Group 1 Automotive Announces First Quarter 2020 Financial Results
HOUSTON, May 5, 2020 /PRNewswire/ -- Group 1 Automotive, Inc. (NYSE: GPI), ("Group 1" or the "Company"), an international, Fortune 500 automotive retailer, today reported 2020 first quarter net income of $29.8 million, diluted earnings per common share of $1.61, adjusted net income (a non-GAAP measure) of $30.6 million, and adjusted diluted earnings per common share (a non-GAAP measure) of $1.66. The Company's 2020 first quarter total revenue was $2.7 billion.
First quarter 2020 adjusted net income and diluted earnings per share excluded a net after-tax adjustment of $0.8 million, or $0.05 per share, primarily related to severance costs in Brazil associated with downsizing the operation due to COVID-19. First quarter 2019 excluded a net after-tax gain of approximately $0.5 million, or $0.02 cents per common share, which was primarily comprised of $3.8 million of net after-tax gains related to dealership and real estate dispositions, partially offset by $1.9 million in after-tax losses related to legal matters, and $1.5 million in after-tax catastrophic losses related to hail storms. Reconciliations of non-GAAP financial measures are included in the attached financial tables. Certain disclosures may not compute due to rounding.
"Beginning in early March 2020, all three of our regions were negatively impacted by "shelter in place" mandates in most of the cities where we operate. Up until that time, we were operating at record sales and profit levels in both the U.S. and the U.K.," said Earl J. Hesterberg, Group 1's president and chief executive officer. "By mid-March, our U.K. operations were virtually closed except for emergency service work and many of our U.S. showrooms were closed. Although most of our U.S. workshops remained open, service work declined dramatically as customers stayed home as instructed by local governments. Our Brazilian dealerships were entirely closed for much of March though some workshops have been permitted to open in April. Since the second week of March, our focus has turned to fulfilling customer needs within local government mandates and re-sizing our business to dramatically lower activity levels."
Consolidated Results for First Quarter 2020 (year-over-year comparable basis)
For ease of comparison, we have included constant currency metrics (a non-GAAP measure) both below (shown in parenthesis) and in the financial tables that follow:
-- Total revenue decreased -4.2 percent (-3.2 percent), to $2.7 billion.
-- Total gross profit decreased -3.5 percent (-2.7 percent), to $416.5
million.
-- New vehicle revenues decreased -5.1 percent (-3.8 percent) on a -9.0
percent decrease in unit sales.
-- Retail used vehicle revenues decreased -4.9 percent (-4.2 percent) on
-5.3 percent lower unit sales.
-- Parts and service gross profit was about flat at -0.2 percent (+0.4
percent) on revenue growth of +0.4 percent (+1.0 percent). U.S. Same
Store parts and service revenues and gross profit grew +1.6 percent and
+0.9 percent, respectively.
-- Finance and Insurance (F&I) gross profit per retail unit (PRU) increased
+6.8 percent (+7.4 percent), to $1,559. U.S. Same Store F&I gross profit
PRU grew +8.3 percent, or $144, to $1,880.
-- Selling, General and Administrative (SG&A) expenses as a percent of
gross profit increased 280 basis points, to 78.7 percent. Adjusted SG&A
as a percent of gross profit increased 240 basis points, to 78.5
percent.
Segment Results for First Quarter 2020 (year-over-year comparable basis)
-- United States:The Company's U.S. operations accounted for 74.6 percent
of total revenues and 81.8 percent of total gross profit. Total U.S.
revenues decreased -2.7 percent, to $2.0 billion. Total gross profit
decreased -1.7 percent, to $340.9 million. Same Store U.S. total gross
profit decreased -3.0 percent, to $333.6 million.
-- Parts and service revenues increased +2.4 percent and gross profit
increased by +1.9 percent. Same Store parts and service revenues
grew +1.6 percent. Same Store part and service gross profits
increased +0.9 percent, to $160.0 million.
-- F&I revenues increased +1.3 percent, to $97.4 million. F&I gross
profit PRU grew $141, to $1,868, or +8.2 percent. Same Store F&I
gross profit PRU increased $144, to $1,880, or +8.3 percent.
-- SG&A expenses as a percent of gross profit increased 170 basis
points, to 75.5 percent. Adjusted SG&A expenses as a percent of
gross profit increased 130 basis points, to 75.5 percent.
-- United Kingdom:The Company's U.K. operations accounted for 22.0 percent
of total revenues and 15.6 percent of total gross profit. Total Same
Store U.K. revenues decreased -12.4 percent (-10.5 percent), to $539.9
million. Same Store total gross profit decreased -14.7 percent
(decreased -12.7 percent), to $58.5 million. Same Store SG&A expenses as
a percent of gross profit increased 820 basis points, to 89.5 percent.
-- Brazil:The Company's Brazilian operations accounted for 3.4 percent of
total revenues and 2.6 percent of total gross profit. The Company's Same
Store new vehicle revenues decreased -9.0 percent (+7.1 percent), with
units down -7.3 percent. On a constant currency basis, Same Store total
revenues increased +8.7 percent, driven by constant currency revenue
growth of +20.3 percent in total used vehicles, +7.1 percent in new
vehicles, and +3.5 percent in F&I. Same Store SG&A expenses as a percent
of gross profit increased 780 basis points, to 98.7 percent. Adjusted
Same Store SG&A as a percent of gross profit decreased 50 basis points
to 90.4 percent.
Operational Update: Pandemic Business Practices
Our primary focus is a commitment to the safety of our customers and employees in order to provide essential services to those needing vehicles and/or parts & service work during these challenging times. Since mid-March 2020, almost all of our 119 U.S. dealerships and collision centers have been deemed "essential businesses" in compliance with applicable national, state, and/or municipal orders. In almost all cases, our service operations are permitted to be open to facilitate customer repairs and most of our stores are also able to offer vehicle sales on an appointment or remote delivery basis. The capabilities we have developed with our Acceleride® platform to support online sales over the past 18 months are providing important benefits during this time of limited showroom availability. In the U.K., we are following national directives that have closed our 50 dealerships with the exception of providing repair services to essential workers. Brazil has allowed most of our dealerships to re-open for aftersales operations after a period of total closure, and we anticipate in-person sales resuming shortly.
To protect our people and to be compliant with the evolving nature of mandates across our markets in the U.S., U.K., and Brazil, most of our office and field support staff have transitioned to working from home. To promote a productive and organized integration of telecommuting, the Company established communication policies and methods to facilitate secure, routine, and efficient access to information, team members, and management.
For those employees that are not able to work remotely, we have worked to implement a variety of standards to promote safety and to provide protective equipment in our offices, dealership showrooms, service departments, and collision centers.
The Company is actively monitoring government and CDC guidelines to enhance and promote safety processes. Plexiglass shields have been installed where needed to ensure proper distancing. Hand sanitizer is supplied for staff and accessible for use in customer areas. High-touch surfaces within Company facilities are being frequently treated with disinfectant spray. The Company's parts & service technicians are also provided with disinfectant spray to clean accessed door handles, steering wheels, vehicle levers, etc., of customer vehicles in which they are working. Two cotton washable/reusable masks are being provided to staff members in compliance with orders to reserve N95 masks for the medical community. While gloves are provided to staff, the Company is also providing plastic seat covers and steering wheel wraps as well as "sandwich" style bags to further reduce risks of cross-contamination when interacting with small items such as keys, levers within vehicles (gearbox, turn signal, wipers, etc.) and pens. Many of our OEM's have provided specific processes for cleaning and disinfecting customer service vehicles.
The Company has also initiated several best practices for promoting additional safety for both our staff and customers. Reduced hours and split shifts are being assigned. Meetings are being conducted by video and teleconference. Service techs are occupying every other service bay or ramp (lift), and are texting part orders needed for their service work, rather than interacting at the shop-parts counters. Customer appointments are also being scheduled in such a way to ensure space for social distancing within the facility. If there is concern over customer proximity in service department lounges, customers are asked to wait in their vehicles before proceeding to those areas. The Company is also offering free pickup and delivery options at all of our U.S. stores for service work and at-home purchase completion for vehicle sales delivery. Approximately 20 percent of our vehicle purchases are now being completed via home deliveries.
While it is unknown when the pandemic crisis will end, for the protection of our employees, customers, and the community, the Company intends to continue with these protocols for the foreseeable future.
Liquidity & Capital Resources Update
As of March 31, 2020, the Company had $19 million of cash on hand and another $83 million that was invested in our floorplan-offset accounts, bringing total cash liquidity to $102 million. In addition, there was $258 million of additional borrowing capacity on our U.S. syndicated acquisition line, bringing total immediate liquidity to $360 million at the end of the first quarter 2020.
We currently have approximately $225 million in U.S. liquidity before an additional $50 million of mortgage funding in process, and ample local liquidity in the U.K. and Brazil. We do not have any material debt maturities before our 5.00% bonds are due in June of 2022, and our $1.75 billion U.S. credit facility was extended in 2019 through June of 2024. The Company does not anticipate any material liquidity constraints or issues with its ability to remain in compliance with its revolving credit facility and debt covenants. Our U.S. credit facility rent-adjusted leverage ratio was 3.31 at the end of the first quarter, leaving plenty of cushion under the 5.50 limit.
As previously announced in April 2020, we redeemed all $300 million of our 5.25% bonds due 2023. This redemption was funded through acquisition line borrowings, mortgage borrowings, and cash on hand. We funded over $130 million of mortgages in April, with another $50 million in process and planned to be funded in May. Additionally, as also announced in April 2020, the Company suspended its dividend and canceled its share repurchase program, as well as implemented capital expenditure deferrals, to preserve liquidity.
Outlook
Prior to March, both the U.S. and the U.K. were on track for record first quarter 2020 results, with U.S. Same Store revenues up 10.7 percent reflecting strength in all areas of the business and U.K. Same Store revenue up 3.8 percent, including a very strong order bank for March delivery. Only 65 percent of our sold U.K. order bank was delivered prior to the shutdown order. As the market shutdowns began to roll-out, March U.S. sales dropped sharply, with new and used volumes dropping approximately 50 percent across most markets and parts and service revenues declining about 50 percent as well. This pace continued in early April, but recently has begun to show signs of improvement in the U.S. For the last week of April, U.S. retail unit sales were down approximately 25 percent and parts and services revenues were down about 30 percent as compared with the same week a year ago. In the U.K., shelter in place orders remain in effect across the country and our stores are closed except for providing service to essential workers' vehicles. This service does not generate material gross profit. Expansion of operations within the U.K. is not anticipated until sometime in mid-to-late May.
In all regions, we have taken aggressive actions to reduce costs, with about 4,800 employees furloughed in the U.S., 2,800 employees (over 90 percent of the workforce) furloughed in the U.K., and over 450 employees terminated or furloughed in Brazil. In addition, other costs have also been significantly reduced in all three markets including cuts of as much as 50 percent in management, all remaining Board cash compensation, over 75 percent reduction in advertising expense, and cuts across all other cost categories. As we are starting to see improvements in our weekly sales pace in the U.S., we have begun to recall some of our furloughed workers, with plans to add back 495 positions by June.
While the potential long-term impact of COVID-19 pandemic is difficult to predict, we expect our second quarter results to be significantly lower than the prior year. Moving forward, we anticipate service will recover more quickly than vehicle sales, with both beginning to recover in the late spring and summer months as shelter in place policies continue to be lifted and consumers transition to more normal habits.
First Quarter 2020 Earnings Conference Call Details
Group 1's senior management will host a conference call today at 10 a.m. ET to discuss the first quarter 2020 financial results. The conference call will be simulcast live on the Internet at www.group1auto.com, then click on 'Investor Relations' and then 'Events' or through this link: http://www.group1corp.com/events. A webcast replay will be available for 30 days.
The conference call will also be available live by dialing in 15 minutes prior to the start of the call at:
Domestic:
1-888-317-6003
International:
1-412-317-6061
Conference ID: 9778036
A telephonic replay will be available following the call through May 12, 2020 by dialing:
Domestic:
1-877-344-7529
International:
1-412-317-0088
Replay ID: 10143292
ABOUT GROUP 1 AUTOMOTIVE, INC.
Group 1 owns and operates 186 automotive dealerships, 242 franchises, and 49 collision centers in the United States, the United Kingdom and Brazil that offer 31 brands of automobiles. Through its dealerships, the Company sells new and used cars and light trucks; arranges related vehicle financing; sells service contracts; provides automotive maintenance and repair services; and sells vehicle parts.
Investors please visit www.group1corp.com, www.group1auto.com, www.group1collision.com, www.facebook.com/group1auto, and www.twitter.com/group1auto, where Group 1 discloses additional information about the Company, its business, and its results of operations.
FORWARD-LOOKING STATEMENTS
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, which are statements related to future, not past, events and are based on our current expectations and assumptions regarding our business, the economy and other future conditions. In this context, the forward-looking statements often include statements regarding our strategic investments, goals, plans, projections and guidance regarding our financial position, results of operations, business strategy, and often contain words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "should," "foresee," "may" or "will" and similar expressions. While management believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting us will be those that we anticipate. Any such forward-looking statements are not assurances of future performance and involve risks and uncertainties that may cause actual results to differ materially from those set forth in the statements. These risks and uncertainties include, among other things, (a) general economic and business conditions, (b) the level of manufacturer incentives, (c) the future regulatory environment, (d) our ability to obtain an inventory of desirable new and used vehicles, (e) our relationship with our automobile manufacturers and the willingness of manufacturers to approve future acquisitions, (f) our cost of financing and the availability of credit for consumers, (g) our ability to complete acquisitions and dispositions and the risks associated therewith, (h) foreign exchange controls and currency fluctuations, (i) our ability to retain key personnel, (j) the impacts of COVID-19 on our business, (k) the impacts of any potential global recession and (l) our ability to maintain sufficient liquidity to operate. For additional information regarding known material factors that could cause our actual results to differ from our projected results, please see our filings with the SEC, including our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise.
NON-GAAP FINANCIAL MEASURES, SAME STORE DATA, AND OTHER DATA
In addition to evaluating the financial condition and results of our operations in accordance with U.S. GAAP, from time to time our management evaluates and analyzes results and any impact on the Company of strategic decisions and actions relating to, among other things, cost reduction, growth, profitability improvement initiatives, and other events outside of normal, or "core," business and operations, by considering alternative financial measures not prepared in accordance with U.S. GAAP. In our evaluation of results from time to time, we exclude items that do not arise directly from core operations, such as non-cash asset impairment charges, legal matters, gains and losses on dealership franchise or real estate transactions, and catastrophic events, such as hailstorms, hurricanes, and snow storms. Because these non-core charges and gains materially affect the Company's financial condition or results in the specific period in which they are recognized, management also evaluates, and makes resource allocation and performance evaluation decisions based on, the related non-GAAP measures excluding such items. This includes evaluating measures such as adjusted selling, general and administrative expenses, adjusted net income, adjusted diluted earnings per share, and constant currency. These adjusted measures are not measures of financial performance under U.S. GAAP, but are instead considered non-GAAP financial performance measures. Non-GAAP measures do not have definitions under U.S. GAAP and may be defined differently by, and not be comparable to similarly titled measures used by, other companies. As a result, any non-GAAP financial measures considered and evaluated by management are reviewed in conjunction with a review of the most directly comparable measures calculated in accordance with U.S. GAAP. We caution investors not to place undue reliance on such non-GAAP measures, but also to consider them with the most directly comparable U.S. GAAP measures.
In addition to using such non-GAAP measures to evaluate results in a specific period, management believes that such measures may provide more complete and consistent comparisons of operational performance on a period-over-period historical basis and a better indication of expected future trends. Our management also uses these adjusted measures in conjunction with U.S. GAAP financial measures to assess our business, including communication with our Board of Directors, investors, and industry analysts concerning financial performance. We disclose these non-GAAP measures, and the related reconciliations, because we believe investors use these metrics in evaluating longer-term period-over-period performance, and to allow investors to better understand and evaluate the information used by management to assess operating performance. The exclusion of certain expenses in the calculation of non-GAAP financial measures should not be construed as an inference that these costs are unusual or infrequent. We anticipate excluding these expenses in the future presentation of our non-GAAP financial measures.
In addition, we evaluate our results of operations on both an as reported and a constant currency basis. The constant currency presentation, which is a non-GAAP measure, excludes the impact of fluctuations in foreign currency exchange rates. We believe providing constant currency information provides valuable supplemental information regarding our underlying business and results of operations, consistent with how we evaluate our performance. We calculate constant currency percentages by converting our current period reported results for entities reporting in currencies other than U.S. dollars using comparative period exchange rates rather than the actual exchange rates in effect during the respective periods. The constant currency performance measures should not be considered a substitute for, or superior to, the measures of financial performance prepared in accordance with U.S. GAAP.
The Same Store amounts presented include the results of dealerships for the identical months in each period presented in comparison, commencing with the first full month in which the dealership was owned by us and, in the case of dispositions, ending with the last full month it was owned by us. Same Store results also include the activities of our corporate headquarters. Certain disclosures are reported as zero balances or may not compute due to rounding.
Investor contacts:
Sheila Roth
Manager, Investor Relations
Group 1 Automotive, Inc.
713-647-5741 | sroth@group1auto.com
Media contacts:
Pete DeLongchamps
Senior Vice President, Manufacturer Relations, Financial Services and Public Affairs
Group 1 Automotive, Inc.
713-647-5770 | pdelongchamps@group1auto.com
or
Clint Woods
Pierpont Communications, Inc.
713-627-2223 | cwoods@piercom.com
Group 1 Automotive, Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
(In millions, except per share amounts)
Three Months Ended March 31,
---
2020 2019 Increase/
(Decrease) % Change
REVENUES:
New vehicle retail sales $
1,342.2 $
1,414.5 $
(72.3) (5.1)
%
Used vehicle retail sales 779.0 819.2 (40.2) (4.9)
%
Used vehicle wholesale sales 86.5 92.1 (5.6) (6.1)
%
Parts and service sales 370.6 369.2 1.4 0.4
%
Finance, insurance and other, 112.5 113.4 (0.9) (0.8)
net
%
Total revenues 2,690.8 2,808.4 (117.6) (4.2)
%
COST OF SALES:
New vehicle retail sales 1,279.4 1,343.1 (63.7) (4.7)
%
Used vehicle retail sales 736.9 771.4 (34.5) (4.5)
%
Used vehicle wholesale sales 85.5 91.7 (6.2) (6.7)
%
Parts and service sales 172.6 170.7 1.9 1.1
%
Total cost of sales 2,274.3 2,376.9 (102.5) (4.3)
%
GROSS PROFIT 416.5 431.5 (15.1) (3.5)
%
Selling, general and 328.0 327.7 0.2 0.1
administrative expenses %
Depreciation and amortization 18.6 17.0 1.6 9.5
expense %
INCOME (LOSS) FROM OPERATIONS 69.9 86.8 (16.9) (19.5)
%
INTEREST EXPENSE:
Floorplan interest expense 12.9 15.7 (2.8) (18.1)
%
Other interest expense, net 18.1 18.9 (0.8) (4.1)
%
INCOME (LOSS) BEFORE INCOME 38.9 52.2 (13.3) (25.5)
TAXES %
(Benefit) provision for income 9.1 13.5 (4.4) (32.6)
taxes %
NET INCOME (LOSS) $
29.8 $
38.6 $
(8.9) (22.9)
%
Less: Earnings (loss)
allocated to participating %
securities 1.1 1.5 (0.4) (27.2)
Net income (loss) available to $
28.7 $
37.2 $
(8.5) (22.8)
diluted common shares %
DILUTED EARNINGS (LOSS) PER $
1.61 $
2.08 $
(0.47) (22.6)
SHARE %
Weighted average dilutive 17.8 17.8 (0.2)
common shares outstanding
%
Weighted average participating 0.7 0.7 (4.4)
securities
%
Total weighted average shares 18.5 18.6 (0.1) (0.4)
%
Effective tax rate 23.4 25.9 (2.5)
% % %
Group 1 Automotive, Inc.
Condensed Consolidated Balance Sheets
(Unaudited)
(In millions)
March 31, December 31, Increase/ % Change
2020 2019 (Decrease)
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $
19.2 $
23.8 $
(4.6) (19.4)
%
Contracts-in-transit and vehicle
receivables, net of allowance of $0.3 and %
$0.3, respectively 115.5 253.8 (138.3) (54.5)
Accounts and notes receivable, net of 177.1 225.1 (48.0) (21.3)
allowance of $3.4 and $2.8, respectively %
Inventories, net 1,992.6 1,901.7 90.8 4.8
%
Prepaid expenses 82.6 96.4 (13.8) (14.3)
%
Other current assets 12.3 15.5 (3.2) (20.5)
%
TOTAL CURRENT ASSETS 2,399.3 2,516.3 (117.0) (4.7)
%
Property and equipment, net of accumulated
depreciation of $405.7 and $400.2, %
respectively 1,549.0 1,547.1 1.9 0.1
Operating lease assets 218.7 220.1 (1.4) (0.6)
%
Goodwill 999.8 1,008.3 (8.5) (0.8)
%
Intangible franchise rights 251.7 253.5 (1.9) (0.7)
%
Other long-term assets 22.5 24.8 (2.3) (9.2)
%
TOTAL ASSETS $
5,441.1 $
5,570.2 $
(129.1) (2.3)
%
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Floorplan notes payable -credit facility and
other, net of offset account of $82.6 and %
$106.8, respectively $
1,168.6 $
1,144.4 $
24.2 2.1
Floorplan notes payable -manufacturer
affiliates, net of offset account of $0.2 %
and $4.1, respectively 484.9 459.9 25.0 5.4
Current maturities of long-term debt 354.7 59.1 295.5 499.6
%
Current operating lease liabilities 24.4 24.6 (0.2) (1.0)
%
Accounts payable 410.7 527.5 (116.8) (22.1)
%
Accrued expenses and other current 197.1 206.7 (9.6) (4.6)
liabilities
%
TOTAL CURRENT LIABILITIES 2,640.4 2,422.3 218.1 9.0
%
Long-term debt 1,137.7 1,432.1 (294.4) (20.6)
%
Long-term operating lease liabilities 208.9 210.7 (1.8) (0.9)
%
Deferred income taxes 135.8 145.7 (9.9) (6.8)
%
Other long-term liabilities 143.6 103.6 40.0 38.6
%
STOCKHOLDERS' EQUITY:
Common stock 0.3 0.3 (0.2)
%
Additional paid-in capital 287.8 295.3 (7.6) (2.6)
%
Retained earnings 1,566.7 1,542.4 24.3 1.6
%
Accumulated other comprehensive income (loss) (206.0) (147.0) (59.0) 40.2
%
Treasury stock (474.1) (435.3) (38.7) 8.9
%
TOTAL STOCKHOLDERS' EQUITY 1,174.6 1,255.7 (81.1) (6.5)
%
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $
5,441.1 $
5,570.2 $
(129.1) (2.3)
%
Group 1 Automotive, Inc.
Additional Information - Consolidated
(Unaudited)
Three Months Ended March 31,
2020 (%) 2019 (%)
New vehicle unit sales geographic mix
---
Region Geographic Market
---
United States
Texas 34.9 34.3
Oklahoma 6.8 6.1
California 4.8 5.3
Georgia 4.5 4.2
Massachusetts 4.4 4.3
Florida 2.6 2.7
Louisiana 2.1 2.3
South Carolina 1.8 1.6
New Hampshire 1.7 1.6
New Jersey 1.6 1.8
Kansas 1.1 1.0
New Mexico 1.1 0.2
Mississippi 1.0 1.2
Alabama 0.5 0.7
Maryland 0.4 0.4
69.3 67.9
International
United Kingdom 25.1 26.6
Brazil 5.6 5.5
100.0 100.0
New vehicle unit sales brand mix
---
Toyota/Lexus 23.3 23.1
Volkswagen/Audi/Porsche/SEAT/SKODA 16.1 15.1
BMW/MINI 11.7 12.5
Ford/Lincoln 10.1 10.6
Honda/Acura 9.4 10.9
Chevrolet/GMC/Buick/Cadillac 6.8 6.3
Nissan 5.4 6.0
Mercedes-Benz/Smart/Sprinter 5.3 5.4
Hyundai/Kia/Genesis 4.1 3.5
Chrysler/Dodge/Jeep/RAM 3.5 3.1
Jaguar/Land Rover 2.5 2.5
Other 1.7 1.0
100.0 100.0
Group 1 Automotive, Inc.
Reported Operating Data - Consolidated
(Unaudited)
(In millions, except unit and per unit amounts)
Three Months Ended March 31,
2020 2019 Increase/ % Change Currency Constant
(Decrease) Impact on Currency
Current % Change
Period
Results
---
Revenues:
New vehicle $
1,342.2 $
1,414.5 $
(72.3) (5.1) $
(19.2) (3.8)
retail sales
% %
Used vehicle 779.0 819.2 (40.2) (4.9) (5.7) (4.2)
retail sales
% %
Used vehicle 86.5 92.1 (5.6) (6.1) (1.0) (5.0)
wholesale
sales % %
Total used 865.6 911.3 (45.8) (5.0) (6.7) (4.3)
% %
Parts and 370.6 369.2 1.4 0.4 (2.4) 1.0
service sales % %
F&I, net 112.5 113.4 (0.9) (0.8) (0.6) (0.3)
% %
Total revenues $
2,690.8 $
2,808.4 $
(117.6) (4.2) $
(29.0) (3.2)
% %
Gross profit:
New vehicle $
62.8 $
71.4 $
(8.6) (12.0) $
(1.1) (10.5)
retail sales % %
Used vehicle 42.1 47.8 (5.7) (11.8) (0.3) (11.2)
retail sales % %
Used vehicle 1.0 0.5 0.5 121.7 128.8
wholesale
sales % %
Total used 43.1 48.3 (5.1) (10.6) (0.4) (9.9)
%
%
Parts and 198.0 198.5 (0.4) (0.2)
service sales %
% (1.2) 0.4
F&I, net 112.5 113.4 (0.9) (0.8) (0.6) (0.3)
% %
Total gross $
416.5 $
431.5 $
(15.1) (3.5) $
(3.3) (2.7)
profit
% %
Gross margin:
New vehicle 4.7
% 5.0
% (0.4)
retail sales %
Used vehicle 5.4
% 5.8
% (0.4)
retail sales %
Used vehicle
wholesale %
sales 1.2
% 0.5
% 0.7
Total used 5.0
% 5.3
% (0.3)
%
Parts and 53.4 53.8 (0.3)
service sales % % %
F&I, net 100.0 100.0
% % %
Total gross 15.5 15.4 0.1
margin % % %
Units sold:
Retail new 35,360 38,874 (3,514) (9.0)
vehicles sold
%
Retail used 36,790 38,836 (2,046) (5.3)
vehicles sold
%
Wholesale used 12,086 12,989 (903) (7.0)
vehicles sold
%
Total used 48,876 51,825 (2,949) (5.7)
%
Average sales price per unit
sold:
New vehicle $
37,957 $
36,386 $
1,571 4.3 $
(544) 5.8
retail % %
Used vehicle $
21,175 $
21,094 $
82 0.4 $
(155) 1.1
retail % %
Gross profit per unit sold:
New vehicle $
1,777 $
1,836 $
(60) (3.3) $
(31) (1.6)
retail sales
% %
Used vehicle $
1,146 $
1,231 $
(85) (6.9) $
(9) (6.2)
retail sales
% %
Used vehicle $
83 $
35 $
48 138.3 $
(3) 145.9
wholesale
sales % %
Total used $
883 $
931 $
(48) (5.2) $
(7) (4.4)
% %
F&I PRU $
1,559 $
1,459 $
100 6.8 $
(9) 7.4
% %
Other:
SG&A expenses $
328.0 $
327.7 $
0.2 0.1 $
(3.0) 1.0
% %
Adjusted SG&A $
327.1 $
328.5 $
(1.5) (0.5)
expenses (1) %
% $
(2.7) 0.4
SG&A as % gross 78.7 75.9 2.8
profit % % %
Adjusted SG&A
as % gross % % %
profit (1) 78.5 76.1 2.4
Operating 2.6
% 3.1
% (0.5)
margin % %
Adjusted
operating %
margin % (1) 2.6
% 3.1
% (0.4)
Pretax margin % 1.4
% 1.9
% (0.4)
%
Adjusted pretax 1.5
% 1.8
% (0.3)
margin % (1) %
Interest expense:
Floorplan
interest % %
expense $
12.9 $
15.7 $
(2.8) (18.1)
$ (17.8)
Less: Floorplan 10.6 10.5 0.1 0.8 0.8
assistance % %
Net floorplan $
2.3 $
5.2 $
(2.9) (56.0)
$ (55.2)
expense % %
Other interest $
18.1 $
18.9 $
(0.8) (4.1) $
(0.1) (3.7)
expense, net
% %
(1) See the section in this release
titled "Reconciliation of Certain
Non-GAAP Financial Measures" for
the GAAP to non-GAAP
reconciliation of these figures.
Group 1 Automotive, Inc.
Reported Operating Data - U.S.
(Unaudited)
(In millions, except unit and per unit amounts)
Three Months Ended March 31,
2020 2019 Increase/ % Change
(Decrease)
Revenues:
New vehicle retail sales $
988.4 $
1,031.7 $
(43.4) (4.2)
%
Used vehicle retail sales 570.3 594.4 (24.1) (4.1)
%
Used vehicle wholesale 46.8 42.8 4.0 9.3
sales %
Total used 617.1 637.2 (20.1) (3.2)
%
Parts and service sales 304.6 297.6 7.0 2.4
%
F&I, net 97.4 96.2 1.2 1.3
%
Total revenues $
2,007.6 $
2,062.8 $
(55.2) (2.7)
%
Gross profit:
New vehicle retail sales $
47.3 $
50.8 $
(3.5) (7.0)
%
Used vehicle retail sales 31.9 38.3 (6.3) (16.6)
%
Used vehicle wholesale 0.8 1.2 (0.3) (28.9)
sales %
Total used 32.8 39.4 (6.7) (16.9)
%
Parts and service sales 163.5 160.5 3.0 1.9
%
F&I, net 97.4 96.2 1.2 1.3
%
Total gross profit $
340.9 $
346.9 $
(6.0) (1.7)
%
Gross margin:
New vehicle retail sales 4.8
% 4.9
% (0.1)
%
Used vehicle retail sales 5.6
% 6.4
% (0.8)
%
Used vehicle wholesale 1.8
% 2.7
% (1.0)
sales %
Total used 5.3
% 6.2
% (0.9)
%
Parts and service sales 53.7 53.9 (0.2)
% % %
F&I, net 100.0 100.0
% % %
Total gross margin 17.0 16.8 0.2
% % %
Units sold:
Retail new vehicles sold 24,495 26,390 (1,895) (7.2)
%
Retail used vehicles sold 27,668 29,317 (1,649) (5.6)
%
Wholesale used vehicles 7,027 7,150 (123) (1.7)
sold
%
Total used 34,695 36,467 (1,772) (4.9)
%
Average sales price per
unit sold:
New vehicle retail $
40,350 $
39,096 $
1,254 3.2
%
Used vehicle retail $
20,613 $
20,276 $
338 1.7
%
Gross profit per unit
sold:
New vehicle retail sales $
1,929 $
1,925 $
4 0.2
%
Used vehicle retail sales $
1,154 $
1,306 $
(152) (11.6)
%
Used vehicle wholesale $
118 $
163 $
(45) (27.7)
sales %
Total used $
944 $
1,082 $
(137) (12.7)
%
F&I PRU $
1,868 $
1,727 $
141 8.2
%
Other:
SG&A expenses $
257.5 $
256.2 $
1.4 0.5
%
Adjusted SG&A expenses
(1) $
257.5 $
257.6 $
(0.1) %
SG&A as % gross profit 75.5 73.8 1.7
% % %
Adjusted SG&A as % gross 75.5 74.2 1.3
profit (1) % % %
Interest expense:
Floorplan interest $
11.0 $
14.0 $
(3.0) (21.6)
expense %
Less: Floorplan 10.4 10.3 0.1 1.0
assistance %
Net floorplan expense $
0.5 $
3.7 $
(3.1) (85.4)
%
Other interest expense, $
16.0 $
17.2 $
(1.2) (6.8)
net
%
(1) See the section in this release
titled "Reconciliation of Certain
Non-GAAP Financial Measures" for
the GAAP to non-GAAP reconciliation
of these figures.
Group 1 Automotive, Inc.
Reported Operating Data - U.K.
(Unaudited)
(In millions, except unit and per unit amounts)
Three Months Ended March 31,
2020 2019 Increase/ % Change Currency Constant
(Decrease) Impact on Currency
Current % Change
Period
Results
---
Revenues:
New vehicle $
296.3 $
318.6 $
(22.3) (7.0) $
(9.1) (4.1)
retail sales
% %
Used vehicle 188.8 203.6 (14.8) (7.3) (2.3) (6.2)
retail sales
% %
Used vehicle
wholesale % %
sales 35.8 45.3 (9.4) (20.8) (0.4) (19.8)
Total used 224.6 248.8 (24.2) (9.7) (2.7) (8.6)
% %
Parts and 56.4 59.6 (3.1) (5.3) (0.8) (3.9)
service sales
% %
F&I, net 13.3 15.2 (1.9) (12.4) (0.3) (10.3)
% %
Total revenues $
590.7 $
642.2 $
(51.5) (8.0) $
(12.9) (6.0)
% %
Gross profit:
New vehicle $
12.1 $
16.8 $
(4.7) (28.1) $
(0.5) (25.2)
retail sales % %
Used vehicle 9.2 8.3 0.9 10.5 (0.1) 12.1
retail sales % %
Used vehicle
wholesale % %
sales - (1.0) 1.0 96.9 96.4
Total used 9.1 7.3 1.9 25.4 (0.1) 27.2
% %
Parts and 30.3 32.7 (2.4) (7.4) (0.5) (5.9)
service sales
% %
F&I, net 13.3 15.2 (1.9) (12.4) (0.3) (10.3)
% %
Total gross $
64.8 $
72.0 $
(7.2) (9.9) $
(1.4) (8.0)
profit
% %
Gross margin:
New vehicle 4.1
% 5.3
% (1.2)
retail sales %
Used vehicle 4.9
% 4.1
% 0.8
retail sales %
Used vehicle
wholesale % % %
sales (0.1) (2.2) 2.1
Total used 4.1
% 2.9
% 1.1
%
Parts and 53.7 55.0 (1.2)
service sales % % %
F&I, net 100.0 100.0
% % %
Total gross 11.0 11.2 (0.2)
margin % % %
Units sold:
Retail new 8,894 10,344 (1,450) (14.0)
vehicles sold %
Retail used 8,024 8,431 (407) (4.8)
vehicles sold
%
Wholesale used 4,584 5,367 (783) (14.6)
vehicles sold %
Total used 12,608 13,798 (1,190) (8.6)
%
Average sales price per unit
sold:
New vehicle $
33,314 $
30,798 $
2,517 8.2 $
(1,021) 11.5
retail % %
Used vehicle $
23,528 $
24,144 $
(616) (2.6) $
(281) (1.4)
retail
% %
Gross profit per unit sold:
New vehicle $
1,356 $
1,621 $
(266) (16.4) $
(54) (13.0)
retail sales % %
Used vehicle $
1,141 $
983 $
158 16.1 $
(17) 17.8
retail sales % %
Used vehicle
wholesale % %
sales $
(7) $
(188) $
181 96.4 $
1 95.8
Total used $
724 $
527 $
197 37.3 $
(10) 39.2
% %
F&I PRU $
787 $
810 $
(22) (2.8) $
(19) (0.4)
% %
Other:
SG&A expenses $
59.8 $
59.2 $
0.7 1.1 $
(1.0) 2.8
% %
SG&A as % gross 92.3 82.2 10.1
profit % % %
Interest expense:
Floorplan
interest % %
expense $
1.8 $
1.6 $
0.2 9.7
$ 11.0
Less: Floorplan 0.1 0.2 (15.2) (13.6)
assistance % %
Net floorplan $
1.6 $
1.5 $
0.2 12.3
$ 13.6
expense % %
Other interest $
1.9 $
1.6 $
0.3 22.1
$ 24.6
expense, net % %
Group 1 Automotive, Inc.
Reported Operating Data - Brazil
(Unaudited)
(In millions, except unit and per unit amounts)
Three Months Ended March 31,
2020 2019 Increase/ % Change Currency Constant
(Decrease) Impact on Currency
Current % Change
Period
Results
---
Revenues:
New vehicle $
57.5 $
64.2 $
(6.7) (10.4) $
(10.2) 5.4
retail sales % %
Used vehicle 19.9 21.2 (1.3) (6.1)
retail sales %
% (3.4) 10.1
Used vehicle 3.8 4.1 (0.2) (5.0)
wholesale %
sales % (0.6) 10.0
Total used 23.8 25.3 (1.5) (5.9)
%
% (4.1) 10.1
Parts and 9.6 12.0 (2.5) (20.4) (1.6) (7.0)
service sales %
%
F&I, net 1.7 2.0 (0.3) (13.4) (0.3) 1.8
% %
Total revenues $
92.5 $
103.4 $
(10.9) (10.5) $
(16.1) 5.1
% %
Gross profit:
New vehicle $
3.5 $
3.8 $
(0.3) (7.9)
retail sales %
% $
(0.6) 8.2
Used vehicle 1.1 1.2 (0.2) (15.1) (0.2) 0.1
retail sales % %
Used vehicle
wholesale % %
sales 0.2 0.3 (0.1) (31.3) (18.7)
Total used 1.3 1.5 (0.3) (18.2) (0.2) (3.5)
%
%
Parts and 4.2 5.3 (1.1) (20.2) (0.7) (6.8)
service sales %
%
F&I, net 1.7 2.0 (0.3) (13.4) (0.3) 1.8
% %
Total gross $
10.7 $
12.6 $
(1.9) (15.2) $
(1.8) (0.5)
profit %
%
Gross margin:
New vehicle 6.1
% 5.9
% 0.2
retail sales %
Used vehicle 5.3
% 5.8
% (0.6)
retail sales %
Used vehicle
wholesale %
sales 5.3
% 7.3
% (2.0)
Total used 5.3
% 6.1
% (0.8)
%
Parts and 43.9 43.8 0.1
service sales % % %
F&I, net 100.0 100.0
% % %
Total gross 11.5 12.2 (0.6)
margin % % %
Units sold:
Retail new 1,971 2,140 (169) (7.9)
vehicles sold
%
Retail used 1,098 1,088 10 0.9
vehicles sold %
Wholesale used 475 472 3 0.6
vehicles sold %
Total used 1,573 1,560 13 0.8
%
Average sales price per unit
sold:
New vehicle $
29,169 $
29,987 $
(817) (2.7)
retail %
% $
(5,154) 14.5
Used vehicle $
18,154 $
19,508 $
(1,353) (6.9)
retail %
% $
(3,137) 9.1
Gross profit per unit sold:
New vehicle $
1,782 $
1,783 $
(1) % $
(313) 17.5
retail sales %
Used vehicle $
957 $
1,137 $
(181) (15.9) $
(172) (0.8)
retail sales %
%
Used vehicle
wholesale % %
sales $
430 $
629 $
(199) (31.7) $
(78) (19.2)
Total used $
798 $
984 $
(186) (18.9) $
(143) (4.3)
%
%
F&I PRU $
560 $
615 $
(55) (8.9)
%
% $
(98) 7.1
Other:
SG&A expenses $
10.6 $
12.4 $
(1.8) (14.3) $
(1.9) 1.4
% %
Adjusted SG&A $
9.7 $
11.8 $
(2.1) (17.7) $
(1.7) (3.3)
expenses (1) %
%
SG&A as % gross 99.1 98.2 1.0
profit % % %
Adjusted SG&A
as % gross % % %
profit (1) 90.9 93.7 (2.8)
Interest expense:
Floorplan
interest % %
expense $
0.1 $
0.1
$ 21.4
$ 43.8
Other interest $
0.2 $
0.2
$ 22.4
$ 43.8
expense, net % %
(1) See the section in this release
titled "Reconciliation of Certain
Non-GAAP Financial Measures" for
the GAAP to non-GAAP reconciliation
of these figures.
Group 1 Automotive, Inc.
Same Store Operating Data - Consolidated
(Unaudited)
(In millions, except unit and per unit amounts)
Three Months Ended March 31,
2020 2019 Increase/ % Change Currency Constant
(Decrease) Impact on Currency
Current % Change
Period
Results
Revenues:
New vehicle $
1,298.4 $
1,393.8 $
(95.4) (6.8) $
(18.6) (5.5)
retail sales
% %
Used vehicle 752.8 803.9 (51.1) (6.4) (5.6) (5.7)
retail sales
% %
Used vehicle 82.9 88.6 (5.6) (6.3) (1.0) (5.2)
wholesale
sales % %
Total used 835.7 892.5 (56.8) (6.4) (6.6) (5.6)
% %
Parts and 357.6 360.4 (2.8) (0.8) (2.3) (0.1)
service sales
% %
F&I, net 110.4 112.2 (1.8) (1.6) (0.6) (1.1)
% %
Total revenues $
2,602.2 $
2,759.0 $
(156.8) (5.7) $
(28.1) (4.7)
% %
Gross profit:
New vehicle $
59.7 $
70.5 $
(10.8) (15.3) $
(1.1) (13.8)
retail sales % %
Used vehicle 40.6 47.3 (6.7) (14.2) (0.3) (13.5)
retail sales % %
Used vehicle
wholesale % %
sales 1.0 0.6 0.4 63.8 69.1
Total used 41.6 48.0 (6.3) (13.2) (0.3) (12.4)
% %
Parts and 191.1 194.3 (3.2) (1.6) (1.1) (1.1)
service sales
% %
F&I, net 110.4 112.2 (1.8) (1.6) (0.6) (1.1)
% %
Total gross $
402.8 $
424.9 $
(22.1) (5.2) $
(3.2) (4.5)
profit
% %
Gross margin:
New vehicle 4.6
% 5.1
% (0.5)
retail sales %
Used vehicle 5.4
% 5.9
% (0.5)
retail sales %
Used vehicle
wholesale %
sales 1.2
% 0.7
% 0.5
Total used 5.0
% 5.4
% (0.4)
%
Parts and 53.4 53.9 (0.5)
service sales % % %
F&I, net 100.0 100.0
% % %
Total gross 15.5 15.4 0.1
margin % % %
Units sold:
Retail new 34,154 37,906 (3,752) (9.9)
vehicles sold
%
Retail used 35,669 38,043 (2,374) (6.2)
vehicles sold
%
Wholesale used 11,615 12,592 (977) (7.8)
vehicles sold
%
Total used 47,284 50,635 (3,351) (6.6)
%
Average sales price per unit
sold:
New vehicle $
38,017 $
36,771 $
1,246 3.4 $
(544) 4.9
retail % %
Used vehicle $
21,105 $
21,132 $
(27) (0.1)
retail %
% $
(156) 0.6
Gross profit per unit sold:
New vehicle $
1,747 $
1,859 $
(112) (6.0) $
(31) (4.3)
retail sales
% %
Used vehicle $
1,140 $
1,245 $
(105) (8.4) $
(9) (7.7)
retail sales
% %
Used vehicle
wholesale % %
sales $
86 $
49 $
38 77.6 $
(3) 83.3
Total used $
881 $
947 $
(66) (7.0) $
(7) (6.2)
% %
F&I PRU $
1,581 $
1,477 $
104 7.0 $
(9) 7.6
% %
Other:
SG&A expenses $
315.0 $
323.4 $
(8.4) (2.6) $
(2.9) (1.7)
% %
Adjusted SG&A $
314.1 $
320.6 $
(6.6) (2.1) $
(2.6) (1.2)
expenses (1)
% %
SG&A as % gross 78.2 76.1 2.1
profit % % %
Adjusted SG&A
as % gross % % %
profit (1) 78.0 75.5 2.5
Operating 2.7
% 3.1
% (0.4)
margin % %
Adjusted
operating %
margin % (1) 2.7
% 3.2
% (0.4)
(1) See the section in this release
titled "Reconciliation of Certain
Non-GAAP Financial Measures" for
the GAAP to non-GAAP reconciliation
of these figures.
Group 1 Automotive, Inc.
Same Store Operating Data - U.S.
(Unaudited)
(In millions, except unit and per unit amounts)
Three Months Ended March 31,
2020 2019 Increase/ % Change
(Decrease)
---
Revenues:
New vehicle $
970.4 $
1,024.0 $
(53.6) (5.2)
retail sales
%
Used vehicle 558.0 587.9 (29.9) (5.1)
retail sales
%
Used vehicle
wholesale %
sales 46.4 41.6 4.8 11.5
Total used 604.4 629.5 (25.1) (4.0)
%
Parts and 298.4 293.6 4.7 1.6
service sales %
F&I, net 96.6 95.5 1.1 1.1
%
Total revenues $
1,969.7 $
2,042.6 $
(72.8) (3.6)
%
Gross profit:
New vehicle $
45.1 $
50.5 $
(5.4) (10.6)
retail sales %
Used vehicle 31.1 38.0 (6.9) (18.1)
retail sales %
Used vehicle
wholesale %
sales 0.8 1.2 (0.3) (29.2)
Total used 31.9 39.2 (7.2) (18.5)
%
Parts and 160.0 158.7 1.4 0.9
service sales %
F&I, net 96.6 95.5 1.1 1.1
%
Total gross $
333.6 $
343.8 $
(10.2) (3.0)
profit
%
Gross margin:
New vehicle 4.6
% 4.9
% (0.3)
retail sales %
Used vehicle 5.6
% 6.5
% (0.9)
retail sales %
Used vehicle
wholesale %
sales 1.8
% 2.9
% (1.0)
Total used 5.3
% 6.2
% (0.9)
%
Parts and 53.6 54.0 (0.4)
service sales % % %
F&I, net 100.0 100.0
% % %
Total gross 16.9 16.8 0.1
margin % % %
Units sold:
Retail new 24,154 26,145 (1,991) (7.6)
vehicles sold
%
Retail used 27,210 28,868 (1,658) (5.7)
vehicles sold
%
Wholesale used
vehicles sold 6,960 6,962 (2) %
Total used 34,170 35,830 (1,660) (4.6)
%
Average sales price per unit
sold:
New vehicle $
40,175 $
39,164 $
1,010 2.6
retail %
Used vehicle $
20,509 $
20,365 $
144 0.7
retail %
Gross profit per unit sold:
New vehicle $
1,867 $
1,930 $
(63) (3.3)
retail sales
%
Used vehicle $
1,142 $
1,315 $
(173) (13.1)
retail sales %
Used vehicle
wholesale %
sales $
121 $
171 $
(50) (29.2)
Total used $
934 $
1,093 $
(159) (14.5)
%
F&I PRU $
1,880 $
1,736 $
144 8.3
%
Other:
SG&A expenses $
252.0 $
256.2 $
(4.2) (1.6)
%
Adjusted SG&A $
252.0 $
253.5 $
(1.5) (0.6)
expenses (1)
%
SG&A as % gross 75.5 74.5 1.0
profit % % %
Adjusted SG&A
as % gross % % %
profit (1) 75.5 73.7 1.8
(1) See the section in this release
titled "Reconciliation of Certain
Non-GAAP Financial Measures" for
the GAAP to non-GAAP
reconciliation of these figures.
Group 1 Automotive, Inc.
Same Store Operating Data - U.K.
(Unaudited)
(In millions, except unit and per unit amounts)
Three Months Ended March 31,
2020 2019 Increase/ % Change Currency Constant
(Decrease) Impact on Currency
Current % Change
Period
Results
---
Revenues:
New vehicle $
270.6 $
306.7 $
(36.1) (11.8) $
(8.4) (9.0)
retail sales %
%
Used vehicle 174.8 196.4 (21.6) (11.0) (2.1) (9.9)
retail sales %
%
Used vehicle
wholesale % %
sales 32.7 43.5 (10.8) (24.8) (0.4) (23.8)
Total used 207.6 239.9 (32.3) (13.5) (2.5) (12.4)
% %
Parts and 49.7 55.1 (5.4) (9.8) (0.7) (8.5)
service sales
% %
F&I, net 12.1 14.7 (2.6) (17.9) (0.3) (15.9)
% %
Total revenues $
539.9 $
616.4 $
(76.5) (12.4) $
(11.9) (10.5)
% %
Gross profit:
New vehicle $
11.1 $
16.2 $
(5.1) (31.6) $
(0.5) (28.8)
retail sales % %
Used vehicle 8.5 8.0 0.5 6.7 (0.1) 8.3
retail sales % %
Used vehicle
wholesale % %
sales - (0.9) 0.8 94.7 94.1
Total used 8.5 7.1 1.3 18.8 (0.1) 20.6
% %
Parts and 26.9 30.5 (3.6) (11.9) (0.4) (10.6)
service sales % %
F&I, net 12.1 14.7 (2.6) (17.9) (0.3) (15.9)
% %
Total gross $
58.5 $
68.6 $
(10.1) (14.7) $
(1.3) (12.7)
profit % %
Gross margin:
New vehicle 4.1
% 5.3
% (1.2)
retail sales %
Used vehicle 4.9
% 4.1
% 0.8
retail sales %
Used vehicle
wholesale % % %
sales (0.1) (2.0) 1.8
Total used 4.1
% 3.0
% 1.1
%
Parts and 54.1 55.4 (1.3)
service sales % % %
F&I, net 100.0 100.0
% % %
Total gross 10.8 11.1 (0.3)
margin % % %
Units sold:
Retail new 8,029 9,635 (1,606) (16.7)
vehicles sold %
Retail used 7,361 8,117 (756) (9.3)
vehicles sold
%
Wholesale used 4,180 5,180 (1,000) (19.3)
vehicles sold %
Total used 11,541 13,297 (1,756) (13.2)
%
Average sales price per unit
sold:
New vehicle $
33,699 $
31,834 $
1,865 5.9 $
(1,047) 9.1
retail % %
Used vehicle $
23,749 $
24,195 $
(445) (1.8) $
(289) (0.6)
retail
% %
Gross profit per unit sold:
New vehicle $
1,379 $
1,680 $
(301) (17.9) $
(57) (14.5)
retail sales % %
Used vehicle $
1,157 $
983 $
173 17.6 $
(18) 19.4
retail sales % %
Used vehicle
wholesale % %
sales $
(11) $
(165) $
154 93.4 $
1 92.7
Total used $
734 $
536 $
198 36.9 $
(11) 38.9
% %
F&I PRU $
786 $
830 $
(44) (5.3) $
(19) (3.0)
% %
Other:
SG&A expenses $
52.4 $
55.7 $
(3.3) (6.0) $
(0.9) (4.4)
% %
SG&A as % gross 89.5 81.3 8.2
profit % % %
Group 1 Automotive, Inc.
Same Store Operating Data - Brazil
(Unaudited)
(In millions, except unit and per unit amounts)
Three Months Ended March 31,
2020 2019 Increase/ % Change Currency Constant
(Decrease) Impact on Currency
Current % Change
Period
Results
---
Revenues:
New vehicle $
57.5 $
63.2 $
(5.7) (9.0)
retail sales %
% $
(10.2) 7.1
Used vehicle 19.9 19.7 0.3 1.4 (3.4) 18.9
retail sales % %
Used vehicle
wholesale % %
sales 3.8 3.5 0.4 10.9 (0.6) 28.4
Total used 23.8 23.1 0.7 2.8 (4.1) 20.3
% %
Parts and 9.6 11.7 (2.2) (18.6) (1.6) (4.8)
service sales %
%
F&I, net 1.7 2.0 (0.2) (11.9) (0.3) 3.5
% %
Total revenues $
92.5 $
100.0 $
(7.4) (7.4)
%
% $
(16.1) 8.7
Gross profit:
New vehicle $
3.5 $
3.8 $
(0.3) (8.4)
retail sales %
% $
(0.6) 7.7
Used vehicle 1.1 1.4 (0.3) (24.9) (0.2) (11.6)
retail sales % %
Used vehicle
wholesale % %
sales 0.2 0.3 (0.1) (26.2) (12.8)
Total used 1.3 1.7 (0.4) (25.2) (0.2) (11.8)
% %
Parts and 4.2 5.1 (0.9) (17.6) (0.7) (3.8)
service sales %
%
F&I, net 1.7 2.0 (0.2) (11.9) (0.3) 3.5
% %
Total gross $
10.7 $
12.6 $
(1.9) (14.9) $
(1.8) (0.2)
profit %
%
Gross margin:
New vehicle
retail sales 6.1
% 6.1
% %
Used vehicle 5.3
% 7.1
% (1.8)
retail sales %
Used vehicle
wholesale %
sales 5.3
% 8.0
% (2.7)
Total used 5.3
% 7.3
% (2.0)
%
Parts and 44.0 43.5 0.5
service sales % % %
F&I, net 100.0 100.0
% % %
Total gross 11.5 12.6 (1.0)
margin % % %
Units sold:
Retail new 1,971 2,126 (155) (7.3)
vehicles sold
%
Retail used 1,098 1,058 40 3.8
vehicles sold %
Wholesale used 475 450 25 5.6
vehicles sold %
Total used 1,573 1,508 65 4.3
%
Average sales price per unit
sold:
New vehicle $
29,169 $
29,709 $
(540) (1.8)
retail %
% $
(5,158) 15.5
Used vehicle $
18,154 $
18,584 $
(429) (2.3)
retail %
% $
(3,141) 14.6
Gross profit per unit sold:
New vehicle $
1,782 $
1,803 $
(21) (1.1)
retail sales %
% $
(312) 16.2
Used vehicle $
957 $
1,323 $
(366) (27.7) $
(171) (14.8)
retail sales % %
Used vehicle
wholesale % %
sales $
430 $
615 $
(185) (30.1) $
(78) (17.4)
Total used $
798 $
1,112 $
(314) (28.3) $
(143) (15.4)
% %
F&I PRU $
560 $
613 $
(53) (8.6)
%
% $
(98) 7.4
Other:
SG&A expenses $
10.5 $
11.4 $
(0.9) (7.7)
%
% $
(1.9) 9.4
Adjusted SG&A $
9.7 $
11.4 $
(1.8) (15.4) $
(1.7) (0.6)
expenses (1) %
%
SG&A as % gross 98.7 90.9 7.8
profit % % %
Adjusted SG&A
as % gross % % %
profit (1) 90.4 90.9 (0.5)
(1) See the section in this release
titled "Reconciliation of Certain
Non-GAAP Financial Measures" for
the GAAP to non-GAAP reconciliation
of these figures.
Group 1 Automotive, Inc.
Reconciliation of Certain Non-GAAP Financial Measures - Consolidated
(Unaudited)
(In millions, except per share amounts)
Three Months Ended March 31, 2020
U.S. GAAP Severance costs Non-GAAP
adjusted
SG&A expenses $
328.0 $
(0.9) $
327.1
Income (loss) from
operations 69.9 0.9 70.8
Income (loss) before
income taxes $
38.9 $
0.9 $
39.8
Less: (Benefit)
provision for income
taxes 9.1 0.1 9.2
Net income (loss) 29.8 0.8 30.6
Less: Earnings (loss)
allocated to
participating
securities 1.1 1.1
Net income (loss)
available to diluted
common shares $
28.7 $
0.8 $
29.5
Diluted income (loss)
per common share $
1.61 $
0.04 $
1.66
Effective tax rate 23.4 23.2
% %
SG&A as % gross profit 78.7 78.5
(1) % %
Operating margin (2) 2.6 2.6
% %
Pretax margin (2) 1.4 1.5
% %
Same Store SG&A $
315.0 $
(0.9) $
314.1
Same Store SG&A as % 78.2 78.0
gross profit (1) % %
Same Store income (loss)
from operations $
70.1 $
0.9 $
71.0
Same Store operating 2.7 2.7
margin (2) % %
(1) Adjusted SG&A as % of gross
profit excludes the impact
of SG&A reconciling items
above.
(2) Adjusted operating margin
and pretax margin exclude
the impact of SG&A
reconciling items above.
Group 1 Automotive, Inc.
Reconciliation of Certain Non-GAAP Financial Measures - Consolidated
(Unaudited)
(In millions, except per share amounts)
Three Months Ended March 31, 2019
U.S. GAAP Catastrophic Dealership and Legal matters Non-GAAP
events real estate adjusted
transactions
SG&A expenses $
327.7 $
(2.0) $
5.2 $
(2.4) $
328.5
Income (loss) from
operations 86.8 2.0 (5.2) 2.4 86.0
Income (loss) before
income taxes $
52.2 $
2.0 $
(5.2) $
2.4 $
51.3
Less: (Benefit)
provision for income
taxes 13.5 0.5 (1.4) 0.5 13.1
Net income (loss) 38.6 1.5 (3.8) 1.9 38.2
Less: Earnings (loss)
allocated to
participating
securities 1.5 0.1 (0.1) 0.1 1.4
Net income (loss)
available to diluted
common shares $
37.2 $
1.4 $
(3.7) $
1.8 $
36.7
Diluted income (loss)
per common share $
2.08 $
0.08 $
(0.21) $
0.10 $
2.06
Effective tax rate 25.9 25.6
% %
SG&A as % gross profit 75.9 76.1
(1) % %
Operating margin (2) 3.1 3.1
% %
Pretax margin (2) 1.9 1.8
% %
Same Store SG&A $
323.4 $
(2.0) $
1.1 $
(1.8) $
320.6
Same Store SG&A as % 76.1 75.5
gross profit (1) % %
Same Store income (loss)
from operations $
84.8 $
2.0 $
(1.1) $
1.8 $
87.5
Same Store operating 3.1 3.2
margin (2) % %
(1) Adjusted SG&A as % of gross
profit excludes the impact
of SG&A reconciling items
above.
(2) Adjusted operating margin
and pretax margin exclude
the impact of SG&A
reconciling items above.
Group 1 Automotive, Inc.
Reconciliation of Certain Non-GAAP Financial Measures - U.S.
(Unaudited)
(In millions)
Three Months Ended March 31, 2019
U.S. GAAP Catastrophic Dealership and Legal matters Non-GAAP
events real estate adjusted
transactions
SG&A expenses $
256.2 $
(2.0) $
5.2 $
(1.8) $
257.6
SG&A as % gross 73.8 74.2
profit (1) % %
Same Store SG&A $
256.2 $
(2.0) $
1.1 $
(1.8) $
253.5
Same Store SG&A as 74.5 73.7
% gross profit (1) % %
(1) Adjusted SG&A as % of gross
profit excludes the impact
of SG&A reconciling items
above.
Group 1 Automotive, Inc.
Reconciliation of Certain Non-GAAP Financial Measures - Brazil
(Unaudited)
(In millions)
Three Months Ended March 31, 2020
U.S. GAAP Severance costs Non-GAAP
adjusted
SG&A expenses $
10.6 $
(0.9) $
9.7
SG&A as % gross 99.1 90.9
profit (1) % %
Same Store SG&A $
10.5 $
(0.9) $
9.7
Same Store SG&A as % 98.7 90.4
gross profit (1) % %
Three Months Ended March 31, 2019
U.S. GAAP Legal matters Non-GAAP
adjusted
SG&A expenses $
12.4 $
(0.6) $
11.8
SG&A as % gross 98.2 93.7
profit (1) % %
Same Store SG&A $
11.4
$ $
11.4
Same Store SG&A as % 90.9 90.9
gross profit (1) % %
(1) Adjusted SG&A as % of gross
profit excludes the impact
of SG&A reconciling items
above.
View original content:http://www.prnewswire.com/news-releases/group-1-automotive-announces-first-quarter-2020-financial-results-301052556.html
SOURCE Group 1 Automotive, Inc.
