SONIC AUTOMOTIVE, INC. CHARLOTTE, N.C., Feb. 24, 2015 /PRNewswire/ --
Fourth Quarter 2014 Results
-- Record Q4 new retail units of 34,755, up 2.2%, over the prior year
quarter
-- Record Q4 pre-owned units and gross profit of 26,406 and $37.8 million,
respectively
-- Record Q4 fixed operations gross profit of $156.3 million, up 2.4% over
the prior year quarter
-- Record Q4 total gross profit of $348.5 million, up 2.9% over the prior
year quarter
-- EchoPark(®) stores in Denver open for business
-- One Sonic-One Experience launched in Charlotte
Full Year 2014 Results
-- Retailed an annual record new retail and pre-owned units of 135,932 and
110,113, respectively
-- Record annual pre-owned gross profit of $157.2 million
-- Record annual fixed operations gross profit of $623.5 million
-- Record annual total gross profit of $1.4 billion
-- Near record pre-tax income from continuing operations of $161.7 million
Sonic Automotive, Inc. (NYSE: SAH), one of the nation's largest automotive retailers, today reported adjusted net income from continuing operations for the fourth quarter of 2014 of $32.5 million, or $0.63 per diluted share. Included in these adjusted amounts are pre-tax expenses of $7.1 million, or $0.08 per diluted share, related to the Company's EchoPark® initiative and $3.8 million, or $0.05 per diluted share, related to its One Sonic-One Experience initiative.
Adjusted net income from continuing operations for the fourth quarter of 2013 was $35.6 million, or $0.67 per diluted share. Included in these adjusted amounts are pre-tax expenses of $2.2 million, or $0.03 per diluted share, related to the Company's EchoPark® initiative and $2.1 million, or $0.02 per diluted share, related to its One Sonic-One Experience initiative.
On a GAAP basis, net income from continuing operations and related diluted earnings per share for the fourth quarter 2014 were $27.0 million and $0.52 per share, respectively, compared to $29.6 million and $0.55 per diluted share for the fourth quarter of 2013. See the accompanying tables for details of quarterly adjustments.
Sonic reported full year 2014 adjusted net income from continuing operations of $100.0 million, or $1.90 per diluted share, that includes expenses of $15.7 million, or $0.18 per diluted share, related to the Company's EchoPark(®) initiative and $10.4 million, or $0.12 per diluted share, related to its One Sonic-One Experience initiative.
For the full year of 2013, Sonic reported adjusted net income from continuing operations of $108.4 million, or $2.03 per diluted share that includes expenses of $5.5 million, or $0.07 per diluted share, related to EchoPark(®) and $6.7 million, or $0.08 per diluted share, related its One Sonic-One Experience initiative.
On a GAAP basis, net income from continuing operations for full year of 2014 was $98.6 million, or $1.87 per diluted share, compared to full year 2013 results of $84.7 million, or $1.59 per diluted share. See the accompanying tables for details of annual adjustments.
Jeff Dyke, Sonic's EVP of Operations, stated, "I could not be more pleased with our team's performance in the fourth quarter and for the year. We started 2014 with a huge calendar including launching both EchoPark(®) and One Sonic-One Experience all in the fourth quarter of 2014. The amount of preparation and effort that went into launching these critical programs was second to none and I want to personally thank everyone for the hard work and dedication it took to successfully bring both projects to life. We look forward to sharing our progress as the projects gain momentum. Despite the time and energy dedicated to the EchoPark(®) and One Sonic-One Experience initiatives, our operations team was able to turn in a record breaking quarter and year. December was the biggest gross and profit month in our Company's history for any year or store count!
We expect 2015 to be another great year as our team works diligently to deliver on our goals with EchoPark(®) and One Sonic-One Experience. We are confident that as the year progresses we will be able to announce our second market for both EchoPark(®) and One Sonic-One Experience."
2015 Outlook
B. Scott Smith, the Company's President, noted, "I am very pleased with the performance of our team in the fourth quarter, especially considering the various initiatives we have tasked the team with during the year. In addition to our internal initiatives, during the fourth quarter we purchased Cherry Creek Chevrolet and Land Rover of Roaring Fork, both located in the Denver, Colorado market. We have also been awarded Mercedes Benz and Audi add points during the year. The Mercedes Benz add point is located in McKinney, Texas and we believe it will be operational by the second quarter of 2016. The Audi add point is located in the Pensacola, Florida area and we expect opening this point in late 2016. The additions of these premium luxury brands will prove to augment our existing luxury brand portfolio. We are dedicated to our EchoPark(®), One Sonic-One Experience and growth through acquisitions initiatives and will continue to invest in these initiatives in 2015. We expect 2015 to continue to be favorable to dealers and anticipate new vehicle industry volume to be between 16.5 million and 17.0 million units. We project diluted earnings per share from continuing operations for 2015 to be between $1.85 and $1.95 per share. Excluding the effects of EchoPark on this range, adjusted diluted earnings per share from continuing operations from our historical franchised group of stores is expected to be between $2.01 and $2.11 per share. We will have additional comments on our 2015 outlook in our earnings call later today."
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: 74193723
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: 74193723
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.
Included herein are forward-looking statements, including statements with respect to anticipated future success and impacts from the implementation of our planned customer experience and stand-alone pre-owned store initiatives. There are many factors that affect management's views about future events and trends of the Company's business. These factors involve risk and uncertainties that could cause actual results or trends to differ materially from management's view, 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, 2013. The Company does not undertake any obligation to update forward-looking information.
Sonic Automotive, Inc.
Results of Operations (Unaudited)
This release contains certain non-GAAP financial measures 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 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.
---------------------------------------------------------------------------------------------------------------------------------------
Fourth Quarter Ended December 31, Year Ended December 31,
2014 2013 2014 2013
---- ---- ---- ----
(In thousands, except per share and unit data)
Revenues:
New retail vehicles $1,337,896 $1,299,444 $5,046,010 $4,819,787
Fleet vehicles 12,899 38,254 78,019 169,398
Total new vehicles 1,350,795 1,337,698 5,124,029 4,989,185
Used vehicles 562,993 551,028 2,310,247 2,176,034
Wholesale vehicles 38,361 40,772 166,158 175,328
------ ------ ------- -------
Total vehicles 1,952,149 1,929,498 7,600,434 7,340,547
Parts, service and collision repair 322,924 316,888 1,296,570 1,230,178
Finance, insurance and other, net 76,755 68,983 300,095 272,443
------ ------ ------- -------
Total revenues 2,351,828 2,315,369 9,197,099 8,843,168
Gross profit 348,464 338,700 1,365,900 1,301,607
Selling, general and administrative expenses (264,402) (254,647) (1,067,433) (1,003,125)
Impairment charges (6,379) (9,803) (6,594) (9,872)
Depreciation and amortization (15,213) (14,986) (58,260) (54,007)
------- ------- ------- -------
Operating income (loss) 62,470 59,264 233,613 234,603
Other income (expense):
Interest expense, floor plan (4,852) (5,688) (18,793) (21,954)
Interest expense, other, net (12,614) (13,183) (53,190) (55,485)
Other income (expense), net (2) 1 97 (28,143)
--- --- --- -------
Total other income (expense) (17,468) (18,870) (71,886) (105,582)
------- ------- ------- --------
Income (loss) from continuing operations before taxes 45,002 40,394 161,727 129,021
Provision for income taxes - benefit (expense) (18,045) (10,832) (63,168) (44,343)
------- ------- ------- -------
Income (loss) from continuing operations 26,957 29,562 98,559 84,678
Income (loss) from discontinued operations (831) (1,478) (1,342) (3,060)
---- ------ ------ ------
Net income (loss) $26,126 $28,084 $97,217 $81,618
======= ======= ======= =======
Diluted earnings (loss) per common share:
Earnings (loss) per share from continuing operations $0.52 $0.55 $1.87 $1.59
Earnings (loss) per share from discontinued operations (0.02) (0.02) (0.03) (0.06)
Earnings (loss) per common share $0.50 $0.53 $1.84 $1.53
===== ===== ===== =====
Weighted average common shares outstanding 51,834 52,974 52,563 52,941
Gross Margin Data (Continuing Operations):
New retail vehicles 5.9% 6.3% 5.7% 5.9%
Fleet vehicles 1.1% 2.2% 1.9% 2.6%
Total new vehicles 5.8% 6.2% 5.6% 5.8%
Used vehicles 6.7% 6.5% 6.8% 6.9%
Wholesale vehicles (2.9%) (3.9%) (2.2%) (4.5%)
Parts, service and collision repair 48.4% 48.2% 48.1% 48.5%
Finance, insurance and other 100.0% 100.0% 100.0% 100.0%
Overall gross margin 14.8% 14.6% 14.9% 14.7%
SG&A Expenses (Continuing Operations):
Compensation (4) $155,382 $151,704 $638,875 $601,495
Advertising 15,409 15,327 57,437 56,609
Rent 18,384 17,632 73,707 73,976
Other (5) 75,227 69,984 297,414 271,045
Total SG&A expenses $264,402 $254,647 $1,067,433 $1,003,125
SG&A expenses as % of gross profit 75.9% 75.2% 78.1% 77.1%
Operating Margin % 2.7% 2.6% 2.5% 2.7%
Unit Data (Continuing Operations):
New retail units 34,755 34,001 135,932 132,363
Fleet units 352 1,250 2,485 5,911
Total new units 35,107 35,251 138,417 138,274
Used units 26,406 26,354 110,113 107,054
Wholesale units 6,912 6,670 29,946 29,961
Sonic Automotive, Inc.
Results of Operations (Unaudited)
Per Share Data
Fourth Quarter Ended December 31, 2014
--------------------------------------
Income (Loss) Income (Loss)
From Continuing From Discontinued
Operations Average 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 51,272 $26,957 $(831) $26,126
Effect of participating securities:
Non-vested restricted stock
and stock units (86) - (86)
--- --- ---
Basic earnings (loss) and shares 51,272 $26,871 $0.52 $(831) $(0.01) $26,040 $0.51
Effect of dilutive securities:
Stock compensation plans 562
Diluted earnings (loss) and shares (1) 51,834 $26,871 $0.52 $(831) $(0.02) $26,040 $0.50
====== ======= ===== ===== ====== ======= =====
Adjustments (net of tax):
Fire and severe storm damage $594 $0.01 $ - $ - $594 $0.01
Legal and other 355 - - - 355 -
Impairment charges 3,943 0.08 - - 3,943 0.08
Gain on disposal of franchises (157) - - - (157) -
Permanent tax difference from disposals 853 0.02 - 853 0.02
Total adjustments $5,588 $0.11 $ - $ - $5,588 $0.11
Adjusted:
Earnings (loss) and
Diluted earnings (loss) per share $32,545 $0.63 $(831) $(0.02) $31,714 $0.61
===== ====== =====
(1) Expenses attributable to the EchoPark(R) initiative were $0.08 per fully diluted share in the
fourth quarter of 2014.
Fourth Quarter Ended December 31, 2013
--------------------------------------
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 52,492 $29,562 $(1,478) $28,084
Effect of participating securities:
Non-vested restricted stock
and stock units (208) - (208)
---- --- ----
Basic earnings (loss) and shares 52,492 $29,354 $0.56 $(1,478) $(0.03) $27,876 $0.53
Effect of dilutive securities:
Stock compensation plans 482
---
Diluted earnings (loss) and shares (2) 52,974 $29,354 $0.55 $(1,478) $(0.02) $27,876 $0.53
====== ======= ===== ======= ====== ======= =====
Adjustments (net of tax):
Impairment Charges $6,022 $0.11 $ - $ - $6,022 $0.11
Effect of two-class method & rounding - 0.01 - (0.01) - -
Total adjustments $6,022 $0.12 $ - $(0.01) $6,022 $0.11
Adjusted:
Earnings (loss) and
Diluted earnings (loss) per share $35,584 $0.67 $(1,478) $(0.03) $34,106 $0.64
===== ====== =====
(2) Expenses attributable to the EchoPark(R) initiative were $0.03 per fully diluted share in the fourth quarter of 2013.
Sonic Automotive, Inc.
Results of Operations (Unaudited)
Per Share Data
Year Ended December 31, 2014
----------------------------
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 52,065 $98,559 $(1,342) $97,217
Effect of participating securities:
Non-vested restricted stock
and stock units (311) - (311)
---- --- ----
Basic earnings (loss) and shares 52,065 $98,248 $1.89 $(1,342) $(0.03) $96,906 $1.86
Effect of dilutive securities:
Stock compensation plans 498
---
Diluted earnings (loss) and shares (3) 52,563 $98,248 $1.87 $(1,342) $(0.03) $96,906 $1.84
====== ======= ===== ======= ====== ======= =====
Adjustments (net of tax):
Fire and severe storm damage $2,685 $0.05 $ - $ - $2,685 $0.05
Legal and other 749 0.01 - - 749 0.01
Impairment charges 4,459 0.08 - - 4,459 0.08
Gain on disposal of franchises (7,273) (0.14) - - (7,273) (0.14)
Permanent tax difference from disposals 853 0.02 - - 853 0.02
Lease exit adjustments - - (844) (0.02) (844) (0.02)
Effect of two-class method & rounding - 0.01 - 0.01 - 0.02
Total adjustments $1,473 $0.03 $(844) $(0.01) $629 $0.02
Adjusted:
Earnings (loss) and
Diluted earnings (loss) per share $100,032 $1.90 $(2,186) $(0.04) $97,846 $1.86
===== ====== =====
(3) Expenses attributable to the EchoPark(R) initiative were $0.18 per fully diluted share in the year ended December 31, 2014.
Year Ended December 31, 2013
----------------------------
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 52,556 $84,678 $(3,060) $81,618
Effect of participating securities:
Non-vested restricted stock
and stock units (601) - (601)
---- --- ----
Basic earnings (loss) and shares 52,556 $84,077 $1.60 $(3,060) $(0.06) $81,017 $1.54
Effect of dilutive securities:
Stock compensation plans 385
---
Diluted earnings (loss) and shares (4) 52,941 $84,077 $1.59 $(3,060) $(0.06) $81,017 $1.53
====== ======= ===== ======= ====== ======= =====
Adjustments (net of tax):
Impairment Charges $6,022 $0.11 $ - $ - $6,022 $0.11
Double-carry interest 17,704 0.33 - - 17,704 0.33
Effect of two-class method & rounding - - - 0.01 - 0.01
Total adjustments $23,726 $0.44 $ - $0.01 $23,726 $0.45
Adjusted:
Earnings (loss) and
Diluted earnings (loss) per share $108,404 $2.03 $(3,060) $(0.05) $105,344 $1.98
===== ====== =====
(4) Expenses attributable to the EchoPark(R) initiative were $0.07 per fully diluted share in the year ended December 31, 2014.
Sonic Automotive, Inc.
Results of Operations (Unaudited)
New Vehicles
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Reported:
Revenue $1,350,795 $1,337,698 $13,097 1.0%
Gross profit . $78,734 $82,936 $(4,202) (5.1%)
Unit sales 35,107 35,251 (144) (0.4%)
Revenue per unit $38,477 $37,948 $529 1.4%
Gross profit per unit $2,243 $2,353 $(110) (4.7%)
Gross profit as a % of revenue 5.8% 6.2% (40) bps
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Reported:
Revenue $5,124,029 $4,989,185 $134,844 2.7%
Gross profit $288,626 $289,603 $(977) (0.3%)
Unit sales 138,417 138,274 143 0.1%
Revenue per unit $37,019 $36,082 $937 2.6%
Gross profit per unit $2,085 $2,094 $(9) (0.4%)
Gross profit as a % of revenue 5.6% 5.8% (20) bps
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Same Store:
Revenue $1,338,612 $1,292,378 $46,234 3.6%
Gross profit $78,136 $80,604 $(2,468) (3.1%)
Unit sales 34,723 34,006 717 2.1%
Revenue per unit $38,551 $38,004 $547 1.4%
Gross profit per unit $2,250 $2,370 $(120) (5.1%)
Gross profit as a % of revenue 5.8% 6.2% (40) bps
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Same Store:
Revenue $4,953,201 $4,818,937 $134,264 2.8%
Gross profit $278,938 $280,225 $(1,287) (0.5%)
Unit sales 134,059 133,578 481 0.4%
Revenue per unit $36,948 $36,076 $872 2.4%
Gross profit per unit $2,081 $2,098 $(17) (0.8%)
Gross profit as a % of revenue 5.6% 5.8% (20) bps
Sonic Automotive, Inc.
Results of Operations (Unaudited)
Used Vehicles
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Reported:
Revenue $562,993 $551,028 $11,965 2.2%
Gross profit $37,834 $35,784 $2,050 5.7%
Unit sales 26,406 26,354 52 0.2%
Revenue per unit $21,321 $20,909 $412 2.0%
Gross profit per unit $1,433 $1,358 $75 5.5%
Gross profit as a % of revenue 6.7% 6.5% 20 bps
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Reported:
Revenue $2,310,247 $2,176,034 $134,213 6.2%
Gross profit $157,246 $150,400 $6,846 4.6%
Unit sales 110,113 107,054 3,059 2.9%
Revenue per unit $20,981 $20,327 $654 3.2%
Gross profit per unit $1,428 $1,405 $23 1.6%
Gross profit as a % of revenue 6.8% 6.9% (10)
bps
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Same Store:
Revenue $551,576 $529,846 $21,730 4.1%
Gross profit $36,945 $34,255 $2,690 7.9%
Unit sales 25,784 25,322 462 1.8%
Revenue per unit $21,392 $20,924 $468 2.2%
Gross profit per unit $1,433 $1,353 $80 5.9%
Gross profit as a % of revenue 6.7% 6.5% 20 bps
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Same Store:
Revenue $2,200,362 $2,085,069 $115,293 5.5%
Gross profit $150,990 $144,253 $6,737 4.7%
Unit sales 105,057 102,597 2,460 2.4%
Revenue per unit $20,944 $20,323 $621 3.1%
Gross profit per unit $1,437 $1,406 $31 2.2%
Gross profit as a % of revenue 6.9% 6.9% 0
bps
Sonic Automotive, Inc.
Results of Operations (Unaudited)
Wholesale Vehicles
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Reported:
Revenue $38,361 $40,772 $(2,411) (5.9%)
Gross profit (loss) $(1,122) $(1,589) $467 29.4%
Unit sales 6,912 6,670 242 3.6%
Revenue per unit $5,550 $6,113 $(563) (9.2%)
Gross profit (loss) per unit $(162) $(238) $76 31.9%
Gross profit (loss) as a % of revenue (2.9%) (3.9%) 100 bps
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Reported:
Revenue $166,158 $175,328 $(9,170) (5.2%)
Gross profit (loss) $(3,616) $(7,931) $4,315 54.4%
Unit sales 29,946 29,961 (15) (0.1%)
Revenue per unit $5,549 $5,852 $(303) (5.2%)
Gross profit (loss) per unit $(121) $(265) $144 54.3%
Gross profit (loss) as a % of revenue (2.2%) (4.5%) 230 bps
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Same Store:
Revenue $37,572 $39,745 $(2,173) (5.5%)
Gross profit (loss) $(939) $(1,493) $554 37.1%
Unit sales 6,803 6,478 325 5.0%
Revenue per unit $5,523 $6,135 $(612) (10.0%)
Gross profit (loss) per unit $(138) $(230) $92 40.0%
Gross profit (loss) as a % of revenue (2.5%) (3.8%) 130 bps
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except units and per unit data)
Same Store:
Revenue $159,263 $170,489 $(11,226) (6.6%)
Gross profit (loss) $(3,175) $(7,305) $4,130 56.5%
Unit sales 28,885 29,092 (207) (0.7%)
Revenue per unit $5,514 $5,860 $(346) (5.9%)
Gross profit (loss) per unit $(110) $(251) $141 56.2%
Gross profit (loss) as a % of revenue (2.0%) (4.3%) 230
bps
Sonic Automotive, Inc.
Results of Operations (Unaudited)
Parts, Service and Collision Repair ("Fixed Operations")
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
Reported: (In thousands)
Revenue
Customer pay $137,524 $139,443 $(1,919) (1.4%)
Warranty 52,396 50,572 1,824 3.6%
Wholesale parts 46,615 44,468 2,147 4.8%
Internal, sublet and other 86,389 82,405 3,984 4.8%
Total $322,924 $316,888 $6,036 1.9%
======== ======== ====== ===
Gross profit
Customer pay $74,734 $76,315 $(1,581) (2.1%)
Warranty 29,135 26,694 2,441 9.1%
Wholesale parts 8,042 8,084 (42) (0.5%)
Internal, sublet and other 44,353 41,493 2,860 6.9%
Total $156,264 $152,586 $3,678 2.4%
======== ======== ====== ===
Gross profit as a % of revenue
Customer pay 54.3% 54.7% (40) bps
Warranty 55.6% 52.8% 280 bps
Wholesale parts 17.3% 18.2% (90)
bps
Internal, sublet and other 51.3% 50.4% 90
bps
Total 48.4% 48.2% 20 bps
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
Reported: (In thousands)
Revenue
Customer pay $565,144 $546,695 $18,449 3.4%
Warranty 194,468 188,061 6,407 3.4%
Wholesale parts 188,687 169,338 19,349 11.4%
Internal, sublet and other 348,271 326,084 22,187 6.8%
Total $1,296,570 $1,230,178 $66,392 5.4%
========== ========== ======= ===
Gross profit
Customer pay $309,885 $300,800 $9,085 3.0%
Warranty 106,298 101,351 4,947 4.9%
Wholesale parts 32,633 31,242 1,391 4.5%
Internal, sublet and other 174,733 163,699 11,034 6.7%
Total $623,549 $597,092 $26,457 4.4%
======== ======== ======= ===
Gross profit as a % of revenue
Customer pay 54.8% 55.0% (20) bps
Warranty 54.7% 53.9% 80
bps
Wholesale parts 17.3% 18.4% (110)
bps
Internal, sublet and other 50.2% 50.2% 0 bps
Total 48.1% 48.5% (40)
bps
Sonic Automotive, Inc.
Results of Operations (Unaudited)
Parts, Service and Collision Repair ("Fixed Operations")
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
Same Store: (In thousands)
Revenue
Customer pay $135,913 $134,788 $1,125 0.8%
Warranty 51,832 48,565 3,267 6.7%
Wholesale parts 46,099 43,107 2,992 6.9%
Internal, sublet and other 84,174 79,693 4,481 5.6%
Total $318,018 $306,153 $11,865 3.9%
======== ======== ======= ===
Gross profit
Customer pay $73,891 $73,824 $67 0.1%
Warranty 28,861 25,736 3,125 12.1%
Wholesale parts 7,941 7,814 127 1.6%
Internal, sublet and other 43,043 39,877 3,166 7.9%
Total $153,736 $147,251 $6,485 4.4%
======== ======== ====== ===
Gross profit as a % of revenue
Customer pay 54.4% 54.8% (40)
bps
Warranty 55.7% 53.0% 270
bps
Wholesale parts 17.2% 18.1% (90)
bps
Internal, sublet and other 51.1% 50.0% 110
bps
Total 48.3% 48.1% 20
bps
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
Same Store: (In thousands)
Revenue
Customer pay $538,930 $527,034 $11,896 2.3%
Warranty 185,526 180,125 5,401 3.0%
Wholesale parts 181,058 163,979 17,079 10.4%
Internal, sublet and other 334,166 314,529 19,637 6.2%
Total $1,239,680 $1,185,667 $54,013 4.6%
========== ========== ======= ===
Gross profit
Customer pay $296,160 $290,238 $5,922 2.0%
Warranty 101,689 97,581 4,108 4.2%
Wholesale parts 30,804 30,143 661 2.2%
Internal, sublet and other 166,909 157,123 9,786 6.2%
Total $595,562 $575,085 $20,477 3.6%
======== ======== ======= ===
Gross profit as a % of revenue
Customer pay 55.0% 55.1% (10)
bps
Warranty 54.8% 54.2% 60
bps
Wholesale parts 17.0% 18.4% (140) bps
Internal, sublet and other 49.9% 50.0% (10)
bps
Total 48.0% 48.5% (50)
bps
Sonic Automotive, Inc.
Results of Operations (Unaudited)
Finance, Insurance and Other, Net ("F&I")
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except per unit data)
Reported:
Revenue $76,755 $68,983 $7,772 11.3%
Gross profit per retail unit (excludes fleet) $1,255 $1,143 $112 9.8%
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except per unit data)
Reported:
Revenue $300,095 $272,443 $27,652 10.1%
Gross profit per retail unit (excludes fleet) $1,220 $1,138 $82 7.2%
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except per unit data)
Same Store:
Revenue $75,745 $66,476 $9,269 13.9%
Gross profit per retail unit (excludes fleet) $1,259 $1,145 $114 10.0%
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands, except per unit data)
Same Store:
Revenue $289,833 $263,038 $26,795 10.2%
Gross profit per retail unit (excludes fleet) $1,225 $1,142 $83 7.3%
Selling, General and Administrative ("SG&A") Expenses
Fourth Quarter Ended December 31, Better / (Worse)
--------------------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands)
Reported:
Compensation $155,382 $151,704 $(3,678) (2.4%)
Advertising 15,409 15,327 (82) (0.5%)
Rent 18,384 17,632 (752) (4.3%)
Other 75,227 69,984 (5,243) (7.5%)
------ ------
Total $264,402 $254,647 $(9,755) (3.8%)
======== ======== ======= =====
SG&A expenses as a % of gross profit
Compensation 44.6% 44.8% 20 bps
Advertising 4.4% 4.5% 10 bps
Rent 5.3% 5.2% (10)
bps
Other 21.6% 20.7% (90)
bps
Total 75.9% 75.2% (70)
bps
Year Ended December 31, Better / (Worse)
----------------------- ----------------
2014 2013 Change % Change
---- ---- ------ --------
(In thousands)
Reported:
Compensation $638,875 $601,495 $(37,380) (6.2%)
Advertising 57,437 56,609 (828) (1.5%)
Rent 73,707 73,976 269 0.4%
Other 297,414 271,045 (26,369) (9.7%)
------- -------
Total $1,067,433 $1,003,125 $(64,308) (6.4%)
========== ========== ======== =====
SG&A expenses as a % of gross profit
Compensation 46.8% 46.2% (60) bps
Advertising 4.2% 4.3% 10 bps
Rent 5.4% 5.7% 30 bps
Other 21.7% 20.9% (80) bps
Total 78.1% 77.1% (100)
bps
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/sonic-automotive-inc-reports-record-results-and-launch-of-echopark-automotive-300040082.html
SOURCE Sonic Automotive, Inc.
