Penske Automotive Reports Third Quarter And Nine Months Results
-- Record Third Quarter Income from Continuing Operations and Earnings per Share
-- Operating Margin Increases 30 Basis Points
-- Earnings per Share from Continuing Operations Rises 21.7% to $0.73 Compared to Adjusted 2012
BLOOMFIELD HILLS, Michigan, Oct. 29, 2013 /PRNewswire/ --
Third Quarter 2013 |
Nine Months 2013 |
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Penske Automotive Group, Inc. (NYSE:PAG), an international transportation services company, announced today the highest third quarter and nine months income from continuing operations and related earnings per share in company history. For the third quarter 2013, income from continuing operations attributable to common shareholders increased 21.0% to $66.0 million and related earnings per share increased 21.7% to $0.73 per share when compared to adjusted figures for the same period last year which exclude debt redemption costs of $13.0 million after taxes, or $0.14 per share, as shown in the attached tables. Income from continuing operations and related earnings per share for the third quarter 2013 includes approximately $1.9 million, or $0.014 per share, of acquisition-related costs associated with the company's commercial vehicle group acquisition.
(Logo: http://photos.prnewswire.com/prnh/20130530/MM23675LOGO )
Total revenue increased 14.6% to $3.8 billion, including a same-store retail revenue increase of 12.0%. The revenue increase was driven by a 13.5% increase in total retail unit sales, including an 11.9% increase on a same-store basis. Gross profit improved 15.6% to $579.9 million while operating income increased 25.3% to $109.9 million.
"Our business produced another outstanding quarter. We remain confident in our ability to continue growing our business, and we expect both the U.S. and U.K. markets to continue to perform well," said Chairman Roger Penske. "On a same-store basis, retail revenue improved 11.3% in the U.S. and 13.3% in our international markets demonstrating the strength and resiliency of our key markets. We improved service and parts margin by 230 basis points and continued to demonstrate expense leverage as the ratio of selling, general and administrative expenses as a percentage of gross profit improved by 150 basis points, contributing to a 30 basis point increase in operating margin."
Highlights of the Third Quarter
- Total Retail Unit Sales increased 13.5% to 97,027
- +13.8% in the United States; +13.0% Internationally
- New unit retail sales +13.4%
- Used unit retail sales +13.7%
- Same-store Retail Revenue increased 12.0%
- New +13.8%; Used +11.5%; Finance & Insurance +17.4%; Service and Parts +3.4%
- +11.3% in the United States; +13.3% Internationally
- Average Transaction Price Per Unit
- New $37,299; +1.3%
- Used $25,242; -0.3%
- Average Gross Profit Per Unit
- New $2,791, -$58/unit; Gross Margin 7.5%, -20 basis points
- Used $1,870, $19/unit; Gross Margin 7.4%, +10 basis points
- Finance & Insurance $1,028, +$49/unit
For the nine months ended September 30, 2013, total revenue increased 11.3% to $10.9 billion, income from continuing operations attributable to common shareholders increased 20.9% to $186.9 million and related earnings per share increased 21.1% to $2.07 per share when compared to adjusted figures for the same period last year as shown in the attached tables.
Conference Call
Penske Automotive will host a conference call discussing financial results relating to the third quarter of 2013 on October 29, 2013, at 2:00 p.m. Eastern Daylight Time. To listen to the conference call, participants must dial (800) 700-7414 [International, please dial (651) 291-0618]. The call will also be simultaneously broadcast over the Internet through the Investors Relations section of the Penske Automotive Group website. Additionally, an investor presentation relating to the third quarter 2013 financial results has been posted to the company's website. To access the presentation or to listen to the company's webcast, please refer to www.penskeautomotive.com.
About Penske Automotive
Penske Automotive Group, Inc., (NYSE:PAG) headquartered in Bloomfield Hills, Michigan, is an international transportation services company, operating retail automotive dealerships, Hertz car rental franchises and commercial vehicle distribution. The company currently operates principally in the United States, Western Europe, Australia and New Zealand, employs approximately 17,000 people worldwide and is a member of the Fortune 500 and Russell 2000. For additional information, visit the company's website at www.penskeautomotive.com.
Non-GAAP Financial Measures
This release contains certain non-GAAP financial measures as defined under SEC rules, such as adjusted income from continuing operations, earnings before interest, taxes, depreciation and amortization ("EBITDA" and adjusted "EBITDA"). The company has reconciled these measures to the most directly comparable GAAP measures in the release. The company believes that these widely accepted measures of operating profitability improve the transparency of the company's disclosures and 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. These non-GAAP financial measures are not substitutes for GAAP financial results, and should only be considered in conjunction with the company's financial information that is presented in accordance with GAAP.
Caution Concerning Forward Looking Statements
Statements in this press release may involve forward-looking statements, including forward-looking statements regarding Penske Automotive Group, Inc.'s future sales potential and potential earnings outlook. Actual results may vary materially because of risks and uncertainties that are difficult to predict. These risks and uncertainties include, among others: economic conditions generally, conditions in the credit markets and changes in interest rates, adverse conditions affecting a particular manufacturer, including the adverse impact to the vehicle and parts supply chain due to natural disasters or other disruptions that interrupt the supply of vehicles or parts to us; changes in consumer credit availability, the outcome of legal and administrative matters, completion of closing conditions, and other factors over which management has limited control. These forward-looking statements should be evaluated together with additional information about Penske Automotive's business, markets, conditions and other uncertainties, which could affect Penske Automotive's future performance. These risks and uncertainties are addressed in Penske Automotive's Form 10-K for the year ended December 31, 2012, and its other filings with the Securities and Exchange Commission ("SEC"). This press release speaks only as of its date, and Penske Automotive disclaims any duty to update the information herein.
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Inquiries should contact: |
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David K. Jones Penske Automotive Group, Inc. |
Anthony R. Pordon Penske Automotive Group, Inc. |
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PENSKE AUTOMOTIVE GROUP, INC. |
||||||||
Consolidated Condensed Statements of Income |
||||||||
(Amounts In Thousands, Except Per Share Data) |
||||||||
(Unaudited) |
||||||||
Three Months Ended |
Nine Months Ended |
|||||||
September 30, |
September 30, |
|||||||
2013 |
2012 |
2013 |
2012 |
|||||
Revenues: |
||||||||
New Vehicle |
$ 1,995,836 |
$ 1,736,131 |
$ 5,674,658 |
$ 4,997,923 |
||||
Used Vehicle |
1,098,484 |
969,130 |
3,182,822 |
2,841,403 |
||||
Finance and Insurance, Net |
99,758 |
83,650 |
282,353 |
242,892 |
||||
Service and Parts |
381,485 |
365,351 |
1,158,404 |
1,088,665 |
||||
Fleet and Wholesale |
182,629 |
181,758 |
541,924 |
643,901 |
||||
Commercial Vehicle and Car Rental |
65,951 |
-- |
87,756 |
--- |
||||
Total Revenues |
$ 3,824,143 |
$ 3,336,020 |
$ 10,927,917 |
$ 9,814,784 |
||||
Cost of Sales: |
||||||||
New Vehicle |
$ 1,846,504 |
$ 1,601,762 |
$ 5,245,533 |
$ 4,596,274 |
||||
Used Vehicle |
1,017,109 |
898,264 |
2,941,273 |
2,622,055 |
||||
Service and Parts |
152,033 |
154,203 |
469,229 |
457,205 |
||||
Fleet and Wholesale |
180,162 |
180,307 |
532,391 |
637,831 |
||||
Commercial Vehicle and Car Rental |
48,427 |
-- |
56,353 |
-- |
||||
Total Cost of Sales |
$ 3,244,235 |
$ 2,834,536 |
$ 9,244,779 |
$ 8,313,365 |
||||
Gross Profit |
579,908 |
501,484 |
1,683,138 |
1,501,419 |
||||
SG&A Expenses |
454,188 |
400,039 |
1,308,958 |
1,188,658 |
||||
Depreciation |
15,784 |
13,704 |
45,300 |
40,014 |
||||
Operating Income |
109,936 |
87,741 |
328,880 |
272,747 |
||||
Floor Plan Interest Expense |
(10,840) |
(9,951) |
(32,008) |
(29,319) |
||||
Other Interest Expense |
(12,370) |
(11,583) |
(36,163) |
(35,155) |
||||
Equity in Earnings of Affiliates |
11,240 |
8,814 |
22,489 |
21,392 |
||||
Debt Redemption Costs |
-- |
(17,753) |
-- |
(17,753) |
||||
Income from Continuing Operations Before Income Taxes |
97,966 |
57,268 |
283,198 |
211,912 |
||||
Income Taxes |
(31,692) |
(15,421) |
(95,263) |
(69,347) |
||||
Income from Continuing Operations |
66,274 |
41,847 |
187,935 |
142,565 |
||||
Loss from Discontinued Operations, Net of Tax |
(742) |
(534) |
(1,889) |
(4,634) |
||||
Net Income |
65,532 |
41,313 |
186,046 |
137,931 |
||||
Less: Income Attributable to Non-Controlling Interests |
(257) |
(282) |
(1,065) |
(990) |
||||
Net Income Attributable to Common Shareholders |
$ 65,275 |
$ 41,031 |
$ 184,981 |
$ 136,941 |
||||
Income from Continuing Operations Per Share |
$ 0.73 |
$ 0.46 |
$ 2.07 |
$ 1.57 |
||||
Income Per Share |
$ 0.72 |
$ 0.45 |
$ 2.05 |
$ 1.52 |
||||
Weighted Average Shares Outstanding |
90,237 |
90,296 |
90,334 |
90,362 |
||||
Amounts Attributable to Common Shareholders: |
||||||||
Reported Income from Continuing Operations |
$ 66,274 |
$ 41,847 |
$ 187,935 |
$ 142,565 |
||||
Less: Income Attributable to Non-Controlling Interests |
(257) |
(282) |
(1,065) |
(990) |
||||
Income from Continuing Operations, net of tax |
$ 66,017 |
$ 41,565 |
$ 186,870 |
$ 141,575 |
||||
Loss from Discontinued Operations, net of tax |
(742) |
(534) |
(1,889) |
(4,634) |
||||
Net Income |
$ 65,275 |
$ 41,031 |
$ 184,981 |
$ 136,941 |
||||
PENSKE AUTOMOTIVE GROUP, INC. |
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Consolidated Condensed Balance Sheets |
||||
(Amounts In Thousands) |
||||
(Unaudited) |
||||
September 30, |
December 31, |
|||
2013 |
2012 |
|||
Assets |
||||
Cash and Cash Equivalents |
$ 71,101 |
$ 43,447 |
||
Accounts Receivable, Net |
588,311 |
554,851 |
||
Inventories |
2,293,390 |
2,000,206 |
||
Other Current Assets |
83,508 |
90,485 |
||
Assets Held for Sale |
1,065 |
73,398 |
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Total Current Assets |
3,037,375 |
2,762,387 |
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Property and Equipment, Net |
1,211,020 |
1,031,188 |
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Intangibles |
1,401,497 |
1,261,299 |
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Other Long-Term Assets |
360,912 |
324,116 |
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Total Assets |
$ 6,010,804 |
$ 5,378,990 |
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Liabilities and Equity |
||||
Floor Plan Notes Payable |
$ 1,537,185 |
$ 1,408,362 |
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Floor Plan Notes Payable – Non-Trade |
802,051 |
725,526 |
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Accounts Payable |
380,000 |
263,881 |
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Accrued Expenses |
275,483 |
223,972 |
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Current Portion Long-Term Debt |
46,894 |
19,493 |
||
Liabilities Held for Sale |
2,592 |
51,279 |
||
Total Current Liabilities |
3,044,205 |
2,692,513 |
||
Long-Term Debt |
1,014,070 |
918,024 |
||
Other Long-Term Liabilities |
495,138 |
452,132 |
||
Total Liabilities |
4,553,413 |
4,062,669 |
||
Equity |
1,457,391 |
1,316,321 |
||
Total Liabilities and Equity |
$ 6,010,804 |
$ 5,378,990 |
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PENSKE AUTOMOTIVE GROUP, INC. |
|||||||
Consolidated Condensed Statements of Income |
|||||||
(Amounts In Thousands, Except Per Share Data) |
|||||||
(Unaudited) |
|||||||
Three Months Ended |
|||||||
September 30, |
|||||||
2013 |
2012 |
% Increase/(Decrease) |
|||||
Revenues: |
|||||||
New Vehicle |
$ 1,995,836 |
$ 1,736,131 |
15.0% |
||||
Used Vehicle |
1,098,484 |
969,130 |
13.3% |
||||
Finance and Insurance, Net |
99,758 |
83,650 |
19.3% |
||||
Service and Parts |
381,485 |
365,351 |
4.4% |
||||
Fleet and Wholesale |
182,629 |
181,758 |
0.5% |
||||
Commercial Vehicle and Car Rental |
65,951 |
-- |
NM |
||||
Total Revenues |
$ 3,824,143 |
$ 3,336,020 |
14.6% |
||||
Cost of Sales: |
|||||||
New Vehicle |
$ 1,846,504 |
$ 1,601,762 |
15.3% |
||||
Used Vehicle |
1,017,109 |
898,264 |
13.2% |
||||
Service and Parts |
152,033 |
154,203 |
-1.4% |
||||
Fleet and Wholesale |
180,162 |
180,307 |
-- |
||||
Commercial Vehicle and Car Rental |
48,427 |
-- |
NM |
||||
Total Cost of Sales |
$ 3,244,235 |
$ 2,834,536 |
14.5% |
||||
Gross Profit |
579,908 |
501,484 |
15.6% |
||||
SG&A Expenses |
454,188 |
400,039 |
13.5% |
||||
Depreciation |
15,784 |
13,704 |
15.2% |
||||
Operating Income |
109,936 |
87,741 |
25.3% |
||||
Floor Plan Interest Expense |
(10,840) |
(9,951) |
8.9% |
||||
Other Interest Expense |
(12,370) |
(11,583) |
6.8% |
||||
Equity in Earnings of Affiliates |
11,240 |
8,814 |
27.5% |
||||
Debt Redemption Costs |
-- |
(17,753) |
NM |
||||
Income from Continuing Operations Before Income Taxes |
97,966 |
57,268 |
71.1% |
||||
Income Taxes |
(31,692) |
(15,421) |
105.5% |
||||
Income from Continuing Operations |
66,274 |
41,847 |
58.4% |
||||
Loss from Discontinued Operations, Net of Tax |
(742) |
(534) |
39.0% |
||||
Net Income |
65,532 |
41,313 |
58.6% |
||||
Less: Income Attributable to Non-Controlling Interests |
(257) |
(282) |
-8.9% |
||||
Net Income Attributable to Common Shareholders |
$ 65,275 |
$ 41,031 |
59.1% |
||||
Income from Continuing Operations Per Share |
$ 0.73 |
$ 0.46 |
58.7% |
||||
Income Per Share |
$ 0.72 |
$ 0.45 |
60.0% |
||||
Weighted Average Shares Outstanding |
90,237 |
90,296 |
-- |
||||
Amounts Attributable to Common Shareholders: |
|||||||
Reported Income from Continuing Operations |
$ 66,274 |
$ 41,847 |
58.4% |
||||
Less: Income Attributable to Non-Controlling Interests |
(257) |
(282) |
-8.9% |
||||
Income from Continuing Operations, net of tax |
$ 66,017 |
$ 41,565 |
58.8% |
||||
Loss from Discontinued Operations, net of tax |
(742) |
(534) |
39.0% |
||||
Net Income |
$ 65,275 |
$ 41,031 |
59.1% |
||||
NM – not meaningful |
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PENSKE AUTOMOTIVE GROUP, INC. |
||||||
Consolidated Condensed Statements of Income |
||||||
(Amounts In Thousands, Except Per Share Data) |
||||||
(Unaudited) |
||||||
Nine Months Ended |
||||||
September 30, |
||||||
2013 |
2012 |
% Increase/(Decrease) |
||||
Revenues: |
||||||
New Vehicle |
$ 5,674,658 |
$ 4,997,923 |
13.5% |
|||
Used Vehicle |
3,182,822 |
2,841,403 |
12.0% |
|||
Finance and Insurance, Net |
282,353 |
242,892 |
16.2% |
|||
Service and Parts |
1,158,404 |
1,088,665 |
6.4% |
|||
Fleet and Wholesale |
541,924 |
643,901 |
-15.8% |
|||
Commercial Vehicle and Car Rental |
87,756 |
-- |
NM |
|||
Total Revenues |
$ 10,927,917 |
$ 9,814,784 |
11.3% |
|||
Cost of Sales: |
||||||
New Vehicle |
$ 5,245,533 |
$ 4,596,274 |
14.1% |
|||
Used Vehicle |
2,941,273 |
2,622,055 |
12.2% |
|||
Service and Parts |
469,229 |
457,205 |
2.6% |
|||
Fleet and Wholesale |
532,391 |
637,831 |
-16.5% |
|||
Commercial Vehicle and Car Rental |
56,353 |
-- |
NM |
|||
Total Cost of Sales |
$ 9,244,779 |
$ 8,313,365 |
11.2% |
|||
Gross Profit |
1,683,138 |
1,501,419 |
12.1% |
|||
SG&A Expenses |
1,308,958 |
1,188,658 |
10.1% |
|||
Depreciation |
45,300 |
40,014 |
13.2% |
|||
Operating Income |
328,880 |
272,747 |
20.6% |
|||
Floor Plan Interest Expense |
(32,008) |
(29,319) |
9.2% |
|||
Other Interest Expense |
(36,163) |
(35,155) |
2.9% |
|||
Equity in Earnings of Affiliates |
22,489 |
21,392 |
5.1% |
|||
Debt Redemption Costs |
-- |
(17,753) |
NM |
|||
Income from Continuing Operations Before Income Taxes |
283,198 |
211,912 |
33.6% |
|||
Income Taxes |
(95,263) |
(69,347) |
37.4% |
|||
Income from Continuing Operations |
187,935 |
142,565 |
31.8% |
|||
Loss from Discontinued Operations, Net of Tax |
(1,889) |
(4,634) |
-59.2% |
|||
Net Income |
186,046 |
137,931 |
34.9% |
|||
Less: Income Attributable to Non-Controlling Interests |
(1,065) |
(990) |
7.6% |
|||
Net Income Attributable to Common Shareholders |
$ 184,981 |
$ 136,941 |
35.1% |
|||
Income from Continuing Operations Per Share |
$ 2.07 |
$ 1.57 |
31.8% |
|||
Income Per Share |
$ 2.05 |
$ 1.52 |
34.9% |
|||
Weighted Average Shares Outstanding |
90,334 |
90,362 |
-- |
|||
Amounts Attributable to Common Shareholders: |
||||||
Reported Income from Continuing Operations |
$ 187,935 |
$ 142,565 |
31.8% |
|||
Less: Income Attributable to Non-Controlling Interests |
(1,065) |
(990) |
7.6% |
|||
Income from Continuing Operations, net of tax |
$ 186,870 |
$ 141,575 |
32.0% |
|||
Loss from Discontinued Operations, net of tax |
(1,889) |
(4,634) |
-59.2% |
|||
Net Income |
$ 184,981 |
$ 136,941 |
35.1% |
|||
NM – not meaningful |
||||||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||||
Consolidated Selected Data |
||||||||
(Unaudited) |
||||||||
Three Months Ended |
Nine Months Ended |
|||||||
September 30, |
September 30, |
|||||||
2013 |
2012 |
2013 |
2012 |
|||||
Revenue Mix: |
||||||||
Premium: |
||||||||
BMW |
24% |
25% |
24% |
25% |
||||
Audi |
12% |
13% |
12% |
12% |
||||
Mercedes-Benz |
10% |
11% |
11% |
11% |
||||
Lexus |
4% |
4% |
4% |
4% |
||||
Land Rover |
4% |
4% |
4% |
4% |
||||
Porsche |
4% |
4% |
4% |
4% |
||||
Ferrari / Maserati |
3% |
3% |
3% |
3% |
||||
Acura |
2% |
2% |
2% |
2% |
||||
Other |
4% |
3% |
4% |
4% |
||||
Total Premium |
67% |
69% |
68% |
69% |
||||
Foreign: |
||||||||
Toyota |
11% |
10% |
11% |
10% |
||||
Honda |
10% |
11% |
10% |
11% |
||||
Nissan |
2% |
2% |
2% |
2% |
||||
Volkswagen |
2% |
2% |
2% |
2% |
||||
Other |
2% |
2% |
2% |
2% |
||||
Total Foreign |
27% |
27% |
27% |
27% |
||||
Domestic Big 3: |
||||||||
General Motors / Chrysler / Ford |
4% |
4% |
4% |
4% |
||||
Commercial Vehicle and Car Rental |
2% |
-- |
1% |
-- |
||||
Revenue Mix: |
||||||||
U.S. |
63% |
64% |
64% |
63% |
||||
U.K. |
35% |
35% |
34% |
35% |
||||
Other International |
2% |
1% |
2% |
2% |
||||
Total |
100% |
100% |
100% |
100% |
||||
Gross Profit Mix: |
||||||||
New Vehicles |
25.8% |
26.8% |
25.5% |
26.8% |
||||
Used Vehicles |
14.0% |
14.1% |
14.4% |
14.6% |
||||
Service and Parts |
39.6% |
42.1% |
40.9% |
42.1% |
||||
Finance and Insurance |
17.2% |
16.7% |
16.8% |
16.2% |
||||
Fleet and Wholesale |
0.4% |
0.3% |
0.6% |
0.3% |
||||
Commercial Vehicle and Car Rental |
3.0% |
-- |
1.8% |
-- |
||||
Total |
100.0% |
100.0% |
100.0% |
100.0% |
||||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||||||||
Consolidated Selected Data |
||||||||||||
(Unaudited) |
||||||||||||
Three Months Ended |
Nine Months Ended |
|||||||||||
September 30, |
September 30, |
|||||||||||
2013 |
2012 |
Increase/ |
2013 |
2012 |
Increase/ |
|||||||
Operating items as a percentage of revenue: |
||||||||||||
New Vehicle Gross Profit |
7.5% |
7.7% |
-20 bps |
7.6% |
8.0% |
-40 bps |
||||||
Used Vehicle Gross Profit |
7.4% |
7.3% |
10 bps |
7.6% |
7.7% |
-10 bps |
||||||
Service and Parts Gross Profit |
60.1% |
57.8% |
230 bps |
59.5% |
58.0% |
150 bps |
||||||
Fleet and Wholesale Gross Profit |
1.4% |
0.8% |
60 bps |
1.8% |
0.9% |
90 bps |
||||||
Commercial Vehicle and Car |
26.6% |
-- |
NM |
35.8% |
-- |
NM |
||||||
Total Gross Profit |
15.2% |
15.0% |
20 bps |
15.4% |
15.3% |
10 bps |
||||||
Selling, General and Admin. Expenses |
11.9% |
12.0% |
-10 bps |
12.0% |
12.1% |
-10 bps |
||||||
Operating Income |
2.9% |
2.6% |
30 bps |
3.0% |
2.8% |
20 bps |
||||||
Inc. From Cont. Ops. Before Inc. Taxes |
2.6% |
1.7% |
90 bps |
2.6% |
2.2% |
40 bps |
||||||
Operating items as a percentage of total gross profit: |
||||||||||||
Selling, General and Administrative Expenses |
78.3% |
79.8% |
-150 bps |
77.8% |
79.2% |
-140 bps |
||||||
Operating Income |
19.0% |
17.5% |
150 bps |
19.5% |
18.2% |
130 bps |
||||||
Three Months Ended |
Nine Months Ended |
|||||||||||
September 30, |
September 30, |
|||||||||||
2013 |
2012 |
% Increase/(Decrease) |
2013 |
2012 |
% Increase/(Decrease) |
|||||||
Other (Amounts in Thousands): |
||||||||||||
EBITDA* |
$ 126,120 |
$ 82,555 |
52.8% |
$ 364,661 |
$ 287,081 |
27.0% |
||||||
Adjusted EBITDA* |
126,120 |
100,308 |
25.7% |
364,661 |
304,834 |
19.6% |
||||||
Rent Expense |
45,753 |
43,330 |
5.6% |
135,213 |
129,451 |
4.5% |
||||||
Floorplan Credits |
7,575 |
5,842 |
29.7% |
20,220 |
17,047 |
18.6% |
||||||
* See the following Non-GAAP reconciliation tables |
||||||||||||
NM – not meaningful |
||||||||||||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||||||||
Automotive Retail Operations Selected Data |
||||||||||||
(Unaudited) |
||||||||||||
Three Months Ended |
Nine Months Ended |
|||||||||||
September 30, |
September 30, |
|||||||||||
2013 |
2012 |
% Increase/(Decrease) |
2013 |
2012 |
% Increase/(Decrease) |
|||||||
Total Retail Units: |
||||||||||||
New Retail |
53,509 |
47,166 |
13.4% |
150,779 |
135,080 |
11.6% |
||||||
Used Retail |
43,518 |
38,287 |
13.7% |
125,947 |
110,806 |
13.7% |
||||||
Total Retail |
97,027 |
85,453 |
13.5% |
276,726 |
245,886 |
12.5% |
||||||
Same-Store Retail Units: |
||||||||||||
New Same-Store Retail |
52,327 |
46,684 |
12.1% |
145,947 |
133,002 |
9.7% |
||||||
Used Same-Store Retail |
42,231 |
37,783 |
11.8% |
121,139 |
109,271 |
10.9% |
||||||
Total Same-Store Retail |
94,558 |
84,467 |
11.9% |
267,086 |
242,273 |
10.2% |
||||||
Same-Store Retail Revenue: (Amounts in thousands) |
||||||||||||
New Vehicles |
$ 1,953,386 |
$ 1,716,232 |
13.8% |
$ 5,503,322 |
$ 4,922,867 |
11.8% |
||||||
Used Vehicles |
1,071,757 |
960,866 |
11.5% |
3,084,186 |
2,815,415 |
9.5% |
||||||
Finance and Insurance, Net |
97,918 |
83,398 |
17.4% |
275,636 |
240,799 |
14.5% |
||||||
Service and Parts |
372,608 |
360,314 |
3.4% |
1,120,400 |
1,075,410 |
4.2% |
||||||
Total Same-Store Retail |
$ 3,495,669 |
$ 3,120,810 |
12.0% |
$ 9,983,544 |
$ 9,054,491 |
10.3% |
||||||
Retail Revenue Mix: |
||||||||||||
New Vehicles |
55.8% |
55.0% |
80 bps |
55.1% |
54.5% |
60 bps |
||||||
Used Vehicles |
30.7% |
30.7% |
-- |
30.9% |
31.0% |
-10 bps |
||||||
Finance and Insurance, Net |
2.8% |
2.7% |
10 bps |
2.7% |
2.6% |
10 bps |
||||||
Service and Parts |
10.7% |
11.6% |
-90 bps |
11.3% |
11.9% |
-60 bps |
||||||
Average Revenue per Vehicle Retailed: |
||||||||||||
New Vehicles |
$ 37,299 |
$ 36,809 |
1.3% |
$ 37,636 |
$ 37,000 |
1.7% |
||||||
Used Vehicles |
25,242 |
25,312 |
-0.3% |
25,271 |
25,643 |
-1.5% |
||||||
Gross Profit per Vehicle Retailed: |
||||||||||||
New Vehicles |
$ 2,791 |
$ 2,849 |
-2.0% |
$ 2,846 |
$ 2,973 |
-4.3% |
||||||
Used Vehicles |
1,870 |
1,851 |
1.0% |
1,918 |
1,980 |
-3.1% |
||||||
Finance and Insurance |
1,028 |
979 |
5.0% |
1,020 |
988 |
3.3% |
||||||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||||||||
Consolidated Non-GAAP Reconciliation |
||||||||||||
(Unaudited) |
||||||||||||
Reconciliation of reported income from continuing operations net of taxes and earnings per share to adjusted income from continuing operations net of taxes and earnings per share for the three months and nine months ended September 30, 2013 and 2012: |
||||||||||||
Income |
Earnings Per Share |
|||||||||||
Three Months Ended |
Three Months Ended |
|||||||||||
September 30, |
September 30, |
|||||||||||
(Amounts in Thousands) |
2013 |
2012 |
% Increase/(Decrease) |
2013 |
2012 |
% Increase/(Decrease) |
||||||
Income from Continuing Operations Net of Tax and Earnings per share |
$ 66,017 |
$ 41,565 |
58.8% |
$ 0.73 |
$ 0.46 |
58.7% |
||||||
Debt Redemption Costs (1) |
-- |
12,974 |
NM |
-- |
0.14 |
NM |
||||||
Adjusted Income from Continuing Operations and Adjusted Earnings Per Share |
$ 66,017 |
$ 54,539 |
21.0% |
$ 0.73 |
$ 0.60 |
21.7% |
||||||
Income |
Earnings Per Share |
|||||||||||
Nine Months Ended |
Nine Months Ended |
|||||||||||
September 30, |
September 30, |
|||||||||||
(Amounts in Thousands) |
2013 |
2012 |
% Increase/(Decrease) |
2013 |
2012 |
% Increase/(Decrease) |
||||||
Income from Continuing Operations |
$ 186,870 |
$ 141,575 |
32.0% |
$ 2.07 |
$ 1.57 |
31.8% |
||||||
Debt Redemption Costs (1) |
-- |
12,974 |
NM |
-- |
0.14 |
NM |
||||||
Adjusted Income from Continuing |
$ 186,870 |
$ 154,549 |
20.9% |
$ 2.07 |
$ 1.71 |
21.1% |
||||||
(1) Costs associated with the redemption of the Company's $375 million of 7.75% senior subordinated notes due 2016 of $17,753 million ($12,974 million net of taxes), or $0.14 per share. |
||||||||||||
NM – not meaningful |
||||||||||||
PENSKE AUTOMOTIVE GROUP, INC. |
||||||||||||
Consolidated Non-GAAP Reconciliation |
||||||||||||
(Unaudited) |
||||||||||||
Reconciliation of reported net income to earnings before interest, taxes, depreciation and amortization ("EBITDA) and adjusted EBITDA for the three months and nine months ended September 30, 2013 and 2012: |
||||||||||||
Three Months Ended |
Nine Months Ended |
|||||||||||
September 30, |
September 30, |
|||||||||||
(Amounts in Thousands) |
2013 |
2012 |
% Increase/(Decrease) |
2013 |
2012 |
% Increase/(Decrease) |
||||||
Net Income |
$ 65,532 |
$ 41,313 |
58.6% |
$ 186,046 |
$ 137,931 |
34.9% |
||||||
Depreciation |
15,784 |
13,704 |
15.2% |
45,300 |
40,014 |
13.2% |
||||||
Other Interest Expense |
12,370 |
11,583 |
6.8% |
36,163 |
35,155 |
2.9% |
||||||
Income Taxes |
31,692 |
15,421 |
105.5% |
95,263 |
69,347 |
37.4% |
||||||
Loss from Discontinued Operations, net |
742 |
534 |
39.0% |
1,889 |
4,634 |
-59.2% |
||||||
EBITDA |
$ 126,120 |
$ 82,555 |
52.8% |
$ 364,661 |
$ 287,081 |
27.0% |
||||||
Add Back: Debt redemption costs (1) |
-- |
17,753 |
NM |
-- |
17,753 |
NM |
||||||
Adjusted EBITDA |
$ 126,120 |
$ 100,308 |
25.7% |
$ 364,661 |
$ 304,834 |
19.6% |
||||||
(1) Costs associated with the redemption of the Company's $375 million of 7.75% senior subordinated notes due 2016 of $17,753 million ($12,974 million net of taxes), or $0.14 per share. |
||||||||||||
NM – not meaningful |
||||||||||||
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