CHARLOTTE, N.C., Feb. 21, 2017 /PRNewswire/ --
Fourth Quarter 2016 Results
- Record Q4 pre-owned units and gross profit of 29,621 and
$41.5 million, respectively
- Record Q4 fixed operations gross profit of $169.9 million, up 0.5% over the prior year
quarter
- Record Q4 F&I gross profit and gross profit per retail unit
of $88.3 million and $1,363, respectively
- Record Q4 total gross profit of $371.7
million, up 2.2% over the prior year quarter
- EchoPark® stores retailed 1,330 units, up 74.1% over
the prior year quarter
Full Year 2016 Results
- Record annual pre-owned units of 119,174, up 1.8% over the
prior year
- Record annual fixed operations gross profit of $674.1 million, up 1.3% over the prior year
- Record annual F&I gross profit and gross profit per retail
unit of $343.3 million and
$1,354, respectively
- Record annual total gross profit of $1.429 billion, up 1.0% over the prior year
- EchoPark® stores retailed 4,865 units, up 50.9% over
the prior year
Sonic Automotive, Inc. (NYSE: SAH), one of the nation's largest
automotive retailers, today reported financial results for the
fourth quarter and full year of 2016.
GAAP Basis
Net income from continuing operations for the fourth quarter of
2016 and 2015 was $38.0 million, or
$0.84 per diluted share, and
$31.5 million, or $0.63 per diluted share,
respectively. Also included in the reported
amounts for the fourth quarter of 2016 and 2015 is a net loss from
operations related to EchoPark® of $1.3 million, or $0.03 per diluted share, and $2.2 million, or $0.04 per diluted share, respectively.
Net income from continuing operations for the full year of 2016
and 2015 was $94.5 million, or
$2.06 per diluted share, and
$88.1 million, or $1.73 per diluted share, respectively. Also
included in the reported amounts for the full year of 2016 and 2015
is a net loss from operations related to EchoPark® of
$7.8 million, or $0.17 per diluted share, and $10.8 million, or $0.21 per diluted share, respectively.
Adjusted Basis
Adjusted net income from continuing operations and related
earnings per diluted share are non-GAAP financial measures.
The schedules included in this press release reconcile these
non-GAAP financial measures to the most directly comparable GAAP
financial measures.
Adjusted net income from continuing operations for the fourth
quarter of 2016 and 2015 was $29.8
million, or $0.66 per diluted
share, and $30.9 million, or
$0.61 per diluted share,
respectively. The adjustments in the 2016 quarterly period
relate to gains for a settlement with an original equipment
manufacturer ("OEM") and the adjustment of physical damage loss
accruals offset partially by losses related to fixed asset
impairments and lease exit charges. The adjustments in the
2015 quarterly period relate to gains from the disposal of
dealership franchises, offset partially by losses related to fixed
asset and franchise asset impairments.
Adjusted net income from continuing operations for the full year
of 2016 and 2015 was $92.3 million,
or $2.01 per diluted share, and
$100.2 million, or $1.97 per diluted share, respectively. The
adjustments in the 2016 annual period relate to gains for a
settlement with an OEM, partially offset by charges related to
physical damage losses, lease exit charges and fixed asset
impairments. The adjustments in the 2015 annual period
related to charges related to physical damage losses, legal
matters, lease exit charges and fixed assets impairments, franchise
assets and goodwill, offset partially by gains from the disposal of
dealership franchises.
Commentary
Jeff Dyke, Sonic's EVP of
Operations, stated, "We are very proud of our record setting
performance in the fourth quarter and throughout 2016. During
the year, increases in fixed operations and F&I gross profit
have been able to overshadow challenges experienced in the new and
used vehicle gross profit categories. We are very proud of our team
for how they handled these challenges driven by recalls,
over-supply of inventory and softening in the Houston, Texas market. The December month was
an all-time record breaking month for us and offset a weaker start
to the quarter. We sold, grossed, serviced and profited more
in December than in any month in our company's history. We
believe our brand mix, improvements in the Houston economy and our team's execution of
our Playbook strategy helped lead to this record breaking
performance. In addition, our stores representing three of
our most significant brands, Honda, BMW and Mercedes, were able to
outpace industry unit results during the fourth quarter."
"EchoPark® continues to improve its performance from
an operational and financial standpoint. Several of the
original stores in Denver were
cash flow positive in the fourth quarter at the store operating
level and our first store that has been open the longest was
profitable for the year. We have an additional store opening
in Colorado Springs in the second
quarter that will bring our store count total in Colorado to six. Our next market we
expect to open will be in Texas,
specifically, the San Antonio
market where we anticipate openings of at least three new locations
in late 2017. We are excited about our EchoPark®
performance and the progress we are making from a profit
perspective. We also continue to have one of the highest
Reputation.com scores for auto retail, and retail in general, as
guests continue to tell us that the goal we set of developing the
best guest experience in the industry is being met!"
2017 Outlook
B. Scott Smith, the Company's
Chief Executive Officer, noted, "The 2016 year proved to be a bit
of a roller coaster ride from month-to-month as we believe consumer
uncertainty, the effect of recalls and stop-sales made it
challenging for all automotive retailers. We expect 2017 to be
consistent with the 2016 environment for dealers and anticipate new
vehicle industry volume to be between 17.0 million and 17.5 million
units. We project diluted earnings per share from continuing
operations for 2017 to be between $2.00 and
$2.10 per share. This range includes the effect of
projected EchoPark® results and expansion. We are
projecting a loss related to EchoPark® for 2017 of between
$0.23 and $0.27 per diluted
share. We will have additional comments on our 2017 outlook
in our earnings call later today."
Dividend
Sonic's Board of Directors approved a quarterly dividend of
$0.05 per share payable in cash for
stockholders of record on March 15,
2017. The dividend will be payable on April 14, 2017.
Fourth Quarter 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: 57878967
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: 57878967
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, the estimated new vehicle industry
volume in 2017 and anticipated diluted earnings per share from
continuing operations for the full year ending December 31, 2017. 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 Securities and Exchange Commission (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 from continuing operations and related
earnings per diluted share, 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 financial 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
December 31,
|
|
Twelve Months
Ended December 31,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
(In thousands,
except per share and unit data)
|
Revenues:
|
|
|
|
|
|
|
|
|
New retail
vehicles
|
|
$
1,396,413
|
|
$
1,377,661
|
|
$
5,180,535
|
|
$
5,205,688
|
Fleet
vehicles
|
|
11,914
|
|
22,101
|
|
53,970
|
|
59,713
|
Total new
vehicles
|
|
1,408,327
|
|
1,399,762
|
|
5,234,505
|
|
5,265,401
|
Used
vehicles
|
|
651,608
|
|
607,430
|
|
2,533,122
|
|
2,512,024
|
Wholesale
vehicles
|
|
57,906
|
|
34,579
|
|
211,048
|
|
155,339
|
Total
vehicles
|
|
2,117,841
|
|
2,041,771
|
|
7,978,675
|
|
7,932,764
|
Parts, service and
collision repair
|
|
350,726
|
|
345,068
|
|
1,409,819
|
|
1,364,947
|
Finance, insurance and
other, net
|
|
88,346
|
|
83,796
|
|
343,285
|
|
326,588
|
Total
revenues
|
|
2,556,913
|
|
2,470,635
|
|
9,731,779
|
|
9,624,299
|
Gross
profit
|
|
371,735
|
|
363,848
|
|
1,429,274
|
|
1,414,612
|
Selling, general and
administrative expenses
|
|
(267,135)
|
|
(275,002)
|
|
(1,110,856)
|
|
(1,110,565)
|
Impairment
charges
|
|
(1,824)
|
|
(1,257)
|
|
(8,063)
|
|
(17,955)
|
Depreciation and
amortization
|
|
(20,144)
|
|
(17,846)
|
|
(77,446)
|
|
(68,799)
|
Operating income
(loss)
|
|
82,632
|
|
69,743
|
|
232,909
|
|
217,293
|
Other income
(expense):
|
|
|
|
|
|
|
|
Interest expense,
floor plan
|
|
(7,919)
|
|
(5,840)
|
|
(27,716)
|
|
(21,326)
|
Interest expense,
other, net
|
|
(12,546)
|
|
(12,275)
|
|
(50,106)
|
|
(50,910)
|
Other income
(expense), net
|
|
5
|
|
-
|
|
125
|
|
99
|
Total other income
(expense)
|
|
(20,460)
|
|
(18,115)
|
|
(77,697)
|
|
(72,137)
|
Income (loss) from
continuing operations before taxes
|
|
62,172
|
|
51,628
|
|
155,212
|
|
145,156
|
Provision for income
taxes for continuing operations - benefit (expense)
|
|
(24,131)
|
|
(20,121)
|
|
(60,696)
|
|
(57,065)
|
Income (loss) from
continuing operations
|
|
38,041
|
|
31,507
|
|
94,516
|
|
88,091
|
Income (loss) from
discontinued operations
|
|
(405)
|
|
(449)
|
|
(1,323)
|
|
(1,780)
|
Net income
(loss)
|
|
$
37,636
|
|
$
31,058
|
|
$
93,193
|
|
$
86,311
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) per common share:
|
|
|
|
|
|
|
|
Earnings (loss) per
share from continuing operations
|
|
$
0.84
|
|
$
0.63
|
|
$
2.06
|
|
$
1.73
|
Earnings (loss) per
share from discontinued operations
|
|
(0.01)
|
|
(0.01)
|
|
(0.03)
|
|
(0.03)
|
Earnings (loss) per
common share
|
|
$
0.83
|
|
$
0.62
|
|
$
2.03
|
|
$
1.70
|
Weighted average
common shares outstanding
|
|
45,341
|
|
50,278
|
|
45,948
|
|
50,883
|
|
|
|
|
|
|
|
|
Gross Margin Data
(Continuing Operations):
|
|
|
|
|
|
|
|
New retail
vehicles
|
|
5.3%
|
|
5.4%
|
|
5.0%
|
|
5.2%
|
Fleet
vehicles
|
|
(0.3%)
|
|
0.1%
|
|
0.3%
|
|
(0.3%)
|
Total new
vehicles
|
|
5.2%
|
|
5.3%
|
|
5.0%
|
|
5.1%
|
Used
vehicles
|
|
6.4%
|
|
6.4%
|
|
6.3%
|
|
6.5%
|
Wholesale
vehicles
|
|
(3.3%)
|
|
(5.8%)
|
|
(3.5%)
|
|
(4.7%)
|
Parts, service and
collision repair
|
|
48.4%
|
|
49.0%
|
|
47.8%
|
|
48.8%
|
Finance, insurance and
other
|
|
100.0%
|
|
100.0%
|
|
100.0%
|
|
100.0%
|
Overall gross
margin
|
|
14.5%
|
|
14.7%
|
|
14.7%
|
|
14.7%
|
|
|
|
|
|
|
|
|
SG&A Expenses
(Continuing Operations):
|
|
|
|
|
|
|
|
Compensation
|
|
$
167,724
|
|
$
169,510
|
|
$
674,617
|
|
$
666,668
|
Advertising
|
|
15,840
|
|
15,470
|
|
61,674
|
|
61,630
|
Rent
|
|
18,638
|
|
18,481
|
|
73,903
|
|
73,539
|
Other
|
|
64,933
|
|
71,541
|
|
300,662
|
|
308,728
|
Total SG&A
expenses
|
|
$
267,135
|
|
$
275,002
|
|
$
1,110,856
|
|
$
1,110,565
|
SG&A expenses as %
of gross profit
|
|
71.9%
|
|
75.6%
|
|
77.7%
|
|
78.5%
|
|
|
|
|
|
|
|
|
Operating Margin
%
|
|
3.2%
|
|
2.8%
|
|
2.4%
|
|
2.3%
|
|
|
|
|
|
|
|
|
Unit Data (Continuing
Operations):
|
|
|
|
|
|
|
|
New retail
units
|
|
35,188
|
|
35,228
|
|
134,288
|
|
138,129
|
Fleet units
|
|
374
|
|
628
|
|
1,715
|
|
1,872
|
Total new
units
|
|
35,562
|
|
35,856
|
|
136,003
|
|
140,001
|
Used units
|
|
29,621
|
|
28,220
|
|
119,174
|
|
117,123
|
Wholesale
units
|
|
9,086
|
|
6,594
|
|
35,098
|
|
30,168
|
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per Share
Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 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
|
|
44,764
|
|
$
38,041
|
|
|
|
$
(405)
|
|
|
|
$
37,636
|
|
|
Effect of
participating securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(22)
|
|
|
|
-
|
|
|
|
(22)
|
|
|
Basic earnings (loss)
and shares
|
|
44,764
|
|
$
38,019
|
|
$
0.85
|
|
$
(405)
|
|
$
(0.01)
|
|
$
37,614
|
|
$
0.84
|
Effect of dilutive
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock compensation
plans
|
|
577
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) and shares
|
|
45,341
|
|
$
38,019
|
|
$
0.84
|
|
$
(405)
|
|
$
(0.01)
|
|
$
37,614
|
|
$
0.83
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OEM
Settlement
|
|
|
|
$
(14,836)
|
|
|
|
$
-
|
|
|
|
$
(14,836)
|
|
|
Impairment
charges
|
|
|
|
1,824
|
|
|
|
-
|
|
|
|
1,824
|
|
|
Storm damage and
other
|
|
|
|
(411)
|
|
|
|
450
|
|
|
|
39
|
|
|
Total adjustments
before taxes
|
|
|
|
(13,423)
|
|
|
|
450
|
|
|
|
(12,973)
|
|
|
Income tax effect of
above adjustments
|
|
|
|
5,210
|
|
|
|
(153)
|
|
|
|
5,057
|
|
|
Effect of adjustments,
net of income taxes
|
|
|
|
$
(8,213)
|
|
$
(0.18)
|
|
$
297
|
|
$
0.01
|
|
$
(7,916)
|
|
$
(0.17)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss)
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
diluted earnings
(loss) per share (1)
|
|
|
|
$
29,828
|
|
$
0.66
|
|
$
(108)
|
|
$
-
|
|
$
29,720
|
|
$
0.66
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Net loss
attributable to EchoPark®operations was $0.03 per fully
diluted share in the three months ended December 31,
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 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
|
|
49,872
|
|
$
1,507
|
|
|
|
$
(449)
|
|
|
|
$
31,058
|
|
|
Effect of
participating securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(13)
|
|
|
|
-
|
|
|
|
(13)
|
|
|
Basic earnings (loss)
and shares
|
|
49,872
|
|
$
31,494
|
|
$
0.63
|
|
$
(449)
|
|
$
(0.01)
|
|
$
31,045
|
|
$
0.62
|
Effect of dilutive
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock compensation
plans
|
|
406
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) and shares
|
|
50,278
|
|
$
31,494
|
|
$
0.63
|
|
$
(449)
|
|
$
(0.01)
|
|
$
31,045
|
|
$
0.62
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on
disposal
|
|
|
|
$
(2,323)
|
|
|
|
$
-
|
|
|
|
$
(2,323)
|
|
|
Impairment
charges
|
|
|
|
1,257
|
|
|
|
-
|
|
|
|
1,257
|
|
|
Total adjustments
before taxes
|
|
|
|
(1,066)
|
|
|
|
-
|
|
|
|
(1,066)
|
|
|
Income tax effect of
above adjustments
|
|
|
|
415
|
|
|
|
-
|
|
|
|
415
|
|
|
Effect of adjustments,
net of income taxes
|
|
|
|
$
(651)
|
|
$
(0.02)
|
|
$
-
|
|
$
-
|
|
$
(651)
|
|
$
(0.02)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss)
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
diluted earnings
(loss) per share (2)
|
|
|
|
$
30,856
|
|
$
0.61
|
|
$
(449)
|
|
$
(0.01)
|
|
$
30,407
|
|
$
0.60
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) Net loss
attributable to EchoPark®operations was $0.04 per fully
diluted share in the three months ended December 31,
2015
|
|
|
|
|
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
Per Share
Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31, 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
|
|
45,637
|
|
$
94,516
|
|
|
|
$
(1,323)
|
|
|
|
$
93,193
|
|
|
Effect of
participating securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(52)
|
|
|
|
-
|
|
|
|
(52)
|
|
|
Basic earnings (loss)
and shares
|
|
45,637
|
|
$
94,464
|
|
$
2.07
|
|
$
(1,323)
|
|
$
(0.03)
|
|
$
93,141
|
|
$
2.04
|
Effect of dilutive
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock compensation
plans
|
|
311
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) and shares
|
|
45,948
|
|
$
94,464
|
|
$
2.06
|
|
$
(1,323)
|
|
$
(0.03)
|
|
$
93,141
|
|
$
2.03
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OEM
Settlement
|
|
|
|
$
(14,836)
|
|
|
|
$
-
|
|
|
|
$
(14,836)
|
|
|
Impairment
charges
|
|
|
|
7,913
|
|
|
|
-
|
|
|
|
7,913
|
|
|
Storm damage and
other
|
|
|
|
3,290
|
|
|
|
927
|
|
|
|
4,217
|
|
|
Total adjustments
before taxes
|
|
|
|
(3,633)
|
|
|
|
927
|
|
|
|
(2,706)
|
|
|
Income tax effect of
above adjustments
|
|
|
|
1,394
|
|
|
|
(341)
|
|
|
|
1,053
|
|
|
Effect of adjustments,
net of income taxes
|
|
|
|
$
(2,239)
|
|
$
(0.05)
|
|
$
586
|
|
$
0.01
|
|
$
(1,653)
|
|
$
(0.04)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss)
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
diluted earnings
(loss) per share (3)
|
|
|
|
$
92,277
|
|
$
2.01
|
|
$
(737)
|
|
$
(0.02)
|
|
$
91,540
|
|
$
1.99
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3) Net loss
attributable to EchoPark®operations was $0.17 per fully
diluted share in the twelve months ended December 31,
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31, 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
|
|
50,489
|
|
$
88,091
|
|
|
|
$
(1,780)
|
|
|
|
$
86,311
|
|
|
Effect of
participating securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested restricted
stock
|
|
|
|
(36)
|
|
|
|
-
|
|
|
|
(36)
|
|
|
Basic earnings (loss)
and shares
|
|
50,489
|
|
$
88,055
|
|
$
1.74
|
|
$
(1,780)
|
|
$
(0.03)
|
|
$
86,275
|
|
$
1.71
|
Effect of dilutive
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock compensation
plans
|
|
394
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
(loss) and shares
|
|
50,883
|
|
$
88,055
|
|
$
1.73
|
|
$
(1,780)
|
|
$
(0.03)
|
|
$
86,275
|
|
$
1.70
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on
disposal
|
|
|
|
$
(3,279)
|
|
|
|
$
-
|
|
|
|
$
(3,279)
|
|
|
Impairment
charges
|
|
|
|
17,918
|
|
|
|
-
|
|
|
|
17,918
|
|
|
Storm damage and
other
|
|
|
|
5,138
|
|
|
|
-
|
|
|
|
5,138
|
|
|
Total adjustments
before taxes
|
|
|
|
19,777
|
|
|
|
-
|
|
|
|
19,777
|
|
|
Income tax effect of
above adjustments
|
|
|
|
(7,713)
|
|
|
|
-
|
|
|
|
(7,713)
|
|
|
Effect of adjustments,
net of income taxes
|
|
|
|
$
12,064
|
|
$
0.24
|
|
$
-
|
|
$
(0.01)
|
|
$
12,064
|
|
$
0.23
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss)
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
diluted earnings
(loss) per share (4)
|
|
|
|
$
100,155
|
|
$
1.97
|
|
$
(1,780)
|
|
$
(0.04)
|
|
$
98,375
|
|
$
1.93
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(4) Net loss
attributable to EchoPark® operations was $0.19 per fully diluted
share in the twelve months ended December 31, 2015
|
|
|
|
|
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
New
Vehicles
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
Revenue
|
|
$
1,408,327
|
|
$
1,399,762
|
|
$
8,565
|
|
0.6%
|
Gross
profit
|
|
$
73,916
|
|
$
74,209
|
|
$
(293)
|
|
(0.4%)
|
Unit sales
|
|
35,562
|
|
35,856
|
|
(294)
|
|
(0.8%)
|
Revenue per
unit
|
|
$
39,602
|
|
$
39,038
|
|
$
564
|
|
1.4%
|
Gross profit per
unit
|
|
$
2,079
|
|
$
2,070
|
|
$
9
|
|
0.4%
|
Gross profit as a % of
revenue
|
|
5.2%
|
|
5.3%
|
|
(10)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
Revenue
|
|
$
5,234,505
|
|
$
5,265,401
|
|
$
(30,896)
|
|
(0.6%)
|
Gross
profit
|
|
$
260,594
|
|
$
267,929
|
|
$
(7,335)
|
|
(2.7%)
|
Unit sales
|
|
136,003
|
|
140,001
|
|
(3,998)
|
|
(2.9%)
|
Revenue per
unit
|
|
$
38,488
|
|
$
37,610
|
|
$
878
|
|
2.3%
|
Gross profit per
unit
|
|
$
1,916
|
|
$
1,914
|
|
$
2
|
|
0.1%
|
Gross profit as a % of
revenue
|
|
5.0%
|
|
5.1%
|
|
(10)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
Revenue
|
|
$
1,393,218
|
|
$
1,394,423
|
|
$
(1,205)
|
|
(0.1%)
|
Gross
profit
|
|
$
73,391
|
|
$
74,428
|
|
$
(1,037)
|
|
(1.4%)
|
Unit sales
|
|
35,261
|
|
35,726
|
|
(465)
|
|
(1.3%)
|
Revenue per
unit
|
|
$
39,512
|
|
$
39,031
|
|
$
481
|
|
1.2%
|
Gross profit per
unit
|
|
$
2,081
|
|
$
2,083
|
|
$
(2)
|
|
(0.1%)
|
Gross profit as a % of
revenue
|
|
5.3%
|
|
5.3%
|
|
-
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
Revenue
|
|
$
5,214,210
|
|
$
5,221,517
|
|
$
(7,307)
|
|
(0.1%)
|
Gross
profit
|
|
$
259,403
|
|
$
266,632
|
|
$
(7,229)
|
|
(2.7%)
|
Unit sales
|
|
135,605
|
|
138,901
|
|
(3,296)
|
|
(2.4%)
|
Revenue per
unit
|
|
$
38,451
|
|
$
37,592
|
|
$
859
|
|
2.3%
|
Gross profit per
unit
|
|
$
1,913
|
|
$
1,920
|
|
$
(7)
|
|
(0.4%)
|
Gross profit as a % of
revenue
|
|
5.0%
|
|
5.1%
|
|
(10)
|
|
bps
|
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
Used
Vehicles
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
Revenue
|
|
$
651,608
|
|
$
607,430
|
|
$
44,178
|
|
7.3%
|
Gross
profit
|
|
$
41,464
|
|
$
38,772
|
|
$
2,692
|
|
6.9%
|
Unit sales
|
|
29,621
|
|
28,220
|
|
1,401
|
|
5.0%
|
Revenue per
unit
|
|
$
21,998
|
|
$
21,525
|
|
$
473
|
|
2.2%
|
Gross profit per
unit
|
|
$
1,400
|
|
$
1,374
|
|
$
26
|
|
1.9%
|
Gross profit as a % of
revenue
|
|
6.4%
|
|
6.4%
|
|
-
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
Revenue
|
|
$
2,533,122
|
|
$
2,512,024
|
|
$
21,098
|
|
0.8%
|
Gross
profit
|
|
$
158,585
|
|
$
162,042
|
|
$
(3,457)
|
|
(2.1%)
|
Unit sales
|
|
119,174
|
|
117,123
|
|
2,051
|
|
1.8%
|
Revenue per
unit
|
|
$
21,256
|
|
$
21,448
|
|
$
(192)
|
|
(0.9%)
|
Gross profit per
unit
|
|
$
1,331
|
|
$
1,384
|
|
$
(53)
|
|
(3.8%)
|
Gross profit as a % of
revenue
|
|
6.3%
|
|
6.5%
|
|
(20)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
Revenue
|
|
$
632,856
|
|
$
603,026
|
|
$
29,830
|
|
4.9%
|
Gross
profit
|
|
$
38,591
|
|
$
38,681
|
|
$
(90)
|
|
(0.2%)
|
Unit sales
|
|
28,781
|
|
28,000
|
|
781
|
|
2.8%
|
Revenue per
unit
|
|
$
21,989
|
|
$
21,537
|
|
$
452
|
|
2.1%
|
Gross profit per
unit
|
|
$
1,341
|
|
$
1,381
|
|
$
(40)
|
|
(2.9%)
|
Gross profit as a % of
revenue
|
|
6.1%
|
|
6.4%
|
|
(30)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
Revenue
|
|
$
2,502,267
|
|
$
2,481,090
|
|
$
21,177
|
|
0.9%
|
Gross
profit
|
|
$
156,841
|
|
$
161,743
|
|
$
(4,902)
|
|
(3.0%)
|
Unit sales
|
|
117,814
|
|
115,549
|
|
2,265
|
|
2.0%
|
Revenue per
unit
|
|
$
21,239
|
|
$
21,472
|
|
$
(233)
|
|
(1.1%)
|
Gross profit per
unit
|
|
$
1,331
|
|
$
1,400
|
|
$
(69)
|
|
(4.9%)
|
Gross profit as a % of
revenue
|
|
6.3%
|
|
6.5%
|
|
(20)
|
|
bps
|
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
Wholesale
Vehicles
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
57,906
|
|
$
34,579
|
|
$
23,327
|
|
67.5%
|
Gross profit
(loss)
|
|
$
(1,890)
|
|
$
(2,003)
|
|
$
113
|
|
5.6%
|
Unit sales
|
|
9,086
|
|
6,594
|
|
2,492
|
|
37.8%
|
Revenue per
unit
|
|
$
6,373
|
|
$
5,244
|
|
$
1,129
|
|
21.5%
|
Gross profit (loss)
per unit
|
|
$
(208)
|
|
$
(304)
|
|
$
96
|
|
31.6%
|
Gross profit (loss) as
a % of revenue
|
|
(3.3%)
|
|
(5.8%)
|
|
250
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Reported:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
211,048
|
|
$
155,339
|
|
$
55,709
|
|
35.9%
|
Gross profit
(loss)
|
|
$
(7,316)
|
|
$
(7,368)
|
|
$
52
|
|
0.7%
|
Unit sales
|
|
35,098
|
|
30,168
|
|
4,930
|
|
16.3%
|
Revenue per
unit
|
|
$
6,013
|
|
$
5,149
|
|
$
864
|
|
16.8%
|
Gross profit (loss)
per unit
|
|
$
(208)
|
|
$
(244)
|
|
$
36
|
|
14.8%
|
Gross profit (loss) as
a % of revenue
|
|
(3.5%)
|
|
(4.7%)
|
|
120
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
56,696
|
|
$
34,436
|
|
$
22,260
|
|
64.6%
|
Gross profit
(loss)
|
|
$
(1,762)
|
|
$
(1,898)
|
|
$
136
|
|
7.2%
|
Unit sales
|
|
8,845
|
|
6,569
|
|
2,276
|
|
34.6%
|
Revenue per
unit
|
|
$
6,410
|
|
$
5,242
|
|
$
1,168
|
|
22.3%
|
Gross profit (loss)
per unit
|
|
$
(199)
|
|
$
(289)
|
|
$
90
|
|
31.1%
|
Gross profit (loss) as
a % of revenue
|
|
(3.1%)
|
|
(5.5%)
|
|
240
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except units and per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
209,323
|
|
$
153,705
|
|
$
55,618
|
|
36.2%
|
Gross profit
(loss)
|
|
$
(7,062)
|
|
$
(6,969)
|
|
$
(93)
|
|
(1.3%)
|
Unit sales
|
|
34,798
|
|
29,869
|
|
4,929
|
|
16.5%
|
Revenue per
unit
|
|
$
6,015
|
|
$
5,146
|
|
$
869
|
|
16.9%
|
Gross profit (loss)
per unit
|
|
$
(203)
|
|
$
(233)
|
|
$
30
|
|
12.9%
|
Gross profit (loss) as
a % of revenue
|
|
(3.4%)
|
|
(4.5%)
|
|
110
|
|
bps
|
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
Parts, Service
and Collision Repair ("Fixed Operations")
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
Reported:
|
|
(In
thousands)
|
Revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
139,550
|
|
$
145,787
|
|
$
(6,237)
|
|
(4.3%)
|
Warranty
|
|
67,656
|
|
58,923
|
|
8,733
|
|
14.8%
|
Wholesale
parts
|
|
43,337
|
|
44,602
|
|
(1,265)
|
|
(2.8%)
|
Internal, sublet and
other
|
|
100,183
|
|
95,756
|
|
4,427
|
|
4.6%
|
Total
|
|
$
350,726
|
|
$
345,068
|
|
$
5,658
|
|
1.6%
|
Gross
profit
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
73,958
|
|
$
79,475
|
|
$
(5,517)
|
|
(6.9%)
|
Warranty
|
|
36,973
|
|
31,795
|
|
5,178
|
|
16.3%
|
Wholesale
parts
|
|
7,450
|
|
7,917
|
|
(467)
|
|
(5.9%)
|
Internal, sublet and
other
|
|
51,519
|
|
49,887
|
|
1,632
|
|
3.3%
|
Total
|
|
$
169,900
|
|
$
169,074
|
|
$
826
|
|
0.5%
|
Gross profit as a % of
revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
53.0%
|
|
54.5%
|
|
(150)
|
|
bps
|
Warranty
|
|
54.6%
|
|
54.0%
|
|
60
|
|
bps
|
Wholesale
parts
|
|
17.2%
|
|
17.8%
|
|
(60)
|
|
bps
|
Internal, sublet and
other
|
|
51.4%
|
|
52.1%
|
|
(70)
|
|
bps
|
Total
|
|
48.4%
|
|
49.0%
|
|
(60)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
Reported:
|
|
(In
thousands)
|
Revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
582,557
|
|
$
577,265
|
|
$
5,292
|
|
0.9%
|
Warranty
|
|
240,415
|
|
228,093
|
|
12,322
|
|
5.4%
|
Wholesale
parts
|
|
176,870
|
|
181,296
|
|
(4,426)
|
|
(2.4%)
|
Internal, sublet and
other
|
|
409,977
|
|
378,293
|
|
31,684
|
|
8.4%
|
Total
|
|
$
1,409,819
|
|
$
1,364,947
|
|
$
44,872
|
|
3.3%
|
Gross
profit
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
314,791
|
|
$
316,026
|
|
$
(1,235)
|
|
(0.4%)
|
Warranty
|
|
129,924
|
|
126,571
|
|
3,353
|
|
2.6%
|
Wholesale
parts
|
|
30,754
|
|
32,249
|
|
(1,495)
|
|
(4.6%)
|
Internal, sublet and
other
|
|
198,657
|
|
190,575
|
|
8,082
|
|
4.2%
|
Total
|
|
$
674,126
|
|
$
665,421
|
|
$
8,705
|
|
1.3%
|
Gross profit as a % of
revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
54.0%
|
|
54.7%
|
|
(70)
|
|
bps
|
Warranty
|
|
54.0%
|
|
55.5%
|
|
(150)
|
|
bps
|
Wholesale
parts
|
|
17.4%
|
|
17.8%
|
|
(40)
|
|
bps
|
Internal, sublet and
other
|
|
48.5%
|
|
50.4%
|
|
(190)
|
|
bps
|
Total
|
|
47.8%
|
|
48.8%
|
|
(100)
|
|
bps
|
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
Parts, Service
and Collision Repair ("Fixed Operations")
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
Same
Store:
|
|
(In
thousands)
|
Revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
138,954
|
|
$
145,057
|
|
$
(6,103)
|
|
(4.2%)
|
Warranty
|
|
67,386
|
|
58,637
|
|
8,749
|
|
14.9%
|
Wholesale
parts
|
|
43,320
|
|
44,353
|
|
(1,033)
|
|
(2.3%)
|
Internal, sublet and
other
|
|
98,692
|
|
95,272
|
|
3,420
|
|
3.6%
|
Total
|
|
$
348,352
|
|
$
343,319
|
|
$
5,033
|
|
1.5%
|
Gross
profit
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
73,667
|
|
$
79,057
|
|
$
(5,390)
|
|
(6.8%)
|
Warranty
|
|
36,802
|
|
31,641
|
|
5,161
|
|
16.3%
|
Wholesale
parts
|
|
7,448
|
|
7,864
|
|
(416)
|
|
(5.3%)
|
Internal, sublet and
other
|
|
50,876
|
|
49,713
|
|
1,163
|
|
2.3%
|
Total
|
|
$
168,793
|
|
$
168,275
|
|
$
518
|
|
0.3%
|
Gross profit as a % of
revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
53.0%
|
|
54.5%
|
|
(150)
|
|
bps
|
Warranty
|
|
54.6%
|
|
54.0%
|
|
60
|
|
bps
|
Wholesale
parts
|
|
17.2%
|
|
17.7%
|
|
(50)
|
|
bps
|
Internal, sublet and
other
|
|
51.6%
|
|
52.2%
|
|
(60)
|
|
bps
|
Total
|
|
48.5%
|
|
49.0%
|
|
(50)
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
Same
Store:
|
|
(In
thousands)
|
Revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
581,642
|
|
$
569,924
|
|
$
11,718
|
|
2.1%
|
Warranty
|
|
240,065
|
|
225,572
|
|
14,493
|
|
6.4%
|
Wholesale
parts
|
|
176,850
|
|
178,958
|
|
(2,108)
|
|
(1.2%)
|
Internal, sublet and
other
|
|
407,371
|
|
374,003
|
|
33,368
|
|
8.9%
|
Total
|
|
$
1,405,928
|
|
$
1,348,457
|
|
$
57,471
|
|
4.3%
|
Gross
profit
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
$
314,342
|
|
$
311,926
|
|
$
2,416
|
|
0.8%
|
Warranty
|
|
129,721
|
|
125,255
|
|
4,466
|
|
3.6%
|
Wholesale
parts
|
|
30,752
|
|
31,770
|
|
(1,018)
|
|
(3.2%)
|
Internal, sublet and
other
|
|
196,758
|
|
188,423
|
|
8,335
|
|
4.4%
|
Total
|
|
$
671,573
|
|
$
657,374
|
|
$
14,199
|
|
2.2%
|
Gross profit as a % of
revenue
|
|
|
|
|
|
|
|
|
Customer
pay
|
|
54.0%
|
|
54.7%
|
|
(70)
|
|
bps
|
Warranty
|
|
54.0%
|
|
55.5%
|
|
(150)
|
|
bps
|
Wholesale
parts
|
|
17.4%
|
|
17.8%
|
|
(40)
|
|
bps
|
Internal, sublet and
other
|
|
48.3%
|
|
50.4%
|
|
(210)
|
|
bps
|
Total
|
|
47.8%
|
|
48.8%
|
|
(100)
|
|
bps
|
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
Finance,
Insurance and Other, Net ("F&I")
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except per unit data)
|
Reported:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
88,346
|
|
$
83,796
|
|
$
4,550
|
|
5.4%
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,363
|
|
$
1,321
|
|
$
42
|
|
3.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except per unit data)
|
Reported:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
343,285
|
|
$
326,588
|
|
$
16,697
|
|
5.1%
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,354
|
|
$
1,279
|
|
$
75
|
|
5.9%
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
85,445
|
|
$
83,393
|
|
$
2,052
|
|
2.5%
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,342
|
|
$
1,322
|
|
$
20
|
|
1.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In thousands,
except per unit data)
|
Same
Store:
|
|
|
|
|
|
|
|
|
Revenue
|
|
$
338,733
|
|
$
323,556
|
|
$
15,177
|
|
4.7%
|
Gross profit per
retail unit (excludes fleet)
|
|
$
1,346
|
|
$
1,281
|
|
$
65
|
|
5.1%
|
Sonic Automotive,
Inc.
|
Results of
Operations (Unaudited)
|
|
Selling,
General and Administrative ("SG&A") Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In
thousands)
|
Reported:
|
|
|
|
|
|
|
|
|
Compensation
|
|
$
167,724
|
|
$
169,510
|
|
$
1,786
|
|
1.1%
|
Advertising
|
|
15,840
|
|
15,470
|
|
(370)
|
|
(2.4%)
|
Rent
|
|
18,638
|
|
18,481
|
|
(157)
|
|
(0.8%)
|
Other
|
|
64,933
|
|
71,541
|
|
6,608
|
|
9.2%
|
Total SG&A
expenses
|
|
$
267,135
|
|
$
275,002
|
|
$
7,867
|
|
2.9%
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
OEM
Settlement
|
|
$
14,836
|
|
$
-
|
|
|
|
|
Storm damage and
other
|
|
411
|
|
-
|
|
|
|
|
Gain on
disposal
|
|
-
|
|
2,323
|
|
|
|
|
Total SG&A
adjustments
|
|
$
15,247
|
|
$
2,323
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A expenses
|
|
$
282,382
|
|
$
277,325
|
|
$
(5,057)
|
|
(1.8%)
|
|
|
|
|
|
|
|
|
|
Reported:
|
|
|
|
|
|
|
|
|
SG&A expenses as a
% of gross profit
|
|
|
|
|
|
|
|
Compensation
|
|
45.1%
|
|
46.6%
|
|
150
|
|
bps
|
Advertising
|
|
4.3%
|
|
4.3%
|
|
0
|
|
bps
|
Rent
|
|
5.0%
|
|
5.1%
|
|
10
|
|
bps
|
Other
|
|
17.5%
|
|
19.6%
|
|
210
|
|
bps
|
Total SG&A
expenses as a % of gross profit
|
|
71.9%
|
|
75.6%
|
|
370
|
|
bps
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
OEM
Settlement
|
|
4.0%
|
|
0.0%
|
|
|
|
|
Storm damage and
other
|
|
0.1%
|
|
0.0%
|
|
|
|
|
Gain on
disposal
|
|
0.0%
|
|
0.6%
|
|
|
|
|
Total effect of
adjustments
|
|
4.1%
|
|
0.6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A as a % of gross profit
|
|
76.0%
|
|
76.2%
|
|
20
|
|
bps
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31,
|
|
Better /
(Worse)
|
|
|
2016
|
|
2015
|
|
Change
|
|
%
Change
|
|
|
(In
thousands)
|
Reported:
|
|
|
|
|
|
|
|
Compensation
|
|
$
674,617
|
|
$
666,668
|
|
$
(7,949)
|
|
(1.2%)
|
Advertising
|
|
61,674
|
|
61,630
|
|
(44)
|
|
(0.1%)
|
Rent
|
|
73,903
|
|
73,539
|
|
(364)
|
|
(0.5%)
|
Other
|
|
300,662
|
|
308,728
|
|
8,066
|
|
2.6%
|
Total SG&A
expenses
|
|
$
1,110,856
|
|
$
1,110,565
|
|
$
(291)
|
|
(0.0%)
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
OEM
Settlement
|
|
$
14,836
|
|
$
-
|
|
|
|
|
Storm damage and
other
|
|
(3,290)
|
|
(5,138)
|
|
|
|
|
Gain on
disposal
|
|
-
|
|
3,279
|
|
|
|
|
Total SG&A
adjustments
|
|
$
11,546
|
|
$
(1,859)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A expenses
|
|
$
1,122,402
|
|
$
1,108,706
|
|
$
(13,696)
|
|
(1.2%)
|
|
|
|
|
|
|
|
|
|
Reported:
|
|
|
|
|
|
|
|
|
SG&A expenses as a
% of gross profit
|
|
|
|
|
|
|
|
Compensation
|
|
47.2%
|
|
47.1%
|
|
(10)
|
|
bps
|
Advertising
|
|
4.3%
|
|
4.4%
|
|
10
|
|
bps
|
Rent
|
|
5.2%
|
|
5.2%
|
|
0
|
|
bps
|
Other
|
|
21.0%
|
|
21.8%
|
|
80
|
|
bps
|
Total SG&A
expenses as a % of gross profit
|
|
77.7%
|
|
78.5%
|
|
80
|
|
bps
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
OEM
Settlement
|
|
1.0%
|
|
0.0%
|
|
|
|
|
Storm damage and
other
|
|
(0.2%)
|
|
(0.3%)
|
|
|
|
|
Gain on
disposal
|
|
0.0%
|
|
0.2%
|
|
|
|
|
Total effect of
adjustments
|
|
0.8%
|
|
(0.1%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted:
|
|
|
|
|
|
|
|
|
Total adjusted
SG&A as a % of gross profit
|
|
78.5%
|
|
78.4%
|
|
(10)
|
|
bps
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/sonic-automotive-inc-reports-record-results-300410347.html
SOURCE Sonic Automotive, Inc.