Were numbers really that bad.....Revenue were up 19% yoy... "We are now in full swing with the Go Forward Plan in Canada and we are excited about the results that we are starting to see. We are encouraged that our Canadian new unit sales outperformed the overall Canadian market in the first quarter of 2019 as compared to the first quarter of 2018, with our new unit sales remaining flat in a market that contracted. In addition, our Go Forward Plan has resulted in a material increase in our Canadian used unit sales in the first quarter of 2018 over the first quarter of 2018," said Paul Antony, Executive Chair of the Company. "We have designed a go forward plan for our U.S. operations focusing on reducing the operating expenses in our U.S. dealerships and optimizing our U.S. portfolio with a view to creating a sustainable platform in the U.S."
2019 First Quarter Highlights
- Total revenue was $739.4 million, up 19.2% compared with the first quarter of 2018. The U.S. Operations revenue contribution was $103.9 million, representing 14% of total revenue.
- Gross profit was $126.7 million, which includes $13.7 million gross profit from U.S. Operations. As a percentage of revenue, gross profit increased to 17.1% from 16.8%. Same store gross profit was $97.7 million, up 1.9% from the same quarter in 2018.
- Operating expenses were $122.8 million, up 28.2% or $27.0 million from the same period last year. A large contributor to the increase was the addition of the U.S. Operations as operating expenses in the U.S. Operations amounted to $21.0 million in the current period.
- Operating expenses as a percentage of gross profit were up to 96.9% from 91.8% in the same period in 2018. Operating expenses in the U.S. Operations exceeded gross profit by $7.2 million. In addition, the Canadian operating expenses include approximately $1.3 million of management transition costs.
- New vehicle retail sales, which included 1,511 U.S. retail sales, was 8,002, up 20.1% from the same period in 2018. Revenue from the sale of new retail and fleet vehicles was $399.0 million, up 18.0% from the same period in 2018. The sale of new retail and fleet vehicles accounted for 54.0% of the Company's total revenue and 21.7% of gross profit, versus 54.5% of revenue and 22.5% of gross profit in the first quarter of 2018.
- Used retail vehicle sales were 5,650, up 24.8% compared with the same quarter last year - 889 of those sales were in our U.S. Operations. Total revenue from the sale of used vehicles was $188.6 million, up 19.5% from the same quarter last year. The sale of used vehicles accounted for 25.5% of the Company's total revenue and 8.8% of gross profit, versus 25.4% of revenue and 8.2% of gross profit in the first quarter of 2018.
- Total parts, service and collision repair generated $116.9 million of revenue, up 21.9% from the same period in 2018. This accounted for 13.0% of the Company's total revenue and 44.0% of its gross profit, down from 15.5% of revenue and up from 43.6% of gross profit in the same quarter of 2018. The U.S. Operations parts, service and collision repair revenue was $16.2 million.
- Total finance and insurance revenue was $34.9 million, an increase of 21.6% from the same period in 2018. This accounted for 4.7% of the Company's total revenue and 25.5% of its gross profit, in line with 4.6% of revenue and 25.7% of gross profit in the same quarter of 2018. The U.S. Operations finance and insurance revenue was $4.4 million.
- EBITDA attributable to AutoCanada shareholders was $16.5 million. The adoption of IFRS 16 has resulted in an increase to EBITDA attributable to AutoCanada shareholders compared to last year as we have not restated 2018 comparatives as discussed below under "Adoption of IFRS 16"; this contributed $9.6 million.
- Adjusted EBITDA attributable to AutoCanada shareholders was $17.8 million. The adoption of IFRS 16 has resulted in an increase to adjusted EBITDA attributable to AutoCanada shareholders compared to last year as we have not restated 2018 comparatives as discussed below under "Adoption of IFRS 16"; this contributed $9.6 million.
- The Company generated a net loss attributable to AutoCanada shareholders of $4.1 million (Adjusted net loss attributable to AutoCanada shareholders of $3.2 million), or $(0.15) per share (Adjusted net loss per share attributable to AutoCanada shareholders $(0.12)) versus net income of $4.8 million in 2018 ($4.8 million on an adjusted basis) or $0.18 per share ($0.18 on an adjusted basis).
Stock is trading much lower.....real estate as a whole has increased greatly....perhaps acq land valuations being ignored .....a spinoff of real estate and creating Autocanada Properies REIT would enhace current valuation....
as the only true auto sector play in Canada how does this continue to trade lower...yet Boyd income is valued 6 times higher .??
The next 2 reporting quarters which will include spring and summer are the busiest ...any chance this gets back to $20 level?