Group 1 Automotive(GPI) - 2025 Q1 - Quarterly Results

Revenue Performance - Current quarter total revenues reached $5.5 billion, a 23.1% increase compared to$ 4.5 billion in the first quarter of 2024[6] - Total revenues for the three months ended March 31, 2025, increased to $5,505.3 million, a 23.1% increase from$ 4,470.5 million in 2024[26] - Total revenues increased by 23.1% to $5,505.3 million in Q1 2025 from$ 4,470.5 million in Q1 2024[31] - Total revenues increased by 92.0% to $1,583.5 million compared to$ 824.8 million in the previous year[35] - Total revenues for the three months ended March 31, 2025, increased to $4,622.7 million, up 5.8% from$ 4,371.2 million in 2024[37] - Total revenues for the three months ended March 31, 2025, were $861.8 million, an increase of$ 39.9 million or 4.9% compared to $821.9 million in the same period of 2024[41] Vehicle Sales - The company sold 56,099 new vehicle units, a 26.6% increase year-over-year[7] - New vehicle retail sales rose to$ 2,680.0 million, reflecting a 22.8% increase compared to $2,182.6 million in the previous year[26] - Used vehicle retail sales increased by 23.9% to$ 1,755.4 million from $1,416.8 million[26] - Retail new vehicles sold increased by 26.6% to 56,099 units, and retail used vehicles sold rose by 21.2% to 59,618 units[31] - New vehicle retail sales rose by 85.8% to$ 711.2 million, while used vehicle retail sales increased by 92.6% to $611.1 million[35] - Retail new vehicles sold reached 18,264 units, a 103.8% increase, while retail used vehicles sold were 21,005 units, up 85.9%[35] - New vehicle retail sales reached$ 2,278.3 million, reflecting a 6.9% increase compared to $2,130.8 million in the previous year[37] - Used vehicle retail sales grew to$ 1,436.5 million, marking a 3.3% increase from $1,391.0 million[37] - Retail new vehicles sold increased by 5.2% to 45,398 units compared to 43,153 units in the same period last year[37] - The company reported a total used vehicle sales volume of 27,142 units, a 93.3% increase year-over-year[35] Profitability Metrics - Current quarter diluted earnings per share from continuing operations were$ 9.64, a 10.4% decrease from $10.76 in the prior year quarter[6] - Adjusted diluted earnings per share from continuing operations was$ 10.17, a 7.1% increase compared to $9.49 for the prior year quarter[6] - Gross profit for the period was$ 891.9 million, up 20.1% from $742.6 million in the same quarter last year[26] - Total gross profit grew by 20.1% to$ 891.9 million, with a gross margin of 16.2%[31] - Total gross profit grew by 109.6% to $217.0 million, with a gross margin improvement to 13.7% from 12.5%[35] - Gross profit for the total revenues was$ 111.0 million, an increase of $8.9 million or 8.7% from$ 102.1 million in the previous year[41] - The gross margin improved to 12.9%, up from 12.4% in the same quarter last year, representing a 0.5% increase[41] Expenses and Costs - SG&A expenses increased by 29.6% to $617.3 million, resulting in SG&A as a percentage of gross profit rising to 69.2%[31] - SG&A expenses rose by 109.0% to$ 169.8 million, reflecting increased operational costs[35] - SG&A expenses rose to $520.9 million, an increase of 5.7% from$ 492.7 million[37] - SG&A expenses were $85.7 million, an increase of$ 5.8 million or 7.2% compared to $79.9 million in the prior year[43] - Adjusted SG&A expenses rose by 24.0% to$ 620.3 million, reflecting ongoing investment in operational efficiency[31] - Same Store SG&A expenses were $485.9 million, with a same-store SG&A as a percentage of gross profit at 67.9%[45] Net Income and Earnings Per Share - Net income decreased to$ 128.1 million, down 13.4% from $147.9 million in the prior year[26] - The company reported a net income of$ 147.9 million for the three months ended March 31, 2025, down from $165.3 million in the previous year[49] - Diluted earnings per common share from continuing operations was$ 9.64, a decrease of $0.46 from the same period last year[43] - Diluted earnings per common share for the three months ended March 31, 2025, was$ 10.80, a decrease of 1.27 from the previous year[49] - Net income from continuing operations available to diluted common shares was $126.2 million, reflecting a decrease of$ 6.0 million compared to the previous year[43] - Net income from continuing operations available to diluted common shares was $144.1 million, a decrease of 22.5% year-over-year[45] Cash and Debt Management - Cash and cash equivalents increased significantly by 104.9% to$ 70.5 million from $34.4 million[29] - Total debt decreased by 3.8% to$ 2,803.4 million from $2,913.1 million[29] - As of March 31, 2025, the company had$ 353.3 million remaining on its Board authorized common share repurchase program[12] - The company repurchased 286,731 shares at an average price of $428.33, totaling$ 122.8 million during the current quarter[11] Restructuring and Acquisitions - The company recognized $11.1 million in restructuring charges during the current quarter related to the integration of recently acquired U.K. dealerships[8] - The acquisition of one Lexus and three Toyota dealerships in the U.K. is expected to generate approximately$ 100.0 million in annual revenues[9] - The company disposed of one Subaru dealership in the U.S. and closed two Volkswagen dealerships in the U.K., which generated approximately $150.0 million in annual revenues[10] Tax and Operating Margins - The effective tax rate for the period was 23.7%, slightly up from 23.3% in the previous year[45] - The operating margin for the period was 5.4%, compared to 4.9% in the previous year, indicating an improvement[45] - The operating margin percentage decreased to 4.6% from 4.8%[37]