FORT LAUDERDALE, Fla.,
Oct. 28, 2016 /PRNewswire/
-- AutoNation, Inc. (NYSE: AN), America's largest
automotive retailer, today reported third quarter 2016 net income
from continuing operations of $108
million, or $1.05 per share,
compared to net income from continuing operations of $119 million, or $1.05 per share, for the same period in the prior
year. The Company estimates that the Takata airbag recall
negatively impacted third quarter 2016 net income from continuing
operations by approximately $6
million after-tax, or $0.06
per share.(1) At the end of the third quarter,
approximately 14% of AutoNation's used vehicle inventory was
on hold due to the Takata airbag recall.
Commenting on the quarterly results, Mike Jackson, Chairman, Chief Executive Officer
and President, said, "Certain manufacturers continued disruptive
marketing and sales incentives, which resulted in multi-tier
pricing and were unfair for consumers as well as retailers. In the
third quarter, these incentives had a significant negative impact
on new vehicle volume and gross profit per new vehicle
retailed."
AutoNation USA and
Comprehensive Brand Extension Strategy
In 2013, the Company
launched the AutoNation® retail brand from coast to coast. That
branding effort has been successfully extended to AutoNation
Express and AutoNation Customer Financial Service products. With
the foundation set, AutoNation today announced the next phase of
the Company's comprehensive brand extension rollout, which
includes: AutoNation USA® stand-alone pre-owned vehicle sales and
service centers, AutoNation branded parts and accessories, the
expansion of AutoNation branded collision centers, and the
expansion of AutoNation Auto Auctions.
Mike Jackson said, "We are
pleased to announce the next phase of our comprehensive brand
extension strategy, which will provide long-term growth
opportunities for the Company. We have built an industry-leading
brand, and we remain committed to achieving and sustaining
operational excellence, while creating a peerless customer
experience and enhanced services throughout the automotive retail
sector."
Acquisitions
AutoNation today announced the
acquisition of three Premium Luxury franchises and one collision
center and the award of three Premium Luxury franchise add-points,
with combined anticipated annual revenues of approximately
$430 million, once the add-points are
fully operational. With the addition of the six Premium Luxury
franchises, AutoNation will own and operate a total of 96 Premium
Luxury franchises from coast to coast.
Acquisitions
- BMW of Vista – located in San Diego, California
- 2nd BMW store in the San Diego
market; 15th BMW store nationwide
- Acquired October 2016
- Represents annual revenue of approximately $60 million and 1,200 retail new and used vehicle
unit sales
- Jaguar Bethesda and Land
Rover Bethesda – located in Bethesda, Maryland
- 10th store in the Baltimore/D.C. market; 8th Jaguar/Land Rover
store nationwide
- Largest Jaguar Land Rover showroom in the United States
- Expected to close in the fourth quarter of 2016
- Represents annual revenue of approximately $80 million and 1,000 retail new and used vehicle
unit sales
- Acquisition subject to customary terms and conditions,
including manufacturer approval
- Westmont Body Werks – located in Westmont, Illinois, a suburb of Chicago
- 70th AutoNation collision center nationwide
- Acquired October 2016
- Represents annual revenue of approximately $10 million
Add-Points
- BMW of Delray
Beach – located in Palm
Beach County, Florida
- 1st BMW franchise in South
Florida; 25th Premium Luxury franchise in Florida
- Expected to open second half of 2018
- Anticipated annual revenue of approximately $180 million, once fully operational
- Jaguar West Houston and
Land Rover West Houston – located in Houston, Texas
- 1st Jaguar Land Rover store in Texas; 10th Premium Luxury store in
Texas
- Expected to open second quarter of 2018
- Anticipated annual revenue of approximately $100 million, once fully operational
Mike Jackson said, "These
acquisitions and awarded franchises present outstanding Premium
Luxury growth opportunities and enhance manufacturer brand
representation in markets with excellent Premium Luxury
demographics and within our existing footprint. The acquisition of
Westmont Body Werks aligns with our brand extension strategy. We
look forward to welcoming the BMW of Vista, Jaguar Bethesda, Land
Rover Bethesda, and Westmont Body Werks customers and 165 new
associates to AutoNation."
Share Repurchase
AutoNation today announced that its
Board of Directors has authorized the repurchase of up to an
additional $250 million of
AutoNation's common stock. AutoNation has approximately
$316 million total Board
authorization remaining for share repurchases with the increased
authorization and approximately 101 million shares outstanding
as of October 26, 2016. During
the third quarter of 2016, AutoNation repurchased one million
shares of common stock for an aggregate purchase price of
$50 million.
Segment Results
Segment results(2) for the
third quarter and first nine months of 2016 were as follows:
Third Quarter 2016 Segment Results
- Domestic - Domestic segment income(3)
was $84 million compared to year-ago
segment income of $95 million, a
decrease of 11%.
- Import - Import segment income(3) was
$79 million compared to year-ago
segment income of $86 million, a
decrease of 7%.
- Premium Luxury - Premium Luxury segment
income(3) was $81 million
compared to year-ago segment income of $85
million, a decrease of 5%.
First Nine Months 2016 Segment Results
- Domestic - Domestic segment income(3)
was $247 million compared to year-ago
segment income of $259 million, a
decrease of 5%.
- Import - Import segment income(3) was
$230 million compared to year-ago
segment income of $241 million, a
decrease of 4%.
- Premium Luxury - Premium Luxury segment
income(3) was $257 million
compared to year-ago segment income of $274
million, a decrease of 6%.
For the nine-month period ended September
30, 2016, AutoNation reported net income from continuing
operations of $316 million, or
$3.02 per share, compared to net
income from continuing operations of $346
million, or $3.02 per share,
for the same period in the prior year. AutoNation's revenue
for the nine-month period ended September
30, 2016, totaled $16.1
billion, up 4% compared to $15.5
billion for the same period in the prior year.
The third quarter conference call may be accessed by telephone
at (888) 769-8515 (password: AutoNation) at 11:00 a.m. Eastern Time today or on AutoNation's
investor relations website at http://investors.autonation.com.
The webcast will also be available on AutoNation's website under
"Events & Presentations" following the call. A playback of the
conference call will be available after 1:00
p.m. Eastern Time on October 28,
2016, through November 11,
2016 by calling (888) 568-0748 (Passcode: 5481).
(1)
|
The estimated impact
of the Takata airbag recall includes internal estimates for lost
sales and increases in wholesale losses resulting from the recall,
as well as direct costs such as floorplan interest expense,
insurance, and storage costs related to the impacted vehicles,
taking into account the reduction in certain variable
expenses.
|
(2)
|
AutoNation has three
operating segments: Domestic, Import, and Premium Luxury. The
Domestic segment is comprised of stores that sell vehicles
manufactured by General Motors, Ford, and FCA US (formerly
Chrysler); the Import segment is comprised of stores that sell
vehicles manufactured primarily by Toyota, Honda, Nissan, and
Hyundai; and the Premium Luxury segment is comprised of stores that
sell vehicles manufactured primarily by Mercedes-Benz, BMW, Lexus,
and Audi.
|
(3)
|
Segment income
represents income for each of our reportable segments and is
defined as operating income less floorplan interest
expense.
|
About AutoNation, Inc.
AutoNation, America's largest
automotive retailer, through its bold leadership, innovation and
its comprehensive brand extensions, is transforming the automotive
industry. As of September 30, 2016,
AutoNation owned and operated 371 new vehicle franchises from coast
to coast. AutoNation has sold over 10 million vehicles, the first
automotive retailer to reach this milestone. AutoNation's success
is driven by a commitment to delivering a peerless experience
through customer-focused sales and service processes. Through its
Drive Pink initiative, AutoNation is committed to drive out cancer,
create awareness and support critical research. AutoNation
continues to be a proud supporter of the Breast Cancer Research
Foundation and other cancer-related charities.
Please visit investors.autonation.com, www.autonation.com,
www.autonationdrive.com, www.twitter.com/autonation,
www.twitter.com/CEOMikeJackson, www.facebook.com/autonation, and
www.facebook.com/CEOMikeJackson, where AutoNation discloses
additional information about the Company, its business, and its
results of operations.
FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended.
All statements other than statements of historical fact are, or may
be deemed to be, forward-looking statements. Words such as
"anticipates," "expects," "intends," "goals," "plans," "believes,"
"continues," "may," "will," and variations of such words and
similar expressions are intended to identify such forward-looking
statements. Statements regarding our strategic initiatives,
including our brand extension strategies, open safety recalls, and
expectations for the future performance of our franchises and the
automotive retail industry, as well as other statements that
describe our objectives, goals, or plans are forward-looking
statements. Our forward-looking statements reflect our current
expectations concerning future results and events, and they involve
known and unknown risks, uncertainties and other factors that are
difficult to predict and may cause our actual results, performance
or achievements to be materially different from any future results,
performance and achievements expressed or implied by these
statements. These risks, uncertainties and other factors include,
among others: economic conditions, including conditions in the
credit markets and changes in interest rates; new and used vehicle
margins; the success and financial viability and the incentive and
marketing programs of vehicle manufacturers and distributors with
which we hold franchises; our ability to successfully implement,
and customer adoption of, our brand extension strategies; our
ability to identify, acquire, and build out suitable AutoNation
USA and Collision Center locations
in a timely manner; our ability to maintain and enhance our retail
brands and reputation and to attract consumers to our own digital
channels; our ability to integrate successfully acquired and
awarded franchises and to attain planned sales volumes within our
expected time frames; restrictions imposed by vehicle manufacturers
and our ability to obtain manufacturer approval for acquisitions;
natural disasters and other adverse weather events; the resolution
of legal and administrative proceedings; regulatory factors
affecting our business, including fuel economy requirements; the
announcement of safety recalls; factors affecting our goodwill and
other intangible asset impairment testing; and other factors
described in our news releases and filings made under the
securities laws, including, among others, our Annual Reports on
Form 10-K, our Quarterly Reports on Form 10-Q and our Current
Reports on Form 8-K. Forward-looking statements contained in this
news release speak only as of the date of this news release, and we
undertake no obligation to update these forward-looking statements
to reflect subsequent events or circumstances.
NON-GAAP FINANCIAL MEASURES
AutoNation from
time to time has used non-GAAP financial measures in its earnings
releases and SEC reports. Effective as of the third quarter of
2016, AutoNation will no longer report non-GAAP financial measures
in its earnings releases and SEC reports and will only report its
financial results in accordance with GAAP in such releases and
reports.
AUTONATION,
INC.
|
UNAUDITED CONDENSED
CONSOLIDATED INCOME STATEMENTS
|
(In millions, except
per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
Revenue:
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
$
|
3,195.9
|
$
|
3,113.6
|
$
|
9,068.0
|
$
|
8,851.0
|
|
Used
vehicle
|
|
1,276.8
|
|
1,205.4
|
|
3,777.8
|
|
3,614.9
|
|
Parts and
service
|
|
843.8
|
|
783.3
|
|
2,498.9
|
|
2,304.5
|
|
Finance and
insurance, net
|
|
229.6
|
|
227.1
|
|
678.1
|
|
652.4
|
|
Other
|
|
21.4
|
|
24.3
|
|
105.7
|
|
99.4
|
Total
revenue
|
|
5,567.5
|
|
5,353.7
|
|
16,128.5
|
|
15,522.2
|
|
|
|
|
|
|
|
|
|
|
Cost of
sales:
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
3,037.7
|
|
2,942.8
|
|
8,597.8
|
|
8,352.6
|
|
Used
vehicle
|
|
1,199.6
|
|
1,122.2
|
|
3,525.6
|
|
3,336.9
|
|
Parts and
service
|
|
480.0
|
|
441.1
|
|
1,418.8
|
|
1,305.1
|
|
Other
|
|
13.8
|
|
17.3
|
|
82.2
|
|
78.3
|
Total cost of
sales
|
|
4,731.1
|
|
4,523.4
|
|
13,624.4
|
|
13,072.9
|
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
|
836.4
|
|
830.3
|
|
2,504.1
|
|
2,449.3
|
|
|
|
|
|
|
|
|
|
|
Selling, general, and
administrative expenses
|
|
591.3
|
|
568.7
|
|
1,765.2
|
|
1,695.0
|
Depreciation and
amortization
|
|
36.3
|
|
32.9
|
|
107.0
|
|
93.7
|
Other income,
net
|
|
(10.2)
|
|
(7.0)
|
|
(21.0)
|
|
(12.1)
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
219.0
|
|
235.7
|
|
652.9
|
|
672.7
|
|
|
|
|
|
|
|
|
|
|
Non-operating income
(expense) items:
|
|
|
|
|
|
|
|
|
|
Floorplan interest
expense
|
|
(18.2)
|
|
(14.7)
|
|
(56.4)
|
|
(42.1)
|
|
Other interest
expense
|
|
(28.9)
|
|
(21.4)
|
|
(85.9)
|
|
(64.4)
|
|
Interest
income
|
|
0.3
|
|
-
|
|
0.8
|
|
0.1
|
|
Other income (loss),
net
|
|
2.6
|
|
(4.3)
|
|
3.4
|
|
(2.7)
|
|
|
|
|
|
|
|
|
|
|
Income from
continuing operations before income taxes
|
|
174.8
|
|
195.3
|
|
514.8
|
|
563.6
|
|
|
|
|
|
|
|
|
|
|
Income tax
provision
|
|
67.0
|
|
76.3
|
|
198.7
|
|
217.7
|
|
|
|
|
|
|
|
|
|
|
Net income from
continuing operations
|
|
107.8
|
|
119.0
|
|
316.1
|
|
345.9
|
|
|
|
|
|
|
|
|
|
|
Loss from
discontinued operations, net of income taxes
|
|
(0.5)
|
|
(0.5)
|
|
(0.9)
|
|
(0.8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
$
|
107.3
|
$
|
118.5
|
$
|
315.2
|
$
|
345.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) per share*:
|
|
|
|
|
|
|
|
|
|
Continuing
operations
|
$
|
1.05
|
$
|
1.05
|
$
|
3.02
|
$
|
3.02
|
|
Discontinued
operations
|
$
|
-
|
$
|
-
|
$
|
(0.01)
|
$
|
(0.01)
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
$
|
1.05
|
$
|
1.04
|
$
|
3.02
|
$
|
3.01
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
common shares outstanding
|
|
102.6
|
|
113.6
|
|
104.5
|
|
114.6
|
|
|
|
|
|
|
|
|
|
|
Common shares
outstanding, net of treasury stock, at period end
|
|
101.2
|
|
111.0
|
|
101.2
|
|
111.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Earnings per share
amounts are calculated discretely and therefore may not add up to
the total due to rounding.
|
AUTONATION,
INC.
|
UNAUDITED
SUPPLEMENTARY DATA
|
($ in millions,
except per vehicle data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Highlights
|
|
Three Months Ended
September 30,
|
|
|
Nine Months
Ended September 30,
|
|
|
|
|
2016
|
|
2015
|
|
$ Variance
|
|
% Variance
|
|
|
2016
|
|
2015
|
|
$ Variance
|
|
% Variance
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
$
|
3,195.9
|
$
|
3,113.6
|
$
|
82.3
|
|
2.6
|
|
$
|
9,068.0
|
$
|
8,851.0
|
$
|
217.0
|
|
2.5
|
|
|
Retail used
vehicle
|
|
1,127.9
|
|
1,103.1
|
|
24.8
|
|
2.2
|
|
|
3,370.4
|
|
3,306.3
|
|
64.1
|
|
1.9
|
|
|
Wholesale
|
|
148.9
|
|
102.3
|
|
46.6
|
|
45.6
|
|
|
407.4
|
|
308.6
|
|
98.8
|
|
32.0
|
|
|
Used
vehicle
|
|
1,276.8
|
|
1,205.4
|
|
71.4
|
|
5.9
|
|
|
3,777.8
|
|
3,614.9
|
|
162.9
|
|
4.5
|
|
|
Finance and
insurance, net
|
|
229.6
|
|
227.1
|
|
2.5
|
|
1.1
|
|
|
678.1
|
|
652.4
|
|
25.7
|
|
3.9
|
|
Total variable
operations
|
|
4,702.3
|
|
4,546.1
|
|
156.2
|
|
3.4
|
|
|
13,523.9
|
|
13,118.3
|
|
405.6
|
|
3.1
|
|
Parts and
service
|
|
843.8
|
|
783.3
|
|
60.5
|
|
7.7
|
|
|
2,498.9
|
|
2,304.5
|
|
194.4
|
|
8.4
|
|
Other
|
|
21.4
|
|
24.3
|
|
(2.9)
|
|
|
|
|
105.7
|
|
99.4
|
|
6.3
|
|
|
Total
revenue
|
$
|
5,567.5
|
$
|
5,353.7
|
$
|
213.8
|
|
4.0
|
|
$
|
16,128.5
|
$
|
15,522.2
|
$
|
606.3
|
|
3.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
$
|
158.2
|
$
|
170.8
|
$
|
(12.6)
|
|
(7.4)
|
|
$
|
470.2
|
$
|
498.4
|
$
|
(28.2)
|
|
(5.7)
|
|
|
Retail used
vehicle
|
|
84.7
|
|
86.8
|
|
(2.1)
|
|
(2.4)
|
|
|
265.1
|
|
280.7
|
|
(15.6)
|
|
(5.6)
|
|
|
Wholesale
|
|
(7.5)
|
|
(3.6)
|
|
(3.9)
|
|
|
|
|
(12.9)
|
|
(2.7)
|
|
(10.2)
|
|
|
|
|
Used
vehicle
|
|
77.2
|
|
83.2
|
|
(6.0)
|
|
(7.2)
|
|
|
252.2
|
|
278.0
|
|
(25.8)
|
|
(9.3)
|
|
|
Finance and
insurance
|
|
229.6
|
|
227.1
|
|
2.5
|
|
1.1
|
|
|
678.1
|
|
652.4
|
|
25.7
|
|
3.9
|
|
Total variable
operations
|
|
465.0
|
|
481.1
|
|
(16.1)
|
|
(3.3)
|
|
|
1,400.5
|
|
1,428.8
|
|
(28.3)
|
|
(2.0)
|
|
Parts and
service
|
|
363.8
|
|
342.2
|
|
21.6
|
|
6.3
|
|
|
1,080.1
|
|
999.4
|
|
80.7
|
|
8.1
|
|
Other
|
|
7.6
|
|
7.0
|
|
0.6
|
|
|
|
|
23.5
|
|
21.1
|
|
2.4
|
|
|
Total gross
profit
|
|
836.4
|
|
830.3
|
|
6.1
|
|
0.7
|
|
|
2,504.1
|
|
2,449.3
|
|
54.8
|
|
2.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general, and
administrative expenses
|
|
591.3
|
|
568.7
|
|
(22.6)
|
|
(4.0)
|
|
|
1,765.2
|
|
1,695.0
|
|
(70.2)
|
|
(4.1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
36.3
|
|
32.9
|
|
(3.4)
|
|
|
|
|
107.0
|
|
93.7
|
|
(13.3)
|
|
|
Other income,
net
|
|
(10.2)
|
|
(7.0)
|
|
3.2
|
|
|
|
|
(21.0)
|
|
(12.1)
|
|
8.9
|
|
|
Operating
income
|
|
219.0
|
|
235.7
|
|
(16.7)
|
|
(7.1)
|
|
|
652.9
|
|
672.7
|
|
(19.8)
|
|
(2.9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-operating income
(expense) items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Floorplan interest
expense
|
|
(18.2)
|
|
(14.7)
|
|
(3.5)
|
|
|
|
|
(56.4)
|
|
(42.1)
|
|
(14.3)
|
|
|
|
|
Other interest
expense
|
|
(28.9)
|
|
(21.4)
|
|
(7.5)
|
|
|
|
|
(85.9)
|
|
(64.4)
|
|
(21.5)
|
|
|
|
|
Interest
income
|
|
0.3
|
|
-
|
|
0.3
|
|
|
|
|
0.8
|
|
0.1
|
|
0.7
|
|
|
|
|
Other income (loss),
net
|
|
2.6
|
|
(4.3)
|
|
6.9
|
|
|
|
|
3.4
|
|
(2.7)
|
|
6.1
|
|
|
Income from
continuing operations before income taxes
|
$
|
174.8
|
$
|
195.3
|
$
|
(20.5)
|
|
(10.5)
|
|
$
|
514.8
|
$
|
563.6
|
$
|
(48.8)
|
|
(8.7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail vehicle unit
sales:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
|
88,322
|
|
89,535
|
|
(1,213)
|
|
(1.4)
|
|
|
253,000
|
|
253,340
|
|
(340)
|
|
(0.1)
|
|
|
Used
|
|
55,760
|
|
57,376
|
|
(1,616)
|
|
(2.8)
|
|
|
170,500
|
|
173,370
|
|
(2,870)
|
|
(1.7)
|
|
|
|
|
144,082
|
|
146,911
|
|
(2,829)
|
|
(1.9)
|
|
|
423,500
|
|
426,710
|
|
(3,210)
|
|
(0.8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue per vehicle
retailed:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
$
|
36,185
|
$
|
34,775
|
$
|
1,410
|
|
4.1
|
|
$
|
35,842
|
$
|
34,937
|
$
|
905
|
|
2.6
|
|
|
Used
|
$
|
20,228
|
$
|
19,226
|
$
|
1,002
|
|
5.2
|
|
$
|
19,768
|
$
|
19,071
|
$
|
697
|
|
3.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross profit per
vehicle retailed:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
$
|
1,791
|
$
|
1,908
|
$
|
(117)
|
|
(6.1)
|
|
$
|
1,858
|
$
|
1,967
|
$
|
(109)
|
|
(5.5)
|
|
|
Used
|
$
|
1,519
|
$
|
1,513
|
$
|
6
|
|
0.4
|
|
$
|
1,555
|
$
|
1,619
|
$
|
(64)
|
|
(4.0)
|
|
|
Finance and
insurance
|
$
|
1,594
|
$
|
1,546
|
$
|
48
|
|
3.1
|
|
$
|
1,601
|
$
|
1,529
|
$
|
72
|
|
4.7
|
|
|
Total variable
operations(1)
|
$
|
3,279
|
$
|
3,299
|
$
|
(20)
|
|
(0.6)
|
|
$
|
3,337
|
$
|
3,355
|
$
|
(18)
|
|
(0.5)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Percentages
|
|
Three Months
Ended September 30,
|
|
Nine Months
Ended September 30,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2016 (%)
|
|
2015 (%)
|
|
2016 (%)
|
|
2015 (%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue mix
percentages:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
57.4
|
|
58.2
|
|
56.2
|
|
57.0
|
|
|
|
|
|
|
|
|
|
|
|
Used
vehicle
|
|
22.9
|
|
22.5
|
|
23.4
|
|
23.3
|
|
|
|
|
|
|
|
|
|
|
|
Parts and
service
|
|
15.2
|
|
14.6
|
|
15.5
|
|
14.8
|
|
|
|
|
|
|
|
|
|
|
|
Finance and
insurance, net
|
|
4.1
|
|
4.2
|
|
4.2
|
|
4.2
|
|
|
|
|
|
|
|
|
|
|
|
Other
|
|
0.4
|
|
0.5
|
|
0.7
|
|
0.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross profit mix
percentages:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
18.9
|
|
20.6
|
|
18.8
|
|
20.3
|
|
|
|
|
|
|
|
|
|
|
|
Used
vehicle
|
|
9.2
|
|
10.0
|
|
10.1
|
|
11.4
|
|
|
|
|
|
|
|
|
|
|
|
Parts and
service
|
|
43.5
|
|
41.2
|
|
43.1
|
|
40.8
|
|
|
|
|
|
|
|
|
|
|
|
Finance and
insurance
|
|
27.5
|
|
27.4
|
|
27.1
|
|
26.6
|
|
|
|
|
|
|
|
|
|
|
|
Other
|
|
0.9
|
|
0.8
|
|
0.9
|
|
0.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating items as a
percentage of revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
5.0
|
|
5.5
|
|
5.2
|
|
5.6
|
|
|
|
|
|
|
|
|
|
|
|
Used
vehicle - retail
|
|
7.5
|
|
7.9
|
|
7.9
|
|
8.5
|
|
|
|
|
|
|
|
|
|
|
|
Parts
and service
|
|
43.1
|
|
43.7
|
|
43.2
|
|
43.4
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
15.0
|
|
15.5
|
|
15.5
|
|
15.8
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general, and
administrative expenses
|
|
10.6
|
|
10.6
|
|
10.9
|
|
10.9
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
3.9
|
|
4.4
|
|
4.0
|
|
4.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating items as a
percentage of total gross profit:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general, and
administrative expenses
|
|
70.7
|
|
68.5
|
|
70.5
|
|
69.2
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
26.2
|
|
28.4
|
|
26.1
|
|
27.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
Total variable
operations gross profit per vehicle retailed is calculated by
dividing the sum of new vehicle, retail used vehicle, and finance
and insurance gross profit by total retail vehicle unit
sales.
|
|
|
|
|
|
|
|
|
|
AUTONATION,
INC.
|
UNAUDITED
SUPPLEMENTARY DATA
|
($ in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment Operating
Highlights
|
|
Three Months Ended
September 30,
|
|
|
Nine Months
Ended September 30,
|
|
|
|
2016
|
|
2015
|
|
$ Variance
|
|
% Variance
|
|
|
2016
|
|
2015
|
|
$ Variance
|
|
% Variance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
|
$
|
2,044.9
|
$
|
1,869.1
|
$
|
175.8
|
|
9.4
|
|
$
|
5,888.2
|
$
|
5,299.0
|
$
|
589.2
|
|
11.1
|
|
Import
|
|
1,779.0
|
|
1,837.4
|
|
(58.4)
|
|
(3.2)
|
|
|
5,202.1
|
|
5,311.1
|
|
(109.0)
|
|
(2.1)
|
|
Premium
luxury
|
|
1,680.6
|
|
1,607.0
|
|
73.6
|
|
4.6
|
|
|
4,865.6
|
|
4,803.2
|
|
62.4
|
|
1.3
|
|
Total
|
|
5,504.5
|
|
5,313.5
|
|
191.0
|
|
3.6
|
|
|
15,955.9
|
|
15,413.3
|
|
542.6
|
|
3.5
|
|
Corporate and
other
|
|
63.0
|
|
40.2
|
|
22.8
|
|
56.7
|
|
|
172.6
|
|
108.9
|
|
63.7
|
|
58.5
|
|
Total consolidated revenue
|
|
5,567.5
|
|
5,353.7
|
|
213.8
|
|
4.0
|
|
|
16,128.5
|
|
15,522.2
|
|
606.3
|
|
3.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment
income*:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
|
$
|
83.9
|
$
|
94.6
|
$
|
(10.7)
|
|
(11.3)
|
|
$
|
246.9
|
$
|
258.8
|
$
|
(11.9)
|
|
(4.6)
|
|
Import
|
|
79.3
|
|
85.5
|
|
(6.2)
|
|
(7.3)
|
|
|
230.0
|
|
240.6
|
|
(10.6)
|
|
(4.4)
|
|
Premium
luxury
|
|
80.9
|
|
85.4
|
|
(4.5)
|
|
(5.3)
|
|
|
256.8
|
|
273.9
|
|
(17.1)
|
|
(6.2)
|
|
Total
|
|
244.1
|
|
265.5
|
|
(21.4)
|
|
(8.1)
|
|
|
733.7
|
|
773.3
|
|
(39.6)
|
|
(5.1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate and
other
|
|
(43.3)
|
|
(44.5)
|
|
1.2
|
|
|
|
|
(137.2)
|
|
(142.7)
|
|
5.5
|
|
|
Add: Floorplan
interest expense
|
|
18.2
|
|
14.7
|
|
3.5
|
|
|
|
|
56.4
|
|
42.1
|
|
14.3
|
|
|
Operating
income
|
$
|
219.0
|
$
|
235.7
|
$
|
(16.7)
|
|
(7.1)
|
|
$
|
652.9
|
$
|
672.7
|
$
|
(19.8)
|
|
(2.9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Segment income
represents income for each of our reportable segments and is
defined as operating income less floorplan interest
expense.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail new vehicle
unit sales:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
|
|
31,749
|
|
30,488
|
|
1,261
|
|
4.1
|
|
|
90,156
|
|
84,109
|
|
6,047
|
|
7.2
|
|
Import
|
|
39,390
|
|
42,044
|
|
(2,654)
|
|
(6.3)
|
|
|
113,517
|
|
119,237
|
|
(5,720)
|
|
(4.8)
|
|
Premium
luxury
|
|
17,183
|
|
17,003
|
|
180
|
|
1.1
|
|
|
49,327
|
|
49,994
|
|
(667)
|
|
(1.3)
|
|
|
|
88,322
|
|
89,535
|
|
(1,213)
|
|
(1.4)
|
|
|
253,000
|
|
253,340
|
|
(340)
|
|
(0.1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Brand Mix - New
Vehicle Retail Units Sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended September 30,
|
|
Nine Months
Ended September 30,
|
|
|
|
|
|
|
|
|
|
|
|
|
2016 (%)
|
|
2015 (%)
|
|
2016 (%)
|
|
2015 (%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ford,
Lincoln
|
|
15.0
|
|
16.7
|
|
15.0
|
|
16.3
|
|
|
|
|
|
|
|
|
|
|
Chevrolet, Buick, Cadillac, GMC
|
|
11.2
|
|
10.6
|
|
11.2
|
|
10.2
|
|
|
|
|
|
|
|
|
|
|
Chrysler, Dodge, Jeep, Ram
|
|
9.7
|
|
6.8
|
|
9.4
|
|
6.7
|
|
|
|
|
|
|
|
|
|
|
Domestic total
|
|
35.9
|
|
34.1
|
|
35.6
|
|
33.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Import:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Toyota
|
|
18.0
|
|
18.9
|
|
17.6
|
|
19.0
|
|
|
|
|
|
|
|
|
|
|
Honda
|
|
12.6
|
|
11.4
|
|
12.6
|
|
11.2
|
|
|
|
|
|
|
|
|
|
|
Nissan
|
|
7.1
|
|
9.7
|
|
7.9
|
|
9.9
|
|
|
|
|
|
|
|
|
|
|
Other
Import
|
|
6.9
|
|
6.9
|
|
6.8
|
|
7.0
|
|
|
|
|
|
|
|
|
|
|
Import total
|
|
44.6
|
|
46.9
|
|
44.9
|
|
47.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Premium
Luxury:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mercedes-Benz
|
|
8.1
|
|
8.0
|
|
8.2
|
|
8.2
|
|
|
|
|
|
|
|
|
|
|
BMW
|
|
4.4
|
|
4.4
|
|
4.3
|
|
4.6
|
|
|
|
|
|
|
|
|
|
|
Lexus
|
|
2.5
|
|
2.5
|
|
2.6
|
|
2.8
|
|
|
|
|
|
|
|
|
|
|
Audi
|
|
2.2
|
|
1.9
|
|
2.2
|
|
2.0
|
|
|
|
|
|
|
|
|
|
|
Other
Premium Luxury (Land Rover, Porsche)
|
|
2.3
|
|
2.2
|
|
2.2
|
|
2.1
|
|
|
|
|
|
|
|
|
|
|
Premium Luxury
total
|
|
19.5
|
|
19.0
|
|
19.5
|
|
19.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
|
|
|
|
|
|
|
|
AUTONATION,
INC
|
UNAUDITED
SUPPLEMENTARY DATA, Continued
|
($ in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
Expenditures / Stock Repurchases
|
|
Three Months
Ended September 30,
|
|
Nine Months
Ended September 30,
|
|
|
|
|
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital expenditures
(1)
|
$
|
69.3
|
$
|
54.1
|
$
|
181.7
|
$
|
188.2
|
|
|
|
|
|
Cash paid for
acquisitions, net of cash acquired (2)
|
$
|
99.6
|
$
|
50.7
|
$
|
362.5
|
$
|
123.8
|
|
|
|
|
|
Proceeds from
exercises of stock options
|
$
|
4.6
|
$
|
5.4
|
$
|
7.8
|
$
|
24.1
|
|
|
|
|
|
Stock
repurchases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Aggregate purchase
price
|
$
|
50.0
|
$
|
150.0
|
$
|
470.6
|
$
|
209.1
|
|
|
|
|
|
|
Shares repurchased
(in millions)
|
|
1.0
|
|
2.5
|
|
9.9
|
|
3.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Floorplan
Assistance and Expense
|
|
Three Months
Ended September 30,
|
|
Nine Months
Ended September 30,
|
|
|
|
|
2016
|
|
2015
|
|
Variance
|
|
2016
|
|
2015
|
|
Variance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Floorplan assistance
earned (included in cost of sales)
|
$
|
31.8
|
$
|
31.0
|
$
|
0.8
|
$
|
92.4
|
$
|
87.1
|
$
|
5.3
|
|
New vehicle floorplan
interest expense
|
|
(16.9)
|
|
(13.9)
|
|
(3.0)
|
|
(52.9)
|
|
(39.8)
|
|
(13.1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net new vehicle
inventory carrying benefit
|
$
|
14.9
|
$
|
17.1
|
$
|
(2.2)
|
$
|
39.5
|
$
|
47.3
|
$
|
(7.8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance Sheet and
Other Highlights
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September 30,
2016
|
|
December 31,
2015
|
|
September 30,
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
$
|
62.2
|
$
|
74.1
|
$
|
63.9
|
|
|
|
|
|
|
|
Inventory
|
$
|
3,448.0
|
$
|
3,612.0
|
$
|
3,226.9
|
|
|
|
|
|
|
|
Total floorplan notes
payable
|
$
|
3,539.5
|
$
|
3,727.1
|
$
|
3,203.8
|
|
|
|
|
|
|
|
Non-vehicle debt
(3)
|
$
|
2,757.8
|
$
|
2,356.5
|
$
|
2,194.3
|
|
|
|
|
|
|
|
Equity
|
$
|
2,220.8
|
$
|
2,349.3
|
$
|
2,264.9
|
|
|
|
|
|
|
|
New days supply
(industry standard of selling days)
|
|
62
days
|
|
68
days
|
|
59
days
|
|
|
|
|
|
|
|
Used days supply
(trailing calendar month days)
|
|
44
days
|
|
43
days
|
|
42
days
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Key Credit
Agreement Covenant Compliance
Calculations(4)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Leverage
ratio
|
|
|
|
2.75x
|
|
|
|
|
|
|
|
|
|
Covenant
|
less than or equal
to
|
|
3.75x
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capitalization
ratio
|
|
|
|
62.6%
|
|
|
|
|
|
|
|
|
|
Covenant
|
less than or equal
to
|
|
70.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Includes accrued
construction in progress and excludes property associated with
capital leases entered into during the period.
|
|
|
|
|
|
|
|
|
|
(2)
|
Excludes capital
leases and deferred purchase price commitments.
|
|
|
|
|
|
|
|
|
|
(3)
|
Pursuant to an
accounting standard update effective January 1, 2016, all debt
issuance costs have been reclassified, with the exception of those
related to our revolving credit facility, as a direct reduction
from the carrying amount of the related debt liability for both
current and prior periods.
|
|
|
|
|
|
|
|
|
|
(4)
|
Calculated in
accordance with our credit agreement as filed with the
SEC.
|
|
|
|
|
|
|
|
|
AUTONATION,
INC.
|
UNAUDITED SAME
STORE DATA
|
($ in millions,
except per vehicle data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Highlights
|
|
Three Months Ended
September 30,
|
|
|
Nine Months
Ended September 30,
|
|
|
|
|
2016
|
|
2015
|
|
$ Variance
|
|
% Variance
|
|
|
2016
|
|
2015
|
|
$ Variance
|
|
% Variance
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
$
|
2,952.7
|
$
|
3,039.7
|
$
|
(87.0)
|
|
(2.9)
|
|
$
|
8,392.7
|
$
|
8,634.9
|
$
|
(242.2)
|
|
(2.8)
|
|
|
Retail used
vehicle
|
|
1,045.8
|
|
1,070.8
|
|
(25.0)
|
|
(2.3)
|
|
|
3,110.9
|
|
3,206.1
|
|
(95.2)
|
|
(3.0)
|
|
|
Wholesale
|
|
136.3
|
|
100.0
|
|
36.3
|
|
36.3
|
|
|
378.1
|
|
301.5
|
|
76.6
|
|
25.4
|
|
|
Used
vehicle
|
|
1,182.1
|
|
1,170.8
|
|
11.3
|
|
1.0
|
|
|
3,489.0
|
|
3,507.6
|
|
(18.6)
|
|
(0.5)
|
|
|
Finance and
insurance, net
|
|
215.1
|
|
221.5
|
|
(6.4)
|
|
(2.9)
|
|
|
634.1
|
|
636.3
|
|
(2.2)
|
|
(0.3)
|
|
Total variable
operations
|
|
4,349.9
|
|
4,432.0
|
|
(82.1)
|
|
(1.9)
|
|
|
12,515.8
|
|
12,778.8
|
|
(263.0)
|
|
(2.1)
|
|
Parts and
service
|
|
781.7
|
|
760.1
|
|
21.6
|
|
2.8
|
|
|
2,308.0
|
|
2,235.7
|
|
72.3
|
|
3.2
|
|
Other
|
|
21.4
|
|
24.1
|
|
(2.7)
|
|
|
|
|
105.6
|
|
99.0
|
|
6.6
|
|
|
Total
revenue
|
$
|
5,153.0
|
$
|
5,216.2
|
$
|
(63.2)
|
|
(1.2)
|
|
$
|
14,929.4
|
$
|
15,113.5
|
$
|
(184.1)
|
|
(1.2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
$
|
147.2
|
$
|
168.5
|
$
|
(21.3)
|
|
(12.6)
|
|
$
|
439.0
|
$
|
489.9
|
$
|
(50.9)
|
|
(10.4)
|
|
|
Retail used
vehicle
|
|
79.4
|
|
83.9
|
|
(4.5)
|
|
(5.4)
|
|
|
247.2
|
|
273.8
|
|
(26.6)
|
|
(9.7)
|
|
|
Wholesale
|
|
(6.6)
|
|
(2.4)
|
|
(4.2)
|
|
|
|
|
(11.3)
|
|
(2.4)
|
|
(8.9)
|
|
|
|
|
Used
vehicle
|
|
72.8
|
|
81.5
|
|
(8.7)
|
|
(10.7)
|
|
|
235.9
|
|
271.4
|
|
(35.5)
|
|
(13.1)
|
|
|
Finance and
insurance
|
|
215.1
|
|
221.5
|
|
(6.4)
|
|
(2.9)
|
|
|
634.1
|
|
636.3
|
|
(2.2)
|
|
(0.3)
|
|
Total variable
operations
|
|
435.1
|
|
471.5
|
|
(36.4)
|
|
(7.7)
|
|
|
1,309.0
|
|
1,397.6
|
|
(88.6)
|
|
(6.3)
|
|
Parts and
service
|
|
338.1
|
|
332.1
|
|
6.0
|
|
1.8
|
|
|
1,001.4
|
|
969.2
|
|
32.2
|
|
3.3
|
|
Other
|
|
7.1
|
|
6.4
|
|
0.7
|
|
|
|
|
21.6
|
|
20.2
|
|
1.4
|
|
|
Total gross
profit
|
$
|
780.3
|
$
|
810.0
|
$
|
(29.7)
|
|
(3.7)
|
|
$
|
2,332.0
|
$
|
2,387.0
|
$
|
(55.0)
|
|
(2.3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail vehicle unit
sales:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
|
81,559
|
|
86,983
|
|
(5,424)
|
|
(6.2)
|
|
|
233,566
|
|
245,960
|
|
(12,394)
|
|
(5.0)
|
|
|
Used
|
|
51,472
|
|
55,291
|
|
(3,819)
|
|
(6.9)
|
|
|
156,419
|
|
167,021
|
|
(10,602)
|
|
(6.3)
|
|
|
|
|
133,031
|
|
142,274
|
|
(9,243)
|
|
(6.5)
|
|
|
389,985
|
|
412,981
|
|
(22,996)
|
|
(5.6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue per vehicle
retailed:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
$
|
36,203
|
$
|
34,946
|
$
|
1,257
|
|
3.6
|
|
$
|
35,933
|
$
|
35,107
|
$
|
826
|
|
2.4
|
|
|
Used
|
$
|
20,318
|
$
|
19,367
|
$
|
951
|
|
4.9
|
|
$
|
19,888
|
$
|
19,196
|
$
|
692
|
|
3.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross profit per
vehicle retailed:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
|
$
|
1,805
|
$
|
1,937
|
$
|
(132)
|
|
(6.8)
|
|
$
|
1,880
|
$
|
1,992
|
$
|
(112)
|
|
(5.6)
|
|
|
Used
|
$
|
1,543
|
$
|
1,517
|
$
|
26
|
|
1.7
|
|
$
|
1,580
|
$
|
1,639
|
$
|
(59)
|
|
(3.6)
|
|
|
Finance and
insurance
|
$
|
1,617
|
$
|
1,557
|
$
|
60
|
|
3.9
|
|
$
|
1,626
|
$
|
1,541
|
$
|
85
|
|
5.5
|
|
|
Total variable
operations(1)
|
$
|
3,320
|
$
|
3,331
|
$
|
(11)
|
|
(0.3)
|
|
$
|
3,386
|
$
|
3,390
|
$
|
(4)
|
|
(0.1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Percentages
|
|
Three Months
Ended September 30,
|
|
Nine Months
Ended September 30,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2016 (%)
|
|
2015 (%)
|
|
2016 (%)
|
|
2015 (%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue mix
percentages:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
57.3
|
|
58.3
|
|
56.2
|
|
57.1
|
|
|
|
|
|
|
|
|
|
|
|
Used
vehicle
|
|
22.9
|
|
22.4
|
|
23.4
|
|
23.2
|
|
|
|
|
|
|
|
|
|
|
|
Parts and
service
|
|
15.2
|
|
14.6
|
|
15.5
|
|
14.8
|
|
|
|
|
|
|
|
|
|
|
|
Finance and
insurance, net
|
|
4.2
|
|
4.2
|
|
4.2
|
|
4.2
|
|
|
|
|
|
|
|
|
|
|
|
Other
|
|
0.4
|
|
0.5
|
|
0.7
|
|
0.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross profit mix
percentages:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
18.9
|
|
20.8
|
|
18.8
|
|
20.5
|
|
|
|
|
|
|
|
|
|
|
|
Used
vehicle
|
|
9.3
|
|
10.1
|
|
10.1
|
|
11.4
|
|
|
|
|
|
|
|
|
|
|
|
Parts and
service
|
|
43.3
|
|
41.0
|
|
42.9
|
|
40.6
|
|
|
|
|
|
|
|
|
|
|
|
Finance and
insurance
|
|
27.6
|
|
27.3
|
|
27.2
|
|
26.7
|
|
|
|
|
|
|
|
|
|
|
|
Other
|
|
0.9
|
|
0.8
|
|
1.0
|
|
0.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
100.0
|
|
100.0
|
|
100.0
|
|
100.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating items as a
percentage of revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New
vehicle
|
|
5.0
|
|
5.5
|
|
5.2
|
|
5.7
|
|
|
|
|
|
|
|
|
|
|
|
Used
vehicle - retail
|
|
7.6
|
|
7.8
|
|
7.9
|
|
8.5
|
|
|
|
|
|
|
|
|
|
|
|
Parts
and service
|
|
43.3
|
|
43.7
|
|
43.4
|
|
43.4
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
15.1
|
|
15.5
|
|
15.6
|
|
15.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
Total variable
operations gross profit per vehicle retailed is calculated by
dividing the sum of new vehicle, retail used vehicle, and finance
and insurance gross profit by total retail vehicle unit
sales.
|
|
|
|
|
|
|
|
|
|
Logo - http://photos.prnewswire.com/prnh/20151110/286019LOGO
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/autonation-reports-third-quarter-2016-results-300353048.html
SOURCE AutoNation, Inc.