PR Newswire

Sonic Automotive, Inc. Reports Record Earnings

Wednesday, Oct 28, 2015

CHARLOTTE, N.C., Oct. 28, 2015 /PRNewswire/ --

Third Quarter 2015 Results

  • Record third quarter net income from continuing operations of $27.1 million, up $3.1 million, or 12.7% from the prior year period quarterly adjusted amount of $24.0 million
  • All-time record quarterly new retail sales of 36,891 units, up 1.6% over the prior year quarter
  • All-time record quarterly pre-owned retail sales of 30,467 units, up 10.6% over the prior year quarter – retailed 100 pre-owned units per store per month in the quarter
  • All-time record quarterly pre-owned gross profit of $41.7 million, up 1.2% over the prior year quarter
  • Record third quarter fixed operations gross profit of $169.7 million, up 9.3% over the prior year quarter
  • All-time quarterly total gross profit of $360.3 million, up 5.5% over the prior year quarter
  • Echo Park® stores retail 920 units, up 4.4% from the prior quarter

Sonic Automotive, Inc. (NYSE: SAH), one of the nation's largest automotive retailers, today reported net income from continuing operations for the third quarter of 2015 of $27.1 million, or $0.53 per diluted share.  Included in these amounts are pre-tax expenses of $3.7 million, or $0.04 per diluted share, related to EchoPark® operations.

Adjusted net income from continuing operations for the third quarter of 2014 was $24.0 million, or $0.46 per diluted share. Included in these adjusted amounts are pre-tax expenses of $3.6 million, or $0.04 per diluted share, related to EchoPark® operations.  On a GAAP basis, net income from continuing operations and related diluted earnings per share for the third quarter of 2014 were $24.6 million and $0.47 per share, respectively.  See the accompanying tables for a reconciliation of the adjusted balances to GAAP basis amounts and further details of the quarterly adjustments.

B. Scott Smith, Sonic's Chief Executive Officer, noted, "The overall increase in retail activity and our dedication to provide our customers with an outstanding buying and servicing experience contributed to record results during the quarter.  The automotive retail environment continues to expand and present us with opportunities to strengthen and grow our business." 

"We are extremely excited about the development of our EchoPark® brand.  Our EchoPark® stores continue to grow and we expect two additional stores to open in the Denver market in the first half of 2016.  We are in the process of acquiring property in two additional markets as we look to accelerate the EchoPark rollout in the latter part of 2016 and early 2017."

"During the quarter, our One Sonic-One Experience ("OSOE") stores experienced year-over-year net new vehicle market share gains.  Our customers love the speed and ease offered by this buying experience.  We have been mystery shopped by various parties over the last year and have received rave reviews, notably, a July 20, 2015 review by Matt Jones, Senior Editor for Edmunds.com entitled, "Mystery Shopping Sonic Automotive's New Sales Process."  We believe customers will come to the same conclusion Mr. Jones came to in the article… that we are onto something."

Jeff Dyke, Sonic's EVP of Operations, stated, "We continue to make progress on all fronts of our business. Our core business is performing well and steps that we have taken to increase inventory levels in pre-owned and our technician count are beginning to payoff.  We are gaining share across all brands in our One Sonic-One Experience stores in Charlotte and should be ready to begin phase I of our technology rollout in the first quarter of 2016.  We also continue to make excellent progress at our EchoPark stores and are right on our forecast.  This is a very exciting time for our team that has worked countless hours to bring us to this point as we look forward to offering our guests an experience they simply cannot get anywhere else in the industry."

Third Quarter 2015 Earnings Conference Call

Senior management will host a conference call today at 10:00 A.M. (Eastern) to discuss the quarter's results. To access the live broadcast of the call over the Internet go to: www.sonicautomotive.com, then click on "Our Company," then "Investor Relations," then "Webcasts & Presentations."

Presentation materials for the conference call can be accessed on the Company's website at www.sonicautomotive.com by clicking on the "Investor Relations" tab under "Our Company" and choosing "Webcasts & Presentations."

The conference call will also be available live by dialing in 10 minutes prior to the start of the call at:

Domestic: 1.877.450.3867

International: 1.706.643.0958

Conference ID: 30271525

A conference call replay will be available one hour following the call for seven days and can be accessed by calling:

Domestic: 1.855.859.2056

International: 1.404.537.3406

Conference ID: 30271525

About Sonic Automotive

Sonic Automotive, Inc., a Fortune 500 company based in Charlotte, N.C., is one of the nation's largest automotive retailers. Sonic can be reached on the web at www.sonicautomotive.com.

Included herein are forward-looking statements, including statements with respect to anticipated future success and impacts from the implementation of our planned customer experience and stand-alone pre-owned store initiatives. There are many factors that affect management's views about future events and trends of the Company's business. These factors involve risk and uncertainties that could cause actual results or trends to differ materially from management's view, including without limitation, economic conditions in the markets in which we operate, new and used vehicle industry sales volume, the success of our operational strategies, the rate and timing of overall economic recovery or decline, and the risk factors described in the Company's annual report on Form 10-K for the year ending December 31, 2014. The Company does not undertake any obligation to update forward-looking information.

 

Sonic Automotive, Inc.

Results of Operations (Unaudited)







This release contains certain non-GAAP financial measures as defined under SEC rules, such as, but not limited to, adjusted income from continuing operations and related earnings per share data.  The Company has reconciled these measures to the most directly comparable GAAP measures in the release.  The Company believes that these non-GAAP financial measures improve the transparency of the Company's disclosure by providing period-to-period comparability of the Company's results from operations.































Three Months Ended September 30,



Nine Months Ended September 30,









2015



2014



2015



2014









(In thousands, except per share and unit data)



Revenues:





















New retail vehicles



$               1,352,180



$               1,312,592



$          3,828,027



$          3,708,114





Fleet vehicles



15,849



15,245



37,612



65,120





Total new vehicles



1,368,029



1,327,837



3,865,639



3,773,234





Used vehicles



652,058



583,570



1,904,594



1,747,254





Wholesale vehicles



37,971



41,433



120,760



127,797





Total vehicles



2,058,058



1,952,840



5,890,993



5,648,285





Parts, service and collision repair



350,520



325,740



1,019,878



973,646





Finance, insurance and other, net



85,830



77,024



242,792



223,340





Total revenues



2,494,408



2,355,604



7,153,663



6,845,271





Gross profit



360,251



341,489



1,050,764



1,017,436





Selling, general and administrative expenses



(280,041)



(270,144)



(835,564)



(803,031)





Impairment charges



(37)



(208)



(16,698)



(215)





Depreciation and amortization



(17,250)



(14,235)



(50,953)



(43,047)





Operating income (loss)



62,923



56,902



147,549



171,143





Other income (expense):



















Interest expense, floor plan



(5,364)



(4,406)



(15,488)



(13,941)





Interest expense, other, net



(12,361)



(12,893)



(38,635)



(40,576)





Other income (expense), net



-



(1)



102



98





Total other income (expense)



(17,725)



(17,300)



(54,021)



(54,419)





Income (loss) from continuing operations before taxes



45,198



39,602



93,528



116,724





Provision for income taxes for continuing operations- benefit (expense)



(18,095)



(15,045)



(36,944)



(45,122)





Income (loss) from continuing operations



27,103



24,557



56,584



71,602





Income (loss) from discontinued operations



(598)



155



(1,331)



(511)





Net income (loss)



$                    26,505



$                    24,712



$               55,253



$               71,091

























Diluted earnings (loss) per common share:



















Earnings (loss) per share from continuing operations



$                        0.53



$                        0.47



$                   1.11



$                   1.35





Earnings (loss) per share from discontinued operations



(0.01)



-



(0.03)



(0.01)





Earnings (loss) per common share



$                        0.52



$                        0.47



$                   1.08



$                   1.34





Weighted average common shares outstanding



50,769



52,553



51,086



52,808

























Gross Margin Data (Continuing Operations):



















New retail vehicles



4.8%



5.3%



5.1%



5.6%





Fleet vehicles



(0.8%)



0.6%



(0.5%)



2.1%





Total new vehicles



4.8%



5.2%



5.0%



5.6%





Used vehicles



6.4%



7.1%



6.5%



6.8%





Wholesale vehicles



(6.5%)



(2.6%)



(4.4%)



(2.0%)





Parts, service and collision repair



48.4%



47.7%



48.7%



48.0%





Finance, insurance and other



100.0%



100.0%



100.0%



100.0%





Overall gross margin



14.4%



14.5%



14.7%



14.9%

























SG&A Expenses (Continuing Operations):



















Compensation



$                  167,489



$                  163,230



$             497,158



$             483,493





Advertising



15,470



14,045



46,160



42,027





Rent



18,558



18,145



55,058



55,324





Other



78,524



74,724



237,188



222,187





Total SG&A expenses



$                  280,041



$                  270,144



$             835,564



$             803,031





SG&A expenses as % of gross profit



77.7%



79.1%



79.5%



78.9%

























Operating Margin %



2.5%



2.4%



2.1%



2.5%

























Unit Data (Continuing Operations):



















New retail units



36,891



36,301



102,901



101,177





Fleet units



602



473



1,244



2,133





Total new units



37,493



36,774



104,145



103,310





Used units



30,467



27,536



88,903



83,707





Wholesale units



7,787



7,916



23,574



23,034























 

 

Sonic Automotive, Inc.

Results of Operations (Unaudited)







Per Share Data



































































Three Months Ended September 30, 2015











Income (Loss)



Income (Loss)



















From Continuing



From Discontinued



















Operations



Average



Net Income (Loss)







Weighted







Per







Per







Per







Average







Share







Share







Share







Shares



Amount



Amount



Amount



Amount



Amount



Amount







(In thousands, except per share amounts)



Reported:































Earnings (loss) and shares



50,456



$     27,103







$       (598)







$     26,505







Effect of participating securities:































Non-vested restricted stock































and stock units







(13)







-







(13)







Basic earnings (loss) and shares



50,456



$     27,090



$       0.54



$       (598)



$      (0.01)



$     26,492



$       0.53



Effect of dilutive securities:































Stock compensation plans



313



























Diluted earnings (loss) and shares  (1)



50,769



$     27,090



$       0.53



$       (598)



$      (0.01)



$     26,492



$       0.52



































































(1) Expenses attributable to EchoPark® operations were $0.04 per fully diluted share in the three months ended September 30, 2015. 











































































Three Months Ended September 30, 2014











Income (Loss)



Income (Loss)



















From Continuing



From Discontinued



















Operations



Operations



Net Income (Loss)







Weighted







Per







Per







Per







Average







Share







Share







Share







Shares



Amount



Amount



Amount



Amount



Amount



Amount







(In thousands, except per share amounts)



Reported:































Earnings (loss) and shares



52,070



$     24,557







$         155







$     24,712







Effect of participating securities:































Non-vested restricted stock































and stock units







(79)







-







(79)







Basic earnings (loss) and shares



52,070



$     24,478



$       0.47



$         155



$           -



$     24,633



$       0.47



Effect of dilutive securities:































Stock compensation plans



483



























Diluted earnings (loss) and shares



52,553



$     24,478



$       0.47



$         155



$           -



$     24,633



$       0.47



































Adjustments (net of tax):































Gain on disposal







$      (1,953)



$      (0.04)



$             -



$           -



$      (1,953)



$      (0.04)



Impairment charges







126



-



-



-



126



-



Storm damage and other







1,317



0.03



-



-



1,317



0.03



Lease exit adjustments







-



-



(845)



(0.02)



(845)



(0.02)



Total adjustments







$         (510)



$      (0.01)



$       (845)



$      (0.02)



$      (1,355)



$      (0.03)



































Adjusted:































Earnings (loss) and 































Diluted earnings (loss) per share (2)







$     24,047



$       0.46



$       (690)



$      (0.02)



$     23,357



$       0.44



































(2) Expenses attributable to EchoPark® operations were $0.04 per fully diluted share in the three months ended September 30, 2014. 





































































Sonic Automotive, Inc.

Results of Operations (Unaudited)





Per Share Data



































































Nine Months Ended September 30, 2015











Income (Loss)



Income (Loss)



















From Continuing



From Discontinued



















Operations



Operations



Net Income (Loss)







Weighted







Per







Per







Per







Average







Share







Share







Share







Shares



Amount



Amount



Amount



Amount



Amount



Amount







(In thousands, except per share amounts)



Reported:































Earnings (loss) and shares



50,697



$     56,584







$    (1,331)







$     55,253







Effect of participating securities:































Non-vested restricted stock































and stock units







(27)







-







(27)







Basic earnings (loss) and shares



50,697



$     56,557



$       1.12



$    (1,331)



$      (0.03)



$     55,226



$       1.09



Effect of dilutive securities:































Stock compensation plans



389



























Diluted earnings (loss) and shares



51,086



$     56,557



$       1.11



$    (1,331)



$      (0.03)



$     55,226



$       1.08



































Adjustments (net of tax):































Gain on disposal







$         (583)



$      (0.01)



$             -



$           -



$         (583)



$      (0.01)



Impairment charges







10,166



0.20



-



-



10,166



0.20



Storm damage and other







3,132



0.06



-



-



3,132



0.06



Total adjustments







$     12,715



$       0.25



$             -



$           -



$     12,715



$       0.25



































Adjusted:































Earnings (loss) and 































Diluted earnings (loss) per share (3)







$     69,299



$       1.36



$    (1,331)



$      (0.03)



$     67,968



$       1.33



































(3) Expenses attributable to EchoPark® operations were $0.15 per fully diluted share in the nine months ended September 30, 2015. 











































































Nine Months Ended September 30, 2014











Income (Loss)



Income (Loss)



















From Continuing



From Discontinued



















Operations



Operations



Net Income (Loss)







Weighted







Per







Per







Per







Average







Share







Share







Share







Shares



Amount



Amount



Amount



Amount



Amount



Amount







(In thousands, except per share amounts)



Reported:































Earnings (loss) and shares



52,333



$     71,602







$       (511)







$     71,091







Effect of participating securities:































Non-vested restricted stock































and stock units







(229)







-







(229)







Basic earnings (loss) and shares



52,333



$     71,373



$       1.36



$       (511)



$      (0.01)



$     70,862



$       1.35



Effect of dilutive securities:































Stock compensation plans



475



























Diluted earnings (loss) and shares



52,808



$     71,373



$       1.35



$       (511)



$      (0.01)



$     70,862



$       1.34



































Adjustments (net of tax):































Gain on disposal







$      (6,400)



$      (0.12)



$             -



$           -



$      (6,400)



$      (0.12)



Impairment charges







126



-



-



-



126



-



Storm damage and other







2,158



0.04



-



-



2,158



0.04



Lease exit adjustments







-



-



(845)



(0.01)



(845)



(0.01)



Total adjustments







$      (4,116)



$      (0.08)



$       (845)



$      (0.01)



$      (4,961)



$      (0.09)



































Adjusted:































Earnings (loss) and 































Diluted earnings (loss) per share (4)







$     67,486



$       1.27



$    (1,356)



$      (0.02)



$     66,130



$       1.25



































(4) Expenses attributable to EchoPark® operations were $0.10 per fully diluted share in the nine months ended September 30, 2014. 





































































 

 

Sonic Automotive, Inc.

Results of Operations (Unaudited)







New Vehicles















































Three Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except units and per unit data)





Reported:



















Revenue



$          1,368,029



$          1,327,837



$               40,192



3.0%





Gross profit



$               65,435



$               69,026



$               (3,591)



(5.2%)





Unit sales



37,493



36,774



719



2.0%





Revenue per unit



$               36,488



$               36,108



$                    380



1.1%





Gross profit per unit



$                 1,745



$                 1,877



$                  (132)



(7.0%)





Gross profit as a % of revenue



4.8%



5.2%



(40)



bps





























Nine Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except units and per unit data)





Reported:



















Revenue



$          3,865,639



$          3,773,234



$               92,405



2.4%





Gross profit



$             193,720



$             209,892



$             (16,172)



(7.7%)





Unit sales



104,145



103,310



835



0.8%





Revenue per unit



$               37,118



$               36,523



$                    595



1.6%





Gross profit per unit



$                 1,860



$                 2,032



$                  (172)



(8.5%)





Gross profit as a % of revenue



5.0%



5.6%



(60)



bps





























Three Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except units and per unit data)





Same Store:



















Revenue



$          1,357,281



$          1,307,800



$               49,481



3.8%





Gross profit



$               64,860



$               67,826



$               (2,966)



(4.4%)





Unit sales



37,147



36,143



1,004



2.8%





Revenue per unit



$               36,538



$               36,184



$                    354



1.0%





Gross profit per unit



$                 1,746



$                 1,877



$                  (131)



(7.0%)





Gross profit as a % of revenue



4.8%



5.2%



(40)



bps





























Nine Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except units and per unit data)





Same Store:



















Revenue



$          3,830,202



$          3,670,736



$             159,466



4.3%





Gross profit



$             192,086



$             204,223



$             (12,137)



(5.9%)





Unit sales



103,058



100,350



2,708



2.7%





Revenue per unit



$               37,165



$               36,579



$                    586



1.6%





Gross profit per unit



$                 1,864



$                 2,035



$                  (171)



(8.4%)





Gross profit as a % of revenue



5.0%



5.6%



(60)



bps























 

 

Sonic Automotive, Inc.

Results of Operations (Unaudited)





Used Vehicles















































Three Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except units and per unit data)





Reported:



















Revenue



$             652,058



$             583,570



$               68,488



11.7%





Gross profit



$               41,730



$               41,245



$                    485



1.2%





Unit sales



30,467



27,536



2,931



10.6%





Revenue per unit



$               21,402



$               21,193



$                    209



1.0%





Gross profit per unit



$                 1,370



$                 1,498



$                  (128)



(8.5%)





Gross profit as a % of revenue



6.4%



7.1%



(70)



bps





























Nine Months Ended September 30,



Better / (Worse)









2015



2014



 Change



% Change









(In thousands, except units and per unit data)





Reported:



















Revenue



$          1,904,594



$          1,747,254



$             157,340



9.0%





Gross profit



$             123,271



$             119,412



$                 3,859



3.2%





Unit sales



88,903



83,707



5,196



6.2%





Revenue per unit



$               21,423



$               20,873



$                    550



2.6%





Gross profit per unit



$                 1,387



$                 1,427



$                    (40)



(2.8%)





Gross profit as a % of revenue



6.5%



6.8%



(30)



bps





























Three Months Ended September 30,



Better / (Worse)









2015



2014



 Change



% Change









(In thousands, except units and per unit data)





Same Store:



















Revenue



$             625,760



$             571,295



$               54,465



9.5%





Gross profit



$               40,288



$               40,816



$                  (528)



(1.3%)





Unit sales



29,173



26,902



2,271



8.4%





Revenue per unit



$               21,450



$               21,236



$                    214



1.0%





Gross profit per unit



$                 1,381



$                 1,517



$                  (136)



(9.0%)





Gross profit as a % of revenue



6.4%



7.1%



(70)



bps





























Nine Months Ended September 30,



Better / (Worse)









2015



2014



 Change



% Change









(In thousands, except units and per unit data)





Same Store:



















Revenue



$          1,831,379



$          1,689,958



$             141,421



8.4%





Gross profit



$             119,184



$             116,749



$                 2,435



2.1%





Unit sales



85,225



80,900



4,325



5.3%





Revenue per unit



$               21,489



$               20,889



$                    600



2.9%





Gross profit per unit



$                 1,398



$                 1,443



$                    (45)



(3.1%)





Gross profit as a % of revenue



6.5%



6.9%



(40)



bps























 

 

Sonic Automotive, Inc.

Results of Operations (Unaudited)





Wholesale Vehicles















































Three Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except units and per unit data)





Reported:





















Revenue



$               37,971



$               41,433



$               (3,462)



(8.4%)





Gross profit (loss)



$               (2,481)



$               (1,086)



$               (1,395)



(128.5%)





Unit sales



7,787



7,916



(129)



(1.6%)





Revenue per unit



$                 4,876



$                 5,234



$                  (358)



(6.8%)





Gross profit (loss) per unit



$                  (319)



$                  (137)



$                  (182)



(132.8%)





Gross profit (loss) as a % of revenue



(6.5%)



(2.6%)



(390)



bps































Nine Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except units and per unit data)





Reported:





















Revenue



$             120,760



$             127,797



$               (7,037)



(5.5%)





Gross profit (loss)



$               (5,366)



$               (2,493)



$               (2,873)



(115.2%)





Unit sales



23,574



23,034



540



2.3%





Revenue per unit



$                 5,123



$                 5,548



$                  (425)



(7.7%)





Gross profit (loss) per unit



$                  (228)



$                  (108)



$                  (120)



(111.1%)





Gross profit (loss) as a % of revenue



(4.4%)



(2.0%)



(240)



bps































Three Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except units and per unit data)





Same Store:





















Revenue



$               36,803



$               40,338



$               (3,535)



(8.8%)





Gross profit (loss)



$               (2,445)



$               (1,065)



$               (1,380)



(129.6%)





Unit sales



7,463



7,750



(287)



(3.7%)





Revenue per unit



$                 4,931



$                 5,205



$                  (274)



(5.3%)





Gross profit (loss) per unit



$                  (328)



$                  (137)



$                  (191)



(139.4%)





Gross profit (loss) as a % of revenue



(6.6%)



(2.6%)



(400)



bps































Nine Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except units and per unit data)





Same Store:





















Revenue



$             117,037



$             123,910



$               (6,873)



(5.5%)





Gross profit (loss)



$               (4,969)



$               (2,396)



$               (2,573)



(107.4%)





Unit sales



22,622



22,371



251



1.1%





Revenue per unit



$                 5,174



$                 5,539



$                  (365)



(6.6%)





Gross profit (loss) per unit



$                  (220)



$                  (107)



$                  (113)



(105.6%)





Gross profit (loss) as a % of revenue



(4.2%)



(1.9%)



(230)



bps

























 

 

Sonic Automotive, Inc.

Results of Operations (Unaudited)







Parts, Service and Collision Repair ("Fixed Operations") 











































Three Months Ended September 30,



Better / (Worse)









2015



2014



 Change



% Change





Reported:



(In thousands)





Revenue





















Customer pay



$             147,308



$             141,458



$                 5,850



4.1%





Warranty



58,522



48,431



10,091



20.8%





Wholesale parts



45,832



46,983



(1,151)



(2.4%)





Internal, sublet and other



98,858



88,868



9,990



11.2%





Total



$             350,520



$             325,740



$               24,780



7.6%





Gross profit





















Customer pay



$               80,588



$               77,546



$                 3,042



3.9%





Warranty



32,337



26,254



6,083



23.2%





Wholesale parts



8,045



8,122



(77)



(0.9%)





Internal, sublet and other



48,767



43,358



5,409



12.5%





Total



$             169,737



$             155,280



$               14,457



9.3%





Gross profit as a % of revenue





















Customer pay



54.7%



54.8%



(10)



bps





Warranty



55.3%



54.2%



110



bps





Wholesale parts



17.6%



17.3%



30



bps





Internal, sublet and other



49.3%



48.8%



50



bps





Total



48.4%



47.7%



70



bps































Nine Months Ended September 30,



Better / (Worse)









2015



2014



 Change



% Change





Reported:



(In thousands)





Revenue





















Customer pay



$             431,479



$             427,620



$                 3,859



0.9%





Warranty



169,170



142,072



27,098



19.1%





Wholesale parts



136,693



142,071



(5,378)



(3.8%)





Internal, sublet and other



282,536



261,883



20,653



7.9%





Total



$          1,019,878



$             973,646



$               46,232



4.7%





Gross profit





















Customer pay



$             236,551



$             235,151



$                 1,400



0.6%





Warranty



94,776



77,163



17,613



22.8%





Wholesale parts



24,332



24,590



(258)



(1.0%)





Internal, sublet and other



140,688



130,381



10,307



7.9%





Total



$             496,347



$             467,285



$               29,062



6.2%





Gross profit as a % of revenue





















Customer pay



54.8%



55.0%



(20)



bps





Warranty



56.0%



54.3%



170



bps





Wholesale parts



17.8%



17.3%



50



bps





Internal, sublet and other



49.8%



49.8%



0



bps





Total



48.7%



48.0%



70



bps

























 

 

Sonic Automotive, Inc.

Results of Operations (Unaudited)





Parts, Service and Collision Repair ("Fixed Operations") 











































Three Months Ended September 30,



Better / (Worse)









2015



2014



 Change



% Change





Same Store:



(In thousands)





Revenue





















Customer pay



$             146,360



$             139,186



$                 7,174



5.2%





Warranty



58,128



47,460



10,668



22.5%





Wholesale parts



45,561



46,041



(480)



(1.0%)





Internal, sublet and other



96,460



87,261



9,199



10.5%





Total



$             346,509



$             319,948



$               26,561



8.3%





Gross profit





















Customer pay



$               80,053



$               76,324



$                 3,729



4.9%





Warranty



32,216



25,784



6,432



24.9%





Wholesale parts



7,979



7,941



38



0.5%





Internal, sublet and other



47,440



42,418



5,022



11.8%





Total



$             167,688



$             152,467



$               15,221



10.0%





Gross profit as a % of revenue





















Customer pay



54.7%



54.8%



(10)



bps





Warranty



55.4%



54.3%



110



bps





Wholesale parts



17.5%



17.2%



30



bps





Internal, sublet and other



49.2%



48.6%



60



bps





Total



48.4%



47.7%



70



bps































Nine Months Ended September 30,



Better / (Worse)









2015



2014



 Change



% Change





Same Store:



(In thousands)





Revenue





















Customer pay



$             426,683



$             415,998



$               10,685



2.6%





Warranty



167,771



137,297



30,474



22.2%





Wholesale parts



135,643



138,563



(2,920)



(2.1%)





Internal, sublet and other



274,892



254,753



20,139



7.9%





Total



$          1,004,989



$             946,611



$               58,378



6.2%





Gross profit





















Customer pay



$             234,006



$             228,983



$                 5,023



2.2%





Warranty



94,108



74,684



19,424



26.0%





Wholesale parts



24,114



23,912



202



0.8%





Internal, sublet and other



136,931



126,192



10,739



8.5%





Total



$             489,159



$             453,771



$               35,388



7.8%





Gross profit as a % of revenue





















Customer pay



54.8%



55.0%



(20)



bps





Warranty



56.1%



54.4%



170



bps





Wholesale parts



17.8%



17.3%



50



bps





Internal, sublet and other



49.8%



49.5%



30



bps





Total



48.7%



47.9%



80



bps

























 

 

Sonic Automotive, Inc.

Results of Operations (Unaudited)





Finance, Insurance and Other, Net ("F&I")













































Three Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except per unit data)





Reported:





















Revenue



$               85,830



$               77,024



$                 8,806



11.4%





Gross profit per retail unit (excludes fleet)



$                 1,274



$                 1,207



$                      67



5.6%





















































Nine Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except per unit data)





Reported:





















Revenue



$             242,792



$             223,340



$               19,452



8.7%





Gross profit per retail unit (excludes fleet)



$                 1,266



$                 1,208



$                      58



4.8%































Three Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except per unit data)





Same Store:





















Revenue



$               84,052



$               75,797



$                 8,255



10.9%





Gross profit per retail unit (excludes fleet)



$                 1,279



$                 1,211



$                      68



5.6%





















































Nine Months Ended September 30,



Better / (Worse)









2015



2014



Change



% Change









(In thousands, except per unit data)





Same Store:





















Revenue



$             237,771



$             217,216



$               20,555



9.5%





Gross profit per retail unit (excludes fleet)



$                 1,271



$                 1,213



$                      58



4.8%

























 

 

Sonic Automotive, Inc.

Results of Operations (Unaudited)





Selling, General and Administrative ("SG&A") Expenses











































Three Months Ended September 30,



Better / (Worse)









2015



2014



 Change



% Change









(In thousands)





Reported:





















Compensation



$             167,489



$             163,230



$               (4,259)



(2.6%)





Advertising



15,470



14,045



(1,425)



(10.1%)





Rent



18,558



18,145



(413)



(2.3%)





Other



78,524



74,724



(3,800)



(5.1%)





Total



$             280,041



$             270,144



$               (9,897)



(3.7%)



























Total pre-tax adjustments



-



1,043













Adjusted SG&A



$             280,041



$             271,187



































SG&A expenses as a % of gross profit



















Compensation



46.5%



47.8%



130



bps





Advertising



4.3%



4.1%



(20)



bps





Rent



5.2%



5.3%



10



bps





Other



21.7%



21.9%



20



bps





Total



77.7%



79.1%



140



bps



























Total pre-tax adjustments



0.0%



0.3%













Adjusted SG&A as % of Gross



77.7%



79.4%







































Nine Months Ended September 30,



Better / (Worse)









2015



2014



 Change



% Change









(In thousands)





Reported:



















Compensation



$             497,158



$             483,493



$             (13,665)



(2.8%)





Advertising



46,160



42,027



(4,133)



(9.8%)





Rent



55,058



55,324



266



0.5%





Other



237,188



222,187



(15,001)



(6.8%)





Total



$             835,564



$             803,031



$             (32,533)



(4.1%)

























Total pre-tax adjustments



(4,183)



6,955













Adjusted SG&A



$             831,381



$             809,986



































SG&A expenses as a % of gross profit



















Compensation



47.3%



47.5%



20



bps





Advertising



4.4%



4.1%



(30)



bps





Rent



5.2%



5.4%



20



bps





Other



22.6%



21.9%



(70)



bps





Total



79.5%



78.9%



(60)



bps



























Total pre-tax adjustments



(0.4%)



0.7%













Adjusted SG&A as % of Gross



79.1%



79.6%

































 

 

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/sonic-automotive-inc-reports-record-earnings-300167492.html

SOURCE Sonic Automotive, Inc.

OTHER PR Newswire