HOUSTON, Feb. 5, 2014 /PRNewswire/ -- Group 1 Automotive, Inc. (NYSE: GPI), an international, Fortune 500 automotive retailer, today reported 2013 fourth quarter adjusted net income of $28.9 million and adjusted diluted earnings per common share of $1.08 for the period ended December 31, 2013. Full year 2013 adjusted net income increased 20.8 percent, to a record $130.7 million, and adjusted diluted earnings per common share were an all-time high of $4.96.
Fourth Quarter 2013 Results (year-over-year comparable basis unless otherwise noted)
- Total gross profit grew 14.7 percent on 17.6 percent higher revenues of $2.3 billion.
- New vehicle revenues increased 16.9 percent on 17.4 percent more unit sales. New vehicle gross profit increased 14.6 percent.
- Retail used vehicle gross profit increased 7.8 percent on 18.9 percent higher revenues, as the Company retailed 18.3 percent more units.
- Parts and service gross profit increased 17.1 percent on 15.9 percent higher revenues. Same Store parts and service revenues grew 7.5 percent.
- Same Store finance and insurance (F&I) gross profit per retail unit rose 7.4 percent or $96 to $1,388. Within this growth, U.S. Same Store F&I gross profit per retail unit improved $110 to $1,436.
- SG&A expenses (adjusted) as a percent of gross profit improved 40 basis points to 76.3 percent. Same Store SG&A (adjusted) as a percent of gross profit improved 70 basis points to 74.9 percent.
- Operating margin (adjusted) on a Same Store basis improved to 3.2 percent.
Full Year 2013 Results (year-over-year comparable basis unless otherwise noted)
- Total gross profit grew 15.7 percent on 19.3 percent higher revenues of $8.9 billion.
- New vehicle gross profit increased 17.2 percent on 21.8 percent higher revenues, as the Company retailed 155,866 new vehicles in 2013.
- Retail used vehicle gross profit was 10.2 percent higher on a 16.1 percent revenue increase, as the Company retailed 98,813 used units in 2013.
- Parts and service gross profit rose 15.0 percent on 14.8 percent higher revenues.
- Same Store parts and service revenue grew 7.4 percent.
- F&I revenues rose 19.8 percent on 19.1 percent more retail unit sales; gross profit per retail unit was a record-setting $1,223. Same Store F&I profit per retail unit grew to a record $1,345, an increase of $111.
- SG&A expenses (adjusted) as a percent of gross profit improved 60 basis points to 74.8 percent, while Same Store SG&A (adjusted) as a percent of gross profit improved 90 basis points to 73.6 percent.
- Operating margin (adjusted) on a Same Store basis improved 10 basis points to 3.5 percent.
"Overall, 2013 was a great year for Group 1 Automotive with total revenue growth of 19.3 percent and all-time record net income and earnings per diluted share," said Earl J. Hesterberg, Group 1's president and chief executive officer. "We made significant progress during the year with the completion of multi-year projects to consolidate U.S. transactional accounting and commonize key operating computer systems across all of our U.S. stores. We continued to deliver sector leading results in our parts and service and F&I operations and added approximately $1 billion in net acquisition revenue during the year. The combination of all these actions has Group 1 well positioned for another strong year in 2014."
Segment Results for Fourth Quarter 2013 (year-over-year comparable basis unless otherwise noted)
Group 1's U.S. revenues were $1.9 billion, an increase of 3.6 percent. The revenue growth was driven by a 6.0 percent increase in used vehicle unit sales, an increase of 5.9 percent in parts and service revenue, and an 11.0 percent increase in F&I. On a same-store basis, parts and service revenue increased 7.8 percent. The revenue drove gross profit growth of 4.0 percent, reflecting the higher unit retail volumes, expanded parts and service margins of 40 basis points, and an F&I increase of $117, to $1,418 per retail unit.
On a comparable basis, adjusted SG&A expenses as a percent of gross profit improved 170 basis points to 74.4 percent; both operating and pre-tax margins improved 20 basis points to 3.3 percent and 2.3 percent respectively. Group 1's U.S. operations accounted for 81.6 percent of total revenues, 84.9 percent of total gross profit and 93.2 percent of the Company's adjusted pretax income.
Group 1's U.K. operations accounted for 8.7 percent of total revenues, 7.7 percent of total gross profit, and 6.0 percent of the Company's adjusted pretax income. Reflecting significant acquisition activity over the past year, total revenue increased 38.0 percent to $197.4 million, and gross profit increased 37.5 percent. Revenue growth was primarily driven by 37.5 percent and 94.3 percent increases in new and used vehicle retail unit sales, respectively.
On a comparable basis, adjusted SG&A expenses as a percent of gross profit improved 250 basis points to 82.7 percent.
Group 1's Brazil operations accounted for 9.7 percent of total revenues, 7.4 percent of total gross profit and 0.8 percent of the Company's adjusted pretax income. Gross profit was $23.8 million on revenues of $221.6 million. New vehicle sales were the primary revenue contributor at 73.9 percent, while new vehicles and parts and service were the primary gross profit contributors at 43.8 percent and 36.7 percent, respectively.
Adjusted SG&A expenses as a percent of gross profit was at 90.6 percent, operating margin was 0.8 percent and pretax margin was 0.2 percent.
Corporate Development
During the fourth quarter, Group 1 purchased 9 franchises that are expected to generate $350.0 million in estimated annual revenues. During 2013, Group 1 acquired a total of 38 franchises that are expected to generate $1.3 billion in estimated annual revenues and disposed of 7 franchises that generated $318.9 million of annual revenues. On January 21, 2014, Group 1 acquired two franchises (Ford and Hyundai) in Escondido, California that are expected to generate $135.0 million in estimated annual revenues.
Share Repurchase Authorization
Group 1 repurchased 55,655 shares of its common stock at an average share price of $63.82 during the fourth quarter of 2013. The Company's remaining common stock share repurchase authorization is $71.4 million.
Fourth Quarter Earnings Conference Call Details
Group 1's senior management will host a conference call today at 9 a.m. ET to discuss the fourth quarter financial results and the Company's outlook and strategy.
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 10 minutes prior to the start of the call at:
|
Domestic:
|
1.877.870.4263
|
|
International:
|
1.412.317.0790
|
A telephonic replay will be available following the call through March 5, 2014 at 9:00 a.m. ET by dialing:
|
Domestic:
|
1.877.344.7529
|
|
International:
|
1.412.317.0088
|
|
Replay ID:
|
10039697
|
About Group 1 Automotive, Inc.
Group 1 owns and operates 150 automotive dealerships, 190 franchises, and 37 collision centers in the United States, the United Kingdom and Brazil that offer 34 brands of automobiles. Through its dealerships, the Company sells new and used cars and light trucks; arranges related vehicle financing; sells service and insurance contracts; provides automotive maintenance and repair services; and sells vehicle parts.
Group 1 Automotive can be reached on the Internet at www.group1auto.com.
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 goals, plans, projections and guidance regarding our financial position, results of operations, market position, pending and potential future acquisitions and 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, and (i) our ability to retain key personnel. 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.
Investor contacts:
Sheila Roth
Manager, Investor Relations
Group 1 Automotive, Inc.
713-647-5741 | sroth@group1auto.com
Media contacts:
Pete DeLongchamps
V.P. Manufacturer Relations 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.
|
|
Consolidated Statements of Operations
|
|
(Unaudited)
|
|
(In thousands, except per share amounts)
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
2013
|
|
2012
|
|
% Change
|
|
REVENUES:
|
|
|
|
|
|
|
New vehicle retail sales
|
$1,351,800
|
|
$1,156,507
|
|
16.9
|
|
Used vehicle retail sales
|
503,397
|
|
423,315
|
|
18.9
|
|
Used vehicle wholesale sales
|
88,518
|
|
69,724
|
|
27.0
|
|
Parts and service
|
256,909
|
|
221,666
|
|
15.9
|
|
Finance and insurance
|
78,868
|
|
67,745
|
|
16.4
|
|
Total revenues
|
2,279,492
|
|
1,938,957
|
|
17.6
|
|
|
|
|
|
|
|
COST OF SALES:
|
|
|
|
|
|
|
New vehicle retail sales
|
1,278,221
|
|
1,092,280
|
|
17.0
|
|
Used vehicle retail sales
|
467,781
|
|
390,284
|
|
19.9
|
|
Used vehicle wholesale sales
|
90,113
|
|
69,664
|
|
29.4
|
|
Parts and service
|
122,056
|
|
106,476
|
|
14.6
|
|
Total cost of sales
|
1,958,171
|
|
1,658,704
|
|
18.1
|
|
|
|
|
|
|
|
GROSS PROFIT
|
321,321
|
|
280,253
|
|
14.7
|
|
|
|
|
|
|
|
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES
|
245,401
|
|
218,925
|
|
12.1
|
|
|
|
|
|
|
|
DEPRECIATION AND AMORTIZATION EXPENSE
|
9,436
|
|
8,460
|
|
11.5
|
|
|
|
|
|
|
|
ASSET IMPAIRMENTS
|
5,368
|
|
6,988
|
|
(23.2)
|
|
|
|
|
|
|
|
OPERATING INCOME
|
61,116
|
|
45,880
|
|
33.2
|
|
|
|
|
|
|
|
OTHER EXPENSE:
|
|
|
|
|
|
|
Floorplan interest expense
|
(10,740)
|
|
(8,372)
|
|
28.3
|
|
Other interest expense, net
|
(10,188)
|
|
(9,616)
|
|
5.9
|
|
INCOME BEFORE INCOME TAXES
|
40,188
|
|
27,892
|
|
44.1
|
|
|
|
|
|
|
|
PROVISION FOR INCOME TAXES
|
(18,467)
|
|
(10,760)
|
|
71.6
|
|
|
|
|
|
|
|
NET INCOME
|
$ 21,721
|
|
$ 17,132
|
|
26.8
|
|
Earnings allocated to participating securities
|
$ (794)
|
|
$ (758)
|
|
4.7
|
|
Earnings available to diluted common shares
|
$ 20,927
|
|
$ 16,374
|
|
27.8
|
|
DILUTED EARNINGS PER SHARE
|
$ 0.81
|
|
$ 0.70
|
|
15.7
|
|
Weighted average dilutive common shares outstanding
|
25,792
|
|
23,244
|
|
11.0
|
|
Weighted average participating securities
|
983
|
|
1,091
|
|
(9.9)
|
|
Total weighted average shares outstanding
|
26,775
|
|
24,335
|
|
10.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
|
|
2013
|
|
2012
|
|
% Change
|
|
REVENUES:
|
|
|
|
|
|
|
New vehicle retail sales
|
$5,224,921
|
|
$4,291,098
|
|
21.8
|
|
Used vehicle retail sales
|
2,039,428
|
|
1,756,918
|
|
16.1
|
|
Used vehicle wholesale sales
|
332,185
|
|
288,139
|
|
15.3
|
|
Parts and service
|
1,010,685
|
|
880,070
|
|
14.8
|
|
Finance and insurance
|
311,362
|
|
259,875
|
|
19.8
|
|
Total revenues
|
8,918,581
|
|
7,476,100
|
|
19.3
|
|
|
|
|
|
|
|
COST OF SALES:
|
|
|
|
|
|
|
New vehicle retail sales
|
4,935,046
|
|
4,043,659
|
|
22.0
|
|
Used vehicle retail sales
|
1,878,549
|
|
1,610,912
|
|
16.6
|
|
Used vehicle wholesale sales
|
332,380
|
|
285,695
|
|
16.3
|
|
Parts and service
|
480,060
|
|
418,582
|
|
14.7
|
|
Total cost of sales
|
7,626,035
|
|
6,358,848
|
|
19.9
|
|
|
|
|
|
|
|
GROSS PROFIT
|
1,292,546
|
|
1,117,252
|
|
15.7
|
|
|
|
|
|
|
|
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES
|
976,856
|
|
848,446
|
|
15.1
|
|
|
|
|
|
|
|
DEPRECIATION AND AMORTIZATION EXPENSE
|
35,826
|
|
31,534
|
|
13.6
|
|
|
|
|
|
|
|
ASSET IMPAIRMENTS
|
6542
|
|
7276
|
|
(10.1)
|
|
|
|
|
|
|
|
OPERATING INCOME
|
273,322
|
|
229,996
|
|
18.8
|
|
|
|
|
|
|
|
OTHER EXPENSE:
|
|
|
|
|
|
|
Floorplan interest expense
|
(41,667)
|
|
(31,796)
|
|
31.0
|
|
Other interest expense, net
|
(38,971)
|
|
(37,465)
|
|
4.0
|
|
Other expense, net
|
(789)
|
|
-
|
|
100.0
|
|
INCOME BEFORE INCOME TAXES
|
191,895
|
|
160,735
|
|
19.4
|
|
|
|
|
|
|
|
PROVISION FOR INCOME TAXES
|
(77,903)
|
|
(60,526)
|
|
28.7
|
|
|
|
|
|
|
|
NET INCOME
|
$ 113,992
|
|
$ 100,209
|
|
13.8
|
|
Earnings allocated to participating securities
|
$ (4,599)
|
|
$ (5,062)
|
|
(9.1)
|
|
Earnings available to diluted common shares
|
$ 109,393
|
|
$ 95,147
|
|
15.0
|
|
DILUTED EARNINGS PER SHARE
|
$ 4.32
|
|
$ 4.19
|
|
3.1
|
|
Weighted average dilutive common shares outstanding
|
25,314
|
|
22,688
|
|
11.6
|
|
Weighted average participating securities
|
1,067
|
|
1,215
|
|
(12.2)
|
|
Total weighted average shares outstanding
|
26,381
|
|
23,903
|
|
10.4
|
|
Group 1 Automotive, Inc.
|
|
Consolidated Balance Sheets
|
|
(Dollars in thousands)
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
|
2013
|
|
2012
|
|
% Change
|
|
|
(Unaudited)
|
|
|
|
|
|
ASSETS:
|
|
|
|
|
|
|
|
CURRENT ASSETS:
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
$ 20,215
|
|
$ 4,650
|
|
334.7
|
|
Contracts in transit and vehicle receivables, net
|
|
225,156
|
|
204,396
|
|
10.2
|
|
Accounts and notes receivable, net
|
|
135,058
|
|
111,228
|
|
21.4
|
|
Inventories, net
|
|
1,542,318
|
|
1,194,288
|
|
29.1
|
|
Deferred income taxes
|
|
21,150
|
|
19,750
|
|
7.1
|
|
Prepaid expenses and other current assets
|
|
24,041
|
|
31,869
|
|
(24.6)
|
|
Total current assets
|
|
1,967,938
|
|
1,566,181
|
|
25.7
|
|
PROPERTY AND EQUIPMENT, net
|
|
796,356
|
|
667,768
|
|
19.3
|
|
GOODWILL AND INTANGIBLE FRANCHISE RIGHTS
|
|
1,038,808
|
|
778,442
|
|
33.4
|
|
OTHER ASSETS
|
|
16,376
|
|
10,624
|
|
54.1
|
|
Total assets
|
|
$ 3,819,478
|
|
$ 3,023,015
|
|
26.3
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY:
|
|
|
|
|
|
|
|
CURRENT LIABILITIES:
|
|
|
|
|
|
|
|
Floorplan notes payable - credit facility and other
|
|
$ 1,143,104
|
|
$ 968,959
|
|
18.0
|
|
Offset account related to floorplan notes payable - credit facility
|
|
(56,198)
|
|
(112,261)
|
|
(49.9)
|
|
Floorplan notes payable - manufacturer affiliates
|
|
346,572
|
|
211,965
|
|
63.5
|
|
Current maturities of long-term debt and short-term financing
|
|
36,225
|
|
31,358
|
|
15.5
|
|
Accounts payable
|
|
254,930
|
|
167,439
|
|
52.3
|
|
Accrued expenses
|
|
140,543
|
|
128,118
|
|
9.7
|
|
Total current liabilities
|
|
1,865,176
|
|
1,395,578
|
|
33.6
|
|
2.25% CONVERTIBLE SENIOR NOTES (aggregate principal of $182,753 at December 31, 2013 and December 31, 2012)
|
|
160,334
|
|
152,363
|
|
5.2
|
|
3.00% CONVERTIBLE SENIOR NOTES (aggregate principal of $115,000 at December 31, 2013 and December 31, 2012)
|
|
84,305
|
|
80,706
|
|
4.5
|
|
MORTGAGE FACILITY, net of current maturities
|
|
64,271
|
|
53,643
|
|
19.8
|
|
ACQUISITION LINE
|
|
60,000
|
|
—
|
|
100.0
|
|
OTHER REAL ESTATE RELATED AND LONG-TERM DEBT, net of current maturities
|
|
250,958
|
|
232,285
|
|
8.0
|
|
CAPITAL LEASE OBLIGATIONS RELATED TO REAL ESTATE, net of current maturities
|
|
43,821
|
|
36,019
|
|
21.7
|
|
DEFERRED INCOME TAXES
|
|
152,291
|
|
94,130
|
|
61.8
|
|
LIABILITIES FROM INTEREST RATE RISK MANAGEMENT ACTIVITIES
|
|
26,078
|
|
43,089
|
|
(39.5)
|
|
OTHER LIABILITIES
|
|
47,975
|
|
42,413
|
|
13.1
|
|
COMMITMENTS AND CONTINGENCIES
|
|
|
|
|
|
|
|
TEMPORARY EQUITY - REDEEMABLE EQUITY PORTION OF THE 3.00% CONVERTIBLE SENIOR NOTES
|
|
29,094
|
|
32,505
|
|
(10.5)
|
|
STOCKHOLDERS' EQUITY:
|
|
|
|
|
|
|
|
Common stock
|
|
257
|
|
258
|
|
(0.4)
|
|
Additional paid-in capital
|
|
368,641
|
|
332,836
|
|
10.8
|
|
Retained earnings
|
|
776,101
|
|
677,864
|
|
14.5
|
|
Accumulated other comprehensive loss
|
|
(51,677)
|
|
(33,057)
|
|
56.3
|
|
Treasury stock
|
|
(58,147)
|
|
(117,617)
|
|
(50.6)
|
|
Total stockholders' equity
|
|
1,035,175
|
|
860,284
|
|
20.3
|
|
Total liabilities and stockholders' equity
|
|
$ 3,819,478
|
|
$ 3,023,015
|
|
26.3
|
|
Group 1 Automotive, Inc.
|
|
Additional Information - Consolidated
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
2013 (%)
|
|
2012 (%)
|
|
2013 (%)
|
|
2012 (%)
|
|
NEW VEHICLE UNIT SALES GEOGRAPHIC MIX:
|
|
|
|
|
|
|
|
|
Region
|
Geographic Market
|
|
|
|
|
|
|
|
|
|
East
|
Massachusetts
|
|
4.6
|
|
6.6
|
|
5.6
|
|
9.1
|
|
New Jersey
|
|
4.2
|
|
5.4
|
|
4.2
|
|
5.1
|
|
Georgia
|
|
3.4
|
|
4.0
|
|
3.5
|
|
3.6
|
|
New York
|
|
2.8
|
|
4.2
|
|
2.7
|
|
3.3
|
|
New Hampshire
|
|
2.1
|
|
2.6
|
|
2.3
|
|
2.8
|
|
Louisiana
|
|
2.1
|
|
2.5
|
|
2.3
|
|
2.5
|
|
South Carolina
|
|
1.8
|
|
2.0
|
|
1.6
|
|
1.8
|
|
Mississippi
|
|
1.3
|
|
1.8
|
|
1.5
|
|
2.0
|
|
Florida
|
|
1.3
|
|
1.9
|
|
1.3
|
|
1.4
|
|
Alabama
|
|
0.8
|
|
1.0
|
|
0.8
|
|
1.0
|
|
Maryland
|
|
0.6
|
|
0.8
|
|
0.6
|
|
0.7
|
|
|
|
25.0
|
|
32.8
|
|
26.4
|
|
33.3
|
|
|
|
|
|
|
|
|
|
|
|
West
|
Texas
|
|
34.5
|
|
36.8
|
|
32.9
|
|
36.7
|
|
California
|
|
9.2
|
|
14.9
|
|
10.3
|
|
14.6
|
|
Oklahoma
|
|
7.3
|
|
7.5
|
|
7.7
|
|
7.8
|
|
Kansas
|
|
2.5
|
|
1.5
|
|
2.5
|
|
1.4
|
|
Louisiana
|
|
0.7
|
|
—
|
|
0.4
|
|
—
|
|
|
|
54.2
|
|
60.7
|
|
53.8
|
|
60.5
|
|
|
|
|
|
|
|
|
|
|
|
International
|
Brazil
|
|
13.2
|
|
—
|
|
11.0
|
|
—
|
|
United Kingdom
|
|
7.6
|
|
6.5
|
|
8.8
|
|
6.2
|
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
|
|
|
|
|
|
|
|
|
|
NEW VEHICLE UNIT SALES BRAND MIX:
|
|
|
|
|
|
|
|
|
|
Toyota/Scion/Lexus
|
|
25.4
|
|
28.6
|
|
26.6
|
|
30.3
|
|
Honda/Acura
|
|
12.9
|
|
11.0
|
|
12.3
|
|
11.1
|
|
BMW/MINI
|
|
12.1
|
|
13.0
|
|
11.1
|
|
11.3
|
|
Ford/Lincoln
|
|
11.1
|
|
9.5
|
|
11.6
|
|
9.3
|
|
Nissan/Infiniti
|
|
9.9
|
|
10.0
|
|
10.2
|
|
11.4
|
|
Mercedes Benz/smart/Sprinter
|
|
5.5
|
|
6.7
|
|
4.5
|
|
5.1
|
|
Volkswagen/Audi/Porsche
|
|
5.5
|
|
6.8
|
|
6.3
|
|
6.6
|
|
Chevrolet/GMC/Buick/Cadillac
|
|
5.0
|
|
5.2
|
|
4.8
|
|
5.6
|
|
Hyundai/Kia
|
|
4.5
|
|
3.5
|
|
4.6
|
|
3.1
|
|
Chrysler/Dodge/Jeep/RAM
|
|
3.8
|
|
4.3
|
|
4.0
|
|
4.4
|
|
Other
|
|
4.3
|
|
1.4
|
|
4.0
|
|
1.8
|
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
Group 1 Automotive, Inc.
|
|
Additional Information - U.S.
|
|
(Unaudited)
|
|
(Dollars in thousands, except per unit amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
REVENUES:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 1,088,452
|
|
$ 1,078,756
|
|
0.9
|
|
Used vehicle retail sales
|
|
417,443
|
|
387,303
|
|
7.8
|
|
Used vehicle wholesale sales
|
|
62,768
|
|
57,421
|
|
9.3
|
|
Total used
|
|
480,211
|
|
444,724
|
|
8.0
|
|
Parts and service
|
|
219,633
|
|
207,449
|
|
5.9
|
|
Finance and insurance
|
|
72,225
|
|
65,042
|
|
11.0
|
|
Total
|
|
$ 1,860,521
|
|
$ 1,795,971
|
|
3.6
|
|
|
|
|
|
|
|
|
GROSS MARGIN %:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
5.2
|
|
5.3
|
|
|
|
Used vehicle retail sales
|
|
7.2
|
|
8.0
|
|
|
|
Used vehicle wholesale sales
|
|
(2.9)
|
|
0.4
|
|
|
|
Total used
|
|
5.9
|
|
7.0
|
|
|
|
Parts and service
|
|
52.7
|
|
52.3
|
|
|
|
Finance and insurance
|
|
100.0
|
|
100.0
|
|
|
|
Total
|
|
14.7
|
|
14.6
|
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 56,349
|
|
$ 57,695
|
|
(2.3)
|
|
Used vehicle retail sales
|
|
30,156
|
|
30,808
|
|
(2.1)
|
|
Used vehicle wholesale sales
|
|
(1,830)
|
|
237
|
|
(872.2)
|
|
Total used
|
|
28,326
|
|
31,045
|
|
(8.8)
|
|
Parts and service
|
|
115,831
|
|
108,442
|
|
6.8
|
|
Finance and insurance
|
|
72,225
|
|
65,042
|
|
11.0
|
|
Total
|
|
$ 272,731
|
|
$ 262,224
|
|
4.0
|
|
|
|
|
|
|
|
|
UNITS SOLD:
|
|
|
|
|
|
|
|
Retail new vehicles sold
|
|
30,836
|
|
31,010
|
|
(0.6)
|
|
Retail used vehicles sold
|
|
20,115
|
|
18,972
|
|
6.0
|
|
Wholesale used vehicles sold
|
|
10,069
|
|
9,207
|
|
9.4
|
|
Total used
|
|
30,184
|
|
28,179
|
|
7.1
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL SALES PRICE:
|
|
|
|
|
|
|
|
New vehicle retail
|
|
$ 35,298
|
|
$ 34,787
|
|
1.5
|
|
Used vehicle retail
|
|
$ 20,753
|
|
$ 20,414
|
|
1.7
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER UNIT SOLD:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 1,827
|
|
$ 1,861
|
|
(1.8)
|
|
Used vehicle retail sales
|
|
1,499
|
|
1,624
|
|
(7.7)
|
|
Used vehicle wholesale sales
|
|
(182)
|
|
26
|
|
(800.0)
|
|
Total used
|
|
938
|
|
1,102
|
|
(14.9)
|
|
Finance and insurance (per retail unit)
|
|
$ 1,418
|
|
$ 1,301
|
|
9.0
|
|
OTHER: (1)
|
|
|
|
|
|
|
|
SG&A expenses
|
|
$ 202,951
|
|
$ 199,532
|
|
1.7
|
|
SG&A as % revenues
|
|
10.9
|
|
11.1
|
|
|
|
SG&A as % gross profit
|
|
74.4
|
|
76.1
|
|
|
|
Operating margin %
|
|
3.3
|
|
3.1
|
|
|
|
Pretax margin %
|
|
2.3
|
|
2.1
|
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE:
|
|
|
|
|
|
|
|
Floorplan interest expense
|
|
$ (8,761)
|
|
$ (8,095)
|
|
8.2
|
|
Floorplan assistance
|
|
9,994
|
|
8,639
|
|
15.7
|
|
Net floorplan income
|
|
$ 1,233
|
|
$ 544
|
|
126.7
|
|
Other interest expense, net
|
|
$ (9,991)
|
|
$ (9,425)
|
|
6.0
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
REVENUES:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 4,220,913
|
|
$ 4,004,211
|
|
5.4
|
|
Used vehicle retail sales
|
|
1,728,072
|
|
1,623,588
|
|
6.4
|
|
Used vehicle wholesale sales
|
|
236,995
|
|
240,789
|
|
(1.6)
|
|
Total used
|
|
1,965,067
|
|
1,864,377
|
|
5.4
|
|
Parts and service
|
|
878,951
|
|
833,964
|
|
5.4
|
|
Finance and insurance
|
|
288,409
|
|
251,458
|
|
14.7
|
|
Total
|
|
$ 7,353,340
|
|
$ 6,954,010
|
|
5.7
|
|
|
|
|
|
|
|
|
GROSS MARGIN %:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
5.2
|
|
5.6
|
|
|
|
Used vehicle retail sales
|
|
8.2
|
|
8.5
|
|
|
|
Used vehicle wholesale sales
|
|
(0.4)
|
|
1.2
|
|
|
|
Total used
|
|
7.2
|
|
7.5
|
|
|
|
Parts and service
|
|
53.1
|
|
52.4
|
|
|
|
Finance and insurance
|
|
100.0
|
|
100.0
|
|
|
|
Total
|
|
15.2
|
|
15.2
|
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 220,344
|
|
$ 225,459
|
|
(2.3)
|
|
Used vehicle retail sales
|
|
142,053
|
|
137,306
|
|
3.5
|
|
Used vehicle wholesale sales
|
|
(830)
|
|
2,814
|
|
(129.5)
|
|
Total used
|
|
141,223
|
|
140,120
|
|
0.8
|
|
Parts and service
|
|
466,439
|
|
437,233
|
|
6.7
|
|
Finance and insurance
|
|
288,409
|
|
251,458
|
|
14.7
|
|
Total
|
|
$ 1,116,415
|
|
$ 1,054,270
|
|
5.9
|
|
|
|
|
|
|
|
|
UNITS SOLD:
|
|
|
|
|
|
|
|
Retail new vehicles sold
|
|
125,069
|
|
120,535
|
|
3.8
|
|
Retail used vehicles sold
|
|
85,365
|
|
80,714
|
|
5.8
|
|
Wholesale used vehicles sold
|
|
40,121
|
|
39,056
|
|
2.7
|
|
Total used
|
|
125,486
|
|
119,770
|
|
4.8
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL SALES PRICE:
|
|
|
|
|
|
|
|
New vehicle retail
|
|
$ 33,749
|
|
$ 33,220
|
|
1.6
|
|
Used vehicle retail
|
|
$ 20,243
|
|
$ 20,115
|
|
0.6
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER UNIT SOLD:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 1,762
|
|
$ 1,870
|
|
(5.8)
|
|
Used vehicle retail sales
|
|
1,664
|
|
1,701
|
|
(2.2)
|
|
Used vehicle wholesale sales
|
|
(21)
|
|
72
|
|
(129.2)
|
|
Total used
|
|
1,125
|
|
1,170
|
|
(3.8)
|
|
Finance and insurance (per retail unit)
|
|
$ 1,371
|
|
$ 1,249
|
|
9.8
|
|
|
|
|
|
|
|
|
OTHER: (1)
|
|
|
|
|
|
|
|
SG&A expenses
|
|
$ 822,513
|
|
$ 791,827
|
|
3.9
|
|
SG&A as % revenues
|
|
11.2
|
|
11.4
|
|
|
|
SG&A as % gross profit
|
|
73.7
|
|
75.1
|
|
|
|
Operating margin %
|
|
3.6
|
|
3.4
|
|
|
|
Pretax margin %
|
|
2.6
|
|
2.4
|
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE:
|
|
|
|
|
|
|
|
Floorplan interest expense
|
|
$ (33,789)
|
|
$ (30,736)
|
|
9.9
|
|
Floorplan assistance
|
|
38,285
|
|
33,915
|
|
12.9
|
|
Net floorplan income
|
|
$ 4,496
|
|
$ 3,179
|
|
41.4
|
|
Other interest expense, net
|
|
$ (37,983)
|
|
$ (36,831)
|
|
3.1
|
|
|
(1) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments.
|
|
Group 1 Automotive, Inc.
|
|
Additional Information - U.K.
|
|
(Unaudited)
|
|
(Dollars in thousands, except per unit amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
REVENUES:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 99,499
|
|
$ 77,751
|
|
28.0
|
|
Used vehicle retail sales
|
|
58,689
|
|
36,012
|
|
63.0
|
|
Used vehicle wholesale sales
|
|
17,395
|
|
12,303
|
|
41.4
|
|
Total used
|
|
76,084
|
|
48,315
|
|
57.5
|
|
Parts and service
|
|
18,292
|
|
14,217
|
|
28.7
|
|
Finance and insurance
|
|
3,486
|
|
2,703
|
|
29.0
|
|
Total
|
|
$ 197,361
|
|
$ 142,986
|
|
38.0
|
|
|
|
|
|
|
|
|
GROSS MARGIN %:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
6.8
|
|
8.4
|
|
|
|
Used vehicle retail sales
|
|
7.4
|
|
6.2
|
|
|
|
Used vehicle wholesale sales
|
|
(0.6)
|
|
(1.4)
|
|
|
|
Total used
|
|
5.5
|
|
4.2
|
|
|
|
Parts and service
|
|
56.2
|
|
47.5
|
|
|
|
Finance and insurance
|
|
100.0
|
|
100.0
|
|
|
|
Total
|
|
12.6
|
|
12.6
|
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 6,801
|
|
$ 6,532
|
|
4.1
|
|
Used vehicle retail sales
|
|
4,334
|
|
2,223
|
|
95.0
|
|
Used vehicle wholesale sales
|
|
(113)
|
|
(177)
|
|
(36.2)
|
|
Total used
|
|
4,221
|
|
2,046
|
|
106.3
|
|
Parts and service
|
|
10,285
|
|
6,748
|
|
52.4
|
|
Finance and insurance
|
|
3,486
|
|
2,703
|
|
29.0
|
|
Total
|
|
$ 24,793
|
|
$ 18,029
|
|
37.5
|
|
|
|
|
|
|
|
|
UNITS SOLD:
|
|
|
|
|
|
|
|
Retail new vehicles sold
|
|
2,961
|
|
2,154
|
|
37.5
|
|
Retail used vehicles sold
|
|
2,347
|
|
1,208
|
|
94.3
|
|
Wholesale used vehicles sold
|
|
1,963
|
|
1,262
|
|
55.5
|
|
Total used
|
|
4,310
|
|
2,470
|
|
74.5
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL SALES PRICE:
|
|
|
|
|
|
|
|
New vehicle retail
|
|
$ 33,603
|
|
$ 36,096
|
|
(6.9)
|
|
Used vehicle retail
|
|
$ 25,006
|
|
$ 29,811
|
|
(16.1)
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER UNIT SOLD:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 2,297
|
|
$ 3,032
|
|
(24.2)
|
|
Used vehicle retail sales
|
|
1,847
|
|
1,840
|
|
0.4
|
|
Used vehicle wholesale sales
|
|
(58)
|
|
(140)
|
|
(58.6)
|
|
Total used
|
|
979
|
|
828
|
|
18.2
|
|
Finance and insurance (per retail unit)
|
|
$ 657
|
|
$ 804
|
|
(18.3)
|
|
OTHER:(1)
|
|
|
|
|
|
|
|
SG&A expenses
|
|
$ 20,516
|
|
$ 15,363
|
|
33.5
|
|
SG&A as % revenues
|
|
10.4
|
|
10.7
|
|
|
|
SG&A as % gross profit
|
|
82.7
|
|
85.2
|
|
|
|
Operating margin %
|
|
1.8
|
|
1.4
|
|
|
|
Pretax margin %
|
|
1.4
|
|
1.1
|
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE:
|
|
|
|
|
|
|
|
Floorplan interest expense
|
|
$ (437)
|
|
$ (277)
|
|
57.8
|
|
Floorplan assistance
|
|
147
|
|
—
|
|
100.0
|
|
Net floorplan expense
|
|
$ (290)
|
|
$ (277)
|
|
4.7
|
|
Other interest expense, net
|
|
$ (358)
|
|
$ (191)
|
|
87.4
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
REVENUES:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 441,537
|
|
$ 286,887
|
|
53.9
|
|
Used vehicle retail sales
|
|
221,590
|
|
133,330
|
|
66.2
|
|
Used vehicle wholesale sales
|
|
66,077
|
|
47,350
|
|
39.6
|
|
Total used
|
|
287,667
|
|
180,680
|
|
59.2
|
|
Parts and service
|
|
67,557
|
|
46,106
|
|
46.5
|
|
Finance and insurance
|
|
14,028
|
|
8,417
|
|
66.7
|
|
Total
|
|
$ 810,789
|
|
$ 522,090
|
|
55.3
|
|
|
|
|
|
|
|
|
GROSS MARGIN %:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
6.4
|
|
7.7
|
|
|
|
Used vehicle retail sales
|
|
6.5
|
|
6.5
|
|
|
|
Used vehicle wholesale sales
|
|
(1.3)
|
|
(0.8)
|
|
|
|
Total used
|
|
4.7
|
|
4.6
|
|
|
|
Parts and service
|
|
55.0
|
|
52.6
|
|
|
|
Finance and insurance
|
|
100.0
|
|
100.0
|
|
|
|
Total
|
|
11.5
|
|
12.1
|
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 28,442
|
|
$ 21,980
|
|
29.4
|
|
Used vehicle retail sales
|
|
14,451
|
|
8,700
|
|
66.1
|
|
Used vehicle wholesale sales
|
|
(856)
|
|
(370)
|
|
131.4
|
|
Total used
|
|
13,595
|
|
8,330
|
|
63.2
|
|
Parts and service
|
|
37,156
|
|
24,255
|
|
53.2
|
|
Finance and insurance
|
|
14,028
|
|
8,417
|
|
66.7
|
|
Total
|
|
$ 93,221
|
|
$ 62,982
|
|
48.0
|
|
|
|
|
|
|
|
|
UNITS SOLD:
|
|
|
|
|
|
|
|
Retail new vehicles sold
|
|
13,699
|
|
8,015
|
|
70.9
|
|
Retail used vehicles sold
|
|
9,109
|
|
4,652
|
|
95.8
|
|
Wholesale used vehicles sold
|
|
7,735
|
|
4,700
|
|
64.6
|
|
Total used
|
|
16,844
|
|
9,352
|
|
80.1
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL SALES PRICE:
|
|
|
|
|
|
|
|
New vehicle retail
|
|
$ 32,231
|
|
$ 35,794
|
|
(10.0)
|
|
Used vehicle retail
|
|
$ 24,326
|
|
$ 28,661
|
|
(15.1)
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER UNIT SOLD:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 2,076
|
|
$ 2,742
|
|
(24.3)
|
|
Used vehicle retail sales
|
|
1,586
|
|
1,870
|
|
(15.2)
|
|
Used vehicle wholesale sales
|
|
(111)
|
|
(79)
|
|
40.5
|
|
Total used
|
|
807
|
|
891
|
|
(9.4)
|
|
Finance and insurance (per retail unit)
|
|
$ 615
|
|
$ 664
|
|
(7.4)
|
|
|
|
|
|
|
|
|
OTHER:(1)
|
|
|
|
|
|
|
|
SG&A expenses
|
|
$ 74,636
|
|
$ 51,010
|
|
46.3
|
|
SG&A as % revenues
|
|
9.2
|
|
9.8
|
|
|
|
SG&A as % gross profit
|
|
80.1
|
|
81.0
|
|
|
|
Operating margin %
|
|
2.0
|
|
1.8
|
|
|
|
Pretax margin %
|
|
1.6
|
|
1.5
|
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE:
|
|
|
|
|
|
|
|
Floorplan interest expense
|
|
$ (1,589)
|
|
$ (1,060)
|
|
49.9
|
|
Floorplan assistance
|
|
258
|
|
—
|
|
100.0
|
|
Net floorplan expense
|
|
$ (1,331)
|
|
$ (1,060)
|
|
25.6
|
|
Other interest expense, net
|
|
$ (1,157)
|
|
$ (634)
|
|
82.5
|
|
|
(1) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments.
|
|
Group 1 Automotive, Inc.
|
|
Additional Information - Brazil
|
|
(Unaudited)
|
|
(Dollars in thousands, except per unit amounts)
|
|
|
|
|
|
|
|
Three Months Ended December
31, 2013
|
|
Twelve Months Ended December
31, 2013 (2)
|
|
|
|
|
REVENUES:
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 163,849
|
|
$ 562,471
|
|
Used vehicle retail sales
|
|
27,265
|
|
89,766
|
|
Used vehicle wholesale sales
|
|
8,355
|
|
29,113
|
|
Total used
|
|
35,620
|
|
118,879
|
|
Parts and service
|
|
18,984
|
|
64,177
|
|
Finance and insurance
|
|
3,157
|
|
8,925
|
|
Total
|
|
$ 221,610
|
|
$ 754,452
|
|
|
|
|
|
|
GROSS MARGIN %:
|
|
|
|
|
|
New vehicle retail sales
|
|
6.4
|
|
7.3
|
|
Used vehicle retail sales
|
|
4.1
|
|
4.9
|
|
Used vehicle wholesale sales
|
|
4.2
|
|
5.1
|
|
Total used
|
|
4.1
|
|
4.9
|
|
Parts and service
|
|
46.0
|
|
42.1
|
|
Finance and insurance
|
|
100.0
|
|
100.0
|
|
Total
|
|
10.7
|
|
11.0
|
|
|
|
|
|
|
GROSS PROFIT:
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 10,429
|
|
$ 41,089
|
|
Used vehicle retail sales
|
|
1,126
|
|
4,375
|
|
Used vehicle wholesale sales
|
|
348
|
|
1,491
|
|
Total used
|
|
1,474
|
|
5,866
|
|
Parts and service
|
|
8,737
|
|
27,030
|
|
Finance and insurance
|
|
3,157
|
|
8,925
|
|
Total
|
|
$ 23,797
|
|
$ 82,910
|
|
|
|
|
|
|
UNITS SOLD:
|
|
|
|
|
|
Retail new vehicles sold
|
|
5,131
|
|
17,098
|
|
Retail used vehicles sold
|
|
1,420
|
|
4,339
|
|
Wholesale used vehicles sold
|
|
852
|
|
2,880
|
|
Total used
|
|
2,272
|
|
7,219
|
|
|
|
|
|
|
AVERAGE RETAIL SALES PRICE:
|
|
|
|
|
|
New vehicle retail
|
|
$ 31,933
|
|
$ 32,897
|
|
Used vehicle retail
|
|
$ 19,201
|
|
$ 20,688
|
|
|
|
|
|
|
GROSS PROFIT PER UNIT SOLD:
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 2,033
|
|
$ 2,403
|
|
Used vehicle retail sales
|
|
793
|
|
1,008
|
|
Used vehicle wholesale sales
|
|
408
|
|
518
|
|
Total used
|
|
649
|
|
813
|
|
Finance and insurance (per retail unit)
|
|
$ 482
|
|
$ 416
|
|
|
|
|
|
|
OTHER: (1)
|
|
|
|
|
|
SG&A expenses
|
|
$ 21,549
|
|
$ 70,297
|
|
SG&A as % revenues
|
|
9.7
|
|
9.3
|
|
SG&A as % gross profit
|
|
90.6
|
|
84.8
|
|
Operating margin %
|
|
0.8
|
|
1.5
|
|
Pretax margin %
|
|
0.2
|
|
0.7
|
|
|
|
|
|
|
INTEREST EXPENSE:
|
|
|
|
|
|
Floorplan interest expense
|
|
$ (1,542)
|
|
$ (6,289)
|
|
Floorplan assistance
|
|
—
|
|
—
|
|
Net floorplan expense
|
|
$ (1,542)
|
|
$ (6,289)
|
|
Other interest income, net
|
|
$ 161
|
|
$ 169
|
|
|
|
|
|
|
|
(1) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments.
|
|
|
(2) Results are for the period from the date of acquisition (February 28, 2013) through December 31, 2013.
|
|
Group 1 Automotive, Inc.
|
|
Additional Information - Consolidated
|
|
(Unaudited)
|
|
(Dollars in thousands, except per unit amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
REVENUES:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 1,351,800
|
|
$ 1,156,507
|
|
16.9
|
|
Used vehicle retail sales
|
|
503,397
|
|
423,315
|
|
18.9
|
|
Used vehicle wholesale sales
|
|
88,518
|
|
69,724
|
|
27.0
|
|
Total used
|
|
591,915
|
|
493,039
|
|
20.1
|
|
Parts and service
|
|
256,909
|
|
221,666
|
|
15.9
|
|
Finance and insurance
|
|
78,868
|
|
67,745
|
|
16.4
|
|
Total
|
|
$ 2,279,492
|
|
$ 1,938,957
|
|
17.6
|
|
|
|
|
|
|
|
|
GROSS MARGIN %:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
5.4
|
|
5.6
|
|
|
|
Used vehicle retail sales
|
|
7.1
|
|
7.8
|
|
|
|
Used vehicle wholesale sales
|
|
(1.8)
|
|
0.1
|
|
|
|
Total used
|
|
5.7
|
|
6.7
|
|
|
|
Parts and service
|
|
52.5
|
|
52.0
|
|
|
|
Finance and insurance
|
|
100.0
|
|
100.0
|
|
|
|
Total
|
|
14.1
|
|
14.5
|
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 73,579
|
|
$ 64,227
|
|
14.6
|
|
Used vehicle retail sales
|
|
35,616
|
|
33,031
|
|
7.8
|
|
Used vehicle wholesale sales
|
|
(1,595)
|
|
60
|
|
(2758.3)
|
|
Total used
|
|
34,021
|
|
33,091
|
|
2.8
|
|
Parts and service
|
|
134,853
|
|
115,190
|
|
17.1
|
|
Finance and insurance
|
|
78,868
|
|
67,745
|
|
16.4
|
|
Total
|
|
$ 321,321
|
|
$ 280,253
|
|
14.7
|
|
|
|
|
|
|
|
|
UNITS SOLD:
|
|
|
|
|
|
|
|
Retail new vehicles sold
|
|
38,928
|
|
33,164
|
|
17.4
|
|
Retail used vehicles sold
|
|
23,882
|
|
20,180
|
|
18.3
|
|
Wholesale used vehicles sold
|
|
12,884
|
|
10,469
|
|
23.1
|
|
Total used
|
|
36,766
|
|
30,649
|
|
20.0
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL SALES PRICE:
|
|
|
|
|
|
|
|
New vehicle retail
|
|
$ 34,726
|
|
$ 34,872
|
|
(0.4)
|
|
Used vehicle retail
|
|
$ 21,079
|
|
$ 20,977
|
|
0.5
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER UNIT SOLD:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 1,890
|
|
$ 1,937
|
|
(2.4)
|
|
Used vehicle retail sales
|
|
1,491
|
|
1,637
|
|
(8.9)
|
|
Used vehicle wholesale sales
|
|
(124)
|
|
6
|
|
(2166.7)
|
|
Total used
|
|
925
|
|
1,080
|
|
(14.4)
|
|
Finance and insurance (per retail unit)
|
|
$ 1,256
|
|
$ 1,270
|
|
(1.1)
|
|
OTHER: (1)
|
|
|
|
|
|
|
|
SG&A expenses
|
|
$ 245,016
|
|
$ 214,895
|
|
14.0
|
|
SG&A as % revenues
|
|
10.7
|
|
11.1
|
|
|
|
SG&A as % gross profit
|
|
76.3
|
|
76.7
|
|
|
|
Operating margin %
|
|
2.9
|
|
2.9
|
|
|
|
Pretax margin %
|
|
2.0
|
|
2.0
|
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE:
|
|
|
|
|
|
|
|
Floorplan interest expense
|
|
$ (10,740)
|
|
$ (8,372)
|
|
28.3
|
|
Floorplan assistance
|
|
10,141
|
|
8,639
|
|
17.4
|
|
Net floorplan income (expense)
|
|
$ (599)
|
|
$ 267
|
|
(324.3)
|
|
Other interest expense, net
|
|
$ (10,188)
|
|
$ (9,616)
|
|
5.9
|
|
|
|
|
|
Twelve Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
REVENUES:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 5,224,921
|
|
$ 4,291,098
|
|
21.8
|
|
Used vehicle retail sales
|
|
2,039,428
|
|
1,756,918
|
|
16.1
|
|
Used vehicle wholesale sales
|
|
332,185
|
|
288,139
|
|
15.3
|
|
Total used
|
|
2,371,613
|
|
2,045,057
|
|
16.0
|
|
Parts and service
|
|
1,010,685
|
|
880,070
|
|
14.8
|
|
Finance and insurance
|
|
311,362
|
|
259,875
|
|
19.8
|
|
Total
|
|
$ 8,918,581
|
|
$ 7,476,100
|
|
19.3
|
|
|
|
|
|
|
|
|
GROSS MARGIN %:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
5.5
|
|
5.8
|
|
|
|
Used vehicle retail sales
|
|
7.9
|
|
8.3
|
|
|
|
Used vehicle wholesale sales
|
|
(0.1)
|
|
0.8
|
|
|
|
Total used
|
|
6.8
|
|
7.3
|
|
|
|
Parts and service
|
|
52.5
|
|
52.4
|
|
|
|
Finance and insurance
|
|
100.0
|
|
100.0
|
|
|
|
Total
|
|
14.5
|
|
14.9
|
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 289,875
|
|
$ 247,439
|
|
17.2
|
|
Used vehicle retail sales
|
|
160,879
|
|
146,006
|
|
10.2
|
|
Used vehicle wholesale sales
|
|
(195)
|
|
2,444
|
|
(108.0)
|
|
Total used
|
|
160,684
|
|
148,450
|
|
8.2
|
|
Parts and service
|
|
530,625
|
|
461,488
|
|
15.0
|
|
Finance and insurance
|
|
311,362
|
|
259,875
|
|
19.8
|
|
Total
|
|
$ 1,292,546
|
|
$ 1,117,252
|
|
15.7
|
|
|
|
|
|
|
|
|
UNITS SOLD:
|
|
|
|
|
|
|
|
Retail new vehicles sold
|
|
155,866
|
|
128,550
|
|
21.2
|
|
Retail used vehicles sold
|
|
98,813
|
|
85,366
|
|
15.8
|
|
Wholesale used vehicles sold
|
|
50,736
|
|
43,756
|
|
16.0
|
|
Total used
|
|
149,549
|
|
129,122
|
|
15.8
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL SALES PRICE:
|
|
|
|
|
|
|
|
New vehicle retail
|
|
$ 33,522
|
|
$ 33,381
|
|
0.4
|
|
Used vehicle retail
|
|
$ 20,639
|
|
$ 20,581
|
|
0.3
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER UNIT SOLD:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 1,860
|
|
$ 1,925
|
|
(3.4)
|
|
Used vehicle retail sales
|
|
1,628
|
|
1,710
|
|
(4.8)
|
|
Used vehicle wholesale sales
|
|
(4)
|
|
56
|
|
(107.1)
|
|
Total used
|
|
1,074
|
|
1,150
|
|
(6.6)
|
|
Finance and insurance (per retail unit)
|
|
$ 1,223
|
|
$ 1,215
|
|
0.7
|
|
|
|
|
|
|
|
|
OTHER: (1)
|
|
|
|
|
|
|
|
SG&A expenses
|
|
$ 967,446
|
|
$ 842,837
|
|
14.8
|
|
SG&A as % revenues
|
|
10.8
|
|
11.3
|
|
|
|
SG&A as % gross profit
|
|
74.8
|
|
75.4
|
|
|
|
Operating margin %
|
|
3.2
|
|
3.2
|
|
|
|
Pretax margin %
|
|
2.3
|
|
2.3
|
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE:
|
|
|
|
|
|
|
|
Floorplan interest expense
|
|
$ (41,667)
|
|
$ (31,796)
|
|
31.0
|
|
Floorplan assistance
|
|
38,543
|
|
33,915
|
|
13.6
|
|
Net floorplan income (expense)
|
|
$ (3,124)
|
|
$ 2,119
|
|
(247.4)
|
|
Other interest expense, net
|
|
$ (38,971)
|
|
$ (37,465)
|
|
4.0
|
|
|
(1) These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments.
|
|
Group 1 Automotive, Inc.
|
|
Additional Information - Same Store(1)
|
|
(Unaudited)
|
|
(Dollars in thousands, except per unit amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
REVENUES:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 1,121,091
|
|
$ 1,104,558
|
|
1.5
|
|
Used vehicle retail sales
|
|
440,319
|
|
407,766
|
|
8.0
|
|
Used vehicle wholesale sales
|
|
75,013
|
|
66,714
|
|
12.4
|
|
Total used
|
|
515,332
|
|
474,480
|
|
8.6
|
|
Parts and service
|
|
225,173
|
|
209,371
|
|
7.5
|
|
Finance and insurance
|
|
71,948
|
|
65,405
|
|
10.0
|
|
Total
|
|
$ 1,933,544
|
|
$ 1,853,814
|
|
4.3
|
|
|
|
|
|
|
|
|
GROSS MARGIN %:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
5.3
|
|
5.6
|
|
|
|
Used vehicle retail sales
|
|
7.1
|
|
7.8
|
|
|
|
Used vehicle wholesale sales
|
|
(2.5)
|
|
0.3
|
|
|
|
Total used
|
|
5.7
|
|
6.7
|
|
|
|
Parts and service
|
|
53.0
|
|
51.9
|
|
|
|
Finance and insurance
|
|
100.0
|
|
100.0
|
|
|
|
Total
|
|
14.5
|
|
14.5
|
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 59,730
|
|
$ 62,085
|
|
(3.8)
|
|
Used vehicle retail sales
|
|
31,430
|
|
31,730
|
|
(0.9)
|
|
Used vehicle wholesale sales
|
|
(1,850)
|
|
200
|
|
(1,025.0)
|
|
Total used
|
|
29,580
|
|
31,930
|
|
(7.4)
|
|
Parts and service
|
|
119,420
|
|
108,694
|
|
9.9
|
|
Finance and insurance
|
|
71,948
|
|
65,405
|
|
10.0
|
|
Total
|
|
$ 280,678
|
|
$ 268,114
|
|
4.7
|
|
|
|
|
|
|
|
|
UNITS SOLD:
|
|
|
|
|
|
|
|
Retail new vehicles sold
|
|
31,487
|
|
31,348
|
|
0.4
|
|
Retail used vehicles sold
|
|
20,362
|
|
19,279
|
|
5.6
|
|
Wholesale used vehicles sold
|
|
10,741
|
|
9,913
|
|
8.4
|
|
Total used
|
|
31,103
|
|
29,192
|
|
6.5
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL SALES PRICE:
|
|
|
|
|
|
|
|
New vehicle retail
|
|
$ 35,605
|
|
$ 35,235
|
|
1.0
|
|
Used vehicle retail
|
|
$ 21,625
|
|
$ 21,151
|
|
2.2
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER UNIT SOLD:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 1,897
|
|
$ 1,981
|
|
(4.2)
|
|
Used vehicle retail sales
|
|
1,544
|
|
1,646
|
|
(6.2)
|
|
Used vehicle wholesale sales
|
|
(172)
|
|
20
|
|
(960.0)
|
|
Total used
|
|
951
|
|
1,094
|
|
(13.1)
|
|
Finance and insurance (per retail unit)
|
|
$ 1,388
|
|
$ 1,292
|
|
7.4
|
|
OTHER:(2)
|
|
|
|
|
|
|
|
SG&A expenses
|
|
$ 210,205
|
|
$ 202,653
|
|
3.7
|
|
SG&A as % revenues
|
|
10.9
|
|
10.9
|
|
|
|
SG&A as % gross profit
|
|
74.9
|
|
75.6
|
|
|
|
Operating margin %
|
|
3.2
|
|
3.2
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
REVENUES:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 4,354,540
|
|
$ 4,107,638
|
|
6.0
|
|
Used vehicle retail sales
|
|
1,794,875
|
|
1,693,237
|
|
6.0
|
|
Used vehicle wholesale sales
|
|
276,121
|
|
275,011
|
|
0.4
|
|
Total used
|
|
2,070,996
|
|
1,968,248
|
|
5.2
|
|
Parts and service
|
|
902,905
|
|
840,383
|
|
7.4
|
|
Finance and insurance
|
|
286,837
|
|
251,544
|
|
14.0
|
|
Total
|
|
$ 7,615,278
|
|
$ 7,167,813
|
|
6.2
|
|
|
|
|
|
|
|
|
GROSS MARGIN %:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
5.3
|
|
5.8
|
|
|
|
Used vehicle retail sales
|
|
8.0
|
|
8.3
|
|
|
|
Used vehicle wholesale sales
|
|
(0.2)
|
|
1.0
|
|
|
|
Total used
|
|
6.9
|
|
7.3
|
|
|
|
Parts and service
|
|
53.1
|
|
52.4
|
|
|
|
Finance and insurance
|
|
100.0
|
|
100.0
|
|
|
|
Total
|
|
15.0
|
|
15.0
|
|
|
|
|
|
|
|
|
|
|
GROSS PROFIT:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 232,638
|
|
$ 239,221
|
|
(2.8)
|
|
Used vehicle retail sales
|
|
143,457
|
|
141,015
|
|
1.7
|
|
Used vehicle wholesale sales
|
|
(494)
|
|
2,791
|
|
(117.7)
|
|
Total used
|
|
142,963
|
|
143,806
|
|
(0.6)
|
|
Parts and service
|
|
479,882
|
|
440,386
|
|
9.0
|
|
Finance and insurance
|
|
286,837
|
|
251,544
|
|
14.0
|
|
Total
|
|
$ 1,142,320
|
|
$ 1,074,957
|
|
6.3
|
|
|
|
|
|
|
|
|
UNITS SOLD:
|
|
|
|
|
|
|
|
Retail new vehicles sold
|
|
127,641
|
|
122,043
|
|
4.6
|
|
Retail used vehicles sold
|
|
85,616
|
|
81,784
|
|
4.7
|
|
Wholesale used vehicles sold
|
|
42,593
|
|
41,200
|
|
3.4
|
|
Total used
|
|
128,209
|
|
122,984
|
|
4.2
|
|
|
|
|
|
|
|
|
AVERAGE RETAIL SALES PRICE:
|
|
|
|
|
|
|
|
New vehicle retail
|
|
$ 34,116
|
|
$ 33,657
|
|
1.4
|
|
Used vehicle retail
|
|
$ 20,964
|
|
$ 20,704
|
|
1.3
|
|
|
|
|
|
|
|
|
GROSS PROFIT PER UNIT SOLD:
|
|
|
|
|
|
|
|
New vehicle retail sales
|
|
$ 1,823
|
|
$ 1,960
|
|
(7.0)
|
|
Used vehicle retail sales
|
|
1,676
|
|
1,724
|
|
(2.8)
|
|
Used vehicle wholesale sales
|
|
(12)
|
|
68
|
|
(117.6)
|
|
Total used
|
|
1,115
|
|
1,169
|
|
(4.6)
|
|
Finance and insurance (per retail unit)
|
|
$ 1,345
|
|
$ 1,234
|
|
9.0
|
|
|
|
|
|
|
|
|
OTHER: (2)
|
|
|
|
|
|
|
|
SG&A expenses
|
|
$ 840,252
|
|
$ 801,188
|
|
4.9
|
|
SG&A as % revenues
|
|
11.0
|
|
11.2
|
|
|
|
SG&A as % gross profit
|
|
73.6
|
|
74.5
|
|
|
|
Operating margin %
|
|
3.5
|
|
3.4
|
|
|
|
|
(1) Same store amounts include the results for the identical months in each period presented in the comparison, commencing with the first full month we owned the dealership and, in the case of dispositions, ending with the last full month we owned it. Same store results also include the activities of our corporate office.
|
|
|
(2)These amounts have been adjusted to exclude the impact of certain items to provide additional information regarding the performance of our operations and improve period-to-period comparability. Refer to our Reconciliation of Certain Non-GAAP Financial Measures for a description of the aforementioned adjustments.
|
|
Group 1 Automotive, Inc.
|
|
Reconciliation of Certain Non-GAAP Financial Measures - U.S.
|
|
(Unaudited)
|
|
(Dollars in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
SG&A RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$ 203,336
|
|
$ 203,124
|
|
0.1
|
|
Pre-tax adjustments:
|
|
|
|
|
|
|
Catastrophic events
|
-
|
|
(1,916)
|
|
|
|
Net gain on real estate and dealership transactions
|
-
|
|
437
|
|
|
|
Severance costs associated with restructuring activities
|
(385)
|
|
(336)
|
|
|
|
Acquisition costs
|
-
|
|
(1,777)
|
|
|
|
Adjusted SG&A (1)
|
$202,951
|
|
$199,532
|
|
1.7
|
|
|
|
|
|
|
|
|
SG&A AS % REVENUES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
10.9
|
|
11.3
|
|
|
|
Adjusted (1)
|
10.9
|
|
11.1
|
|
|
|
|
|
|
|
|
|
|
SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
74.6
|
|
77.5
|
|
|
|
Adjusted (1)
|
74.4
|
|
76.1
|
|
|
|
|
|
|
|
|
|
|
OPERATING MARGIN %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
3.0
|
|
2.5
|
|
|
|
Adjusted(1), (2)
|
3.3
|
|
3.1
|
|
|
|
|
|
|
|
|
|
|
PRETAX MARGIN %:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
2.0
|
|
1.5
|
|
|
|
Adjusted (1), (2)
|
2.3
|
|
2.1
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
SG&A RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$ 830,275
|
|
$ 796,998
|
|
4.2
|
|
Pre-tax adjustments:
|
|
|
|
|
|
|
Acquisition costs
|
(5,159)
|
|
(1,777)
|
|
|
|
Catastrophic events
|
(12,158)
|
|
(4,566)
|
|
|
|
Net gain on real estate and dealership transactions
|
10,196
|
|
1,508
|
|
|
|
Severance costs associated with restructuring activities
|
(641)
|
|
(336)
|
|
|
|
Adjusted SG&A (1)
|
$822,513
|
|
$791,827
|
|
3.9
|
|
|
|
|
|
|
|
|
SG&A AS % REVENUES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
11.3
|
|
11.5
|
|
|
|
Adjusted (1)
|
11.2
|
|
11.4
|
|
|
|
|
|
|
|
|
|
|
SG&A AS % OF GROSS PROFIT:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
74.4
|
|
75.6
|
|
|
|
Adjusted (1)
|
73.7
|
|
75.1
|
|
|
|
|
|
|
|
|
|
|
OPERATING MARGIN %:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
3.4
|
|
3.2
|
|
|
|
Adjusted (1), (2)
|
3.6
|
|
3.4
|
|
|
|
|
|
|
|
|
|
|
PRETAX MARGIN %:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
2.4
|
|
2.2
|
|
|
|
Adjusted (1), (2)
|
2.6
|
|
2.4
|
|
|
|
|
(1) We have included certain non-GAAP financial measures as defined under SEC rules, which exclude certain items. These adjusted measures are not measures of financial performance under GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations.
|
|
|
(2) Excludes the impact of SG&A reconciling items above, as well as non-cash asset impairment charges of $5,368 and $6,542 for the three and twelve months ended December 31, 2013, and $6,988 and $7,175 for the three and twelve months ended December 31, 2012.
|
|
Group 1 Automotive, Inc.
|
|
Reconciliation of Certain Non-GAAP Financial Measures - U.K.
|
|
(Unaudited)
|
|
(Dollars in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
SG&A RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$ 20,516
|
|
$ 15,801
|
|
29.8
|
|
Pre-tax adjustments:
|
|
|
|
|
|
|
Severance costs associated with restructuring activities
|
-
|
|
(438)
|
|
-
|
|
Adjusted SG&A (1)
|
$ 20,516
|
|
$ 15,363
|
|
33.5
|
|
|
|
|
|
|
|
|
SG&A AS % REVENUES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
10.4
|
|
11.1
|
|
|
|
Adjusted (1)
|
10.4
|
|
10.7
|
|
|
|
|
|
|
|
|
|
|
SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
82.7
|
|
87.6
|
|
|
|
Adjusted (1)
|
82.7
|
|
85.2
|
|
|
|
|
|
|
|
|
|
|
OPERATING MARGIN %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
1.8
|
|
1.1
|
|
|
|
Adjusted (1), (2)
|
1.8
|
|
1.4
|
|
|
|
|
|
|
|
|
|
|
PRETAX MARGIN %:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
1.4
|
|
0.8
|
|
|
|
Adjusted (1), (2)
|
1.4
|
|
1.1
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
|
|
|
2013
|
|
2012
|
|
% Change
|
|
SG&A RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$ 74,778
|
|
$ 51,448
|
|
45.3
|
|
Pre-tax adjustments:
|
|
|
|
|
|
|
Acquisition costs
|
(142)
|
|
-
|
|
|
|
Severance costs associated with restructuring activities
|
-
|
|
(438)
|
|
|
|
Adjusted SG&A (1)
|
$ 74,636
|
|
$ 51,010
|
|
46.3
|
|
|
|
|
|
|
|
|
SG&A AS % REVENUES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
9.2
|
|
9.9
|
|
|
|
Adjusted (1)
|
9.2
|
|
9.8
|
|
|
|
|
|
|
|
|
|
|
SG&A AS % OF GROSS PROFIT:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
80.2
|
|
81.7
|
|
|
|
Adjusted (1)
|
80.1
|
|
81.0
|
|
|
|
|
|
|
|
|
|
|
OPERATING MARGIN %:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
2.0
|
|
1.8
|
|
|
|
Adjusted (1), (2)
|
2.0
|
|
1.8
|
|
|
|
|
|
|
|
|
|
|
PRETAX MARGIN %:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
1.6
|
|
1.4
|
|
|
|
Adjusted (1), (2)
|
1.6
|
|
1.5
|
|
|
|
|
|
(1)
|
We have included certain non-GAAP financial measures as defined under SEC rules, which exclude certain items. These adjusted measures are not measures of financial performance under GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations.
|
|
|
|
(2)
|
Excludes the impact of SG&A reconciling items above.
|
|
Group 1 Automotive, Inc.
|
|
Reconciliation of Certain Non-GAAP Financial Measures - Brazil
|
|
(Unaudited)
|
|
(Dollars in thousands, except per share amounts)
|
|
|
|
|
|
Twelve Months Ended
December 31, 2013 (3)
|
|
|
|
SG&A RECONCILIATION:
|
|
|
|
|
|
As reported
|
$ 71,803
|
|
Pre-tax adjustments:
|
|
|
Acquisition costs
|
(1,211)
|
|
Severance costs associated with restructuring activities
|
(295)
|
|
Adjusted SG&A (1)
|
$ 70,297
|
|
|
|
|
SG&A AS % REVENUES:
|
|
|
|
|
|
Unadjusted
|
9.5
|
|
Adjusted (1)
|
9.3
|
|
|
|
|
SG&A AS % OF GROSS PROFIT:
|
|
|
|
|
|
Unadjusted
|
86.6
|
|
Adjusted (1)
|
84.8
|
|
|
|
|
OPERATING MARGIN %:
|
|
|
|
|
|
Unadjusted
|
1.3
|
|
Adjusted (1), (2)
|
1.5
|
|
|
|
|
PRETAX MARGIN %:
|
|
|
|
|
|
Unadjusted
|
0.3
|
|
Adjusted (1), (3)
|
0.7
|
|
|
|
(1)
|
We have included certain non-GAAP financial measures as defined under SEC rules, which exclude certain items. These adjusted measures are not measures of financial performance under GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations.
|
|
|
|
(2)
|
Excludes the impact of SG&A reconciling items above.
|
|
|
|
(3)
|
Excludes the impact of SG&A reconciling items above, as well as the other expense, net of $789, for the period from the date of acquisition (February 28, 2013) through December31, 2013.
|
|
|
|
(4)
|
Results are for the period from the date of acquisition through December 31, 2013.
|
|
Group 1 Automotive, Inc.
|
|
Reconciliation of Certain Non-GAAP Financial Measures - Consolidated
|
|
(Unaudited)
|
|
(Dollars in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
NET INCOME RECONCILIATION:
|
2013
|
|
2012
|
|
% Change
|
|
|
|
|
|
|
|
|
As reported
|
$ 21,721
|
|
$ 17,132
|
|
26.8
|
|
After-tax adjustments:
|
|
|
|
|
|
|
Catastrophic events (6)
|
—
|
|
1,219
|
|
|
|
Net gain on real estate and dealership transactions (7)
|
—
|
|
(276)
|
|
|
|
Non-cash asset impairment charges (8)
|
3,319
|
|
4,277
|
|
|
|
Severance costs associated with restructuring activities(9)
|
237
|
|
548
|
|
|
|
Valuation allowance for certain deferred tax assets
|
3,629
|
|
—
|
|
|
|
Acquisition costs (5)
|
—
|
|
1,111
|
|
|
|
Adjusted net income (1)
|
$ 28,906
|
|
$ 24,011
|
|
20.4
|
|
|
|
|
ADJUSTED NET INCOME ATTRIBUTABLE TO DILUTED
|
|
|
|
|
|
|
COMMON SHARES RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted net income
|
$ 28,906
|
|
$ 24,011
|
|
20.4
|
|
Less: Adjusted earnings allocated to participating securities
|
1,057
|
|
1,066
|
|
(0.8)
|
|
Adjusted net income available to diluted common shares
|
$ 27,849
|
|
$ 22,945
|
|
21.4
|
|
|
|
|
|
|
|
|
DILUTED INCOME PER COMMON SHARE RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$ 0.81
|
|
$ 0.70
|
|
15.7
|
|
After-tax adjustments:
|
|
|
|
|
|
|
Catastrophic events
|
-
|
|
0.05
|
|
|
|
Net gain on real estate and dealership transactions
|
-
|
|
(0.01)
|
|
|
|
Non-cash asset impairment charges
|
0.12
|
|
0.18
|
|
|
|
Severance costs associated with restructuring activities
|
0.01
|
|
0.02
|
|
|
|
Valuation allowance for certain deferred tax assets
|
0.14
|
|
-
|
|
|
|
Acquisition costs
|
-
|
|
0.05
|
|
|
|
Adjusted diluted income per share (1)
|
$ 1.08
|
|
$ 0.99
|
|
9.1
|
|
|
|
|
|
|
|
|
SG&A RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$ 245,401
|
|
$ 218,925
|
|
12.1
|
|
Pre-tax adjustments:
|
|
|
|
|
|
|
Catastrophic events
|
-
|
|
(1,916)
|
|
|
|
Net gain on real estate and dealership transactions
|
-
|
|
437
|
|
|
|
Severance costs associated with restructuring activities
|
(385)
|
|
(774)
|
|
|
|
Acquisition costs
|
-
|
|
(1,777)
|
|
|
|
Adjusted SG&A (1)
|
$ 245,016
|
|
$ 214,895
|
|
14.0
|
|
|
|
|
|
|
|
|
SG&A AS % REVENUES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
10.8
|
|
11.3
|
|
|
|
Adjusted (1)
|
10.7
|
|
11.1
|
|
|
|
|
|
|
|
|
|
|
SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
76.4
|
|
78.1
|
|
|
|
Adjusted (1)
|
76.3
|
|
76.7
|
|
|
|
|
|
|
|
|
|
|
OPERATING MARGIN %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
2.7
|
|
2.4
|
|
|
|
Adjusted (1), (2)
|
2.9
|
|
2.9
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
PRETAX MARGIN %:
|
2013
|
|
2012
|
|
% Change
|
|
|
|
|
|
|
|
|
Unadjusted
|
1.8
|
|
1.4
|
|
|
|
Adjusted (1), (3)
|
2.0
|
|
2.0
|
|
|
|
|
|
|
|
|
|
|
SAME STORE SG&A RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$ 210,590
|
|
$ 206,529
|
|
2.0
|
|
Pre-tax adjustments:
|
|
|
|
|
|
|
Catastrophic events
|
—
|
|
(1,916)
|
|
|
|
Net gain on real estate and dealership transactions
|
—
|
|
153
|
|
|
|
Severance costs associated with restructuring activities
|
(385)
|
|
(336)
|
|
|
|
Acquisition costs
|
—
|
|
(1,777)
|
|
|
|
Adjusted Same Store SG&A (1)
|
$ 210,205
|
|
$ 202,653
|
|
|
|
|
|
|
|
|
|
|
SAME STORE SG&A AS % REVENUES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
10.9
|
|
11.1
|
|
|
|
Adjusted (1)
|
10.9
|
|
10.9
|
|
|
|
|
|
|
|
|
|
|
SAME STORE SG&A AS % GROSS PROFIT:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
75.0
|
|
77.0
|
|
|
|
Adjusted (1)
|
74.9
|
|
75.6
|
|
|
|
|
|
|
|
|
|
|
SAME STORE OPERATING MARGIN %:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
2.9
|
|
2.7
|
|
|
|
Adjusted (1), (4)
|
3.2
|
|
3.2
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
|
|
NET INCOME RECONCILIATION:
|
2013
|
|
2012
|
|
% Change
|
|
|
|
|
|
|
|
|
As reported
|
$ 113,992
|
|
$ 100,209
|
|
13.8
|
|
After-tax adjustments:
|
|
|
|
|
|
|
Acquisition costs (5)
|
6,337
|
|
1,111
|
|
|
|
Catastrophic events (6)
|
7,419
|
|
2,877
|
|
|
|
Net gain on real estate and dealership transactions (7)
|
(5,370)
|
|
(935)
|
|
|
|
Non-cash asset impairment charges (8)
|
4,037
|
|
4,392
|
|
|
|
Severance costs associated with restructuring activities (9)
|
691
|
|
548
|
|
|
|
Valuation allowance for certain deferred tax assets
|
3,629
|
|
—
|
|
|
|
Adjusted net income(1)
|
$ 130,735
|
|
$ 108,202
|
|
20.8
|
|
|
|
|
ADJUSTED NET INCOME ATTRIBUTABLE TO DILUTED
|
|
|
|
|
|
|
COMMON SHARES RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted net income
|
$ 130,735
|
|
$ 108,202
|
|
20.8
|
|
Less: Adjusted earnings allocated to participating securities
|
5,276
|
|
5,469
|
|
(3.5)
|
|
Adjusted net income available to diluted common shares
|
$ 125,459
|
|
$ 102,733
|
|
22.1
|
|
|
|
|
|
|
|
|
DILUTED INCOME PER COMMON SHARE RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$ 4.32
|
|
$ 4.19
|
|
3.1
|
|
After-tax adjustments:
|
|
|
|
|
|
|
Acquisition costs
|
0.24
|
|
0.05
|
|
|
|
Catastrophic events
|
0.28
|
|
0.12
|
|
|
|
Net gain on real estate and dealership transactions
|
(0.20)
|
|
(0.04)
|
|
|
|
Non-cash asset impairment charges
|
0.15
|
|
0.19
|
|
|
|
Severance costs associated with restructuring activities
|
0.03
|
|
0.02
|
|
|
|
Valuation allowance for certain deferred tax assets
|
0.14
|
|
—
|
|
|
|
Adjusted diluted income per share(1)
|
$ 4.96
|
|
$ 4.53
|
|
9.5
|
|
|
|
|
|
|
|
|
SG&A RECONCILIATION:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As reported
|
$ 976,856
|
|
$ 848,446
|
|
15.1
|
|
Pre-tax adjustments:
|
|
|
|
|
|
|
Acquisition costs
|
(6,512)
|
|
(1,777)
|
|
|
|
Catastrophic events
|
(12,158)
|
|
(4,566)
|
|
|
|
Net gain on real estate and dealership transactions
|
10,196
|
|
1,508
|
|
|
|
Severance costs associated with restructuring activities
|
(936)
|
|
(774)
|
|
|
|
Adjusted SG&A (1)
|
$ 967,446
|
|
$ 842,837
|
|
14.8
|
|
|
|
|
|
|
|
|
SG&A AS % REVENUES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
11.0
|
|
11.3
|
|
|
|
Adjusted (1)
|
10.8
|
|
11.3
|
|
|
|
|
|
|
|
|
|
|
SG&A AS % OF GROSS PROFIT:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
75.6
|
|
75.9
|
|
|
|
Adjusted (1)
|
74.8
|
|
75.4
|
|
|
|
|
|
|
|
|
|
|
OPERATING MARGIN %:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unadjusted
|
3.1
|
|
3.1
|
|
|
|
Adjusted (1), (2)
|
3.2
|
|
3.2
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
|
|
PRETAX MARGIN %:
|
2013
|
|
2012
|
|
% Change
|
|
|
|
|
|
|
|
|
Unadjusted
|
2.2
|
|
2.1
|
|
|
|
Adjusted (1), (3)
|
2.3
|
|
2.3
|
|
|
|
|
|
|
|
|
|
|
SAME STORE SG&A RECONCILIATION:
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As reported
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$ 858,367
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$ 808,218
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6.2
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Pre-tax adjustments:
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Acquisition costs
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(5,301)
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(1,777)
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Catastrophic events
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(12,158)
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(4,566)
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Net gain on real estate and dealership transactions
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(200)
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(351)
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Severance costs associated with restructuring activities
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(456)
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(336)
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Adjusted Same Store SG&A (1)
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$ 840,252
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$ 801,188
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4.9
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SAME STORE SG&A AS % REVENUES:
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Unadjusted
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11.3
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11.3
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Adjusted (1)
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11.0
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11.2
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SAME STORE SG&A AS % OF GROSS PROFIT:
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Unadjusted
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75.1
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75.2
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Adjusted (1)
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73.6
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74.5
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SAME STORE OPERATING MARGIN %:
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Unadjusted
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3.2
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3.2
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Adjusted (1), (4)
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3.5
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3.4
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(1)
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We have included certain non-GAAP financial measures as defined under SEC rules, which exclude certain items. These adjusted measures are not measures of financial performance under GAAP. As required by SEC rules, we provide reconciliations of these adjusted measures to the most directly comparable GAAP measures. We believe that these adjusted financial measures are relevant and useful to investors because they improve the transparency of our disclosure, provide a meaningful presentation of results from our core business operations and improve period-to-period comparability of our results from our core business operations.
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(2)
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Excludes the impact of SG&A reconciling items above, as well as non-cash asset impairment charges for all periods.
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(3)
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Excludes the impact of SG&A reconciling items above, non-cash asset impairment charges for all periods, as well as the other expense, net of $789, for the twelve months ended December 31, 2013.
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(4)
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Excludes the impact of Same Store SG&A reconciling items above, as well as Same Store non-cash asset impairment charges of $5,368 and $6,542 for the three and twelve months ended December 31, 2013, respectively, and $4,163 and $4,348 for the three and twelve months ended December 31, 2012, respectively.
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(5)
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Adjustment is net of tax benefit of $964 for the twelve months ended December 31, 2013, and $666 for the three and twelve months ended December 31, 2012, respectively, calculated utilizing the applicable federal and state tax rates for the adjustment.
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(6)
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Adjustment is net of tax benefit of $4,739 for the twelve months ended December 31, 2013, and $697 and $1,689 for the three and twelve months ended December 31, 2012, respectively, calculated utilizing the applicable federal and state tax rates for the adjustment.
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(7)
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Adjustment is net of tax provision of $4,827 for the twelve months ended December 31, 2013, and $161 and $573 for the three and twelve months ended December 31, 2012, respectively, calculated utilizing the applicable federal and state tax rates for the adjustment.
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(8)
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Adjustment is net of tax benefit of $2,049 and $2,505 for the three and twelve months ended December 31, 2013, respectively, and $2,711 and $2,783 for the three and twelve months ended December 31, 2012, respectively, calculated utilizing the applicable federal and state tax rates for the adjustment.
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(9)
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Adjustment is net of tax benefit of $148 and $245 for the three and twelve months ended December 31, 2013, respectively, and $226 for the three and twelve months ended December 31, 2012, respectively, calculated utilizing the applicable federal and state tax rates for the adjustment.
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SOURCE Group 1 Automotive, Inc.