Sonic Automotive Reports First Quarter 2026 Financial Results
Sonic Reported First Quarter Record Consolidated Revenues and Gross Profit
Sonic's EchoPark Segment Achieved All-Time Record Quarterly Pre-Tax Income and Adjusted EBITDA*
During the First Quarter, Sonic Repurchased Approximately 2.1
First Quarter 2026 Financial Summary
-
First quarter record total revenues of
$3.7 billion , up 1% year-over-year; first quarter record total gross profit of$598.8 million , up 6% year-over-year -
Reported net income in the first quarter was
$60.8 million , down 14% year-over-year ($1.79 earnings per share, down 12% year-over-year)-
Reported net income for the first quarter of 2026 includes a
$5.1 million pre-tax disposition-related net gain and a$3.6 million pre-tax gain related to the exit of leased dealerships, partially offset by a$0.4 million pre-tax impairment charge related to capital improvement projects (collectively, these items are partially offset by a$2.4 million income tax expense on the above net benefit) -
Reported net income for the first quarter of 2025 includes the effect of a
$30.0 million pre-tax gain from cyber insurance proceeds, offset partially by a$1.4 million non-cash pre-tax impairment charge, a$1.0 million pre-tax disposition related net loss, and a$0.9 million pre-tax charge related to storm damage (collectively, these items are partially offset by a$7.4 million tax expense on the above net benefit)
-
Reported net income for the first quarter of 2026 includes a
-
Excluding the above items, adjusted net income* for the first quarter of 2026 was
$54.9 million , up 7% year-over-year ($1.62 adjusted earnings per diluted share*, up 9% year-over-year) -
Total reported selling, general and administrative (“SG&A”) expenses as a percentage of gross profit of 71.3% (71.9% on a Franchised Dealerships Segment basis, 62.9% on an EchoPark Segment basis, and 97.7% on a Powersports Segment basis)
- Total adjusted SG&A expenses as a percentage of gross profit* of 72.8% (72.9% on a Franchised Dealerships Segment basis, 68.2% on an EchoPark Segment basis, and 97.7% on a Powersports Segment basis)
-
EchoPark Segment revenues of
$580.5 million , up 4% year-over-year; all-time record quarterly EchoPark Segment total gross profit of$67.9 million , up 6% year-over-year; EchoPark Segment retail used vehicle unit sales volume of 19,326, up 3% year-over-year -
All-time record quarterly reported EchoPark Segment income of
$16.2 million , as compared to$10.3 million in the prior year period, a 57% increase year-over-year-
All-time record quarterly adjusted EchoPark Segment income* of
$12.6 million , as compared to$10.1 million in the prior year period, a 25% increase year-over-year
-
All-time record quarterly adjusted EchoPark Segment income* of
-
All-time record quarterly EchoPark Segment adjusted EBITDA* of
$18.6 million , as compared to$15.8 million adjusted EBITDA* in the prior year period, up 18% year-over-year -
Previously announced acquisition of Space Coast Harley-Davidson, Treasure Coast Harley-Davidson, Falcons Fury Harley-Davidson, Raging
Bull Harley-Davidson , and San Diego Harley-Davidson inApril 2026 is expected to add approximately$100 million in annualized revenue to Sonic's Powersports Segment -
During the first quarter, Sonic disposed of four Franchised Dealerships, which generated
$113.5 million in revenues in 2025 and$58.7 million in gross proceeds from disposition -
During the first quarter, Sonic repurchased approximately 2.1 million shares of its Class A common stock for an aggregate purchase price of approximately
$135.7 million , representing a 6% reduction in outstanding shares fromDecember 31, 2025 -
In
April 2026 , Sonic's Board of Directors approved$500 million in additional share repurchase authorization, increasing the total remaining share repurchase authorization to$528 million
-
In
-
Sonic’s Board of Directors approved an 8% increase to the quarterly cash dividend, to
$0.41 per share, payable onJuly 15, 2026 to all stockholders of record onJune 15, 2026
* Represents a non-GAAP financial measure — please refer to the discussion and reconciliation of non-GAAP financial measures below.
Commentary
First Quarter 2026 Segment Highlights
The financial measures discussed below are results for the first quarter of 2026 with comparisons made to the first quarter of 2025, unless otherwise noted.
-
Franchised Dealerships Segment operating results include:
- Same store revenues down 4%; same store gross profit flat
-
Same store retail new vehicle unit sales volume down 10%; same store retail new vehicle gross profit per unit down 4%, to
$3,002 -
Same store retail used vehicle unit sales volume up 3%; same store retail used vehicle gross profit per unit down 4%, to
$1,533 - Same store parts, service and collision repair (“Fixed Operations”) gross profit up 5%; same store customer pay gross profit up 5%; same store warranty gross profit up 7%; same store Fixed Operations gross profit margin up 40 basis points, to 51.1%
-
Same store finance and insurance (“F&I”) gross profit up 2%; same store F&I gross profit per retail unit of
$2,594 , up 6% - On a trailing quarter cost of sales basis, the Franchised Dealerships Segment had 58 days’ supply of new vehicle inventory (including in-transit) and 32 days’ supply of used vehicle inventory
-
EchoPark Segment operating results include:
-
Revenues of
$580.5 million , up 4%; gross profit of$67.9 million , up 6% - Retail used vehicle unit sales volume of 19,326, up 3%
-
All-time record quarterly reported segment income of
$16.2 million , all-time record quarterly adjusted segment income* of$12.6 million , and all-time record quarterly adjusted EBITDA* of$18.6 million - On a trailing quarter cost of sales basis, the EchoPark Segment had 40 days’ supply of used vehicle inventory
-
Revenues of
-
Powersports Segment operating results include:
-
First quarter record revenues of
$40.9 million , up 19%; first quarter record gross profit of$10.1 million , up 19% -
Segment loss of
$2.0 million , a 43% improvement from a segment loss of$3.5 million in the prior year period, and adjusted EBITDA loss* of$0.1 million , an 86% improvement from an adjusted EBITDA loss* of$0.7 million in the prior year period (note that the first quarter has seasonally lower demand ahead of peak powersports industry demand in the second and third quarters)
-
First quarter record revenues of
* Represents a non-GAAP financial measure — please refer to the discussion and reconciliation of non-GAAP financial measures below.
Dividend
Sonic’s Board of Directors approved an 8% increase to the quarterly cash dividend, to
First Quarter 2026 Earnings Conference Call
Senior management will hold a conference call today at
To access the live webcast of the conference call, please go to ir.sonicautomotive.com and select the webcast link at the top of the page. For telephone access to this conference call, please dial (877) 407-8289 (domestic) or +1 (201) 689-8341 (international) and ask to be connected to the Sonic Automotive First Quarter 2026 Earnings Conference Call. Dial-in access remains available throughout the live call; however, to ensure you are connected for the full call we suggest dialing in at least 10 minutes before the start of the call. A webcast replay will be available following the call for 14 days at ir.sonicautomotive.com.
About
About
Forward-Looking Statements
Included herein are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements address our future objectives, plans and goals, as well as our intent, beliefs and current expectations regarding future operating performance, results and events, and can generally be identified by words such as “may,” “will,” “should,” “could,” “believe,” “expect,” “estimate,” “anticipate,” “intend,” “plan,” “foresee” and other similar words or phrases. You should not place undue reliance on these statements, and you are cautioned that these forward-looking statements are not guarantees of future performance. There are many factors that affect management’s views about future events and trends of the Company’s business. These factors involve risks and uncertainties that could cause actual results or trends to differ materially from management’s views, including, without limitation, the effects of tariffs on vehicle and parts pricing and supply, the effects of tariffs on consumer demand, economic conditions in the markets in which we operate, supply chain disruptions and manufacturing delays, labor shortages, the impacts of inflation and changes in interest rates, new and used vehicle industry sales volume, future levels of consumer demand for new and used vehicles, anticipated future growth in each of our operating segments, the success of our operational strategies and investment in new technologies, the rate and timing of overall economic expansion or contraction, the integration of acquisitions, cybersecurity incidents and other disruptions to our information systems, and the risk factors described in the Company’s Annual Report on Form 10-K for the year ended
Non-GAAP Financial Measures
This press release and the attached financial tables contain certain non-GAAP financial measures as defined under
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Results of Operations (Unaudited) |
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Results of Operations - Consolidated |
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Three Months Ended |
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Better / (Worse) |
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2026 |
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|
2025 |
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% Change |
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(In millions, except per share
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||||||||
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Revenues: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
$ |
1,607.4 |
|
|
$ |
1,656.3 |
|
|
(3 |
)% |
|
Fleet new vehicles |
|
|
20.7 |
|
|
|
22.1 |
|
|
NM |
|
|
Total new vehicles |
|
|
1,628.1 |
|
|
|
1,678.4 |
|
|
(3 |
)% |
|
Used vehicles |
|
|
1,269.6 |
|
|
|
1,225.0 |
|
|
4 |
% |
|
Wholesale vehicles |
|
|
71.8 |
|
|
|
82.7 |
|
|
NM |
|
|
Total vehicles |
|
|
2,969.5 |
|
|
|
2,986.1 |
|
|
(1 |
)% |
|
Parts, service and collision repair |
|
|
516.6 |
|
|
|
474.4 |
|
|
9 |
% |
|
Finance, insurance and other, net |
|
|
202.4 |
|
|
|
190.8 |
|
|
6 |
% |
|
Total revenues |
|
|
3,688.5 |
|
|
|
3,651.3 |
|
|
1 |
% |
|
Cost of sales: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
|
(1,522.9 |
) |
|
|
(1,566.9 |
) |
|
3 |
% |
|
Fleet new vehicles |
|
|
(20.3 |
) |
|
|
(21.5 |
) |
|
6 |
% |
|
Total new vehicles |
|
|
(1,543.2 |
) |
|
|
(1,588.4 |
) |
|
3 |
% |
|
Used vehicles |
|
|
(1,221.1 |
) |
|
|
(1,178.6 |
) |
|
(4 |
)% |
|
Wholesale vehicles |
|
|
(73.4 |
) |
|
|
(84.1 |
) |
|
13 |
% |
|
Total vehicles |
|
|
(2,837.7 |
) |
|
|
(2,851.1 |
) |
|
— |
% |
|
Parts, service and collision repair |
|
|
(252.0 |
) |
|
|
(233.8 |
) |
|
(8 |
)% |
|
Total cost of sales |
|
|
(3,089.7 |
) |
|
|
(3,084.9 |
) |
|
— |
% |
|
Gross profit |
|
|
598.8 |
|
|
|
566.4 |
|
|
6 |
% |
|
Selling, general and administrative expenses |
|
|
(427.0 |
) |
|
|
(380.3 |
) |
|
(12 |
)% |
|
Impairment charges |
|
|
(0.4 |
) |
|
|
(1.4 |
) |
|
NM |
|
|
Depreciation and amortization |
|
|
(38.7 |
) |
|
|
(39.7 |
) |
|
3 |
% |
|
Operating income (loss) |
|
|
132.7 |
|
|
|
145.0 |
|
|
(8 |
)% |
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Other income (expense): |
|
|
|
|
|
|
|||||
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Interest expense, floor plan |
|
|
(19.4 |
) |
|
|
(20.0 |
) |
|
3 |
% |
|
Interest expense, other, net |
|
|
(28.3 |
) |
|
|
(27.6 |
) |
|
(3 |
)% |
|
Other income (expense), net |
|
|
0.1 |
|
|
|
— |
|
|
NM |
|
|
Total other income (expense) |
|
|
(47.6 |
) |
|
|
(47.6 |
) |
|
— |
% |
|
Income before taxes |
|
|
85.1 |
|
|
|
97.4 |
|
|
(13 |
)% |
|
Provision for income taxes - benefit (expense) |
|
|
(24.3 |
) |
|
|
(26.8 |
) |
|
9 |
% |
|
Net income |
|
$ |
60.8 |
|
|
$ |
70.6 |
|
|
(14 |
)% |
|
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|
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|
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Basic earnings (loss) per common share |
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$ |
1.81 |
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|
$ |
2.09 |
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|
(13 |
)% |
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Basic weighted-average common shares outstanding |
|
|
33.6 |
|
|
|
33.9 |
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|
1 |
% |
|
|
|
|
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|
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Diluted earnings (loss) per common share |
|
$ |
1.79 |
|
|
$ |
2.04 |
|
|
(12 |
)% |
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Diluted weighted-average common shares outstanding |
|
|
34.0 |
|
|
|
34.6 |
|
|
2 |
% |
|
|
|
|
|
|
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|
|||||
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Dividends declared per common share |
|
$ |
0.38 |
|
|
$ |
0.30 |
|
|
27 |
% |
|
NM = Not Meaningful |
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Franchised Dealerships Segment - Reported |
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Three Months Ended |
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Better / (Worse) |
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2026 |
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|
2025 |
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|
% Change |
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(In millions, except unit and per unit data) |
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Revenues: |
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|
|
|
|
|
|||||
|
Retail new vehicles |
|
$ |
1,585.2 |
|
|
$ |
1,636.9 |
|
|
(3 |
)% |
|
Fleet new vehicles |
|
|
20.7 |
|
|
|
22.1 |
|
|
NM |
|
|
Total new vehicles |
|
|
1,605.9 |
|
|
|
1,659.0 |
|
|
(3 |
)% |
|
Used vehicles |
|
|
768.7 |
|
|
|
745.6 |
|
|
3 |
% |
|
Wholesale vehicles |
|
|
43.9 |
|
|
|
54.6 |
|
|
NM |
|
|
Total vehicles |
|
|
2,418.5 |
|
|
|
2,459.2 |
|
|
(2 |
)% |
|
Parts, service and collision repair |
|
|
509.3 |
|
|
|
467.4 |
|
|
9 |
% |
|
Finance, insurance and other, net |
|
|
139.3 |
|
|
|
130.6 |
|
|
7 |
% |
|
Total revenues |
|
|
3,067.1 |
|
|
|
3,057.2 |
|
|
— |
% |
|
Gross Profit: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
|
81.2 |
|
|
|
86.7 |
|
|
(6 |
)% |
|
Fleet new vehicles |
|
|
0.4 |
|
|
|
0.6 |
|
|
(33 |
)% |
|
Total new vehicles |
|
|
81.6 |
|
|
|
87.3 |
|
|
(7 |
)% |
|
Used vehicles |
|
|
40.5 |
|
|
|
39.9 |
|
|
2 |
% |
|
Wholesale vehicles |
|
|
(1.8 |
) |
|
|
(1.0 |
) |
|
(80 |
)% |
|
Total vehicles |
|
|
120.3 |
|
|
|
126.2 |
|
|
(5 |
)% |
|
Parts, service and collision repair |
|
|
261.1 |
|
|
|
237.2 |
|
|
10 |
% |
|
Finance, insurance and other, net |
|
|
139.3 |
|
|
|
130.6 |
|
|
7 |
% |
|
Total gross profit |
|
|
520.7 |
|
|
|
494.0 |
|
|
5 |
% |
|
Selling, general and administrative expenses |
|
|
(374.4 |
) |
|
|
(325.9 |
) |
|
(15 |
)% |
|
Impairment charges |
|
|
(0.4 |
) |
|
|
— |
|
|
NM |
|
|
Depreciation and amortization |
|
|
(31.7 |
) |
|
|
(33.4 |
) |
|
5 |
% |
|
Operating income |
|
|
114.2 |
|
|
|
134.7 |
|
|
(15 |
)% |
|
Other income (expense): |
|
|
|
|
|
|
|||||
|
Interest expense, floor plan |
|
|
(16.0 |
) |
|
|
(16.3 |
) |
|
2 |
% |
|
Interest expense, other, net |
|
|
(27.3 |
) |
|
|
(26.6 |
) |
|
(3 |
)% |
|
Other income (expense), net |
|
|
0.1 |
|
|
|
0.1 |
|
|
NM |
|
|
Total other income (expense) |
|
|
(43.2 |
) |
|
|
(42.8 |
) |
|
(1 |
)% |
|
Income before taxes |
|
|
71.0 |
|
|
|
91.9 |
|
|
(23 |
)% |
|
Add: Impairment charges |
|
|
0.4 |
|
|
|
— |
|
|
NM |
|
|
Segment income |
|
$ |
71.4 |
|
|
$ |
91.9 |
|
|
(22 |
)% |
|
|
|
|
|
|
|
|
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Unit Sales Volume: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
|
25,830 |
|
|
|
28,082 |
|
|
(8 |
)% |
|
Fleet new vehicles |
|
|
337 |
|
|
|
383 |
|
|
(12 |
)% |
|
Total new vehicles |
|
|
26,167 |
|
|
|
28,465 |
|
|
(8 |
)% |
|
Used vehicles |
|
|
26,335 |
|
|
|
25,441 |
|
|
4 |
% |
|
Wholesale vehicles |
|
|
4,713 |
|
|
|
6,195 |
|
|
(24 |
)% |
|
Retail new & used vehicles |
|
|
52,165 |
|
|
|
53,523 |
|
|
(3 |
)% |
|
Used-to-New Ratio |
|
|
1.02 |
|
|
|
0.91 |
|
|
12 |
% |
|
|
|
|
|
|
|
|
|||||
|
Gross Profit Per Unit: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
$ |
3,144 |
|
|
$ |
3,089 |
|
|
2 |
% |
|
Fleet new vehicles |
|
$ |
1,264 |
|
|
$ |
1,444 |
|
|
(12 |
)% |
|
New vehicles |
|
$ |
3,120 |
|
|
$ |
3,067 |
|
|
2 |
% |
|
Used vehicles |
|
$ |
1,539 |
|
|
$ |
1,568 |
|
|
(2 |
)% |
|
Finance, insurance and other, net |
|
$ |
2,670 |
|
|
$ |
2,439 |
|
|
9 |
% |
|
NM = Not Meaningful |
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|
Note: Reported Franchised Dealerships Segment results include (i) same store results from the “Franchised Dealerships Segment - Same Store” table below and (ii) the effects of acquisitions, open points, dispositions and holding company impacts for the periods reported. All currently operating franchised dealership stores are included within the same store group as of the first full month following the first anniversary of the store’s opening or acquisition. |
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|
Franchised Dealerships Segment - Same Store |
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|
|
Three Months Ended |
|
Better / (Worse) |
|||||||
|
|
|
|
2026 |
|
|
|
2025 |
|
|
% Change |
|
|
|
(In millions, except unit and per unit data) |
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|
Revenues: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
$ |
1,485.5 |
|
|
$ |
1,617.0 |
|
|
(8 |
)% |
|
Fleet new vehicles |
|
|
18.8 |
|
|
|
22.0 |
|
|
(15 |
)% |
|
Total new vehicles |
|
|
1,504.3 |
|
|
|
1,639.0 |
|
|
(8 |
)% |
|
Used vehicles |
|
|
746.2 |
|
|
|
732.5 |
|
|
2 |
% |
|
Wholesale vehicles |
|
|
41.4 |
|
|
|
53.6 |
|
|
(23 |
)% |
|
Total vehicles |
|
|
2,291.9 |
|
|
|
2,425.1 |
|
|
(5 |
)% |
|
Parts, service and collision repair |
|
|
483.5 |
|
|
|
462.2 |
|
|
5 |
% |
|
Finance, insurance and other, net |
|
|
130.6 |
|
|
|
128.3 |
|
|
2 |
% |
|
Total revenues |
|
|
2,906.0 |
|
|
|
3,015.6 |
|
|
(4 |
)% |
|
Gross Profit: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
|
74.2 |
|
|
|
86.5 |
|
|
(14 |
)% |
|
Fleet new vehicles |
|
|
0.5 |
|
|
|
0.6 |
|
|
(17 |
)% |
|
Total new vehicles |
|
|
74.8 |
|
|
|
87.1 |
|
|
(14 |
)% |
|
Used vehicles |
|
|
39.3 |
|
|
|
39.5 |
|
|
(1 |
)% |
|
Wholesale vehicles |
|
|
(1.7 |
) |
|
|
(0.7 |
) |
|
(143 |
)% |
|
Total vehicles |
|
|
112.4 |
|
|
|
125.9 |
|
|
(11 |
)% |
|
Parts, service and collision repair |
|
|
247.1 |
|
|
|
234.5 |
|
|
5 |
% |
|
Finance, insurance and other, net |
|
|
130.6 |
|
|
|
128.3 |
|
|
2 |
% |
|
Total gross profit |
|
$ |
490.1 |
|
|
$ |
488.7 |
|
|
— |
% |
|
|
|
|
|
|
|
|
|||||
|
Unit Sales Volume: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
|
24,725 |
|
|
|
27,598 |
|
|
(10 |
)% |
|
Fleet new vehicles |
|
|
317 |
|
|
|
383 |
|
|
(17 |
)% |
|
Total new vehicles |
|
|
25,042 |
|
|
|
27,981 |
|
|
(11 |
)% |
|
Used vehicles |
|
|
25,636 |
|
|
|
24,832 |
|
|
3 |
% |
|
Wholesale vehicles |
|
|
4,519 |
|
|
|
5,968 |
|
|
(24 |
)% |
|
Retail new & used vehicles |
|
|
50,361 |
|
|
|
52,430 |
|
|
(4 |
)% |
|
Used-to-New Ratio |
|
|
1.04 |
|
|
|
0.90 |
|
|
16 |
% |
|
|
|
|
|
|
|
|
|||||
|
Gross Profit Per Unit: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
$ |
3,002 |
|
|
$ |
3,135 |
|
|
(4 |
)% |
|
Fleet new vehicles |
|
$ |
1,717 |
|
|
$ |
1,444 |
|
|
19 |
% |
|
New vehicles |
|
$ |
2,986 |
|
|
$ |
3,112 |
|
|
(4 |
)% |
|
Used vehicles |
|
$ |
1,533 |
|
|
$ |
1,592 |
|
|
(4 |
)% |
|
Finance, insurance and other, net |
|
$ |
2,594 |
|
|
$ |
2,448 |
|
|
6 |
% |
|
Note: All currently operating franchised dealership stores are included within the same store group as of the first full month following the first anniversary of the store’s opening or acquisition. |
|||||||||||
|
EchoPark Segment - Reported |
|||||||||||
|
|
|
Three Months Ended |
|
Better / (Worse) |
|||||||
|
|
|
|
2026 |
|
|
|
2025 |
|
|
% Change |
|
|
|
(In millions, except unit and per unit data) |
||||||||||
|
Revenues: |
|
|
|
|
|
|
|||||
|
Used vehicles |
|
$ |
491.8 |
|
|
$ |
473.7 |
|
|
4 |
% |
|
Wholesale vehicles |
|
|
27.3 |
|
|
|
27.3 |
|
|
NM |
|
|
Total vehicles |
|
|
519.1 |
|
|
|
501.0 |
|
|
4 |
% |
|
Finance, insurance and other, net |
|
|
61.4 |
|
|
|
58.7 |
|
|
5 |
% |
|
Total revenues |
|
|
580.5 |
|
|
|
559.7 |
|
|
4 |
% |
|
Gross Profit: |
|
|
|
|
|
|
|||||
|
Used vehicles |
|
|
6.3 |
|
|
|
5.4 |
|
|
17 |
% |
|
Wholesale vehicles |
|
|
0.2 |
|
|
|
(0.2 |
) |
|
200 |
% |
|
Total vehicles |
|
|
6.5 |
|
|
|
5.2 |
|
|
25 |
% |
|
Finance, insurance and other, net |
|
|
61.4 |
|
|
|
58.7 |
|
|
5 |
% |
|
Total gross profit |
|
|
67.9 |
|
|
|
63.9 |
|
|
6 |
% |
|
Selling, general and administrative expenses |
|
|
(42.7 |
) |
|
|
(44.8 |
) |
|
5 |
% |
|
Impairment charges |
|
|
— |
|
|
|
(0.2 |
) |
|
NM |
|
|
Depreciation and amortization |
|
|
(5.7 |
) |
|
|
(5.2 |
) |
|
(10 |
)% |
|
Operating income |
|
|
19.5 |
|
|
|
13.7 |
|
|
42 |
% |
|
Other income (expense): |
|
|
|
|
|
|
|||||
|
Interest expense, floor plan |
|
|
(3.0 |
) |
|
|
(3.1 |
) |
|
3 |
% |
|
Interest expense, other, net |
|
|
(0.3 |
) |
|
|
(0.4 |
) |
|
25 |
% |
|
Other income (expense), net |
|
|
— |
|
|
|
(0.1 |
) |
|
NM |
|
|
Total other income (expense) |
|
|
(3.3 |
) |
|
|
(3.6 |
) |
|
8 |
% |
|
Income before taxes |
|
|
16.2 |
|
|
|
10.1 |
|
|
60 |
% |
|
Add: Impairment charges |
|
|
— |
|
|
|
0.2 |
|
|
NM |
|
|
Segment income |
|
$ |
16.2 |
|
|
$ |
10.3 |
|
|
57 |
% |
|
|
|
|
|
|
|
|
|||||
|
Unit Sales Volume: |
|
|
|
|
|
|
|||||
|
Used vehicles |
|
|
19,326 |
|
|
|
18,798 |
|
|
3 |
% |
|
Wholesale vehicles |
|
|
3,127 |
|
|
|
3,150 |
|
|
(1 |
)% |
|
|
|
|
|
|
|
|
|||||
|
Gross Profit Per Unit: |
|
|
|
|
|
|
|||||
|
Total used vehicle and F&I |
|
$ |
3,502 |
|
|
$ |
3,411 |
|
|
3 |
% |
|
NM = Not Meaningful |
|||||||||||
|
EchoPark Segment - Same Market |
||||||||||
|
|
|
Three Months Ended |
|
Better / (Worse) |
||||||
|
|
|
|
2026 |
|
|
2025 |
|
|
% Change |
|
|
|
(In millions, except unit and per unit data) |
|||||||||
|
Revenues: |
|
|
|
|
|
|
||||
|
Used vehicles |
|
$ |
491.8 |
|
$ |
473.7 |
|
|
4 |
% |
|
Wholesale vehicles |
|
|
27.4 |
|
|
27.3 |
|
|
— |
% |
|
Total vehicles |
|
|
519.2 |
|
|
501.0 |
|
|
4 |
% |
|
Finance, insurance and other, net |
|
|
61.6 |
|
|
59.1 |
|
|
4 |
% |
|
Total revenues |
|
|
580.8 |
|
|
560.1 |
|
|
4 |
% |
|
Gross Profit: |
|
|
|
|
|
|
||||
|
Used vehicles |
|
|
6.4 |
|
|
5.4 |
|
|
19 |
% |
|
Wholesale vehicles |
|
|
0.2 |
|
|
(0.2 |
) |
|
200 |
% |
|
Total vehicles |
|
|
6.6 |
|
|
5.2 |
|
|
27 |
% |
|
Finance, insurance and other, net |
|
|
61.6 |
|
|
59.1 |
|
|
4 |
% |
|
Total gross profit |
|
$ |
68.2 |
|
$ |
64.3 |
|
|
6 |
% |
|
|
|
|
|
|
|
|
||||
|
Unit Sales Volume: |
|
|
|
|
|
|
||||
|
Used vehicles |
|
|
19,326 |
|
|
18,798 |
|
|
3 |
% |
|
Wholesale vehicles |
|
|
3,127 |
|
|
3,150 |
|
|
(1 |
)% |
|
|
|
|
|
|
|
|
||||
|
Gross Profit Per Unit: |
|
|
|
|
|
|
||||
|
Total used vehicle and F&I |
|
$ |
3,518 |
|
$ |
3,432 |
|
|
3 |
% |
|
Note: All currently operating EchoPark stores in a local geographic market are included within the same market group as of the first full month following the first anniversary of the market's opening. |
||||||||||
|
Powersports Segment - Reported |
|||||||||||
|
|
|
Three Months Ended |
|
Better / (Worse) |
|||||||
|
|
|
|
2026 |
|
|
|
2025 |
|
|
% Change |
|
|
|
(In millions, except unit and per unit data) |
||||||||||
|
Revenues: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
$ |
22.3 |
|
|
$ |
19.4 |
|
|
15 |
% |
|
Used vehicles |
|
|
9.2 |
|
|
|
5.7 |
|
|
61 |
% |
|
Wholesale vehicles |
|
|
0.2 |
|
|
|
0.8 |
|
|
NM |
|
|
Total vehicles |
|
|
31.7 |
|
|
|
25.9 |
|
|
22 |
% |
|
Parts, service and collision repair |
|
|
7.4 |
|
|
|
7.0 |
|
|
6 |
% |
|
Finance, insurance and other, net |
|
|
1.8 |
|
|
|
1.5 |
|
|
20 |
% |
|
Total revenues |
|
|
40.9 |
|
|
|
34.4 |
|
|
19 |
% |
|
Gross Profit: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
|
3.2 |
|
|
|
2.7 |
|
|
19 |
% |
|
Used vehicles |
|
|
1.6 |
|
|
|
1.1 |
|
|
45 |
% |
|
Wholesale vehicles |
|
|
— |
|
|
|
(0.2 |
) |
|
100 |
% |
|
Total vehicles |
|
|
4.8 |
|
|
|
3.6 |
|
|
33 |
% |
|
Parts, service and collision repair |
|
|
3.5 |
|
|
|
3.4 |
|
|
3 |
% |
|
Finance, insurance and other, net |
|
|
1.8 |
|
|
|
1.5 |
|
|
20 |
% |
|
Total gross profit |
|
|
10.1 |
|
|
|
8.5 |
|
|
19 |
% |
|
Selling, general and administrative expenses |
|
|
(9.9 |
) |
|
|
(9.6 |
) |
|
(3 |
)% |
|
Impairment charges |
|
|
— |
|
|
|
(1.1 |
) |
|
NM |
|
|
Depreciation and amortization |
|
|
(1.2 |
) |
|
|
(1.2 |
) |
|
— |
% |
|
Operating income |
|
|
(1.0 |
) |
|
|
(3.4 |
) |
|
71 |
% |
|
Other income (expense): |
|
|
|
|
|
|
|||||
|
Interest expense, floor plan |
|
|
(0.4 |
) |
|
|
(0.5 |
) |
|
20 |
% |
|
Interest expense, other, net |
|
|
(0.7 |
) |
|
|
(0.7 |
) |
|
— |
% |
|
Other income (expense), net |
|
|
0.1 |
|
|
|
— |
|
|
NM |
|
|
Total other income (expense) |
|
|
(1.0 |
) |
|
|
(1.2 |
) |
|
17 |
% |
|
Loss before taxes |
|
|
(2.0 |
) |
|
|
(4.6 |
) |
|
57 |
% |
|
Add: Impairment charges |
|
|
— |
|
|
|
1.1 |
|
|
NM |
|
|
Segment loss |
|
$ |
(2.0 |
) |
|
$ |
(3.5 |
) |
|
43 |
% |
|
|
|
|
|
|
|
|
|||||
|
Unit Sales Volume: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
|
1,124 |
|
|
|
993 |
|
|
13 |
% |
|
Used vehicles |
|
|
832 |
|
|
|
578 |
|
|
44 |
% |
|
Wholesale vehicles |
|
|
49 |
|
|
|
60 |
|
|
(18 |
)% |
|
|
|
|
|
|
|
|
|||||
|
Gross Profit Per Unit: |
|
|
|
|
|
|
|||||
|
Retail new vehicles |
|
$ |
2,891 |
|
|
$ |
2,681 |
|
|
8 |
% |
|
Used vehicles |
|
$ |
1,938 |
|
|
$ |
1,823 |
|
|
6 |
% |
|
Finance, insurance and other, net |
|
$ |
907 |
|
|
$ |
943 |
|
|
(4 |
)% |
|
NM = Not Meaningful |
|||||||||||
|
Powersports Segment - Same Store |
|||||||||
|
|
|
Three Months Ended |
|
Better / (Worse) |
|||||
|
|
|
2026 |
|
2025 |
|
% Change |
|||
|
|
(In millions, except unit and per unit data) |
||||||||
|
Revenues: |
|
|
|
|
|
|
|||
|
Retail new vehicles |
|
$ |
22.3 |
|
$ |
18.8 |
|
19 |
% |
|
Used vehicles |
|
|
9.2 |
|
|
5.2 |
|
77 |
% |
|
Wholesale vehicles |
|
|
0.2 |
|
|
0.8 |
|
(75 |
)% |
|
Total vehicles |
|
|
31.7 |
|
|
24.8 |
|
28 |
% |
|
Parts, service and collision repair |
|
|
7.4 |
|
|
6.6 |
|
12 |
% |
|
Finance, insurance and other, net |
|
|
1.8 |
|
|
1.4 |
|
29 |
% |
|
Total revenues |
|
|
40.9 |
|
|
32.8 |
|
25 |
% |
|
Gross Profit: |
|
|
|
|
|
|
|||
|
Retail new vehicles |
|
|
3.2 |
|
|
2.6 |
|
23 |
% |
|
Used vehicles |
|
|
1.6 |
|
|
1.0 |
|
60 |
% |
|
Wholesale vehicles |
|
|
— |
|
|
— |
|
— |
% |
|
Total vehicles |
|
|
4.8 |
|
|
3.6 |
|
33 |
% |
|
Parts, service and collision repair |
|
|
3.5 |
|
|
3.2 |
|
9 |
% |
|
Finance, insurance and other, net |
|
|
1.8 |
|
|
1.4 |
|
29 |
% |
|
Total gross profit |
|
$ |
10.1 |
|
$ |
8.2 |
|
23 |
% |
|
|
|
|
|
|
|
|
|||
|
Unit Sales Volume: |
|
|
|
|
|
|
|||
|
Retail new vehicles |
|
|
1,124 |
|
|
969 |
|
16 |
% |
|
Used vehicles |
|
|
832 |
|
|
533 |
|
56 |
% |
|
Wholesale vehicles |
|
|
49 |
|
|
60 |
|
(18 |
)% |
|
Retail new & used vehicles |
|
|
1,956 |
|
|
1,502 |
|
30 |
% |
|
Used-to-New Ratio |
|
|
0.74 |
|
|
0.55 |
|
35 |
% |
|
|
|
|
|
|
|
|
|||
|
Gross Profit Per Unit: |
|
|
|
|
|
|
|||
|
Retail new vehicles |
|
$ |
2,891 |
|
$ |
2,709 |
|
7 |
% |
|
Used vehicles |
|
$ |
1,938 |
|
$ |
1,797 |
|
8 |
% |
|
Finance, insurance and other, net |
|
$ |
907 |
|
$ |
952 |
|
(5 |
)% |
|
Note: All currently operating powersports stores are included within the same store group as of the first full month following the first anniversary of the store’s opening or acquisition. |
|||||||||
|
Non-GAAP Reconciliation - Consolidated - SG&A Expenses |
||||||||||||||
|
Three Months Ended |
|
Better / (Worse) |
||||||||||||
|
|
|
2026 |
|
|
|
2025 |
|
|
Change |
|
% Change |
|||
|
|
(In millions) |
|||||||||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
Compensation |
$ |
274.3 |
|
|
$ |
258.5 |
|
|
$ |
(15.8 |
) |
|
(6 |
)% |
|
Advertising |
|
27.3 |
|
|
|
23.8 |
|
|
|
(3.5 |
) |
|
(15 |
)% |
|
Rent |
|
9.7 |
|
|
|
10.2 |
|
|
|
0.5 |
|
|
5 |
% |
|
Other |
|
115.7 |
|
|
|
87.8 |
|
|
|
(27.9 |
) |
|
(32 |
)% |
|
Total SG&A expenses |
$ |
427.0 |
|
|
$ |
380.3 |
|
|
$ |
(46.7 |
) |
|
(12 |
)% |
|
Adjustments: |
|
|
|
|
|
|
|
|||||||
|
Acquisition and disposition-related gain (loss) |
$ |
5.1 |
|
|
$ |
(1.0 |
) |
|
|
|
|
|||
|
Cyber insurance proceeds |
|
— |
|
|
|
30.0 |
|
|
|
|
|
|||
|
Storm damage charges |
|
— |
|
|
|
(0.9 |
) |
|
|
|
|
|||
|
Gain (loss) on exit of leased dealership |
|
3.6 |
|
|
|
— |
|
|
|
|
|
|||
|
Total SG&A adjustments |
$ |
8.7 |
|
|
$ |
28.1 |
|
|
|
|
|
|||
|
Adjusted: |
|
|
|
|
|
|
|
|||||||
|
Total adjusted SG&A expenses |
$ |
435.7 |
|
|
$ |
408.4 |
|
|
$ |
(27.3 |
) |
|
(7 |
)% |
|
|
|
|
|
|
|
|
|
|||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
SG&A expenses as a % of gross profit: |
|
|
|
|
|
|
|
|||||||
|
Compensation |
|
45.8 |
% |
|
|
45.6 |
% |
|
|
(20 |
) |
|
bps |
|
|
Advertising |
|
4.6 |
% |
|
|
4.2 |
% |
|
|
(40 |
) |
|
bps |
|
|
Rent |
|
1.6 |
% |
|
|
1.8 |
% |
|
|
20 |
|
|
bps |
|
|
Other |
|
19.3 |
% |
|
|
15.5 |
% |
|
|
(380 |
) |
|
bps |
|
|
Total SG&A expenses as a % of gross profit |
|
71.3 |
% |
|
|
67.1 |
% |
|
|
(420 |
) |
|
bps |
|
|
Adjustments: |
|
|
|
|
|
|
||||||||
|
Acquisition and disposition-related gain (loss) |
|
0.9 |
% |
|
|
(0.2 |
)% |
|
|
|
|
|||
|
Cyber insurance proceeds |
|
— |
% |
|
|
5.3 |
% |
|
|
|
||||
|
Storm damage charges |
|
— |
% |
|
|
(0.2 |
)% |
|
|
|
|
|||
|
Gain (loss) on lease terminations |
|
0.6 |
% |
|
|
— |
% |
|
|
|
||||
|
Total effect of adjustments |
|
1.5 |
% |
|
|
5.0 |
% |
|
|
|
||||
|
Adjusted: |
|
|
|
|
|
|
||||||||
|
Total adjusted SG&A expenses as a % of gross profit |
|
72.8 |
% |
|
|
72.1 |
% |
|
|
(70 |
) |
bps |
||
|
|
|
|
|
|
|
|
|
|||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
Total gross profit |
$ |
598.8 |
|
|
$ |
566.4 |
|
|
$ |
32.4 |
|
|
6 |
% |
|
Non-GAAP Reconciliation - Franchised Dealerships Segment - SG&A Expenses |
||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||
|
|
Three Months Ended |
|
Better / (Worse) |
|||||||||||
|
|
|
2026 |
|
|
|
2025 |
|
|
Change |
|
% Change |
|||
|
|
(In millions) |
|||||||||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
Compensation |
$ |
240.1 |
|
|
$ |
226.4 |
|
|
$ |
(13.7 |
) |
|
(6 |
)% |
|
Advertising |
|
18.7 |
|
|
|
15.8 |
|
|
|
(2.9 |
) |
|
(18 |
)% |
|
Rent |
|
12.4 |
|
|
|
9.7 |
|
|
|
(2.7 |
) |
|
(28 |
)% |
|
Other |
|
103.2 |
|
|
|
74.0 |
|
|
|
(29.2 |
) |
|
(39 |
)% |
|
Total SG&A expenses |
$ |
374.4 |
|
|
$ |
325.9 |
|
|
$ |
(48.5 |
) |
|
(15 |
)% |
|
Adjustments: |
|
|
|
|
|
|
|
|||||||
|
Acquisition and disposition-related gain (loss) |
$ |
5.1 |
|
|
$ |
(0.3 |
) |
|
|
|
|
|||
|
Cyber insurance proceeds |
|
— |
|
|
|
30.0 |
|
|
|
|
|
|||
|
Storm damage charges |
|
— |
|
|
|
(0.9 |
) |
|
|
|
|
|||
|
Total SG&A adjustments |
$ |
5.1 |
|
|
$ |
28.8 |
|
|
|
|
|
|||
|
Adjusted: |
|
|
|
|
|
|
|
|||||||
|
Total adjusted SG&A expenses |
$ |
379.5 |
|
|
$ |
354.7 |
|
|
$ |
(24.8 |
) |
|
(7 |
)% |
|
|
|
|
|
|
|
|
|
|||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
SG&A expenses as a % of gross profit: |
|
|
|
|
|
|
|
|||||||
|
Compensation |
|
46.1 |
% |
|
|
45.8 |
% |
|
|
(30 |
) |
|
bps |
|
|
Advertising |
|
3.6 |
% |
|
|
3.2 |
% |
|
|
(40 |
) |
|
bps |
|
|
Rent |
|
2.4 |
% |
|
|
2.0 |
% |
|
|
(40 |
) |
|
bps |
|
|
Other |
|
19.8 |
% |
|
|
15.0 |
% |
|
|
(480 |
) |
|
bps |
|
|
Total SG&A expenses as a % of gross profit |
|
71.9 |
% |
|
|
66.0 |
% |
|
|
(590 |
) |
|
bps |
|
|
Adjustments: |
|
|
|
|
|
|
||||||||
|
Acquisition and disposition-related gain (loss) |
|
1.0 |
% |
|
|
(0.1 |
)% |
|
|
|
||||
|
Cyber insurance proceeds |
|
— |
% |
|
|
6.1 |
% |
|
|
|
|
|||
|
Storm damage charges |
|
— |
% |
|
|
(0.2 |
)% |
|
|
|
|
|||
|
Total effect of adjustments |
|
1.0 |
% |
|
|
5.8 |
% |
|
|
|
||||
|
Adjusted: |
|
|
|
|
|
|
||||||||
|
Total adjusted SG&A expenses as a % of gross profit |
|
72.9 |
% |
|
|
71.8 |
% |
|
|
(110 |
) |
bps |
||
|
|
|
|
|
|
|
|
|
|||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
Total gross profit |
$ |
520.7 |
|
|
$ |
494.0 |
|
|
$ |
26.7 |
|
|
5 |
% |
|
Non-GAAP Reconciliation - EchoPark Segment - SG&A Expenses |
||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended |
|
Better / (Worse) |
|||||||||||
|
|
|
2026 |
|
|
|
2025 |
|
|
Change |
|
% Change |
|||
|
|
(In millions) |
|||||||||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
Compensation |
$ |
26.9 |
|
|
$ |
25.9 |
|
|
$ |
(1.0 |
) |
|
(4 |
)% |
|
Advertising |
|
8.3 |
|
|
|
7.7 |
|
|
|
(0.6 |
) |
|
(8 |
)% |
|
Rent |
|
(2.7 |
) |
|
|
0.7 |
|
|
|
3.4 |
|
|
486 |
% |
|
Other |
|
10.2 |
|
|
|
10.5 |
|
|
|
0.3 |
|
|
3 |
% |
|
Total SG&A expenses |
$ |
42.7 |
|
|
$ |
44.8 |
|
|
$ |
2.1 |
|
|
5 |
% |
|
Adjustments: |
|
|
|
|
|
|
|
|||||||
|
Acquisition and disposition-related gain (loss) |
$ |
— |
|
|
$ |
0.2 |
|
|
|
|
|
|||
|
Gain (loss) on exit of leased dealerships |
|
3.6 |
|
|
|
— |
|
|
|
|
|
|||
|
Total SG&A adjustments |
$ |
3.6 |
|
|
$ |
0.2 |
|
|
|
|
|
|||
|
Adjusted: |
|
|
|
|
|
|
|
|||||||
|
Total adjusted SG&A expenses |
$ |
46.3 |
|
|
$ |
45.0 |
|
|
$ |
(1.3 |
) |
|
(3 |
)% |
|
|
|
|
|
|
|
|
|
|||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
SG&A expenses as a % of gross profit: |
|
|
|
|
|
|
|
|||||||
|
Compensation |
|
39.6 |
% |
|
|
40.5 |
% |
|
|
90 |
|
bps |
||
|
Advertising |
|
12.2 |
% |
|
|
12.1 |
% |
|
|
(10 |
) |
bps |
||
|
Rent |
|
(4.0 |
)% |
|
|
1.1 |
% |
|
|
510 |
|
bps |
||
|
Other |
|
15.1 |
% |
|
|
16.4 |
% |
|
|
130 |
|
bps |
||
|
Total SG&A expenses as a % of gross profit |
|
62.9 |
% |
|
|
70.1 |
% |
|
|
720 |
|
bps |
||
|
Adjustments: |
|
|
|
|
|
|
||||||||
|
Acquisition and disposition-related gain (loss) |
|
— |
% |
|
|
0.3 |
% |
|
|
|
||||
|
Gain (loss) on exit of leased dealerships |
|
5.3 |
% |
|
|
— |
% |
|
|
|
||||
|
Total effect of adjustments |
|
5.3 |
% |
|
|
0.3 |
% |
|
|
|
||||
|
Adjusted: |
|
|
|
|
|
|
||||||||
|
Total adjusted SG&A expenses as a % of gross profit |
|
68.2 |
% |
|
|
70.4 |
% |
|
|
220 |
|
bps |
||
|
|
|
|
|
|
|
|
|
|||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
Total gross profit |
$ |
67.9 |
|
|
$ |
63.9 |
|
|
$ |
4.0 |
|
|
6 |
% |
|
Non-GAAP Reconciliation - Powersports Segment - SG&A Expenses |
||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended |
|
Better / (Worse) |
|||||||||||
|
|
|
2026 |
|
|
|
2025 |
|
|
Change |
|
% Change |
|||
|
|
(In millions) |
|||||||||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
Compensation |
$ |
7.3 |
|
|
$ |
6.2 |
|
|
$ |
(1.1 |
) |
|
(18 |
)% |
|
Advertising |
|
0.3 |
|
|
|
0.2 |
|
|
|
(0.1 |
) |
|
(50 |
)% |
|
Rent |
|
— |
|
|
|
(0.2 |
) |
|
|
(0.2 |
) |
|
(100 |
)% |
|
Other |
|
2.3 |
|
|
|
3.4 |
|
|
|
1.1 |
|
|
32 |
% |
|
Total SG&A expenses |
$ |
9.9 |
|
|
$ |
9.6 |
|
|
$ |
(0.3 |
) |
|
(3 |
)% |
|
Adjustments: |
|
|
|
|
|
|
|
|||||||
|
Acquisition and disposition-related gain (loss) |
$ |
— |
|
|
$ |
(0.9 |
) |
|
|
|
|
|||
|
Total SG&A adjustments |
$ |
— |
|
|
$ |
(0.9 |
) |
|
|
|
|
|||
|
Adjusted: |
|
|
|
|
|
|
|
|||||||
|
Total adjusted SG&A expenses |
$ |
9.9 |
|
|
$ |
8.7 |
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
SG&A expenses as a % of gross profit: |
|
|
|
|
|
|
|
|||||||
|
Compensation |
|
71.9 |
% |
|
|
72.6 |
% |
|
|
70 |
|
bps |
||
|
Advertising |
|
3.3 |
% |
|
|
2.9 |
% |
|
|
(40 |
) |
bps |
||
|
Rent |
|
— |
% |
|
|
(2.0 |
)% |
|
|
(200 |
) |
bps |
||
|
Other |
|
22.5 |
% |
|
|
39.0 |
% |
|
|
1,650 |
|
bps |
||
|
Total SG&A expenses as a % of gross profit |
|
97.7 |
% |
|
|
112.5 |
% |
|
|
1,480 |
|
bps |
||
|
Adjustments: |
|
|
|
|
|
|
|
|||||||
|
Acquisition and disposition-related gain (loss) |
|
— |
% |
|
|
(10.5 |
)% |
|
|
|
|
|||
|
Total effect of adjustments |
|
— |
% |
|
|
(10.5 |
)% |
|
|
|
|
|||
|
Adjusted: |
|
|
|
|
|
|
|
|||||||
|
Total adjusted SG&A expenses as a % of gross profit |
|
97.7 |
% |
|
|
102.0 |
% |
|
|
430 |
|
|
bps |
|
|
|
|
|
|
|
|
|
|
|||||||
|
Reported: |
|
|
|
|
|
|
|
|||||||
|
Total gross profit |
$ |
10.1 |
|
|
$ |
8.5 |
|
|
$ |
1.6 |
|
|
19 |
% |
|
Non-GAAP Reconciliation - Franchised Dealerships Segment - Income (Loss) Before Taxes and Segment Income (Loss) |
|||||||||||
|
|
|
Three Months Ended |
|||||||||
|
|
|
|
2026 |
|
|
|
2025 |
|
|
% Change |
|
|
|
(In millions) |
||||||||||
|
Reported: |
|
|
|
|
|
|
|||||
|
Income before taxes |
|
$ |
71.0 |
|
|
$ |
91.9 |
|
|
(23 |
)% |
|
Add: Impairment charges |
|
|
0.4 |
|
|
|
— |
|
|
|
|
|
Segment income |
|
$ |
71.4 |
|
|
$ |
91.9 |
|
|
(22 |
)% |
|
|
|
|
|
|
|
|
|||||
|
Adjustments: |
|
|
|
|
|
|
|||||
|
Acquisition and disposition-related (gain) loss |
|
$ |
(5.1 |
) |
|
$ |
0.3 |
|
|
|
|
|
Cyber insurance proceeds |
|
|
— |
|
|
|
(30.0 |
) |
|
|
|
|
Storm damage charges |
|
|
— |
|
|
|
0.9 |
|
|
|
|
|
Total pre-tax adjustments |
|
$ |
(5.1 |
) |
|
$ |
(28.8 |
) |
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Adjusted: |
|
|
|
|
|
|
|||||
|
Segment income |
|
$ |
66.3 |
|
|
$ |
63.1 |
|
|
5 |
% |
|
Non-GAAP Reconciliation - EchoPark Segment - Income (Loss) Before Taxes and Segment Income (Loss) |
|||||||||||
|
|
|
Three Months Ended |
|||||||||
|
|
|
|
2026 |
|
|
|
2025 |
|
|
% Change |
|
|
|
(In millions) |
||||||||||
|
Reported: |
|
|
|
|
|
|
|||||
|
Income before taxes |
|
$ |
16.2 |
|
|
$ |
10.1 |
|
|
60 |
% |
|
Add: Impairment charges |
|
|
— |
|
|
|
0.2 |
|
|
|
|
|
Segment income |
|
$ |
16.2 |
|
|
$ |
10.3 |
|
|
57 |
% |
|
|
|
|
|
|
|
|
|||||
|
Adjustments: |
|
|
|
|
|
|
|||||
|
Acquisition and disposition-related (gain) loss |
|
$ |
— |
|
|
$ |
(0.2 |
) |
|
|
|
|
Loss (gain) on exit of leased dealerships |
|
|
(3.6 |
) |
|
|
— |
|
|
|
|
|
Total pre-tax adjustments |
|
$ |
(3.6 |
) |
|
$ |
(0.2 |
) |
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Adjusted: |
|
|
|
|
|
|
|||||
|
Segment income |
|
$ |
12.6 |
|
|
$ |
10.1 |
|
|
25 |
% |
|
Non-GAAP Reconciliation - Powersports Segment - Income (Loss) Before Taxes and Segment Income (Loss) |
|||||||||||
|
|
|
Three Months Ended |
|||||||||
|
|
|
|
2026 |
|
|
|
2025 |
|
|
% Change |
|
|
|
(In millions) |
||||||||||
|
Reported: |
|
|
|
|
|
|
|||||
|
Loss before taxes |
|
$ |
(2.0 |
) |
|
$ |
(4.6 |
) |
|
57 |
% |
|
Add: Impairment charges |
|
|
— |
|
|
|
1.1 |
|
|
|
|
|
Segment loss |
|
$ |
(2.0 |
) |
|
$ |
(3.5 |
) |
|
43 |
% |
|
|
|
|
|
|
|
|
|||||
|
Adjustments: |
|
|
|
|
|
|
|||||
|
Acquisition and disposition-related (gain) loss |
|
$ |
— |
|
|
$ |
0.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Adjusted: |
|
|
|
|
|
|
|||||
|
Adjusted segment loss |
|
$ |
(2.0 |
) |
|
$ |
(2.6 |
) |
|
23 |
% |
|
Non-GAAP Reconciliation - Consolidated - Net Income (Loss) and Diluted Earnings (Loss) Per Share |
|||||||||||||||||
|
Three Months Ended |
|
Three Months Ended |
|||||||||||||||
|
|
Weighted-
|
|
Net Income
|
|
Per
|
|
Weighted-
|
|
Net Income
|
|
Per
|
||||||
|
|
(In millions, except per share amounts) |
||||||||||||||||
|
Reported net income, diluted shares, and diluted earnings per share |
34.0 |
|
$ |
60.8 |
|
|
$ |
1.79 |
|
34.6 |
|
$ |
70.6 |
|
|
$ |
2.04 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
||||||
|
Acquisition and disposition-related (gain) loss |
|
|
$ |
(5.1 |
) |
|
|
|
|
|
$ |
1.0 |
|
|
|
||
|
Cyber insurance proceeds |
|
|
|
— |
|
|
|
|
|
|
|
(30.0 |
) |
|
|
||
|
Storm damage charges |
|
|
|
— |
|
|
|
|
|
|
|
0.9 |
|
|
|
||
|
Impairment charges |
|
|
|
0.4 |
|
|
|
|
|
|
|
1.4 |
|
|
|
||
|
Loss (gain) on exit of leased dealerships |
|
|
|
(3.6 |
) |
|
|
|
|
|
|
— |
|
|
|
||
|
Total pre-tax adjustments |
|
|
$ |
(8.3 |
) |
|
|
|
|
|
$ |
(26.7 |
) |
|
|
||
|
Tax effect of above items |
|
|
|
2.4 |
|
|
|
|
|
|
|
7.4 |
|
|
|
||
|
Adjusted net income, diluted shares, and diluted earnings per share |
34.0 |
|
$ |
54.9 |
|
|
$ |
1.62 |
|
34.6 |
|
$ |
51.3 |
|
|
$ |
1.48 |
|
Non-GAAP Reconciliation - Adjusted EBITDA |
|||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
|
|
Three Months Ended |
|
Three Months Ended |
||||||||||||||||||||||||||||
|
|
Franchised
|
|
EchoPark
|
|
Powersports
|
|
Total |
|
Franchised
|
|
EchoPark
|
|
Powersports
|
|
Total |
||||||||||||||||
|
|
(In millions) |
||||||||||||||||||||||||||||||
|
Net income |
|
|
|
|
|
|
$ |
60.8 |
|
|
|
|
|
|
|
|
$ |
70.6 |
|
||||||||||||
|
Provision for income taxes |
|
|
|
|
|
|
|
24.3 |
|
|
|
|
|
|
|
|
|
26.8 |
|
||||||||||||
|
Income (loss) before taxes |
$ |
71.0 |
|
|
$ |
16.2 |
|
|
$ |
(2.0 |
) |
|
$ |
85.1 |
|
|
$ |
91.9 |
|
|
$ |
10.1 |
|
|
$ |
(4.6 |
) |
|
$ |
97.4 |
|
|
Non-floor plan interest (1) |
|
25.6 |
|
|
|
0.3 |
|
|
|
0.7 |
|
|
|
26.6 |
|
|
|
24.9 |
|
|
|
0.5 |
|
|
|
0.7 |
|
|
|
26.1 |
|
|
Depreciation & amortization (2) |
|
33.3 |
|
|
|
5.7 |
|
|
|
1.2 |
|
|
|
40.2 |
|
|
|
35.1 |
|
|
|
5.2 |
|
|
|
1.2 |
|
|
|
41.4 |
|
|
Stock-based compensation expense |
|
5.2 |
|
|
|
— |
|
|
|
— |
|
|
|
5.2 |
|
|
|
5.8 |
|
|
|
— |
|
|
|
— |
|
|
|
5.8 |
|
|
Loss (gain) on exit of leased dealerships |
|
— |
|
|
|
(3.6 |
) |
|
|
— |
|
|
|
(3.6 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Impairment charges |
|
0.4 |
|
|
|
— |
|
|
|
— |
|
|
|
0.4 |
|
|
|
— |
|
|
|
0.2 |
|
|
|
1.1 |
|
|
|
1.4 |
|
|
Cyber insurance proceeds |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(30.0 |
) |
|
|
— |
|
|
|
— |
|
|
|
(30.0 |
) |
|
Acquisition and disposition related (gain) loss |
|
(5.1 |
) |
|
|
— |
|
|
|
— |
|
|
|
(5.1 |
) |
|
|
0.3 |
|
|
|
(0.2 |
) |
|
|
0.9 |
|
|
|
1.0 |
|
|
Storm damage charges |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
0.9 |
|
|
|
— |
|
|
|
— |
|
|
|
0.9 |
|
|
Adjusted EBITDA (loss) |
$ |
130.4 |
|
|
$ |
18.6 |
|
|
$ |
(0.1 |
) |
|
$ |
148.8 |
|
|
$ |
128.9 |
|
|
$ |
15.8 |
|
|
$ |
(0.7 |
) |
|
$ |
144.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
Note: Due to rounding, segment level financial data may not sum to consolidated results. |
|||||||||||||||||||||||||||||||
|
(1) |
Includes interest expense, other, net in the accompanying consolidated statements of operations, net of any amortization of debt issuance costs or net debt discount/premium included in (2) below. |
|
|
(2) |
Includes the following line items from the accompanying consolidated statements of cash flows: depreciation and amortization of property and equipment; debt issuance cost amortization; and debt discount amortization, net of premium amortization. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20260430204608/en/
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