Penske Automotive Reports Second Quarter and First-Half Results
-- Record Second Quarter Income from Continuing Operations and Earnings per Share
-- Operating Margin Increases 40 Basis Points
-- Earnings per Share from Continuing Operations Rises 26.8% to $0.71
BLOOMFIELD HILLS, Michigan, July 31, 2013 /PRNewswire/ --
Second Quarter 2013 |
Six Months 2013 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Penske Automotive Group, Inc. (NYSE: PAG), an international automotive retailer, announced today record second quarter income from continuing operations and related earnings per share. For the second quarter 2013, income from continuing operations attributable to common shareholders increased 27.4% to $64.0 million and related earnings per share increased 26.8% to $0.71 per share. This compares to income from continuing operations attributable to common shareholders of $50.2 million, or $0.56 per share in the same period last year.
(Logo: http://photos.prnewswire.com/prnh/20130530/MM23675LOGO)
Total revenue increased 11.6% to $3.7 billion, including a same-store retail revenue increase of 11.5%. The revenue increase was driven by a 14.1% increase in total retail unit sales, including a 12.3% increase on a same-store basis. Gross profit improved 12.7% to $569.0 million while operating income increased 24.9% to $113.7 million.
"Our business produced an outstanding quarter," said Chairman Roger Penske. "We delivered solid growth across each area of our business, increased our service and parts margin by 160 basis points, leveraged selling, general and administrative expenses by 190 basis points and improved our operating income by 40 basis points to 3.1%. We continue to expect the U.S. and U.K. automotive markets to perform well, and we remain confident in our ability to continue growing our business."
Highlights of the Second Quarter
- Total Retail Unit Sales increased 14.1% to 93,639
- +14.3% in the United States; +13.9% Internationally
- New unit retail sales +11.6%
- Used unit retail sales +17.4%
- Same-store Retail Revenue increased 11.5%
- New +11.4%; Used +13.2%; Finance & Insurance +16.4%; Service and Parts +6.6%
- +13.2% in the United States; +8.5% Internationally
- Average Transaction Price Per Unit
- New $37,617; +1.1%
- Used $25,567; -1.6%
- Average Gross Profit Per Unit
- New $2,807, -$181/unit; Gross Margin 7.5%, -50 basis points
- Used $1,928, -$84/unit; Gross Margin 7.5%, -20 basis points
- Finance & Insurance $1,024, +$33/unit
For the six months ended June 30, 2013, total revenue increased 9.6% to $7.1 billion and income from continuing operations attributable to common shareholders increased 20.8% to $120.9 million and related earnings per share increased 20.7% to $1.34 per share. This compares to income from continuing operations attributable to common shareholders of $100.0 million, and earnings per share of $1.11 per share in the same period last year.
Acquisitions
As previously announced, the company has signed an agreement to acquire a distributor of commercial vehicles, related spare parts and aftermarket support across Australia and New Zealand and portions of Southeast Asia from Transpacific Industries Group Limited. The business to be acquired, Western Star Trucks Australia, primarily distributes heavy and medium-duty trucks for Western Star, MAN Truck and Bus and Dennis Eagle Refuse Collection through a network of over 80 independent dealers while serving customers across a number of industries, including logistics, construction, mining, manufacturing, agricultural and waste/refuse collection. Closing of the transaction is expected to occur in the third quarter 2013. The transaction is subject to specified closing conditions, including OEM approval. Including vehicle inventory, parts, assets and goodwill, the company expects the total purchase price to be approximately $200 million which will be financed using available cash flow from operations and availability under the company's credit and floorplan facilities.
The business to be acquired has a seasoned local management team which is expected to provide a seamless transition. Upon closing, the transaction is expected to generate approximately $420-460 million in estimated annual U.S. dollar-related revenues for Penske Automotive Group and is expected to be $0.10 to $0.14 accretive per fully diluted share on an annualized basis, excluding acquisition-related costs. Penske Automotive expects to incur $0.02 per share in acquisition-related costs in its third-quarter 2013.
Additionally, the company has been awarded new open points for a Toyota-Scion dealership in the Phoenix, Arizona, metropolitan market, a Hyundai dealership in the Austin, Texas, market, and a Bentley dealership in the Central New Jersey market.
Conference Call
Penske Automotive will host a conference call discussing financial results relating to the second quarter of 2013 on July 31, 2013, at 2:00 p.m. Eastern Daylight Time. To listen to the conference call, participants must dial (800) 762-4758 [International, please dial (480) 629-9035]. The call will also be simultaneously broadcast over the Internet through the Investors Relations section of the Penske Automotive Group website. Additionally, an investor presentation relating to the second quarter 2013 financial results and Western Star Trucks Australia acquisition has been posted to the company's website. To access the presentation or to listen to the company's webcast, please refer to www.penskeautomotive.com.
About Penske Automotive
Penske Automotive Group, Inc., headquartered in Bloomfield Hills, Michigan, operates 324 retail automotive franchises, representing 39 different brands and 30 collision repair centers. Penske Automotive, which sells new and previously owned vehicles, finance and insurance products and replacement parts, and offers maintenance and repair services on all brands it represents, has 172 franchises in 18 states and Puerto Rico and 152 franchises located outside the United States, primarily in the United Kingdom. Penske Automotive is a member of the Fortune 500 and Russell 2000 and has approximately 17,000 employees.
Non-GAAP Financial Measures
This release contains certain non-GAAP financial measures as defined under SEC rules, such as earnings before interest, taxes, depreciation and amortization ("EBITDA"). The company has reconciled these measures to the most directly comparable GAAP measures in the release. The company believes that these widely accepted measures of operating profitability improve the transparency of the company's disclosures and provide a meaningful presentation of the company's results from its core business operations excluding the impact of items not related to the company's ongoing core business operations, and improve the period-to-period comparability of the company's results from its core business operations. These non-GAAP financial measures are not substitutes for GAAP financial results, and should only be considered in conjunction with the company's financial information that is presented in accordance with GAAP.
Caution Concerning Forward Looking Statements
Statements in this press release may involve forward-looking statements, including forward-looking statements regarding Penske Automotive Group, Inc.'s future sales potential, potential earnings, outlook, and ability to complete the aforementioned acquisition. Actual results may vary materially because of risks and uncertainties that are difficult to predict. These risks and uncertainties include, among others: economic conditions generally, conditions in the credit markets and changes in interest rates, adverse conditions affecting a particular manufacturer, including the adverse impact to the vehicle and parts supply chain due to natural disasters or other disruptions that interrupt the supply of vehicles or parts to us; changes in consumer credit availability, the outcome of legal and administrative matters, completion of closing conditions, and other factors over which management has limited control. These forward-looking statements should be evaluated together with additional information about Penske Automotive's business, markets, conditions and other uncertainties, which could affect Penske Automotive's future performance. These risks and uncertainties are addressed in Penske Automotive's Form 10-K for the year ended December 31, 2012, and its other filings with the Securities and Exchange Commission ("SEC"). This press release speaks only as of its date, and Penske Automotive disclaims any duty to update the information herein.
Find a vehicle: http://www.penskecars.com
Engage Penske Automotive: http://www.penskesocial.com
Like Penske Automotive on Facebook: https://facebook.com/PenskeCars
Follow Penske Automotive on Twitter: https://twitter.com/Penskecarscorp
Visit Penske Automotive on YouTube: http://www.youtube.com/penskecars
Inquiries should contact: |
||
David K. Jones Chief Financial Officer Penske Automotive Group, Inc. |
Anthony R. Pordon Penske Automotive Group, Inc. |
|
PENSKE AUTOMOTIVE GROUP, INC. |
||||||||
Three Months Ended |
Six Months Ended |
|||||||
June 30, |
June 30, |
|||||||
2013 |
2012 |
2013 |
2012 |
|||||
Revenues: |
||||||||
New Vehicle |
$ 1,930,040 |
$ 1,711,868 |
$ 3,678,822 |
$ 3,261,792 |
||||
Used Vehicle |
1,082,310 |
936,978 |
2,084,338 |
1,872,273 |
||||
Finance and Insurance, Net |
95,849 |
81,279 |
182,595 |
159,242 |
||||
Service and Parts |
391,554 |
362,194 |
776,919 |
723,314 |
||||
Fleet, Wholesale and Other |
199,422 |
222,732 |
381,100 |
462,143 |
||||
Total Revenues |
$ 3,699,175 |
$ 3,315,051 |
$ 7,103,774 |
$ 6,478,764 |
||||
Cost of Sales: |
||||||||
New Vehicle |
$ 1,786,015 |
$ 1,574,457 |
$ 3,399,029 |
$ 2,994,512 |
||||
Used Vehicle |
1,000,703 |
864,454 |
1,924,164 |
1,723,791 |
||||
Service and Parts |
156,358 |
150,160 |
317,196 |
303,002 |
||||
Fleet, Wholesale and Other |
187,076 |
221,009 |
360,155 |
457,524 |
||||
Total Cost of Sales |
3,130,152 |
2,810,080 |
6,000,544 |
5,478,829 |
||||
Gross Profit |
569,023 |
504,971 |
1,103,230 |
999,935 |
||||
SG&A Expenses |
440,331 |
400,637 |
854,770 |
788,619 |
||||
Depreciation |
14,985 |
13,319 |
29,516 |
26,310 |
||||
Operating Income |
113,707 |
91,015 |
218,944 |
185,006 |
||||
Floor Plan Interest Expense |
(10,900) |
(9,845) |
(21,168) |
(19,368) |
||||
Other Interest Expense |
(12,066) |
(11,478) |
(23,793) |
(23,572) |
||||
Equity in Earnings of Affiliates |
8,901 |
8,168 |
11,249 |
12,578 |
||||
Income from Continuing Operations Before Income Taxes |
99,642 |
77,860 |
185,232 |
154,644 |
||||
Income Taxes |
(35,164) |
(27,093) |
(63,571) |
(53,926) |
||||
Income from Continuing Operations |
64,478 |
50,767 |
121,661 |
100,718 |
||||
(Loss) from Discontinued Operations, Net of Tax |
(1,983) |
(1,155) |
(1,147) |
(4,100) |
||||
Net Income |
62,495 |
49,612 |
120,514 |
96,618 |
||||
Less: Income Attributable to Non-Controlling Interests |
(453) |
(520) |
(808) |
(708) |
||||
Net Income Attributable to Common Shareholders |
$ 62,042 |
$ 49,092 |
$ 119,706 |
$ 95,910 |
||||
Income from Continuing Operations Per Share |
$ 0.71 |
$ 0.56 |
$ 1.34 |
$ 1.11 |
||||
Income Per Share |
$ 0.69 |
$ 0.54 |
$ 1.32 |
$ 1.06 |
||||
Weighted Average Shares Outstanding |
90,305 |
90,337 |
90,380 |
90,395 |
||||
Amounts Attributable to Common Shareholders: |
||||||||
Reported Income from Continuing Operations |
$ 64,478 |
$ 50,767 |
$ 121,661 |
$ 100,718 |
||||
Less: Income Attributable to Non-Controlling Interests |
(453) |
(520) |
(808) |
(708) |
||||
Income from Continuing Operations, net of tax |
$ 64,025 |
$ 50,247 |
$ 120,853 |
$ 100,010 |
||||
(Loss) Income from Discontinued Operations, net of tax |
(1,983) |
(1,155) |
(1,147) |
(4,100) |
||||
Net Income |
$ 62,042 |
$ 49,092 |
$ 119,706 |
$ 95,910 |
||||
PENSKE AUTOMOTIVE GROUP, INC. |
||||
June 30, |
December 31, |
|||
2013 |
2012 |
|||
Assets |
||||
Cash and Cash Equivalents |
$ 26,254 |
$ 43,447 |
||
Accounts Receivable, Net |
530,647 |
554,851 |
||
Inventories |
2,125,771 |
2,000,206 |
||
Other Current Assets |
90,352 |
90,485 |
||
Assets Held for Sale |
33,849 |
73,398 |
||
Total Current Assets |
2,806,873 |
2,762,387 |
||
Property and Equipment, Net |
1,148,495 |
1,031,188 |
||
Intangibles |
1,231,166 |
1,261,299 |
||
Other Long-Term Assets |
351,098 |
324,116 |
||
Total Assets |
$ 5,537,632 |
$ 5,378,990 |
||
Liabilities and Equity |
||||
Floor Plan Notes Payable |
$ 1,474,440 |
$ 1,408,362 |
||
Floor Plan Notes Payable – Non-Trade |
753,130 |
725,526 |
||
Accounts Payable |
314,050 |
263,881 |
||
Accrued Expenses |
226,968 |
223,972 |
||
Current Portion Long-Term Debt |
44,896 |
19,493 |
||
Liabilities Held for Sale |
23,547 |
51,279 |
||
Total Current Liabilities |
2,837,031 |
2,692,513 |
||
Long-Term Debt |
875,307 |
918,024 |
||
Other Long-Term Liabilities |
469,029 |
452,132 |
||
Total Liabilities |
4,181,367 |
4,062,669 |
||
Equity |
1,356,265 |
1,316,321 |
||
Total Liabilities and Equity |
$ 5,537,632 |
$ 5,378,990 |
||
PENSKE AUTOMOTIVE GROUP, INC. |
|||||||
Three Months Ended |
|||||||
June 30, |
|||||||
2013 |
2012 |
% Increase/ |
|||||
Revenues: |
|||||||
New Vehicle |
$ 1,930,040 |
$ 1,711,868 |
12.7% |
||||
Used Vehicle |
1,082,310 |
936,978 |
15.5% |
||||
Finance and Insurance, Net |
95,849 |
81,279 |
17.9% |
||||
Service and Parts |
391,554 |
362,194 |
8.1% |
||||
Fleet, Wholesale and Other |
199,422 |
222,732 |
(10.5%) |
||||
Total Revenues |
$ 3,699,175 |
$ 3,315,051 |
11.6% |
||||
Cost of Sales: |
|||||||
New Vehicle |
$ 1,786,015 |
$ 1,574,457 |
13.4% |
||||
Used Vehicle |
1,000,703 |
864,454 |
15.8% |
||||
Service and Parts |
156,358 |
150,160 |
4.1% |
||||
Fleet, Wholesale and Other |
187,076 |
221,009 |
(15.4%) |
||||
Total Cost of Sales |
3,130,152 |
2,810,080 |
11.4% |
||||
Gross Profit |
569,023 |
504,971 |
12.7% |
||||
SG&A Expenses |
440,331 |
400,637 |
9.9% |
||||
Depreciation |
14,985 |
13,319 |
12.5% |
||||
Operating Income |
113,707 |
91,015 |
24.9% |
||||
Floor Plan Interest Expense |
(10,900) |
(9,845) |
10.7% |
||||
Other Interest Expense |
(12,066) |
(11,478) |
5.1% |
||||
Equity in Earnings of Affiliates |
8,901 |
8,168 |
9.0% |
||||
Income from Continuing Operations Before Income Taxes |
99,642 |
77,860 |
28.0% |
||||
Income Taxes |
(35,164) |
(27,093) |
29.8% |
||||
Income from Continuing Operations |
64,478 |
50,767 |
27.0% |
||||
(Loss) from Discontinued Operations, Net of Tax |
(1,983) |
(1,155) |
71.7% |
||||
Net Income |
62,495 |
49,612 |
26.0% |
||||
Less: Income Attributable to Non-Controlling Interests |
(453) |
(520) |
(12.9%) |
||||
Net Income Attributable to Common Shareholders |
$ 62,042 |
$ 49,092 |
26.4% |
||||
Income from Continuing Operations Per Share |
$ 0.71 |
$ 0.56 |
26.8% |
||||
Income Per Share |
$ 0.69 |
$ 0.54 |
27.8% |
||||
Weighted Average Shares Outstanding |
90,305 |
90,337 |
0.0% |
||||
Amounts Attributable to Common Shareholders: |
|||||||
Reported Income from Continuing Operations |
$ 64,478 |
$ 50,767 |
27.0% |
||||
Less: Income Attributable to Non-Controlling Interests |
(453) |
(520) |
(12.9%) |
||||
Income from Continuing Operations, net of tax |
$ 64,025 |
$ 50,247 |
27.4% |
||||
(Loss) Income from Discontinued Operations, net of tax |
(1,983) |
(1,155) |
71.7% |
||||
Net Income |
$ 62,042 |
$ 49,092 |
26.4% |
||||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||
Three Months Ended |
||||||
June 30, |
||||||
2013 |
2012 |
% Increase/ |
||||
Total Retail Units: |
||||||
New Retail |
51,307 |
45,987 |
11.6% |
|||
Used Retail |
42,332 |
36,048 |
17.4% |
|||
Total Retail |
93,639 |
82,035 |
14.1% |
|||
Same-Store Retail Units: |
||||||
New Same-Store Retail |
50,084 |
45,453 |
10.2% |
|||
Used Same-Store Retail |
41,061 |
35,723 |
14.9% |
|||
Total Same-Store Retail |
91,145 |
81,176 |
12.3% |
|||
Same-Store Retail Revenue: (Amounts in thousands) |
||||||
New Vehicles |
$ 1,884,391 |
$ 1,691,192 |
11.4% |
|||
Used Vehicles |
1,054,784 |
931,746 |
13.2% |
|||
Finance and Insurance, Net |
94,043 |
80,808 |
16.4% |
|||
Service and Parts |
381,812 |
358,126 |
6.6% |
|||
Total Same-Store Retail |
$ 3,415,030 |
$ 3,061,872 |
11.5% |
|||
Revenue Mix: |
||||||
New Vehicles |
52.2% |
51.6% |
60 bps |
|||
Used Vehicles |
29.3% |
28.3% |
100 bps |
|||
Finance and Insurance, Net |
2.6% |
2.5% |
10 bps |
|||
Service and Parts |
10.6% |
10.9% |
(30 bps) |
|||
Fleet, Wholesale and Other |
5.3% |
6.7% |
(140 bps) |
|||
Average Revenue per Vehicle Retailed: |
||||||
New Vehicles |
$ 37,617 |
$ 37,225 |
1.1% |
|||
Used Vehicles |
25,567 |
25,993 |
(1.6%) |
|||
Gross Profit per Vehicle Retailed: |
||||||
New Vehicles |
$ 2,807 |
$ 2,988 |
(6.1%) |
|||
Used Vehicles |
1,928 |
2,012 |
(4.2%) |
|||
Finance and Insurance |
1,024 |
991 |
3.3% |
|||
Operating items as a percentage of revenue: |
||||||
New Vehicle Gross Profit |
7.5% |
8.0% |
(50 bps) |
|||
Used Vehicle Gross Profit |
7.5% |
7.7% |
(20 bps) |
|||
Service and Parts Gross Profit |
60.1% |
58.5% |
160 bps |
|||
Total Gross Profit |
15.4% |
15.2% |
20 bps |
|||
Selling, General and Admin. Expenses |
11.9% |
12.1% |
(20 bps) |
|||
Operating Income |
3.1% |
2.7% |
40 bps |
|||
Inc. From Cont. Ops. Before Inc. Taxes |
2.7% |
2.3% |
40 bps |
|||
Operating items as a percentage of total gross profit: |
||||||
Selling, General and Administrative Expenses |
77.4% |
79.3% |
(190 bps) |
|||
Operating Income |
20.0% |
18.0% |
200 bps |
|||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||
Three Months Ended |
||||||
June 30, |
||||||
2013 |
2012 |
% Increase/ |
||||
Other (Amounts in Thousands): |
||||||
EBITDA * |
$ 126,693 |
$ 102,657 |
23.4% |
|||
Rent Expense |
44,961 |
43,184 |
4.1% |
|||
Floorplan Credits |
6,478 |
6,428 |
0.8% |
|||
* See the following Non-GAAP reconciliation tables |
||||||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||
Six Months Ended |
||||||
June 30, |
||||||
2013 |
2012 |
% Increase/ |
||||
Revenues: |
||||||
New Vehicle |
$ 3,678,822 |
$ 3,261,792 |
12.8% |
|||
Used Vehicle |
2,084,338 |
1,872,273 |
11.3% |
|||
Finance and Insurance, Net |
182,595 |
159,242 |
14.7% |
|||
Service and Parts |
776,919 |
723,314 |
7.4% |
|||
Fleet, Wholesale and Other |
381,100 |
462,143 |
(17.5%) |
|||
Total Revenues |
$ 7,103,774 |
$ 6,478,764 |
9.6% |
|||
Cost of Sales: |
||||||
New Vehicle |
$ 3,399,029 |
$ 2,994,512 |
13.5% |
|||
Used Vehicle |
1,924,164 |
1,723,791 |
11.6% |
|||
Service and Parts |
317,196 |
303,002 |
4.7% |
|||
Fleet, Wholesale and Other |
360,155 |
457,524 |
(21.3%) |
|||
Total Cost of Sales |
6,000,544 |
5,478,829 |
9.5% |
|||
Gross Profit |
1,103,230 |
999,935 |
10.3% |
|||
SG&A Expenses |
854,770 |
788,619 |
8.4% |
|||
Depreciation |
29,516 |
26,310 |
12.2% |
|||
Operating Income |
218,944 |
185,006 |
18.3% |
|||
Floor Plan Interest Expense |
(21,168) |
(19,368) |
9.3% |
|||
Other Interest Expense |
(23,793) |
(23,572) |
0.9% |
|||
Equity in Earnings of Affiliates |
11,249 |
12,578 |
(10.6%) |
|||
Income from Continuing Operations Before Income Taxes |
185,232 |
154,644 |
19.8% |
|||
Income Taxes |
(63,571) |
(53,926) |
17.9% |
|||
Income from Continuing Operations |
121,661 |
100,718 |
20.8% |
|||
(Loss) from Discontinued Operations, Net of Tax |
(1,147) |
(4,100) |
(72.0%) |
|||
Net Income |
120,514 |
96,618 |
24.7% |
|||
Less: Income Attributable to Non-Controlling Interests |
(808) |
(708) |
14.1% |
|||
Net Income Attributable to Common Shareholders |
$ 119,706 |
$ 95,910 |
24.8% |
|||
Income from Continuing Operations Per Share |
$ 1.34 |
$ 1.11 |
20.7% |
|||
Income Per Share |
$ 1.32 |
$ 1.06 |
24.5% |
|||
Weighted Average Shares Outstanding |
90,380 |
90,395 |
0.0% |
|||
Amounts Attributable to Common Shareholders: |
||||||
Reported Income from Continuing Operations |
$ 121,661 |
$ 100,718 |
20.8% |
|||
Less: Income Attributable to Non-Controlling Interests |
(808) |
(708) |
14.1% |
|||
Income from Continuing Operations, net of tax |
$ 120,853 |
$ 100,010 |
20.8% |
|||
(Loss) Income from Discontinued Operations, net of tax |
(1,147) |
(4,100) |
(72.0%) |
|||
Net Income |
$ 119,706 |
$ 95,910 |
24.8% |
|||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||
Six Months Ended |
||||||
June 30, |
||||||
2013 |
2012 |
% Increase/ |
||||
Total Retail Units: |
||||||
New Retail |
97,270 |
87,914 |
10.6% |
|||
Used Retail |
82,429 |
72,519 |
13.7% |
|||
Total Retail |
179,699 |
160,433 |
12.0% |
|||
Same-Store Retail Units: |
||||||
New Same-Store Retail |
94,120 |
86,746 |
8.5% |
|||
Used Same-Store Retail |
79,304 |
71,778 |
10.5% |
|||
Total Same-Store Retail |
173,424 |
158,524 |
9.4% |
|||
Same-Store Retail Revenue: (Amounts in thousands) |
||||||
New Vehicles |
$ 3,566,038 |
$ 3,220,917 |
10.7% |
|||
Used Vehicles |
2,020,907 |
1,860,114 |
8.6% |
|||
Finance and Insurance, Net |
178,415 |
157,909 |
13.0% |
|||
Service and Parts |
750,489 |
716,496 |
4.7% |
|||
Total Same-Store Retail |
$ 6,515,849 |
$ 5,955,436 |
9.4% |
|||
Revenue Mix: |
||||||
New Vehicles |
51.8% |
50.3% |
150 bps |
|||
Used Vehicles |
29.3% |
28.9% |
40 bps |
|||
Finance and Insurance, Net |
2.6% |
2.5% |
10 bps |
|||
Service and Parts |
10.9% |
11.2% |
(30 bps) |
|||
Fleet, Wholesale and Other |
5.4% |
7.1% |
(170 bps) |
|||
Average Revenue per Vehicle Retailed: |
||||||
New Vehicles |
$ 37,821 |
$ 37,102 |
1.9% |
|||
Used Vehicles |
25,286 |
25,818 |
(2.1%) |
|||
Gross Profit per Vehicle Retailed: |
||||||
New Vehicles |
$ 2,877 |
$ 3,040 |
(5.4%) |
|||
Used Vehicles |
1,943 |
2,048 |
(5.1%) |
|||
Finance and Insurance |
1,016 |
993 |
2.4% |
|||
Operating items as a percentage of revenue: |
||||||
New Vehicle Gross Profit |
7.6% |
8.2% |
(60 bps) |
|||
Used Vehicle Gross Profit |
7.7% |
7.9% |
(20 bps) |
|||
Service and Parts Gross Profit |
59.2% |
58.1% |
110 bps |
|||
Total Gross Profit |
15.5% |
15.4% |
10 bps |
|||
Selling, General and Admin. Expenses |
12.0% |
12.2% |
(20 bps) |
|||
Operating Income |
3.1% |
2.9% |
20 bps |
|||
Inc. From Cont. Ops. Before Inc. Taxes |
2.6% |
2.4% |
20 bps |
|||
Operating items as a percentage of total gross profit: |
||||||
Selling, General and Administrative Expenses |
77.5% |
78.9% |
(140 bps) |
|||
Operating Income |
19.8% |
18.5% |
130 bps |
|||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||
Six Months Ended |
||||||
June 30, |
||||||
2013 |
2012 |
% Increase/ |
||||
Other (Amounts in Thousands): |
||||||
EBITDA * |
$ 238,541 |
$ 204,526 |
16.6% |
|||
Rent Expense |
89,472 |
86,119 |
3.9% |
|||
Floorplan Credits |
12,645 |
11,205 |
12.9% |
|||
* See the following Non-GAAP reconciliation tables |
||||||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||||
Three Months Ended |
Six Months Ended |
|||||||
June 30, |
June 30, |
|||||||
2013 |
2012 |
2013 |
2012 |
|||||
Brand Revenue Mix: |
||||||||
Premium: |
||||||||
BMW |
24% |
24% |
25% |
24% |
||||
Audi |
13% |
12% |
13% |
12% |
||||
Mercedes-Benz |
11% |
11% |
11% |
11% |
||||
Lexus |
4% |
4% |
4% |
4% |
||||
Land Rover |
4% |
4% |
4% |
5% |
||||
Porsche |
5% |
5% |
5% |
5% |
||||
Ferrari / Maserati |
3% |
3% |
3% |
3% |
||||
Acura |
1% |
2% |
2% |
2% |
||||
Other |
3% |
3% |
2% |
3% |
||||
Total Premium |
68% |
68% |
69% |
69% |
||||
Foreign: |
||||||||
Toyota |
11% |
11% |
11% |
10% |
||||
Honda |
11% |
11% |
10% |
11% |
||||
Nissan |
2% |
2% |
2% |
2% |
||||
Volkswagen |
2% |
2% |
2% |
2% |
||||
Other |
2% |
2% |
2% |
2% |
||||
Total Foreign |
28% |
28% |
27% |
27% |
||||
Domestic Big 3 |
||||||||
General Motors / Chrysler / Ford |
4% |
4% |
4% |
4% |
||||
Revenue Mix: |
||||||||
U.S. |
66% |
64% |
64% |
63% |
||||
International |
34% |
36% |
36% |
37% |
||||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||
Reconciliation of net income to EBITDA for the three months and six months ended June 30, 2013 and 2012: |
||||||
Three Months Ended |
||||||
June 30, |
||||||
(Amounts in Thousands) |
2013 |
2012 |
% Increase/ |
|||
Net Income |
$ 62,495 |
$ 49,612 |
26.0% |
|||
Depreciation |
14,985 |
13,319 |
12.5% |
|||
Other Interest Expense |
12,066 |
11,478 |
5.1% |
|||
Income Taxes |
35,164 |
27,093 |
29.8% |
|||
Loss (income) from Discontinued Operations, net |
1,983 |
1,155 |
71.7% |
|||
EBITDA |
$ 126,693 |
$ 102,657 |
23.4% |
|||
Six Months Ended |
||||||
June 30, |
||||||
(Amounts in Thousands) |
2013 |
2012 |
% Increase/ |
|||
Net Income |
$ 120,514 |
$ 96,618 |
24.7% |
|||
Depreciation |
29,516 |
26,310 |
12.2% |
|||
Other Interest Expense |
23,793 |
23,572 |
0.9% |
|||
Income Taxes |
63,571 |
53,926 |
17.9% |
|||
Loss (income) from Discontinued Operations, net |
1,147 |
4,100 |
(72.0%) |
|||
EBITDA |
$ 238,541 |
$ 204,526 |
16.6% |
|||
Share this article