CHARLOTTE, N.C., Nov. 1, 2016 /PRNewswire/ --
Third Quarter 2016 Highlights
- All-time record quarterly used retail unit sales of 30,933, up
1.5% over the prior year quarter
- Record third quarter fixed operations gross profit of
$170.0 million, up 0.2% over the
prior year quarter with one less selling day
- All-time record F&I quarterly gross profit of $89.6 million, up 4.4% over the prior year
quarter
- EchoPark® stores retail 1,458 units, up 58.5% from
the prior year quarter – five stores operational in the
Denver market
Sonic Automotive, Inc. (NYSE: SAH), one of the nation's largest
automotive retailers, today reported financial results for the
third quarter of 2016.
GAAP Basis
Net income from continuing operations for the third quarter of
2016 was $19.0 million, or
$0.42 per diluted share.
Included in these amounts are net pre-tax charges totaling
$3.7 million, or $0.05 per diluted share, consisting of fixed
asset impairment charges (relating to a facility construction
project and the abandonment of certain construction projects) which
were partially offset by favorable storm-related physical damage
and legal accrual adjustments. Also included in the reported
amounts for the third quarter of 2016 is a net loss from operations
related to EchoPark® of $2.3
million, or $0.05 per diluted
share.
Net income from continuing operations for the third quarter of
2015 was $27.1 million, or
$0.53 per diluted share.
Included in these reported amounts is a net loss from
operations related to EchoPark® of $2.2 million, or $0.04 per diluted share.
Adjusted Basis
Adjusted net income from continuing operations for the third
quarter of 2016 was $21.2 million, or
$0.47 per diluted share.
Excluded from these adjusted amounts are the impairment of fixed
assets, physical damage and legal adjustments discussed above (see
attached tables for additional information and reconciliation of
reported GAAP basis amounts to adjusted balances).
There were no adjusted amounts for the third quarter of
2015.
Commentary
Jeff Dyke, Sonic's EVP of
Operations, stated, "We had another record quarter in fixed
operations, F&I and pre-owned, but did face headwinds during
the quarter. Stop-sale vehicles, BMW brand performance and
weakness in one of our most profitable markets, Houston, negatively impacted our
results. Given BMW's brand performance during the quarter and
that BMW stores represent over 30% of our profitability, we were
negatively impacted. We have absolute confidence in the BMW
brand and are working with our partners at BMW to address this bump
in the road, which we view as a short-term issue.
We are making progress with our stop-sale inventory
with less than 2,200 units on hand at the end of the third quarter
of 2016 compared to nearly 4,700 units on hand at the end of the
second quarter of 2016. Finally, we expect
weakness to continue in the Houston market, especially in our high-line
stores, through at least the end of the year as we believe the
energy sector's recovery may take time to gain some momentum."
"Our One Sonic-One Experience ("OSOE") stores are also making
good progress and we plan to launch the technology in our first BMW
store in the first quarter of 2017. The technology, pricing
tools and OSOE playbook have continued to develop nicely and we are
excited to see how these tools can be leveraged in a BMW retail
operation. We are confident that the implementation of OSOE
will greatly enhance our BMW customers' buying experience as our
EchoPark® stores and current OSOE stores boast some of
the very highest social media reputation scores in the
industry."
B. Scott Smith, Sonic's Chief
Executive Officer, noted, "We continued to execute our long-term
strategies during a challenging third quarter. Expansion of
EchoPark® is continuing with two new stores operating
during the quarter. We are very excited that combined, our
original three stores generated positive cash during the third
quarter. Our sixth Denver
market store, located in Colorado
Springs, will open during the first half of 2017. In
addition, we will break ground on our first Texas locations in the first half of
2017."
"We are also very excited to announce the progress we are making
with our open-points. Our new Mercedes-Benz open-point in
McKinney, Texas began operations
during the quarter. We expect this store to contribute in
excess of $100 million in revenue
once it is completely ramped up. The Nissan open-point in
Cleveland, Tennessee, with
expected annual revenues in excess of $30
million, will open before the end of the current year.
Lastly, our Pensacola Audi open-point broke ground during the
quarter and is expected to open in the first quarter of 2017.
Once fully operational, we anticipate this store will produce
annual revenues in excess of $50
million. We continue to work with our manufacturer
partners and anticipate further growth via additional open-points
over the next several years."
"Lastly, our commitment to return capital to shareholders
continued during the quarter as we repurchased approximately
579,000 Class A shares for roughly $10.0
million and declared a dividend with an expected payment of
$2.2 million. This brings our
year-to-date annual return of capital to shareholders through stock
repurchases to $97.5 million.
Coupled with dividends declared during 2016 of $9.0 million, we will have returned over
$100 million to shareholders so far
in 2016."
"Based on results experienced so far this year and uncertainty
related to new vehicle margins in the fourth quarter, we are
adjusting our earnings guidance range. We currently estimate
diluted earnings per share from continuing operations for the
fourth quarter of 2016 will range from $0.59
to $0.69 and $1.95 to $2.05 on
an adjusted basis for the full year of 2016. This guidance
does not include the effect of any amounts related to an
anticipated settlement with VW expected to be finalized by the end
of the year."
Dividend
Sonic's Board of Directors approved a quarterly dividend of
$0.05 per share payable in cash for
stockholders of record on December 15,
2016. The dividend will be payable on January 13, 2017.
Third 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 "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: 96968408
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: 96968408
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, anticipated improved profitability
in the fourth quarter of 2016, anticipated continued weakness in
the Houston market, anticipated
launch of OSOE technology in new markets in the first quarter of
2017, anticipated opening dates for and anticipated future annual
revenues from previously-announced open-point dealerships,
anticipated additional open-point dealerships in future years, and
anticipated diluted earnings per share from continuing operations
for the fourth quarter and the full year ending December 31, 2016. There are many factors
that affect management's views about future events and trends of
the Company's business. These factors involve risks 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,
except as required under federal securities laws and the rules and
regulations of the SEC.
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
September 30,
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
(In thousands,
except per share and unit data)
|
Revenues:
|
|
|
|
|
|
|
|
|
New retail
vehicles
|
|
$
1,364,842
|
|
$
1,352,180
|
|
$
3,784,122
|
|
$
3,828,027
|
Fleet
vehicles
|
|
10,302
|
|
15,849
|
|
42,056
|
|
37,612
|
Total new
vehicles
|
|
1,375,144
|
|
1,368,029
|
|
3,826,178
|
|
3,865,639
|
Used
vehicles
|
|
660,974
|
|
652,058
|
|
1,881,514
|
|
1,904,594
|
Wholesale
vehicles
|
|
70,522
|
|
37,971
|
|
153,141
|
|
120,760
|
Total
vehicles
|
|
2,106,640
|
|
2,058,058
|
|
5,860,833
|
|
5,890,993
|
Parts, service and
collision repair
|
|
361,709
|
|
350,520
|
|
1,059,093
|
|
1,019,878
|
Finance, insurance
and other, net
|
|
89,579
|
|
85,830
|
|
254,940
|
|
242,792
|
Total
revenues
|
|
2,557,928
|
|
2,494,408
|
|
7,174,866
|
|
7,153,663
|
Gross
profit
|
|
359,085
|
|
360,251
|
|
1,057,540
|
|
1,050,764
|
Selling, general and
administrative expenses
|
|
(282,141)
|
|
(280,041)
|
|
(843,721)
|
|
(835,564)
|
Impairment
charges
|
|
(6,089)
|
|
(37)
|
|
(6,240)
|
|
(16,698)
|
Depreciation and
amortization
|
|
(19,928)
|
|
(17,250)
|
|
(57,302)
|
|
(50,953)
|
Operating income
(loss)
|
|
50,927
|
|
62,923
|
|
150,277
|
|
147,549
|
Other income
(expense):
|
|
|
|
|
|
|
|
Interest expense,
floor plan
|
|
(6,672)
|
|
(5,364)
|
|
(19,797)
|
|
(15,488)
|
Interest expense,
other, net
|
|
(13,016)
|
|
(12,361)
|
|
(37,560)
|
|
(38,635)
|
Other income
(expense), net
|
|
11
|
|
-
|
|
120
|
|
102
|
Total other income
(expense)
|
|
(19,677)
|
|
(17,725)
|
|
(57,237)
|
|
(54,021)
|
Income (loss) from
continuing operations before taxes
|
|
31,250
|
|
45,198
|
|
93,040
|
|
93,528
|
Provision for income
taxes for continuing operations - benefit (expense)
|
|
(12,281)
|
|
(18,095)
|
|
(36,565)
|
|
(36,944)
|
Income (loss) from
continuing operations
|
|
18,969
|
|
27,103
|
|
56,475
|
|
56,584
|
Income (loss) from
discontinued operations
|
|
(858)
|
|
(598)
|
|
(918)
|
|
(1,331)
|
Net income
(loss)
|
|
$
18,111
|
|
$
26,505
|
|
$
55,557
|
|
$
55,253
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) per common share:
|
|
|
|
|
|
|
|
Earnings (loss) per
share from continuing operations
|
|
$
0.42
|
|
$
0.53
|
|
$
1.22
|
|
$
1.11
|
Earnings (loss) per
share from discontinued operations
|
|
(0.02)
|
|
(0.01)
|
|
(0.02)
|
|
(0.03)
|
Earnings (loss) per
common share
|
|
$
0.40
|
|
$
0.52
|
|
$
1.20
|
|
$
1.08
|
Weighted average common
shares outstanding
|
|
45,354
|
|
50,769
|
|
46,130
|
|
51,086
|
|
|
|
|
|
|
|
|
Gross Margin Data
(Continuing Operations):
|
|
|
|
|
|
|
|
New retail
vehicles
|
|
4.6%
|
|
4.8%
|
|
4.9%
|
|
5.1%
|
Fleet
vehicles
|
|
0.3%
|
|
(0.8%)
|
|
0.5%
|
|
(0.5%)
|
Total new
vehicles
|
|
4.5%
|
|
4.8%
|
|
4.9%
|
|
5.0%
|
Used
vehicles
|
|
6.0%
|
|
6.4%
|
|
6.2%
|
|
6.5%
|
Wholesale
vehicles
|
|
(3.6%)
|
|
(6.5%)
|
|
(3.5%)
|
|
(4.4%)
|
Parts, service and
collision repair
|
|
47.0%
|
|
48.4%
|
|
47.6%
|
|
48.7%
|
Finance, insurance
and other
|
|
100.0%
|
|
100.0%
|
|
100.0%
|
|
100.0%
|
Overall gross
margin
|
|
14.0%
|
|
14.4%
|
|
14.7%
|
|
14.7%
|
|
|
|
|
|
|
|
|
SG&A Expenses
(Continuing Operations):
|
|
|
|
|
|
|
|
Compensation
|
|
$
171,287
|
|
$
167,489
|
|
$
506,894
|
|
$
497,158
|
Advertising
|
|
14,987
|
|
15,470
|
|
45,834
|
|
46,160
|
Rent
|
|
18,037
|
|
18,558
|
|
55,265
|
|
55,058
|
Other
|
|
77,830
|
|
78,524
|
|
235,728
|
|
237,188
|
Total SG&A
expenses
|
|
$
282,141
|
|
$
280,041
|
|
$
843,721
|
|
$
835,564
|
SG&A expenses as
% of gross profit
|
|
78.6%
|
|
77.7%
|
|
79.8%
|
|
79.5%
|
|
|
|
|
|
|
|
|
Operating Margin
%
|
|
2.0%
|
|
2.5%
|
|
2.1%
|
|
2.1%
|
|
|
|
|
|
|
|
|
Unit Data (Continuing
Operations):
|
|
|
|
|
|
|
|
New retail
units
|
|
35,715
|
|
36,891
|
|
99,100
|
|
102,901
|
Fleet
units
|
|
339
|
|
602
|
|
1,341
|
|
1,244
|
Total new
units
|
|
36,054
|
|
37,493
|
|
100,441
|
|
104,145
|
Used units
|
|
30,933
|
|
30,467
|
|
89,553
|
|
88,903
|
Wholesale
units
|
|
10,377
|
|
7,787
|
|
26,012
|
|
23,574
|
Sonic Automotive,
Inc. Results of
Operations (Unaudited)
|
|
Per Share
Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 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
|
|
45,118
|
|
$
18,969
|
|
|
|
$
(858)
|
|
|
|
$
18,111
|
|
|
Effect of
participating securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(11)
|
|
|
|
-
|
|
|
|
(11)
|
|
|
Basic earnings (loss)
and shares
|
|
45,118
|
|
$
18,958
|
|
$
0.42
|
|
$
(858)
|
|
$
(0.02)
|
|
$
18,100
|
|
$
0.40
|
Effect of dilutive
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock compensation
plans
|
|
236
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) and shares
|
|
45,354
|
|
$
18,958
|
|
$
0.42
|
|
$
(858)
|
|
$
(0.02)
|
|
$
18,100
|
|
$
0.40
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Impairment
charges
|
|
|
|
$
6,089
|
|
|
|
$
-
|
|
|
|
$
6,089
|
|
|
Storm damage and
other
|
|
|
|
(2,341)
|
|
|
|
1,000
|
|
|
|
(1,341)
|
|
|
Total adjustments
before taxes
|
|
|
|
3,748
|
|
|
|
1,000
|
|
|
|
4,748
|
|
|
Income tax effect of
above adjustments
|
|
|
|
(1,473)
|
|
|
|
(390)
|
|
|
|
(1,863)
|
|
|
Effect of adjustments,
net of income taxes
|
|
|
|
$
2,275
|
|
$
0.05
|
|
$
610
|
|
$
0.01
|
|
$
2,885
|
|
$
0.06
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss)
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
diluted earnings (loss)
per share (1)
|
|
|
|
$
21,244
|
|
$
0.47
|
|
$
(248)
|
|
$
(0.01)
|
|
$
20,996
|
|
$
0.46
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Net loss
attributable to EchoPark® operations was $0.05 per fully diluted
share in the three months ended September 30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three 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
|
|
50,456
|
|
$
27,103
|
|
|
|
$
(598)
|
|
|
|
$
26,505
|
|
|
Effect of
participating securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(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 (2)
|
|
50,769
|
|
$
27,090
|
|
$
0.53
|
|
$
(598)
|
|
$
(0.01)
|
|
$
26,492
|
|
$
0.52
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) Net loss
attributable to EchoPark® operations was $0.04 per fully diluted
share in the three months ended September 30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per Share
Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 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
|
|
45,930
|
|
$
56,475
|
|
|
|
$
(918)
|
|
|
|
$
55,557
|
|
|
Effect of
participating securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(31)
|
|
|
|
-
|
|
|
|
(31)
|
|
|
Basic earnings (loss)
and shares
|
|
45,930
|
|
$
56,444
|
|
$
1.23
|
|
$
(918)
|
|
$
(0.02)
|
|
$
55,526
|
|
$
1.21
|
Effect of dilutive
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock compensation
plans
|
|
200
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) and shares
|
|
46,130
|
|
$
56,444
|
|
$
1.22
|
|
$
(918)
|
|
$
(0.02)
|
|
$
55,526
|
|
$
1.20
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Impairment
charges
|
|
|
|
$
6,089
|
|
|
|
$
-
|
|
|
|
$
6,089
|
|
|
Storm damage and
other
|
|
|
|
3,702
|
|
|
|
477
|
|
|
|
4,179
|
|
|
Total adjustments
before taxes
|
|
|
|
9,791
|
|
|
|
477
|
|
|
|
10,268
|
|
|
Income tax effect of
above adjustments
|
|
|
|
(3,818)
|
|
|
|
(187)
|
|
|
|
(4,005)
|
|
|
Effect of adjustments,
net of income taxes
|
|
|
|
$
5,973
|
|
$
0.13
|
|
$
290
|
|
$
0.01
|
|
$
6,263
|
|
$
0.14
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss)
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
diluted earnings (loss)
per share (3)
|
|
|
|
$
62,448
|
|
$
1.35
|
|
$
(628)
|
|
$
(0.01)
|
|
$
61,820
|
|
$
1.34
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3) Net loss
attributable to EchoPark® operations was $0.14 per fully diluted
share in the nine months ended September 30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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
|
|
|
|
(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:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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)
|
|
|
|
$
69,299
|
|
$
1.36
|
|
$
(1,331)
|
|
$
(0.03)
|
|
$
67,968
|
|
$
1.33
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(4) Net loss
attributable to EchoPark® operations was $0.15 per fully diluted
share in the nine months ended September 30, 2015
|
|
|
|
Sonic Automotive,
Inc.
Results of
Operations (Unaudited)
|
|
New
Vehicles
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
Revenue
|
|
$
1,375,144
|
|
$
1,368,029
|
|
$
7,115
|
|
0.5%
|
Gross
profit
|
|
$
62,388
|
|
$
65,435
|
|
$
(3,047)
|
|
(4.7%)
|
Unit sales
|
|
36,054
|
|
37,493
|
|
(1,439)
|
|
(3.8%)
|
Revenue per
unit
|
|
$
38,141
|
|
$
36,488
|
|
$
1,653
|
|
4.5%
|
Gross profit per
unit
|
|
$
1,730
|
|
$
1,745
|
|
$
(15)
|
|
(0.9%)
|
Gross profit as a %
of revenue
|
|
4.5%
|
|
4.8%
|
|
(30)
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
Revenue
|
|
$
3,826,178
|
|
$
3,865,639
|
|
$
(39,461)
|
|
(1.0%)
|
Gross
profit
|
|
$
186,678
|
|
$
193,720
|
|
$
(7,042)
|
|
(3.6%)
|
Unit sales
|
|
100,441
|
|
104,145
|
|
(3,704)
|
|
(3.6%)
|
Revenue per
unit
|
|
$
38,094
|
|
$
37,118
|
|
$
976
|
|
2.6%
|
Gross profit per
unit
|
|
$
1,859
|
|
$
1,860
|
|
$
(1)
|
|
(0.1%)
|
Gross profit as a %
of revenue
|
|
4.9%
|
|
5.0%
|
|
(10)
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
Revenue
|
|
$
1,369,958
|
|
$
1,354,798
|
|
$
15,160
|
|
1.1%
|
Gross
profit
|
|
$
61,794
|
|
$
64,853
|
|
$
(3,059)
|
|
(4.7%)
|
Unit sales
|
|
35,957
|
|
37,164
|
|
(1,207)
|
|
(3.2%)
|
Revenue per
unit
|
|
$
38,100
|
|
$
36,455
|
|
$
1,645
|
|
4.5%
|
Gross profit per
unit
|
|
$
1,719
|
|
$
1,745
|
|
$
(26)
|
|
(1.5%)
|
Gross profit as a %
of revenue
|
|
4.5%
|
|
4.8%
|
|
(30)
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
Revenue
|
|
$
3,820,992
|
|
$
3,827,094
|
|
$
(6,102)
|
|
(0.2%)
|
Gross
profit
|
|
$
186,011
|
|
$
192,204
|
|
$
(6,193)
|
|
(3.2%)
|
Unit sales
|
|
100,344
|
|
103,175
|
|
(2,831)
|
|
(2.7%)
|
Revenue per
unit
|
|
$
38,079
|
|
$
37,093
|
|
$
986
|
|
2.7%
|
Gross profit per
unit
|
|
$
1,854
|
|
$
1,863
|
|
$
(9)
|
|
(0.5%)
|
Gross profit as a %
of revenue
|
|
4.9%
|
|
5.0%
|
|
(10)
|
bps
|
|
Sonic Automotive,
Inc. Results of
Operations (Unaudited)
|
|
Used
Vehicles
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
Revenue
|
|
$
660,974
|
|
$
652,058
|
|
$
8,916
|
|
1.4%
|
Gross
profit
|
|
$
39,622
|
|
$
41,730
|
|
$
(2,108)
|
|
(5.1%)
|
Unit sales
|
|
30,933
|
|
30,467
|
|
466
|
|
1.5%
|
Revenue per
unit
|
|
$
21,368
|
|
$
21,402
|
|
$
(34)
|
|
(0.2%)
|
Gross profit per
unit
|
|
$
1,281
|
|
$
1,370
|
|
$
(89)
|
|
(6.5%)
|
Gross profit as a %
of revenue
|
|
6.0%
|
|
6.4%
|
|
(40)
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
Revenue
|
|
$
1,881,514
|
|
$
1,904,594
|
|
$
(23,080)
|
|
(1.2%)
|
Gross
profit
|
|
$
117,121
|
|
$
123,271
|
|
$
(6,150)
|
|
(5.0%)
|
Unit sales
|
|
89,553
|
|
88,903
|
|
650
|
|
0.7%
|
Revenue per
unit
|
|
$
21,010
|
|
$
21,423
|
|
$
(413)
|
|
(1.9%)
|
Gross profit per
unit
|
|
$
1,308
|
|
$
1,387
|
|
$
(79)
|
|
(5.7%)
|
Gross profit as a %
of revenue
|
|
6.2%
|
|
6.5%
|
|
(30)
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
Revenue
|
|
$
649,308
|
|
$
644,255
|
|
$
5,053
|
|
0.8%
|
Gross
profit
|
|
$
39,862
|
|
$
41,726
|
|
$
(1,864)
|
|
(4.5%)
|
Unit sales
|
|
30,433
|
|
30,053
|
|
380
|
|
1.3%
|
Revenue per
unit
|
|
$
21,336
|
|
$
21,437
|
|
$
(101)
|
|
(0.5%)
|
Gross profit per
unit
|
|
$
1,310
|
|
$
1,388
|
|
$
(78)
|
|
(5.6%)
|
Gross profit as a %
of revenue
|
|
6.1%
|
|
6.5%
|
|
(40)
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
Revenue
|
|
$
1,869,441
|
|
$
1,878,064
|
|
$
(8,623)
|
|
(0.5%)
|
Gross
profit
|
|
$
118,250
|
|
$
123,062
|
|
$
(4,812)
|
|
(3.9%)
|
Unit sales
|
|
89,033
|
|
87,549
|
|
1,484
|
|
1.7%
|
Revenue per
unit
|
|
$
20,997
|
|
$
21,452
|
|
$
(455)
|
|
(2.1%)
|
Gross profit per
unit
|
|
$
1,328
|
|
$
1,406
|
|
$
(78)
|
|
(5.5%)
|
Gross profit as a %
of revenue
|
|
6.3%
|
|
6.6%
|
|
(30)
|
bps
|
|
Sonic Automotive,
Inc. Results of
Operations (Unaudited)
|
|
|
|
|
|
|
Wholesale
Vehicles
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
70,522
|
|
$
37,971
|
|
$
32,551
|
|
85.7%
|
Gross profit
(loss)
|
|
$
(2,507)
|
|
$
(2,481)
|
|
$
(26)
|
|
(1.0%)
|
Unit sales
|
|
10,377
|
|
7,787
|
|
2,590
|
|
33.3%
|
Revenue per
unit
|
|
$
6,796
|
|
$
4,876
|
|
$
1,920
|
|
39.4%
|
Gross profit (loss)
per unit
|
|
$
(242)
|
|
$
(319)
|
|
$
77
|
|
24.1%
|
Gross profit (loss)
as a % of revenue
|
|
(3.6%)
|
|
(6.5%)
|
|
290
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
153,141
|
|
$
120,760
|
|
$
32,381
|
|
26.8%
|
Gross profit
(loss)
|
|
$
(5,425)
|
|
$
(5,366)
|
|
$
(59)
|
|
(1.1%)
|
Unit sales
|
|
26,012
|
|
23,574
|
|
2,438
|
|
10.3%
|
Revenue per
unit
|
|
$
5,887
|
|
$
5,123
|
|
$
764
|
|
14.9%
|
Gross profit (loss)
per unit
|
|
$
(209)
|
|
$
(228)
|
|
$
19
|
|
8.3%
|
Gross profit (loss)
as a % of revenue
|
|
(3.5%)
|
|
(4.4%)
|
|
90
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
70,029
|
|
$
37,599
|
|
$
32,430
|
|
86.3%
|
Gross profit
(loss)
|
|
$
(2,385)
|
|
$
(2,420)
|
|
$
35
|
|
1.4%
|
Unit sales
|
|
10,323
|
|
7,722
|
|
2,601
|
|
33.7%
|
Revenue per
unit
|
|
$
6,784
|
|
$
4,869
|
|
$
1,915
|
|
39.3%
|
Gross profit (loss)
per unit
|
|
$
(231)
|
|
$
(313)
|
|
$
82
|
|
26.2%
|
Gross profit (loss)
as a % of revenue
|
|
(3.4%)
|
|
(6.4%)
|
|
300
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
152,627
|
|
$
119,269
|
|
$
33,358
|
|
28.0%
|
Gross profit
(loss)
|
|
$
(5,300)
|
|
$
(5,072)
|
|
$
(228)
|
|
(4.5%)
|
Unit sales
|
|
25,953
|
|
23,300
|
|
2,653
|
|
11.4%
|
Revenue per
unit
|
|
$
5,881
|
|
$
5,119
|
|
$
762
|
|
14.9%
|
Gross profit (loss)
per unit
|
|
$
(204)
|
|
$
(218)
|
|
$
14
|
|
6.4%
|
Gross profit (loss)
as a % of revenue
|
|
(3.5%)
|
|
(4.3%)
|
|
80
|
bps
|
|
Sonic Automotive,
Inc.
Results of
Operations (Unaudited)
|
|
|
|
|
Parts, Service
and Collision Repair ("Fixed Operations")
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
Reported:
|
|
(In
thousands)
|
Revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
146,365
|
|
$
147,308
|
|
$
(943)
|
|
(0.6%)
|
Warranty
|
|
60,388
|
|
58,522
|
|
1,866
|
|
3.2%
|
Wholesale
parts
|
|
44,202
|
|
45,832
|
|
(1,630)
|
|
(3.6%)
|
Internal, sublet and
other
|
|
110,754
|
|
98,858
|
|
11,896
|
|
12.0%
|
Total
|
|
$
361,709
|
|
$
350,520
|
|
$
11,189
|
|
3.2%
|
Gross
profit
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
79,153
|
|
$
80,588
|
|
$
(1,435)
|
|
(1.8%)
|
Warranty
|
|
32,176
|
|
32,337
|
|
(161)
|
|
(0.5%)
|
Wholesale
parts
|
|
7,566
|
|
8,045
|
|
(479)
|
|
(6.0%)
|
Internal, sublet and
other
|
|
51,108
|
|
48,767
|
|
2,341
|
|
4.8%
|
Total
|
|
$
170,003
|
|
$
169,737
|
|
$
266
|
|
0.2%
|
Gross profit as a %
of revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
54.1%
|
|
54.7%
|
|
(60)
|
bps
|
|
Warranty
|
|
53.3%
|
|
55.3%
|
|
(200)
|
bps
|
|
Wholesale
parts
|
|
17.1%
|
|
17.6%
|
|
(50)
|
bps
|
|
Internal, sublet and
other
|
|
46.1%
|
|
49.3%
|
|
(320)
|
bps
|
|
Total
|
|
47.0%
|
|
48.4%
|
|
(140)
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
Reported:
|
|
(In
thousands)
|
Revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
443,007
|
|
$
431,479
|
|
$
11,528
|
|
2.7%
|
Warranty
|
|
172,759
|
|
169,170
|
|
3,589
|
|
2.1%
|
Wholesale
parts
|
|
133,533
|
|
136,693
|
|
(3,160)
|
|
(2.3%)
|
Internal, sublet and
other
|
|
309,794
|
|
282,536
|
|
27,258
|
|
9.6%
|
Total
|
|
$
1,059,093
|
|
$
1,019,878
|
|
$
39,215
|
|
3.8%
|
Gross
profit
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
240,833
|
|
$
236,551
|
|
$
4,282
|
|
1.8%
|
Warranty
|
|
92,951
|
|
94,776
|
|
(1,825)
|
|
(1.9%)
|
Wholesale
parts
|
|
23,305
|
|
24,332
|
|
(1,027)
|
|
(4.2%)
|
Internal, sublet and
other
|
|
147,137
|
|
140,688
|
|
6,449
|
|
4.6%
|
Total
|
|
$
504,226
|
|
$
496,347
|
|
$
7,879
|
|
1.6%
|
Gross profit as a %
of revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
54.4%
|
|
54.8%
|
|
(40)
|
bps
|
|
Warranty
|
|
53.8%
|
|
56.0%
|
|
(220)
|
bps
|
|
Wholesale
parts
|
|
17.5%
|
|
17.8%
|
|
(30)
|
bps
|
|
Internal, sublet and
other
|
|
47.5%
|
|
49.8%
|
|
(230)
|
bps
|
|
Total
|
|
47.6%
|
|
48.7%
|
|
(110)
|
bps
|
|
Sonic Automotive,
Inc. Results of
Operations (Unaudited)
|
|
|
|
|
|
Parts, Service
and Collision Repair ("Fixed Operations")
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
Same
Store:
|
|
(In
thousands)
|
Revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
146,048
|
|
$
145,938
|
|
$
110
|
|
0.1%
|
Warranty
|
|
60,307
|
|
57,858
|
|
2,449
|
|
4.2%
|
Wholesale
parts
|
|
44,199
|
|
45,270
|
|
(1,071)
|
|
(2.4%)
|
Internal, sublet and
other
|
|
109,657
|
|
97,765
|
|
11,892
|
|
12.2%
|
Total
|
|
$
360,211
|
|
$
346,831
|
|
$
13,380
|
|
3.9%
|
Gross
profit
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
78,995
|
|
$
79,791
|
|
$
(796)
|
|
(1.0%)
|
Warranty
|
|
32,094
|
|
32,042
|
|
52
|
|
0.2%
|
Wholesale
parts
|
|
7,565
|
|
7,916
|
|
(351)
|
|
(4.4%)
|
Internal, sublet and
other
|
|
50,345
|
|
48,116
|
|
2,229
|
|
4.6%
|
Total
|
|
$
168,999
|
|
$
167,865
|
|
$
1,134
|
|
0.7%
|
Gross profit as a %
of revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
54.1%
|
|
54.7%
|
|
(60)
|
bps
|
|
Warranty
|
|
53.2%
|
|
55.4%
|
|
(220)
|
bps
|
|
Wholesale
parts
|
|
17.1%
|
|
17.5%
|
|
(40)
|
bps
|
|
Internal, sublet and
other
|
|
45.9%
|
|
49.2%
|
|
(330)
|
bps
|
|
Total
|
|
46.9%
|
|
48.4%
|
|
(150)
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
Same
Store:
|
|
(In
thousands)
|
Revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
442,688
|
|
$
424,867
|
|
$
17,821
|
|
4.2%
|
Warranty
|
|
172,678
|
|
166,934
|
|
5,744
|
|
3.4%
|
Wholesale
parts
|
|
133,530
|
|
134,605
|
|
(1,075)
|
|
(0.8%)
|
Internal, sublet and
other
|
|
308,680
|
|
278,733
|
|
29,947
|
|
10.7%
|
Total
|
|
$
1,057,576
|
|
$
1,005,139
|
|
$
52,437
|
|
5.2%
|
Gross
profit
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
240,675
|
|
$
232,869
|
|
$
7,806
|
|
3.4%
|
Warranty
|
|
92,919
|
|
93,614
|
|
(695)
|
|
(0.7%)
|
Wholesale
parts
|
|
23,304
|
|
23,906
|
|
(602)
|
|
(2.5%)
|
Internal, sublet and
other
|
|
145,882
|
|
138,710
|
|
7,172
|
|
5.2%
|
Total
|
|
$
502,780
|
|
$
489,099
|
|
$
13,681
|
|
2.8%
|
Gross profit as a %
of revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
54.4%
|
|
54.8%
|
|
(40)
|
bps
|
|
Warranty
|
|
53.8%
|
|
56.1%
|
|
(230)
|
bps
|
|
Wholesale
parts
|
|
17.5%
|
|
17.8%
|
|
(30)
|
bps
|
|
Internal, sublet and
other
|
|
47.3%
|
|
49.8%
|
|
(250)
|
bps
|
|
Total
|
|
47.5%
|
|
48.7%
|
|
(120)
|
bps
|
|
Sonic Automotive,
Inc. Results of
Operations (Unaudited)
|
|
|
|
Finance,
Insurance and Other, Net ("F&I")
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except per unit data)
|
Reported:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
89,579
|
|
$
85,830
|
|
$
3,749
|
|
4.4%
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,344
|
|
$
1,274
|
|
$
70
|
|
5.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except per unit data)
|
Reported:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
254,940
|
|
$
242,792
|
|
$
12,148
|
|
5.0%
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,351
|
|
$
1,266
|
|
$
85
|
|
6.7%
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
88,551
|
|
$
84,981
|
|
$
3,570
|
|
4.2%
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,341
|
|
$
1,276
|
|
$
65
|
|
5.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
253,287
|
|
$
240,163
|
|
$
13,124
|
|
5.5%
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,347
|
|
$
1,267
|
|
$
80
|
|
6.3%
|
Sonic Automotive,
Inc. Results of
Operations (Unaudited)
|
|
|
Selling,
General and Administrative ("SG&A") Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In
thousands)
|
Reported:
|
|
|
|
|
|
|
|
|
Compensation
|
|
$
171,287
|
|
$
167,489
|
|
$
(3,798)
|
|
(2.3%)
|
Advertising
|
|
14,987
|
|
15,470
|
|
483
|
|
3.1%
|
Rent
|
|
18,037
|
|
18,558
|
|
521
|
|
2.8%
|
Other
|
|
77,830
|
|
78,524
|
|
694
|
|
0.9%
|
Total SG&A
expenses
|
|
$
282,141
|
|
$
280,041
|
|
$
(2,100)
|
|
(0.7%)
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
Storm damage and
other
|
|
$
2,341
|
|
$
-
|
|
$
2,341
|
|
100.0%
|
Total SG&A
adjustments
|
|
$
2,341
|
|
$
-
|
|
$
2,341
|
|
100.0%
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A expenses
|
|
$
284,482
|
|
$
280,041
|
|
$
(4,441)
|
|
(1.6%)
|
|
|
|
|
|
|
|
|
|
Reported:
|
|
|
|
|
|
|
|
|
SG&A expenses as
a % of gross profit
|
|
|
|
|
|
|
|
Compensation
|
|
47.7%
|
|
46.5%
|
|
(120)
|
bps
|
|
Advertising
|
|
4.2%
|
|
4.3%
|
|
10
|
bps
|
|
Rent
|
|
5.0%
|
|
5.2%
|
|
20
|
bps
|
|
Other
|
|
21.7%
|
|
21.7%
|
|
(0)
|
bps
|
|
Total SG&A
expenses as a % of gross profit
|
|
78.6%
|
|
77.7%
|
|
(90)
|
bps
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
Storm damage and
other
|
|
0.6%
|
|
0.0%
|
|
(60)
|
bps
|
|
Total effect of
adjustments
|
|
0.6%
|
|
0.0%
|
|
(60)
|
bps
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A as a % of gross profit
|
|
79.2%
|
|
77.7%
|
|
(150)
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In
thousands)
|
Reported:
|
|
|
|
|
|
|
|
Compensation
|
|
$
506,894
|
|
$
497,158
|
|
$
(9,736)
|
|
(2.0%)
|
Advertising
|
|
45,834
|
|
46,160
|
|
326
|
|
0.7%
|
Rent
|
|
55,265
|
|
55,058
|
|
(207)
|
|
(0.4%)
|
Other
|
|
235,728
|
|
237,188
|
|
1,460
|
|
0.6%
|
Total SG&A
expenses
|
|
$
843,721
|
|
$
835,564
|
|
$
(8,157)
|
|
(1.0%)
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
Gain on
disposal
|
|
$
-
|
|
$
955
|
|
$
(955)
|
|
(100.0%)
|
Storm damage and
other
|
|
(3,702)
|
|
(5,138)
|
|
1,436
|
|
27.9%
|
Total SG&A
adjustments
|
|
$
(3,702)
|
|
$
(4,183)
|
|
$
481
|
|
11.5%
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A expenses
|
|
$
840,019
|
|
$
831,381
|
|
$
(8,638)
|
|
(1.0%)
|
|
|
|
|
|
|
|
|
|
Reported:
|
|
|
|
|
|
|
|
|
SG&A expenses as
a % of gross profit
|
|
|
|
|
|
|
|
Compensation
|
|
47.9%
|
|
47.3%
|
|
(60)
|
bps
|
|
Advertising
|
|
4.3%
|
|
4.4%
|
|
10
|
bps
|
|
Rent
|
|
5.2%
|
|
5.2%
|
|
0
|
bps
|
|
Other
|
|
22.4%
|
|
22.6%
|
|
20
|
bps
|
|
Total SG&A
expenses as a % of gross profit
|
|
79.8%
|
|
79.5%
|
|
(30)
|
bps
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
Gain on
disposal
|
|
0.0%
|
|
0.1%
|
|
10
|
bps
|
|
Storm damage and
other
|
|
(0.4%)
|
|
(0.5%)
|
|
(10)
|
bps
|
|
Total effect of
adjustments
|
|
(0.4%)
|
|
(0.4%)
|
|
-
|
bps
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A as a % of gross profit
|
|
79.4%
|
|
79.1%
|
|
(30)
|
bps
|
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/sonic-automotive-inc-reports-third-quarter-earnings-300354814.html
SOURCE Sonic Automotive, Inc.