Luis Alvarez/DigitalVision via Getty Images Asbury Automotive Group (NYSE:ABG) has been a mixed performer over the past year, up just 10% and below last summer's highs. In September, I rated shares of ABG a "strong buy," but their performance since then has been disappointing. The stock is essentially flat, while the S&P 500 has risen by 16%. Given this underperformance, it is time to revisit to see if the underperformance is merited or if the opportunity for 15+% returns remains. I remain bullish. Seeking ...

Shares of Asbury Automotive (ABG) have inched down 1% since the company reported first-quarter 2024 results. Adjusted earnings of $7.21 per share decreased 13.8% year over year and missed the Zacks Consensus Estimate of $7.78 on lower-than-expected gross profit from new vehicle, parts and service, and finance and insurance businesses. In the reported quarter, revenues amounted to $4.2 billion, which increased 17% year over year but missed the Zacks Consensus Estimate of $4.26 billion.Segment DetailsIn the q ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES ☒ EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES ☐ EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-31262 ASBURY AUTOMOTIVE GROUP, INC. (Exact name of Registrant as specified in its charter) Delaware 01-0609375 (State or ...

Asbury Automotive Group, Inc. (NYSE:ABG) Q1 2024 Earnings Conference Call April 25, 2024 10:00 AM ET Company Participants Chris Reeves - VP, Finance and Treasurer David Hult - President, CEO & Director Daniel Clara - SVP, Operations Michael Welch - SVP & CFO Conference Call Participants John Murphy - Bank of America Merrill Lynch Rajat Gupta - JPMorgan Chase & Co. Ryan Sigdahl - Craig-Hallum Capital Group Bret Jordan - Jefferies David Whiston - Morningstar Inc. Operator Greetings and welcome to the Asbury A ...

Asbury Automotive Group (ABG) reported $4.2 billion in revenue for the quarter ended March 2024, representing a year-over-year increase of 17.3%. EPS of $7.21 for the same period compares to $8.37 a year ago.The reported revenue represents a surprise of -1.56% over the Zacks Consensus Estimate of $4.27 billion. With the consensus EPS estimate being $7.78, the EPS surprise was -7.33%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wa ...

分组1 - Asbury Automotive Group reported quarterly earnings of $7.21 per share, missing the Zacks Consensus Estimate of $7.78 per share, and down from $8.37 per share a year ago, representing an earnings surprise of -7.33% [1] - The company posted revenues of $4.2 billion for the quarter, missing the Zacks Consensus Estimate by 1.56%, and an increase from $3.58 billion year-over-year [1] - Over the last four quarters, Asbury Automotive has surpassed consensus EPS estimates only once and has topped consensus revenue estimates two times [1] 分组2 - The stock has underperformed, losing about 1.5% since the beginning of the year compared to the S&P 500's gain of 6.3% [2] - The current consensus EPS estimate for the coming quarter is $8.23 on revenues of $4.47 billion, and for the current fiscal year, it is $31.46 on revenues of $17.58 billion [4] - The Zacks Industry Rank for Automotive - Retail and Whole Sales is currently in the bottom 4% of over 250 Zacks industries, indicating potential challenges for stock performance [5]

Financial Performance - First quarter 2024 net income was $147 million, a decrease of 19% from $181 million in the same quarter of 2023[1] - Revenue reached $4.2 billion, an increase of 17% compared to the first quarter of 2023[5] - Operating margin decreased to 6.3%, down 146 basis points from the previous year[5] - Gross profit for the quarter was $750.0 million, reflecting an 8% increase from $696.2 million[21] - Net income decreased by 19% to $147.1 million, down from $181.4 million in the previous year[21] - Basic earnings per share were $7.24, a decline of 14% from $8.42[21] - Adjusted EBITDA for Q1 2024 was $258.6 million, compared to $293.7 million in Q1 2023, reflecting a decrease of 12%[35] - Income from operations for Q1 2024 was $243.3 million, a decrease of 5% from $256.1 million in Q1 2023[33] Revenue Breakdown - New vehicle revenue reached $2,064.3 million, up 17% from $1,767.7 million year-over-year[21] - Total used vehicle revenue increased by 20% to $1,356.9 million, compared to $1,126.5 million in the prior year[21] - Parts and service revenue grew by 15% to $590.4 million, up from $515.6 million[21] - New vehicle revenue for Q1 2024 was $2,064.3 million, an increase of 16.8% from $1,767.7 million in Q1 2023[33] - Used vehicle revenue for Q1 2024 was $1,356.9 million, up 20.4% from $1,126.5 million in Q1 2023[33] - Parts and service revenue for Q1 2024 was $598.8 million, a 14.1% increase from $524.5 million in Q1 2023[33] Profitability Metrics - New vehicle gross profit decreased by 9% to $162.8 million, down from $178.9 million[27] - Total gross profit rose to $750.0 million, an 8% increase from $696.2 million in the prior year[27] - Total gross profit margin decreased to 17.9%, down from 19.4% year-over-year, reflecting a decline of 158 basis points[27] - Operating expenses increased by 16% to $468.6 million, compared to $403.0 million in the same period last year[27] - SG&A as a percentage of gross profit rose to 62.5%, up from 57.9% in the previous year[27] Cash and Liquidity - As of March 31, 2024, the company had total liquidity of $712 million[7] - Cash and cash equivalents decreased by 37% to $29.0 million from $45.7 million at the end of December 2023[23] - Cash provided by operating activities for Q1 2024 was $177.1 million, slightly up from $171.7 million in Q1 2023[36] - Adjusted cash flow provided by operating activities was $208.7 million in Q1 2024, down from $243.9 million in Q1 2023[36] Shareholder Actions - The company repurchased approximately 240,000 shares for $50 million during the quarter[1][8] Inventory and Liabilities - Inventory increased by 5% to $1,862.9 million compared to $1,768.3 million at the end of December 2023[23] - Total current liabilities decreased by 4% to $2,757.4 million from $2,875.7 million[23]

Wall Street expects a year-over-year decline in earnings on higher revenues when Asbury Automotive Group (ABG) reports results for the quarter ended March 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on Apr ...

WILMINGTON, Del.--(BUSINESS WIRE)--The Presidio Group LLC (“Presidio”), an independent merchant banking firm focused on mergers and acquisitions, capital raising and investments in the automotive retail and consumer mobility sectors, exclusively advised Asbury Automotive Group, Inc. of Duluth, Ga., on the sale of a Lexus dealership in Wilmington, Del., to MileOne Autogroup of Towson, Md. The transaction, which was finalized March 4, included Koons Wilmington Lexus and its real estate. Asbury had acquired ...

Financial Performance - Total revenue for 2023 was $14,802.7 million, a decrease of 4.1% from $15,433.8 million in 2022[358]. - New vehicle revenue increased to $7,630.7 million, up from $7,365.6 million in 2022, representing a growth of 3.6%[358]. - Used vehicle revenue decreased to $4,414.3 million, down 15.1% from $5,197.1 million in 2022[358]. - Gross profit for 2023 was $2,755.8 million, a decline of 11.1% compared to $3,100.6 million in 2022[358]. - Net income for 2023 was $602.5 million, a decrease of 39.7% from $997.3 million in 2022[358]. - Earnings per diluted share for 2023 was $28.74, down from $44.61 in 2022, reflecting a decline of 35.7%[358]. - The company reported a comprehensive income of $589.1 million for 2023, down from $1,072.2 million in 2022[361]. Assets and Liabilities - Total current assets increased to $3,057.1 million, up from $1,909.8 million in 2022, marking a growth of 60.0%[354]. - Total liabilities increased to $6,915.3 million, compared to $5,117.2 million in 2022, an increase of 35.1%[354]. - Shareholders' equity rose to $3,244.1 million, up from $2,903.5 million in 2022, representing a growth of 11.7%[354]. - Total accounts receivable was $228.6 million, up from $174.1 million in 2022, reflecting an increase of approximately 31.3%[449]. - Total inventories as of December 31, 2023, amounted to $1,768.3 million, a significant rise from $959.2 million in 2022, representing an increase of approximately 84.5%[450]. - As of December 31, 2023, total assets held for sale were valued at $342.2 million, compared to $29.1 million in 2022, indicating a substantial increase[453]. Debt and Financing - As of December 31, 2023, the company had total debt of $3.23 billion, excluding floor plan notes payable and certain debt issuance costs[420]. - The company has substantial debt service obligations, which include required cash payments of principal and interest for the foreseeable future[420]. - The company entered into a 2023 Senior Credit Facility providing a $500.0 million revolving credit facility and a $1.93 billion new vehicle revolving floorplan facility[480]. - The 2023 Senior Credit Facility matures on October 20, 2028, with all amounts outstanding due at that time[485]. - Total outstanding long-term debt as of December 31, 2023, is $3,121.2 million, a decrease from $3,216.8 million in 2022, reflecting a reduction of approximately 2.95%[14]. - The aggregate maturities of long-term debt for 2024 amount to $85.7 million, with total maturities reaching $3,230.1 million as of December 31, 2023[495]. Acquisitions and Impairments - The company completed the acquisition of the Jim Koons Dealerships for approximately $1.50 billion, funded by borrowings and cash on hand[373]. - The company recorded impairment charges of $73.1 million related to manufacturer franchise rights during the year ended December 31, 2023, with an aggregate carrying value of approximately $2,095.8 million[339]. - Goodwill associated with acquisitions is tested for impairment annually, with the fair value of manufacturer franchise rights determined by discounting projected cash flows[392][394]. - Goodwill recognized from the Koons acquisition was $231.7 million, primarily due to anticipated synergies and the acquired workforce[436]. - The company recorded a $1.1 million impairment charge related to construction in progress during the year ended December 31, 2023[390]. Cash Flow and Investments - Net cash provided by operating activities decreased to $313.0 million in 2023 from $696.0 million in 2022 and $1,163.7 million in 2021[366]. - Net cash used in investing activities was $(1,678.4) million in 2023, a significant decrease from $464.7 million in 2022[366]. - The company had total investments of $332.9 million as of December 31, 2023[419]. - The company recorded gross gains of $3.7 million and gross losses of $0.9 million from equity securities for the year ended December 31, 2023[460]. Operational Highlights - The company operates 208 new vehicle franchises and 37 collision centers across 16 states[372]. - Seasonal variations affect operating results, with higher demand for new vehicles typically in the second, third, and fourth quarters[374]. - The company maintains a reserve for used vehicle inventory where cost basis exceeds net realizable value, considering factors such as aging, historical sales experience, and current market conditions[385]. Shareholder Activities - The company issued 128,563 shares of common stock in connection with share-based payment arrangements during the year ended December 31, 2023[364]. - The company repurchased 1,316,167 shares of common stock during the year ended December 31, 2023, under its share repurchase program[412]. - Share-based compensation for the year ended December 31, 2023, amounted to $23.5 million, compared to $20.6 million in 2021, reflecting an increase of approximately 14.0%[364]. Regulatory and Compliance - The company’s internal control over financial reporting was deemed effective as of December 31, 2023, based on the COSO criteria[345]. - The company is subject to operating and financial restrictions in its leases and debt instruments, which may impact its ability to incur additional indebtedness[421]. - The company is evaluating the impact of recent accounting pronouncements on its consolidated financial statements, including ASU 2023-09 and ASU 2023-07[424][425].