939 | $ | 3,264 | 4.5 | % | ||||||||
Warranty |
24,374 | 21,225 | 3,149 | 14.8 | % | |||||||||||
Wholesale Parts |
7,881 | 7,249 | 632 | 8.7 | % | |||||||||||
Internal, Sublet & Other |
41,689 | 40,145 | 1,544 | 3.8 | % | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 149,147 | $ | 140,558 | $ | 8,589 | 6.1 | % | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross profit as a % of revenue |
||||||||||||||||
Customer Pay |
54.9 | % | 54.9 | % | 0 | bps | ||||||||||
Warranty |
53.7 | % | 52.2 | % | 150 | bps | ||||||||||
Wholesale Parts |
18.2 | % | 19.2 | % | (100 | ) | bps | |||||||||
Internal, Sublet & Other |
49.8 | % | 51.6 | % | (180 | ) | bps | |||||||||
|
|
|
|
|
|
|||||||||||
Total |
48.2 | % | 48.9 | % | (70 | ) | bps | |||||||||
Nine Months Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Reported: |
||||||||||||||||
Revenue |
||||||||||||||||
Customer Pay |
$ | 407,252 | $ | 395,080 | $ | 12,172 | 3.1 | % | ||||||||
Warranty |
137,489 | 126,343 | 11,146 | 8.8 | % | |||||||||||
Wholesale Parts |
124,870 | 115,545 | 9,325 | 8.1 | % | |||||||||||
Internal, Sublet & Other |
243,679 | 238,238 | 5,441 | 2.3 | % | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 913,290 | $ | 875,206 | $ | 38,084 | 4.4 | % | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross profit |
||||||||||||||||
Customer Pay |
$ | 224,485 | $ | 217,840 | $ | 6,645 | 3.1 | % | ||||||||
Warranty |
74,657 | 66,315 | 8,342 | 12.6 | % | |||||||||||
Wholesale Parts |
23,158 | 22,250 | 908 | 4.1 | % | |||||||||||
Internal, Sublet & Other |
122,206 | 121,644 | 562 | 0.5 | % | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 444,506 | $ | 428,049 | $ | 16,457 | 3.8 | % | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross profit as a % of revenue |
||||||||||||||||
Customer Pay |
55.1 | % | 55.1 | % | 0 | bps | ||||||||||
Warranty |
54.3 | % | 52.5 | % | 180 | bps | ||||||||||
Wholesale Parts |
18.5 | % | 19.3 | % | (80 | ) | bps | |||||||||
Internal, Sublet & Other |
50.2 | % | 51.1 | % | (90 | ) | bps | |||||||||
|
|
|
|
|
|
|||||||||||
Total |
48.7 | % | 48.9 | % | (20 | ) | bps |
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(In thousands)
Parts, Service and Collision Repair (Fixed Operations)
Third Quarter Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Same Store: |
||||||||||||||||
Revenue |
||||||||||||||||
Customer Pay |
$ | 134,642 | $ | 131,126 | $ | 3,516 | 2.7 | % | ||||||||
Warranty |
44,571 | 40,632 | 3,939 | 9.7 | % | |||||||||||
Wholesale Parts |
42,695 | 37,720 | 4,975 | 13.2 | % | |||||||||||
Internal, Sublet & Other |
82,898 | 77,833 | 5,065 | 6.5 | % | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 304,806 | $ | 287,311 | $ | 17,495 | 6.1 | % | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross profit |
||||||||||||||||
Customer Pay |
$ | 73,885 | $ | 71,939 | $ | 1,946 | 2.7 | % | ||||||||
Warranty |
23,918 | 21,225 | 2,693 | 12.7 | % | |||||||||||
Wholesale Parts |
7,717 | 7,249 | 468 | 6.5 | % | |||||||||||
Internal, Sublet & Other |
41,037 | 39,836 | 1,201 | 3.0 | % | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 146,557 | $ | 140,249 | $ | 6,308 | 4.5 | % | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross profit as a % of revenue |
||||||||||||||||
Customer Pay |
54.9 | % | 54.9 | % | 0 | bps | ||||||||||
Warranty |
53.7 | % | 52.2 | % | 150 | bps | ||||||||||
Wholesale Parts |
18.1 | % | 19.2 | % | (110 | ) | bps | |||||||||
Internal, Sublet & Other |
49.5 | % | 51.2 | % | (170 | ) | bps | |||||||||
|
|
|
|
|
|
|||||||||||
Total |
48.1 | % | 48.8 | % | (70 | ) | bps | |||||||||
Nine Months Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Same Store: |
||||||||||||||||
Revenue |
||||||||||||||||
Customer Pay |
$ | 404,788 | $ | 395,080 | $ | 9,708 | 2.5 | % | ||||||||
Warranty |
136,655 | 126,343 | 10,312 | 8.2 | % | |||||||||||
Wholesale Parts |
124,216 | 115,545 | 8,671 | 7.5 | % | |||||||||||
Internal, Sublet & Other |
242,836 | 238,238 | 4,598 | 1.9 | % | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 908,495 | $ | 875,206 | $ | 33,289 | 3.8 | % | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross profit |
||||||||||||||||
Customer Pay |
$ | 223,166 | $ | 217,840 | $ | 5,326 | 2.4 | % | ||||||||
Warranty |
74,511 | 66,315 | 8,196 | 12.4 | % | |||||||||||
Wholesale Parts |
22,995 | 22,250 | 745 | 3.3 | % | |||||||||||
Internal, Sublet & Other |
121,261 | 120,986 | 275 | 0.2 | % | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 441,933 | $ | 427,391 | $ | 14,542 | 3.4 | % | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross profit as a % of revenue |
||||||||||||||||
Customer Pay |
55.1 | % | 55.1 | % | 0 | bps | ||||||||||
Warranty |
54.5 | % | 52.5 | % | 200 | bps | ||||||||||
Wholesale Parts |
18.5 | % | 19.3 | % | (80 | ) | bps | |||||||||
Internal, Sublet & Other |
49.9 | % | 50.8 | % | (90 | ) | bps | |||||||||
|
|
|
|
|
|
|||||||||||
Total |
48.6 | % | 48.8 | % | (20 | ) | bps |
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(In thousands, except per unit data)
Finance, Insurance and Other (F&I)
Third Quarter Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Reported: |
||||||||||||||||
Revenue |
$ | 68,747 | $ | 64,390 | $ | 4,357 | 6.8 | % | ||||||||
Gross profit per retail unit (excludes fleet) |
$ | 1,114 | $ | 1,075 | $ | 39 | 3.6 | % | ||||||||
Nine Months Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Reported: |
||||||||||||||||
Revenue |
$ | 203,461 | $ | 185,737 | $ | 17,724 | 9.5 | % | ||||||||
Gross profit per retail unit (excludes fleet) |
$ | 1,136 | $ | 1,071 | $ | 65 | 6.1 | % | ||||||||
Third Quarter Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Same Store: |
||||||||||||||||
Revenue |
$ | 68,267 | $ | 64,240 | $ | 4,027 | 6.3 | % | ||||||||
Gross profit per retail unit (excluding fleet) |
$ | 1,113 | $ | 1,073 | $ | 40 | 3.7 | % | ||||||||
Nine Months Ended September 30, | Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Same Store: |
||||||||||||||||
Revenue |
$ | 202,996 | $ | 185,081 | $ | 17,915 | 9.7 | % | ||||||||
Gross profit per retail unit (excluding fleet) |
$ | 1,136 | $ | 1,067 | $ | 69 | 6.5 | % |
Sonic Automotive, Inc.
Results of Operations (Unaudited)
(In thousands)
Selling, General and Administrative (SG&A) Expenses
Third Quarter Ended September 30, |
Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Compensation |
$ | 151,683 | $ | 140,771 | $ | (10,912 | ) | (7.8 | %) | |||||||
Advertising |
14,132 | 12,498 | (1,634 | ) | (13.1 | %) | ||||||||||
Rent |
18,901 | 18,619 | (282 | ) | (1.5 | %) | ||||||||||
Other |
69,848 | 63,440 | (6,408 | ) | (10.1 | %) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 254,564 | $ | 235,328 | $ | (19,236 | ) | (8.2 | %) | |||||||
|
|
|
|
|
|
|
|
|||||||||
SG&A as a % of gross profit |
||||||||||||||||
Compensation |
46.5 | % | 46.2 | % | (30 | ) | bps | |||||||||
Advertising |
4.3 | % | 4.1 | % | (20 | ) | bps | |||||||||
Rent |
5.8 | % | 6.1 | % | 30 | bps | ||||||||||
Other |
21.5 | % | 20.9 | % | (60 | ) | bps | |||||||||
|
|
|
|
|
|
|||||||||||
Total |
78.1 | % | 77.3 | % | (80 | ) | bps | |||||||||
Nine Months Ended September 30, |
Better / (Worse) | |||||||||||||||
2013 | 2012 | Change | % Change | |||||||||||||
Compensation |
$ | 449,791 | $ | 426,463 | $ | (23,328 | ) | (5.5 | %) | |||||||
Advertising |
41,282 | 37,107 | (4,175 | ) | (11.3 | %) | ||||||||||
Rent |
56,344 | 57,198 | 854 | 1.5 | % | |||||||||||
Other |
201,062 | 191,460 | (9,602 | ) | (5.0 | %) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 748,479 | $ | 712,228 | $ | (36,251 | ) | (5.1 | %) | |||||||
|
|
|
|
|
|
|
|
|||||||||
SG&A as a % of gross profit |
||||||||||||||||
Compensation |
46.7 | % | 46.3 | % | (40 | ) | bps | |||||||||
Advertising |
4.3 | % | 4.0 | % | (30 | ) | ||||||||||
Rent |
5.9 | % | 6.2 | % | 30 | bps | ||||||||||
Other |
20.8 | % | 20.8 | % | (0 | ) | bps | |||||||||
|
|
|
|
|
|
|||||||||||
Total |
77.7 | % | 77.3 | % | (40 | ) | bps |