CHARLOTTE, N.C., July 26, 2016 /PRNewswire/ --
Second Quarter 2016 Highlights
- Q2 2016 same store fixed operations revenues up 3.0% over prior
year quarter
- Q2 2016 same store finance and insurance revenues and gross
profit up 2.9% over prior year quarter
- Q2 2016 continuing operations SG&A to gross improves 160
basis points to 78.5% compared to prior year quarter of 80.1%
- Q2 2016 continuing operations SG&A to gross improves 70
basis points to 78.5% compared to an adjusted prior year quarter of
79.2%
- Two additional Denver market
EchoPark® stores opened in late June
- Q2 2016 EchoPark® stores retail 1,136 units, up 255
units, or 28.9%, from the prior year quarter
Sonic Automotive, Inc. (NYSE: SAH), one of the nation's largest
automotive retailers, today reported net income from continuing
operations for the second quarter of 2016 of $23.0 million, or $0.50 per diluted share. Included in these
amounts are a pre-tax loss of $3.4
million, or $0.04 per diluted
share, related to EchoPark® operations.
Net income from continuing operations and related diluted
earnings per share for the second quarter of 2015 were $15.1 million and $0.30 per share, respectively. On an adjusted
basis, net income from continuing operations for the second quarter
of 2015 was $23.4 million, or
$0.46 per diluted share.
Included in these adjusted amounts is a pre-tax loss of
$4.1 million, or $0.05 per diluted share, related to
EchoPark® operations. 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
President, noted, "The automotive retail environment continues to
demonstrate strength and sustainability. Historic low interest
rates and a fantastic product offering by manufacturers have
supported customer demand for new and pre-owned vehicles. During
the quarter, our team delivered an outstanding sales and service
experience to our customers and leveraged our operating costs in
delivering strong operating results. In addition, we were actively
repurchasing outstanding shares. During the second quarter, we
repurchased 759,056 shares of our Class A common stock for
approximately $13.1 million. During
the first half of 2016, we repurchased almost 10% of our shares
outstanding as of the end of 2015."
"We are providing more detailed earnings guidance for the second
half of the year as the third and fourth quarters' operating
environments vary from year to year. Accordingly, we
currently estimate diluted earnings per share from continuing
operations for the third and fourth quarters will range between
$0.52 - $0.54 and $0.66 - $0.69, respectively."
Jeff Dyke, Sonic's EVP of
Operations, stated, "The industry was solid again this quarter and
our performance reflected that. Our Sonic Automotive franchise
store business continues to be supported by our team's ability to
execute our playbook processes as we work to perfect the One
Sonic-One Experience culture in our stores. Our guests' responses
to our new process, technology and culture have been excellent as
reflected in our customer satisfaction scores and the reviews we
receive via Google, Yelp, etc. While we saw a decline in the new
car retail SAAR in the quarter, new car margins have stabilized and
heavy new car inventories from the first quarter are coming back in
line with historical levels. We have worked with our manufacturer
partners to develop action plans to address recall and stop-sale
issues across several brands and are executing those plans. We are
pleased that we will be opening several new add points this year
including Mercedes Benz in
McKinney, Texas (outside of
Dallas), Audi in Pensacola, Florida and Nissan in Cleveland, Tennessee (outside of Chattanooga). These additional points reflect
the strength of our organization and relationship with our
manufacturer partners. We look forward to announcing several more
add points in the coming quarters."
"We are also very pleased with the continued progress of
EchoPark® as we opened two new stores in the
Denver market. Our property
acquisitions in the Carolinas and Texas remain active. We are beginning to see
store-level profitability as our EchoPark® brand grows
in Denver, and thus fueling our
excitement about EchoPark® and its long-term prospects
in an industry that is ripe for our guest experience model. The
guest feedback at EchoPark® is remarkable, further
supporting our strategic entry into this part of the pre-owned
market. We have listened to our guests' needs and are delivering on
those expectations."
Dividend
Sonic's Board of Directors approved a quarterly dividend of
$0.05 per share payable in cash for
stockholders of record on September 15,
2016. The dividend will be payable on October 14, 2016.
Second Quarter 2016 Earnings Conference Call
Senior management will host a conference call today at
11:00 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 "Earnings Conference
Calls."
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: 43691612
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: 43691612
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.
Forward Looking Statements
Included herein are forward-looking statements, including
statements with respect to anticipated expansion of our
EchoPark® business and the anticipated amount of
investments related to capital expenditures. 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 views, 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, 2015. The Company does not undertake
any obligation to update forward-looking information.
Non-GAAP Financial Measures
This press release and the attached financial tables contain
certain non-GAAP financial measures as defined under SEC rules,
such as adjusted net income and adjusted earnings per share from
continuing operations, which exclude certain items disclosed in the
attached financial tables. As required by SEC rules, the Company
provides reconciliations of these measures to the most directly
comparable GAAP measures. The Company believes that these non-GAAP
financial measures improve the transparency of the Company's
disclosure, provide a meaningful presentation of the Company's
results from its core business operations excluding the impact of
items not related to the Company's ongoing core business
operations, and improve the period-to-period comparability of the
Company's results from its core business operations.
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
This release contains
certain non-GAAP financial measures (the "Adjusted" amounts) 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 (the "Reported" amounts) 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
June 30,
|
|
Six Months Ended
June 30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
(In thousands,
except per share and unit data)
|
Revenues:
|
|
|
|
|
|
|
|
|
New retail
vehicles
|
|
$
|
1,269,843
|
|
$
|
1,285,632
|
|
$
|
2,419,280
|
|
$
|
2,475,847
|
Fleet vehicles
|
|
16,621
|
|
9,656
|
|
31,754
|
|
21,763
|
Total new
vehicles
|
|
1,286,464
|
|
1,295,288
|
|
2,451,034
|
|
2,497,610
|
Used vehicles
|
|
622,186
|
|
658,794
|
|
1,220,540
|
|
1,252,536
|
Wholesale vehicles
|
|
38,245
|
|
41,131
|
|
82,620
|
|
82,789
|
Total
vehicles
|
|
1,946,895
|
|
1,995,213
|
|
3,754,194
|
|
3,832,935
|
Parts, service and collision
repair
|
|
351,329
|
|
346,164
|
|
697,384
|
|
669,358
|
Finance, insurance and other,
net
|
|
84,088
|
|
82,363
|
|
165,361
|
|
156,963
|
Total
revenues
|
|
2,382,312
|
|
2,423,740
|
|
4,616,939
|
|
4,659,256
|
Gross
profit
|
|
353,305
|
|
355,554
|
|
698,455
|
|
690,513
|
Selling, general and
administrative expenses
|
|
(277,204)
|
|
(284,661)
|
|
(561,580)
|
|
(555,523)
|
Impairment
charges
|
|
(151)
|
|
(10,469)
|
|
(151)
|
|
(16,661)
|
Depreciation and
amortization
|
|
(18,905)
|
|
(17,294)
|
|
(37,374)
|
|
(33,703)
|
Operating income
(loss)
|
|
57,045
|
|
43,130
|
|
99,350
|
|
84,626
|
Other income
(expense):
|
|
|
|
|
|
|
|
Interest expense, floor
plan
|
|
(6,690)
|
|
(5,345)
|
|
(13,126)
|
|
(10,123)
|
Interest expense, other,
net
|
|
(12,205)
|
|
(13,054)
|
|
(24,544)
|
|
(26,274)
|
Other income (expense),
net
|
|
6
|
|
10
|
|
110
|
|
100
|
Total other income
(expense)
|
|
(18,889)
|
|
(18,389)
|
|
(37,560)
|
|
(36,297)
|
Income (loss) from
continuing operations before taxes
|
|
38,156
|
|
24,741
|
|
61,790
|
|
48,329
|
Provision for income
taxes for continuing operations - benefit (expense)
|
|
(15,113)
|
|
(9,649)
|
|
(24,283)
|
|
(18,848)
|
Income (loss) from
continuing operations
|
|
23,043
|
|
15,092
|
|
37,507
|
|
29,481
|
Income (loss) from
discontinued operations
|
|
(221)
|
|
(311)
|
|
(61)
|
|
(732)
|
Net income
(loss)
|
|
$
|
22,822
|
|
$
|
14,781
|
|
$
|
37,446
|
|
$
|
28,749
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) per common share:
|
|
|
|
|
|
|
|
Earnings (loss) per share
from continuing operations
|
|
$
|
0.50
|
|
$
|
0.30
|
|
$
|
0.81
|
|
$
|
0.57
|
Earnings (loss) per share
from discontinued operations
|
|
-
|
|
(0.01)
|
|
(0.01)
|
|
(0.01)
|
Earnings (loss) per common
share
|
|
$
|
0.50
|
|
$
|
0.29
|
|
$
|
0.80
|
|
$
|
0.56
|
Weighted average common
shares outstanding
|
|
45,924
|
|
51,093
|
|
46,523
|
|
51,247
|
|
|
|
|
|
|
|
|
Gross Margin Data
(Continuing Operations):
|
|
|
|
|
|
|
|
New retail
vehicles
|
|
5.2%
|
|
5.1%
|
|
5.1%
|
|
5.2%
|
Fleet vehicles
|
|
0.9%
|
|
(0.1%)
|
|
0.6%
|
|
(0.3%)
|
Total new
vehicles
|
|
5.1%
|
|
5.0%
|
|
5.1%
|
|
5.1%
|
Used vehicles
|
|
5.9%
|
|
6.2%
|
|
6.3%
|
|
6.5%
|
Wholesale vehicles
|
|
(4.8%)
|
|
(6.5%)
|
|
(3.5%)
|
|
(3.5%)
|
Parts, service and collision
repair
|
|
47.9%
|
|
49.2%
|
|
47.9%
|
|
48.8%
|
Finance, insurance and
other
|
|
100.0%
|
|
100.0%
|
|
100.0%
|
|
100.0%
|
Overall gross
margin
|
|
14.8%
|
|
14.7%
|
|
15.1%
|
|
14.8%
|
|
|
|
|
|
|
|
|
SG&A Expenses
(Continuing Operations):
|
|
|
|
|
|
|
|
Compensation
|
|
$
|
166,560
|
|
$
|
167,811
|
|
$
|
335,601
|
|
$
|
329,669
|
Advertising
|
|
15,499
|
|
15,358
|
|
30,847
|
|
30,689
|
Rent
|
|
18,508
|
|
18,246
|
|
37,228
|
|
36,500
|
Other
|
|
76,637
|
|
83,246
|
|
157,904
|
|
158,665
|
Total SG&A
expenses
|
|
$
|
277,204
|
|
$
|
284,661
|
|
$
|
561,580
|
|
$
|
555,523
|
SG&A expenses as % of
gross profit
|
|
78.5%
|
|
80.1%
|
|
80.4%
|
|
80.5%
|
|
|
|
|
|
|
|
|
Operating Margin
%
|
|
2.4%
|
|
1.8%
|
|
2.2%
|
|
1.8%
|
|
|
|
|
|
|
|
|
Unit Data (Continuing
Operations):
|
|
|
|
|
|
|
|
New retail units
|
|
33,229
|
|
34,676
|
|
63,385
|
|
66,010
|
Fleet units
|
|
553
|
|
287
|
|
1,002
|
|
642
|
Total new
units
|
|
33,782
|
|
34,963
|
|
64,387
|
|
66,652
|
Used units
|
|
29,287
|
|
30,301
|
|
58,620
|
|
58,436
|
Wholesale units
|
|
7,212
|
|
8,010
|
|
15,635
|
|
15,787
|
Sonic Automotive,
Inc.
|
Results of
Operation (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per Share
Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2016
|
|
|
|
|
|
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
|
|
45,731
|
|
$
23,043
|
|
|
|
$
(221)
|
|
|
|
$
22,822
|
|
|
|
Effect of participating
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(13)
|
|
|
|
-
|
|
|
|
(13)
|
|
|
|
Basic earnings (loss)
and shares
|
|
45,731
|
|
$
23,030
|
|
$
0.50
|
|
$
(221)
|
|
$
-
|
|
$
22,809
|
|
$
0.50
|
|
Effect of dilutive
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock compensation
plans
|
|
193
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings (loss)
and shares (1)
|
|
45,924
|
|
$
23,030
|
|
$
0.50
|
|
$
(221)
|
|
$
-
|
|
$
22,809
|
|
$
0.50
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Net loss
attributable to EchoPark® operations was $0.04 per fully diluted
share in the three months ended June 30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 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
|
|
50,784
|
|
$
15,092
|
|
|
|
$
(311)
|
|
|
|
$
14,781
|
|
|
|
Effect of participating
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(7)
|
|
|
|
-
|
|
|
|
(7)
|
|
|
|
Basic earnings (loss)
and shares
|
|
50,784
|
|
$
15,085
|
|
$
0.30
|
|
$
(311)
|
|
$
(0.01)
|
|
$
14,774
|
|
$
0.29
|
|
Effect of dilutive
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock compensation
plans
|
|
309
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings (loss)
and shares
|
|
51,093
|
|
$
15,085
|
|
$
0.30
|
|
$
(311)
|
|
$
(0.01)
|
|
$
14,774
|
|
$
0.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on
disposal
|
|
|
|
$
(1,057)
|
|
|
|
$
-
|
|
|
|
$
(1,057)
|
|
|
|
Storm damage and
other
|
|
|
|
4,189
|
|
|
|
-
|
|
|
|
4,189
|
|
|
|
Impairment
charges
|
|
|
|
10,469
|
|
|
|
-
|
|
|
|
10,469
|
|
|
|
Total adjustments
before taxes
|
|
|
|
13,601
|
|
|
|
-
|
|
|
|
13,601
|
|
|
|
Income tax effect of
above adjustments
|
|
|
|
(5,305)
|
|
|
|
-
|
|
|
|
(5,305)
|
|
|
|
Effect of adjustments,
net of income taxes
|
|
|
|
$
8,296
|
|
$
0.16
|
|
$
-
|
|
$
-
|
|
$
8,296
|
|
$
0.16
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss)
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
diluted earnings
(loss) per share (2)
|
|
|
|
$
23,388
|
|
$
0.46
|
|
$
(311)
|
|
$
(0.01)
|
|
$
23,077
|
|
$
0.45
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) Net loss
attributable to EchoPark® operations was $0.05 per fully diluted
share in the three months ended June 30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per Share
Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30, 2016
|
|
|
|
|
|
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
|
|
46,340
|
|
$
37,507
|
|
|
|
$
(61)
|
|
|
|
$
37,446
|
|
|
|
Effect of participating
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(21)
|
|
|
|
-
|
|
|
|
(21)
|
|
|
|
Basic earnings (loss)
and shares
|
|
46,340
|
|
$
37,486
|
|
$
0.81
|
|
$
(61)
|
|
$
-
|
|
$
37,425
|
|
$
0.81
|
|
Effect of dilutive
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock compensation
plans
|
|
183
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings (loss)
and shares
|
|
46,523
|
|
$
37,486
|
|
$
0.81
|
|
$
(61)
|
|
$
(0.01)
|
|
$
37,425
|
|
$
0.80
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Storm damage
|
|
|
|
$
6,043
|
|
|
|
$
-
|
|
|
|
$
6,043
|
|
|
|
Total adjustments
before taxes
|
|
|
|
6,043
|
|
|
|
-
|
|
|
|
6,043
|
|
|
|
Income tax effect of
above adjustments
|
|
|
|
(2,345)
|
|
|
|
-
|
|
|
|
(2,345)
|
|
|
|
Effect of adjustments,
net of income taxes
|
|
|
|
$
3,698
|
|
$
0.08
|
|
$
-
|
|
$
-
|
|
$
3,698
|
|
$
0.08
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss)
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) per share (3)
|
|
|
|
$
41,205
|
|
$
0.89
|
|
$
(61)
|
|
$
(0.01)
|
|
$
41,144
|
|
$
0.88
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3) Net loss
attributable to EchoPark® operations was $0.09 per fully diluted
share in the six months ended June 30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 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
|
|
50,819
|
|
$
29,481
|
|
|
|
$
(732)
|
|
|
|
$
28,749
|
|
|
|
Effect of participating
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(14)
|
|
|
|
-
|
|
|
|
(14)
|
|
|
|
Basic earnings (loss)
and shares
|
|
50,819
|
|
$
29,467
|
|
$
0.58
|
|
$
(732)
|
|
$
(0.01)
|
|
$
28,735
|
|
$
0.57
|
|
Effect of dilutive
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock compensation
plans
|
|
428
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings (loss)
and shares
|
|
51,247
|
|
$
29,467
|
|
$
0.57
|
|
$
(732)
|
|
$
(0.01)
|
|
$
28,735
|
|
$
0.56
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on
disposal
|
|
|
|
$
(955)
|
|
|
|
$
-
|
|
|
|
$
(955)
|
|
|
|
Impairment
charges
|
|
|
|
16,661
|
|
|
|
-
|
|
|
|
16,661
|
|
|
|
Storm damage and
other
|
|
|
|
5,138
|
|
|
|
-
|
|
|
|
5,138
|
|
|
|
Total adjustments
before taxes
|
|
|
|
20,844
|
|
|
|
-
|
|
|
|
20,844
|
|
|
|
Income tax effect of
above adjustments
|
|
|
|
(8,129)
|
|
|
|
-
|
|
|
|
(8,129)
|
|
|
|
Effect of adjustments,
net of income taxes
|
|
|
|
$
12,715
|
|
$
0.25
|
|
$
-
|
|
$
-
|
|
$
12,715
|
|
$
0.25
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss)
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) per share (4)
|
|
|
|
$
42,196
|
|
$
0.82
|
|
$
(732)
|
|
$
(0.01)
|
|
$
41,464
|
|
$
0.81
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(4) Net loss
attributable to EchoPark® operations was $0.11 per fully diluted
share in the six months ended June 30, 2015
|
|
|
|
|
Sonic Automotive,
Inc.
Results of Operations (Unaudited)
|
|
New
Vehicles
|
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
Revenue
|
$
|
1,286,464
|
|
$
|
1,295,288
|
|
$
|
(8,824)
|
|
(0.7%)
|
Gross
profit
|
$
|
65,866
|
|
$
|
64,936
|
|
$
|
930
|
|
1.4%
|
Unit sales
|
33,782
|
|
34,963
|
|
(1,181)
|
|
(3.4%)
|
Revenue per
unit
|
$
|
38,081
|
|
$
|
37,047
|
|
$
|
1,034
|
|
2.8%
|
Gross profit per
unit
|
$
|
1,950
|
|
$
|
1,857
|
|
$
|
93
|
|
5.0%
|
Gross profit as a % of
revenue
|
5.1%
|
|
5.0%
|
|
10
|
|
bps
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
Revenue
|
$
|
2,451,034
|
|
$
|
2,497,610
|
|
$
|
(46,576)
|
|
(1.9%)
|
Gross
profit
|
$
|
124,290
|
|
$
|
128,285
|
|
$
|
(3,995)
|
|
(3.1%)
|
Unit sales
|
64,387
|
|
66,652
|
|
(2,265)
|
|
(3.4%)
|
Revenue per
unit
|
$
|
38,067
|
|
$
|
37,472
|
|
$
|
595
|
|
1.6%
|
Gross profit per
unit
|
$
|
1,930
|
|
$
|
1,925
|
|
$
|
5
|
|
0.3%
|
Gross profit as a % of
revenue
|
5.1%
|
|
5.1%
|
|
0
|
|
bps
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
Revenue
|
$
|
1,286,464
|
|
$
|
1,282,801
|
|
$
|
3,663
|
|
0.3%
|
Gross
profit
|
$
|
65,842
|
|
$
|
64,852
|
|
$
|
990
|
|
1.5%
|
Unit sales
|
33,782
|
|
34,639
|
|
(857)
|
|
(2.5%)
|
Revenue per
unit
|
$
|
38,081
|
|
$
|
37,033
|
|
$
|
1,048
|
|
2.8%
|
Gross profit per
unit
|
$
|
1,949
|
|
$
|
1,872
|
|
$
|
77
|
|
4.1%
|
Gross profit as a % of
revenue
|
5.1%
|
|
5.1%
|
|
0
|
|
bps
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
Revenue
|
$
|
2,451,034
|
|
$
|
2,472,295
|
|
$
|
(21,261)
|
|
(0.9%)
|
Gross
profit
|
$
|
124,217
|
|
$
|
127,350
|
|
$
|
(3,133)
|
|
(2.5%)
|
Unit sales
|
64,387
|
|
66,011
|
|
(1,624)
|
|
(2.5%)
|
Revenue per
unit
|
$
|
38,067
|
|
$
|
37,453
|
|
$
|
614
|
|
1.6%
|
Gross profit per
unit
|
$
|
1,929
|
|
$
|
1,929
|
|
$
|
-
|
|
0.0%
|
Gross profit as a % of
revenue
|
5.1%
|
|
5.2%
|
|
(10)
|
|
bps
|
|
Sonic Automotive,
Inc.
Results of Operations (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Used
Vehicles
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except units and per unit data)
|
|
Reported:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
622,186
|
|
$
658,794
|
|
$
(36,608)
|
|
(5.6%)
|
|
Gross
profit
|
|
$
36,969
|
|
$
40,696
|
|
$
(3,727)
|
|
(9.2%)
|
|
Unit sales
|
|
29,287
|
|
30,301
|
|
(1,014)
|
|
(3.3%)
|
|
Revenue per
unit
|
|
$
21,244
|
|
$
21,742
|
|
$
(498)
|
|
(2.3%)
|
|
Gross profit per
unit
|
|
$
1,262
|
|
$
1,343
|
|
$
(81)
|
|
(6.0%)
|
|
Gross profit as a % of
revenue
|
|
5.9%
|
|
6.2%
|
|
(30)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except units and per unit data)
|
|
Reported:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
1,220,540
|
|
$
1,252,536
|
|
$
(31,996)
|
|
(2.6%)
|
|
Gross
profit
|
|
$
77,499
|
|
$
81,540
|
|
$
(4,041)
|
|
(5.0%)
|
|
Unit sales
|
|
58,620
|
|
58,436
|
|
184
|
|
0.3%
|
|
Revenue per
unit
|
|
$
20,821
|
|
$
21,434
|
|
$
(613)
|
|
(2.9%)
|
|
Gross profit per
unit
|
|
$
1,322
|
|
$
1,395
|
|
$
(73)
|
|
(5.2%)
|
|
Gross profit as a % of
revenue
|
|
6.3%
|
|
6.5%
|
|
(20)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except units and per unit data)
|
|
Same
Store:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
621,748
|
|
$
648,821
|
|
$
(27,073)
|
|
(4.2%)
|
|
Gross
profit
|
|
$
37,697
|
|
$
40,329
|
|
$
(2,632)
|
|
(6.5%)
|
|
Unit sales
|
|
29,267
|
|
29,809
|
|
(542)
|
|
(1.8%)
|
|
Revenue per
unit
|
|
$
21,244
|
|
$
21,766
|
|
$
(522)
|
|
(2.4%)
|
|
Gross profit per
unit
|
|
$
1,288
|
|
$
1,353
|
|
$
(65)
|
|
(4.8%)
|
|
Gross profit as a % of
revenue
|
|
6.1%
|
|
6.2%
|
|
(10)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except units and per unit data)
|
|
Same
Store:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
1,220,103
|
|
$
1,233,808
|
|
$
(13,705)
|
|
(1.1%)
|
|
Gross
profit
|
|
$
78,388
|
|
$
81,337
|
|
$
(2,949)
|
|
(3.6%)
|
|
Unit sales
|
|
58,600
|
|
57,496
|
|
1,104
|
|
1.9%
|
|
Revenue per
unit
|
|
$
20,821
|
|
$
21,459
|
|
$
(638)
|
|
(3.0%)
|
|
Gross profit per
unit
|
|
$
1,338
|
|
$
1,415
|
|
$
(77)
|
|
(5.4%)
|
|
Gross profit as a % of
revenue
|
|
6.4%
|
|
6.6%
|
|
(20)
|
|
bps
|
|
Sonic Automotive,
Inc.
Results of Operations (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Wholesale
Vehicles
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except units and per unit data)
|
|
Reported:
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
38,245
|
|
$
41,131
|
|
$
(2,886)
|
|
(7.0%)
|
|
Gross profit
(loss)
|
|
$
(1,839)
|
|
$
(2,676)
|
|
$
837
|
|
31.3%
|
|
Unit sales
|
|
7,212
|
|
8,010
|
|
(798)
|
|
(10.0%)
|
|
Revenue per
unit
|
|
$
5,303
|
|
$
5,135
|
|
$
168
|
|
3.3%
|
|
Gross profit (loss)
per unit
|
|
$
(255)
|
|
$
(334)
|
|
$
79
|
|
23.7%
|
|
Gross profit (loss) as
a % of revenue
|
|
(4.8%)
|
|
(6.5%)
|
|
170
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except units and per unit data)
|
|
Reported:
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
82,620
|
|
$
82,789
|
|
$
(169)
|
|
(0.2%)
|
|
Gross profit
(loss)
|
|
$
(2,917)
|
|
$
(2,884)
|
|
$
(33)
|
|
(1.1%)
|
|
Unit sales
|
|
15,635
|
|
15,787
|
|
(152)
|
|
(1.0%)
|
|
Revenue per
unit
|
|
$
5,284
|
|
$
5,244
|
|
$
40
|
|
0.8%
|
|
Gross profit (loss)
per unit
|
|
$
(187)
|
|
$
(183)
|
|
$
(4)
|
|
(2.2%)
|
|
Gross profit (loss) as
a % of revenue
|
|
(3.5%)
|
|
(3.5%)
|
|
0
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except units and per unit data)
|
|
Same
Store:
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
38,245
|
|
$
40,417
|
|
$
(2,172)
|
|
(5.4%)
|
|
Gross profit
(loss)
|
|
$
(1,839)
|
|
$
(2,455)
|
|
$
616
|
|
25.1%
|
|
Unit sales
|
|
7,212
|
|
7,890
|
|
(678)
|
|
(8.6%)
|
|
Revenue per
unit
|
|
$
5,303
|
|
$
5,123
|
|
$
180
|
|
3.5%
|
|
Gross profit (loss)
per unit
|
|
$
(255)
|
|
$
(311)
|
|
$
56
|
|
18.0%
|
|
Gross profit (loss) as
a % of revenue
|
|
(4.8%)
|
|
(6.1%)
|
|
130
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except units and per unit data)
|
|
Same
Store:
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
82,599
|
|
$
81,670
|
|
$
929
|
|
1.1%
|
|
Gross profit
(loss)
|
|
$
(2,915)
|
|
$
(2,651)
|
|
$
(264)
|
|
(10.0%)
|
|
Unit sales
|
|
15,630
|
|
15,578
|
|
52
|
|
0.3%
|
|
Revenue per
unit
|
|
$
5,285
|
|
$
5,243
|
|
$
42
|
|
0.8%
|
|
Gross profit (loss)
per unit
|
|
$
(187)
|
|
$
(170)
|
|
$
(17)
|
|
(10.0%)
|
|
Gross profit (loss) as
a % of revenue
|
|
(3.5%)
|
|
(3.2%)
|
|
(30)
|
|
bps
|
|
Sonic Automotive,
Inc.
Results of Operations (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Parts, Service
and Collision Repair ("Fixed Operations")
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
Reported:
|
|
(In
thousands)
|
|
Revenue
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
149,248
|
|
$
146,548
|
|
$
2,700
|
|
1.8%
|
|
Warranty
|
|
54,812
|
|
57,150
|
|
(2,338)
|
|
(4.1%)
|
|
Wholesale
parts
|
|
44,021
|
|
45,850
|
|
(1,829)
|
|
(4.0%)
|
|
Internal, sublet and
other
|
|
103,248
|
|
96,616
|
|
6,632
|
|
6.9%
|
|
Total
|
|
$
351,329
|
|
$
346,164
|
|
$
5,165
|
|
1.5%
|
|
Gross
profit
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
81,323
|
|
$
80,286
|
|
$
1,037
|
|
1.3%
|
|
Warranty
|
|
29,449
|
|
32,679
|
|
(3,230)
|
|
(9.9%)
|
|
Wholesale
parts
|
|
7,797
|
|
8,148
|
|
(351)
|
|
(4.3%)
|
|
Internal, sublet and
other
|
|
49,652
|
|
49,122
|
|
530
|
|
1.1%
|
|
Total
|
|
$
168,221
|
|
$
170,235
|
|
$
(2,014)
|
|
(1.2%)
|
|
Gross profit as a % of
revenue
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
54.5%
|
|
54.8%
|
|
(30)
|
|
bps
|
|
Warranty
|
|
53.7%
|
|
57.2%
|
|
(350)
|
|
bps
|
|
Wholesale
parts
|
|
17.7%
|
|
17.8%
|
|
(10)
|
|
bps
|
|
Internal, sublet and
other
|
|
48.1%
|
|
50.8%
|
|
(270)
|
|
bps
|
|
Total
|
|
47.9%
|
|
49.2%
|
|
(130)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
Reported:
|
|
(In
thousands)
|
|
Revenue
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
296,642
|
|
$
284,171
|
|
$
12,471
|
|
4.4%
|
|
Warranty
|
|
112,371
|
|
110,648
|
|
1,723
|
|
1.6%
|
|
Wholesale
parts
|
|
89,331
|
|
90,862
|
|
(1,531)
|
|
(1.7%)
|
|
Internal, sublet and
other
|
|
199,040
|
|
183,677
|
|
15,363
|
|
8.4%
|
|
Total
|
|
$
697,384
|
|
$
669,358
|
|
$
28,026
|
|
4.2%
|
|
Gross
profit
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
161,680
|
|
$
155,963
|
|
$
5,717
|
|
3.7%
|
|
Warranty
|
|
60,775
|
|
62,440
|
|
(1,665)
|
|
(2.7%)
|
|
Wholesale
parts
|
|
15,738
|
|
16,287
|
|
(549)
|
|
(3.4%)
|
|
Internal, sublet and
other
|
|
96,029
|
|
91,919
|
|
4,110
|
|
4.5%
|
|
Total
|
|
$
334,222
|
|
$
326,609
|
|
$
7,613
|
|
2.3%
|
|
Gross profit as a % of
revenue
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
54.5%
|
|
54.9%
|
|
(40)
|
|
bps
|
|
Warranty
|
|
54.1%
|
|
56.4%
|
|
(230)
|
|
bps
|
|
Wholesale
parts
|
|
17.6%
|
|
17.9%
|
|
(30)
|
|
bps
|
|
Internal, sublet and
other
|
|
48.2%
|
|
50.0%
|
|
(180)
|
|
bps
|
|
Total
|
|
47.9%
|
|
48.8%
|
|
(90)
|
|
bps
|
|
Sonic Automotive,
Inc.
Results of Operations (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Parts, Service
and Collision Repair ("Fixed Operations")
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
Same
Store:
|
|
(In
thousands)
|
|
Revenue
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
149,246
|
|
$
144,293
|
|
$
4,953
|
|
3.4%
|
|
Warranty
|
|
54,812
|
|
56,382
|
|
(1,570)
|
|
(2.8%)
|
|
Wholesale
parts
|
|
44,021
|
|
45,133
|
|
(1,112)
|
|
(2.5%)
|
|
Internal, sublet and
other
|
|
103,231
|
|
95,227
|
|
8,004
|
|
8.4%
|
|
Total
|
|
$
351,310
|
|
$
341,035
|
|
$
10,275
|
|
3.0%
|
|
Gross
profit
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
81,322
|
|
$
79,028
|
|
$
2,294
|
|
2.9%
|
|
Warranty
|
|
29,543
|
|
32,272
|
|
(2,729)
|
|
(8.5%)
|
|
Wholesale
parts
|
|
7,797
|
|
8,003
|
|
(206)
|
|
(2.6%)
|
|
Internal, sublet and
other
|
|
49,470
|
|
48,428
|
|
1,042
|
|
2.2%
|
|
Total
|
|
$
168,132
|
|
$
167,731
|
|
$
401
|
|
0.2%
|
|
Gross profit as a %
of revenue
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
54.5%
|
|
54.8%
|
|
(30)
|
|
bps
|
|
Warranty
|
|
53.9%
|
|
57.2%
|
|
(330)
|
|
bps
|
|
Wholesale
parts
|
|
17.7%
|
|
17.7%
|
|
0
|
|
bps
|
|
Internal, sublet and
other
|
|
47.9%
|
|
50.9%
|
|
(300)
|
|
bps
|
|
Total
|
|
47.9%
|
|
49.2%
|
|
(130)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
Same
Store:
|
|
(In
thousands)
|
|
Revenue
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
296,640
|
|
$
278,930
|
|
$
17,710
|
|
6.3%
|
|
Warranty
|
|
112,371
|
|
109,076
|
|
3,295
|
|
3.0%
|
|
Wholesale
parts
|
|
89,331
|
|
89,334
|
|
(3)
|
|
(0.0%)
|
|
Internal, sublet and
other
|
|
199,023
|
|
180,968
|
|
18,055
|
|
10.0%
|
|
Total .
|
|
$
697,365
|
|
$
658,308
|
|
$
39,057
|
|
5.9%
|
|
Gross
profit
|
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
161,679
|
|
$
153,078
|
|
$
8,601
|
|
5.6%
|
|
Warranty.
|
|
60,825
|
|
61,572
|
|
(747)
|
|
(1.2%)
|
|
Wholesale
parts
|
|
15,739
|
|
15,990
|
|
(251)
|
|
(1.6%)
|
|
Internal, sublet and
other
|
|
95,538
|
|
90,594
|
|
4,944
|
|
5.5%
|
|
Total
|
|
$
333,781
|
|
$
321,234
|
|
$
12,547
|
|
3.9%
|
|
Gross profit as a %
of revenue
|
|
|
|
|
|
|
|
|
|
Customer pay
.
|
|
54.5%
|
|
54.9%
|
|
(40)
|
|
bps
|
|
Warranty
|
|
54.1%
|
|
56.4%
|
|
(230)
|
|
bps
|
|
Wholesale
parts
|
|
17.6%
|
|
17.9%
|
|
(30)
|
|
bps
|
|
Internal, sublet and
other
|
|
48.0%
|
|
50.1%
|
|
(210)
|
|
bps
|
|
Total
|
|
47.9%
|
|
48.8%
|
|
(90)
|
|
bps
|
|
Sonic Automotive,
Inc.
Results of Operations (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Finance,
Insurance and Other, Net ("F&I")
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except per unit data)
|
|
Reported:
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
84,088
|
|
$
82,363
|
|
$
1,725
|
|
2.1%
|
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,345
|
|
$
1,268
|
|
$
77
|
|
6.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except per unit data)
|
|
Reported:
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
165,361
|
|
$
156,963
|
|
$
8,398
|
|
5.4%
|
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,355
|
|
$
1,261
|
|
$
94
|
|
7.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except per unit data)
|
|
Same
Store:
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
83,884
|
|
$
81,492
|
|
$
2,392
|
|
2.9%
|
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,342
|
|
$
1,270
|
|
$
72
|
|
5.7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In thousands,
except per unit data)
|
|
Same
Store:
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
164,736
|
|
$
155,182
|
|
$
9,554
|
|
6.2%
|
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,350
|
|
$
1,263
|
|
$
87
|
|
6.9%
|
|
Sonic Automotive,
Inc.
Results of Operations (Unaudited)
|
|
|
|
|
|
|
|
|
|
Selling,
General and Administrative ("SG&A") Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In
thousands)
|
|
Reported:
|
|
|
|
|
|
|
|
|
|
Compensation
|
|
$
166,560
|
|
$
167,811
|
|
$
1,251
|
|
0.7%
|
|
Advertising
|
|
15,499
|
|
15,358
|
|
(141)
|
|
(0.9%)
|
|
Rent
|
|
18,508
|
|
18,246
|
|
(262)
|
|
(1.4%)
|
|
Other
|
|
76,637
|
|
83,246
|
|
6,609
|
|
7.9%
|
|
Total SG&A
expenses
|
|
$
277,204
|
|
$
284,661
|
|
$
7,457
|
|
2.6%
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Gain on
disposal
|
|
$
-
|
|
$
1,057
|
|
$
1,057
|
|
100.0%
|
|
Storm damage and
other
|
|
-
|
|
(4,189)
|
|
(4,189)
|
|
(100.0%)
|
|
Total SG&A
adjustments
|
|
$
-
|
|
$
(3,132)
|
|
$
(3,132)
|
|
(100.0%)
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A expenses
|
|
$
277,204
|
|
$
281,529
|
|
$
4,325
|
|
1.5%
|
|
|
|
|
|
|
|
|
|
|
|
Reported:
|
|
|
|
|
|
|
|
|
|
SG&A expenses as
a % of gross profit
|
|
|
|
|
|
|
|
|
Compensation
|
|
47.1%
|
|
47.2%
|
|
10
|
|
bps
|
|
Advertising
|
|
4.4%
|
|
4.3%
|
|
(10)
|
|
bps
|
|
Rent
|
|
5.2%
|
|
5.1%
|
|
(10)
|
|
bps
|
|
Other
|
|
21.8%
|
|
23.5%
|
|
170
|
|
bps
|
|
Total SG&A
expenses as a % of gross profit
|
|
78.5%
|
|
80.1%
|
|
160
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Gain on
disposal
|
|
0.0%
|
|
0.3%
|
|
30
|
|
bps
|
|
Storm damage and
other
|
|
0.0%
|
|
(1.2%)
|
|
(120)
|
|
bps
|
|
Total effect of
adjustments
|
|
0.0%
|
|
(0.9%)
|
|
(90)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A as a % of gross profit
|
|
78.5%
|
|
79.2%
|
|
70
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
Better /
(Worse)
|
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
|
(In
thousands)
|
|
Reported:
|
|
|
|
|
|
|
|
|
Compensation
|
|
$
335,601
|
|
$
329,669
|
|
$
(5,932)
|
|
(1.8%)
|
|
Advertising
|
|
30,847
|
|
30,689
|
|
(158)
|
|
(0.5%)
|
|
Rent
|
|
37,228
|
|
36,500
|
|
(728)
|
|
(2.0%)
|
|
Other
|
|
157,904
|
|
158,665
|
|
761
|
|
0.5%
|
|
Total SG&A
expenses
|
|
$
561,580
|
|
$
555,523
|
|
$
(6,057)
|
|
(1.1%)
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Gain on
disposal
|
|
$
-
|
|
$
955
|
|
$
955
|
|
100.0%
|
|
Storm damage and
other
|
|
(6,043)
|
|
(5,138)
|
|
905
|
|
17.6%
|
|
Total SG&A
adjustments
|
|
$
(6,043)
|
|
$
(4,183)
|
|
$
1,860
|
|
44.5%
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A expenses
|
|
$
555,537
|
|
$
551,340
|
|
$
(4,197)
|
|
(0.8%)
|
|
|
|
|
|
|
|
|
|
|
|
Reported:
|
|
|
|
|
|
|
|
|
|
SG&A expenses as
a % of gross profit
|
|
|
|
|
|
|
|
|
Compensation
|
|
48.0%
|
|
47.7%
|
|
(30)
|
|
bps
|
|
Advertising
|
|
4.4%
|
|
4.4%
|
|
0
|
|
bps
|
|
Rent
|
|
5.3%
|
|
5.3%
|
|
0
|
|
bps
|
|
Other
|
|
22.7%
|
|
23.1%
|
|
40
|
|
bps
|
|
Total SG&A
expenses as a % of gross profit
|
|
80.4%
|
|
80.5%
|
|
10
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Gain on
disposal
|
|
0.0%
|
|
0.1%
|
|
10
|
|
bps
|
|
Storm damage and
other
|
|
(0.9%)
|
|
(0.8%)
|
|
10
|
|
bps
|
|
Total effect of
adjustments
|
|
(0.9%)
|
|
(0.7%)
|
|
20
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A as a % of gross profit
|
|
79.5%
|
|
79.8%
|
|
30
|
|
bps
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/sonic-automotive-inc-reports-quarterly-continuing-operations-earnings-per-share-of-050-300303678.html
SOURCE Sonic Automotive, Inc.