Core Viewpoint - Asbury Automotive Group's recent earnings report showed a mixed performance, with adjusted earnings per share exceeding estimates but revenues falling short, leading to a 15.6% increase in share price over the past month, outperforming the S&P 500 [1][3]. Financial Performance - Asbury reported Q2 2025 adjusted earnings per share of $7.43, surpassing the Zacks Consensus Estimate of $6.82 and increasing from $6.40 in the previous year [3]. - Total revenues for the quarter were $4.37 billion, a nearly 3% year-over-year increase, but below the Zacks Consensus Estimate of $4.45 billion [3]. Segment Performance - New vehicle revenues rose 6% year-over-year to $2.30 billion, slightly missing the consensus estimate of $2.31 billion, with retail units sold totaling 44,437, up 4% year-over-year but below the consensus of 45,291 units [4]. - Used vehicle retail revenues declined 3% year-over-year to $1.13 billion, missing the consensus estimate of $1.15 billion, with retail used vehicle units sold totaling 36,233, down 6% year-over-year [5]. - Revenues from the used vehicle wholesale business increased 11% to $156.3 million, exceeding the consensus estimate of $153 million [6]. - Finance and insurance business net revenues amounted to $182 million, down 5% year-over-year and below the consensus estimate of $203 million [7]. - Parts and service business revenues were $601.5 million, up from $580.9 million year-over-year but missing the consensus estimate of $625 million [8]. Cost and Debt Management - Selling, general & administrative expenses as a percentage of gross profit rose to 63.2%, a decrease of 198 basis points year-over-year [9]. - As of June 30, 2025, the company had cash and cash equivalents of $54.8 million, down from $69.4 million at the end of 2024, and long-term debt decreased to $3.05 billion from $3.14 billion [9]. Market Outlook - Estimates for Asbury Automotive have been trending upward, with a Zacks Rank of 3 (Hold), indicating an expectation of in-line returns in the coming months [12]. - The company has a subpar Growth Score of D and a Momentum Score of D, but a strong Value Score of A, placing it in the top quintile for value investment strategy [11]. Industry Comparison - Asbury Automotive is part of the Zacks Automotive - Retail and Wholesale industry, where Sonic Automotive has gained 17.1% over the past month, reporting revenues of $3.66 billion, a year-over-year increase of 5.9% [13].

Financial Data and Key Metrics Changes - Total assets of the group are valued at $2.6 billion with a weighted average cap rate of 6.77% [1] - The distribution to investors remained flat at $0.85 per security despite a lower asset base [2] - Gearing for the group is at 34.5%, within the target range [2] - Like for like operating earnings rose by 7.7% for the year, with office income increasing by 9.8% [5][6] - The average cost of debt for FY 2025 was 5.1%, with a forecasted reduction to 4.5% in the next twelve months [7][11] Business Line Data and Key Metrics Changes - Office operating earnings increased by 9.8% year on year, supported by a 4.3% rental growth [3][5] - Retail operating earnings grew by 8.8%, driven by CPI-linked rental growth and improved leasing momentum [7][20] - Self-storage earnings from ASK contributed $16.8 million, with management fees adding another $18.1 million [7][21] - Investment management earnings grew by 14% compared to the prior period [3] Market Data and Key Metrics Changes - The office portfolio's occupancy is stable at 91%, with positive leasing spreads [6] - Retail properties showed strong turnover rent growth, with MAT growth of 2.7% on FY 2024 [20] - The self-storage sector is viewed favorably, with a RevPAR growth of 4.5% year on year [21] Company Strategy and Development Direction - The company aims to focus on office and retail sectors while exploring capital partnering opportunities [13][24] - Plans to realize $200 to $300 million of non-core asset sales over the next 12 to 18 months to pursue higher returning opportunities [13] - The strategy includes consolidating operating systems to improve efficiency and scalability [13] Management Comments on Operating Environment and Future Outlook - Management noted early signs of improving capital and leasing sentiment in the office and retail sectors [2] - The company anticipates a significant reduction in finance costs due to recent interest rate cuts [8] - Future earnings are forecasted at the top of the payout ratio range, contingent on successful leasing programs [8] Other Important Information - The company received its first public credit rating of A+ with a stable outlook, allowing for competitive banking terms [10] - Full-year valuations were impacted by a 27 basis point expansion in cap rates, resulting in an overall value decline of 4% [11] - The company is actively managing lease expiries in its non-core portfolio to protect value [19] Q&A Session Summary Question: Capital recycling and reinvestment strategies - The company is primarily focused on the office and retail sectors for capital reinvestment, while remaining open to other opportunities [27] Question: Insights on office demand and tenant behavior - Office demand is relatively healthy, with companies returning employees to the workplace, shifting focus to workplace efficiency and productivity [28][29] Question: Medium-term potential of 201 Elizabeth Street for residential development - The highest and best use of 201 Elizabeth Street is currently viewed as office, though residential potential is not discounted for the future [34][35] Question: Leasing prospects for 710 Collins Street - There are advanced discussions with interested groups, and the company is optimistic about generating income from this asset by the end of the financial year [36][37] Question: Anticipated transactions in capital partnering for FY 2026 - The company intends to progress capital partnering opportunities and hopes to provide updates in the near future [41]

Financial Data and Key Metrics Changes - Total assets of Abacus Group are valued at $2.6 billion with a weighted average cap rate of 6.77% as of FY 2025 [1] - The group announced a distribution to investors of $0.85 per security, flat compared to FY 2024 despite a lower asset base [2] - Gearing for the group is at 34.5%, comfortably within the target range [2] - Like-for-like operating earnings rose by 7.7% for the year, with office income increasing by 9.8% [5][6] Business Line Data and Key Metrics Changes - Office operating earnings increased by 9.8% year on year, supported by like-for-like rental growth of 4.3% [3][5] - Retail operating earnings grew by 8.8%, driven by rental reviews of 3.5% [3][7] - Self-storage contributed $16.8 million in earnings and $18.1 million in management fees, with a strong return on investment [3][22] Market Data and Key Metrics Changes - The office portfolio's occupancy is stable at 91%, with positive leasing spreads [6] - Retail portfolio saw MAT growth of 2.7% on FY 2024, with a compound annual growth rate of 6.1% since 2019 [21] - Self-storage sector shows strong occupancy at 91.2% and RevPAR growth of 4.5% year on year [22] Company Strategy and Development Direction - The company aims to identify, own, and manage real estate to deliver exceptional returns, focusing on office and retail sectors [14] - Plans to realize $200 to $300 million in non-core asset sales over the next 12 to 18 months to pursue higher returning opportunities [14] - The company is consolidating operating systems to improve efficiency and scalability [14] Management's Comments on Operating Environment and Future Outlook - Management noted early signs of improving capital and leasing sentiment in the office and retail sectors [2] - The company anticipates a significant reduction in finance costs due to recent interest rate cuts [9] - Future earnings are forecasted at the top of the payout ratio range, contingent on successful leasing programs [9] Other Important Information - The group has received its first public credit rating of A+ with a stable outlook, allowing for competitive banking facilities [11] - Full-year valuations were impacted by a 27 basis point expansion in cap rates, resulting in an overall value decline of 4% [12] - The company is exploring capital partnering opportunities and is currently involved in due diligence regarding a proposal for its stake in ASK [25] Q&A Session Summary Question: Thoughts on recycling capital and reinvestment strategies - The company is primarily focused on the office and retail sectors for reinvestment, while remaining open to other opportunities [27] Question: Insights on office demand and tenant behavior - Office demand has been relatively healthy, with more companies returning employees to the workplace [28][29] Question: Medium-term potential of 201 Elizabeth Street for residential development - The highest and best use of 201 Elizabeth Street is currently seen as office, though residential potential is not discounted for the future [34][35] Question: Leasing prospects for 710 Collins Street - There are advanced discussions with interested groups, and the company is optimistic about generating income from this asset by the end of the financial year [36][37] Question: Anticipation of transactions in capital partnering for FY 2026 - The company intends to progress capital partnering transactions and hopes to provide updates in the near future [41]

Financial Performance - Total assets decreased by 1.4% to $2.6 billion in FY25 compared to FY24[7] - Statutory profit increased by $267.9 million to $26.9 million in FY25[7] - Funds From Operations (FFO) increased by 1.7% to $82.7 million in FY25 from continuing operations[7] - FFO per security increased by 1.7% to 9.26 cents per security (cps) in FY25 from continuing operations[7] - Distribution per security (DPS) remained flat at 8.50 cps in FY25, with 50% fully franked compared to 25% in FY24[7] Portfolio Metrics - Weighted Average Cap Rate (WACR) increased by 27 bps to 6.77% in FY25[7] - Gearing increased by 70 bps to 34.5% in FY25[7] - Net Tangible Assets (NTA) decreased by 2.3% to $1.72 per security in FY25[7] - Occupancy increased by 30 bps to 92.1% on a like-for-like (LFL) basis in FY25[7] - The commercial portfolio's investment property value decreased from $1.885 billion to $1.802 billion, with WACR increasing from 6.50% to 6.77%[25] Operational Highlights - Office LFL rent growth was +4.3%[9] - Retail LFL rent growth was +3.5% with a strong occupancy of 95.5%[9] - ASK (Abacus Storage King) NTA growth was +10.1%, with a $16.8 million equity return on ASK investment, up 4.3%[9] - Income growth from management fees was +13.9%, totaling $19.6 million from Self Storage and Commercial[9]

Company Overview - Asbury Automotive Group, Inc. (ABG) is experiencing significant attention from investors due to high implied volatility in its options market, particularly the Oct 17, 2025 $360.00 Put option [1] - The company currently holds a Zacks Rank 3 (Hold) in the Automotive - Retail and Wholesale industry, which is positioned in the top 24% of the Zacks Industry Rank [3] Analyst Insights - Over the past 30 days, three analysts have raised their earnings estimates for Asbury for the current quarter, while one has lowered theirs, resulting in a net increase in the Zacks Consensus Estimate from $6.64 to $6.67 per share [3] Market Sentiment - The high implied volatility suggests that options traders are anticipating a significant price movement for Asbury shares, indicating potential upcoming events that could lead to a major rally or sell-off [2][4] - Options traders often seek to capitalize on high implied volatility by selling premium, aiming for the underlying stock to not move as much as expected by expiration [4]

Market Overview - The U.S. stock market is expected to face ongoing volatility due to uncertainties surrounding trade policies, economic challenges, and changing investor sentiment [1] - A 90-day extension on higher tariffs against China provides temporary relief, but the lack of clarity on tariffs suggests that volatility will persist [1] Investment Strategy - Investors are encouraged to consider broker recommendations as a practical approach to identify promising stocks amid market uncertainty [2] - Broker-backed stocks such as American Axle & Manufacturing (AXL), Brookdale Senior Living (BKD), Adient (ADNT), Asbury Automotive (ABG), and AutoNation (AN) are highlighted as attractive options for potential returns [2][8] Stock Screening Methodology - A screening process has been developed to identify stocks based on improving broker recommendations and upward revisions in earnings estimates over the past four weeks [3] - The screening criteria include net upgrades in ratings, percentage change in earnings estimates, and price-to-sales ratio, focusing on companies with strong top-line performance [4][5] Featured Stocks - **American Axle & Manufacturing (AXL)**: The company is making significant progress in the electric drive sector and has secured multiple contracts, indicating strong growth potential. AXL has exceeded earnings estimates by an average of 584.1% over the past four quarters [6][7] - **Brookdale Senior Living (BKD)**: An increase in occupancy rates is expected to drive higher resident fee revenues, contributing to growth in adjusted EBITDA. BKD's earnings estimate for 2025 has been revised upward by 7.8% from 2024 [9] - **Adient (ADNT)**: The company has a diverse customer base and is focused on product launches to secure new business. ADNT has beaten earnings estimates in three of the past four quarters, with an average beat of 30.3% [10][11] - **Asbury Automotive (ABG)**: The company's diversified product mix and e-commerce platform are driving growth. ABG has beaten earnings estimates in two of the past four quarters, with an average beat of 5.9% [12][13] - **AutoNation (AN)**: As one of the largest automotive retailers, AutoNation is expanding its store network and embracing digital transformation. AN has surpassed earnings estimates in three of the past four quarters, with an average beat of 7.5% [14][15]

Group 1 - Asbury Group (ABG) and AutoNation (AN) are significant players in the U.S. auto dealership market, showcasing strong operational performance [3] - The auto dealership sector is experiencing growth driven by increased consumer demand and favorable market conditions [3] - Both companies are strategically positioned to capitalize on market trends, enhancing their competitive advantage [3]

PART I—Financial Information [Condensed Consolidated Financial Statements (unaudited)](index=4&type=section&id=Item%201.%20Condensed%20Consolidated%20Financial%20Statements%20(unaudited)) The unaudited statements present the company's financial position, results of operations, and cash flows [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets slightly decreased to $10.13 billion while shareholders' equity increased to $3.78 billion as of June 30, 2025 Condensed Consolidated Balance Sheet Highlights (in millions) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **$10,131.6** | **$10,337.0** | | Total Current Assets | $3,129.6 | $3,137.9 | | Inventories, net | $1,942.2 | $1,978.8 | | Goodwill | $1,974.7 | $2,044.7 | | **Total Liabilities** | **$6,354.6** | **$6,834.9** | | Total Current Liabilities | $2,403.1 | $2,836.3 | | Floor plan notes payable, net | $1,288.6 | $1,694.7 | | Long-term debt | $2,964.1 | $3,023.9 | | **Total Shareholders' Equity** | **$3,777.0** | **$3,502.1** | [Condensed Consolidated Statements of Income](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) Net income surged in Q2 2025, primarily due to the absence of a prior-year asset impairment charge Q2 Financial Performance (in millions, except EPS) | Metric | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | Total Revenue | $4,373.1 | $4,246.2 | 3.0% | | Gross Profit | $751.9 | $730.7 | 2.9% | | Income from Operations | $257.4 | $100.5 | 156.1% | | Net Income | $152.8 | $28.1 | 443.8% | | Diluted EPS | $7.76 | $1.39 | 458.3% | H1 Financial Performance (in millions, except EPS) | Metric | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | | Total Revenue | $8,521.6 | $8,447.4 | 0.9% | | Gross Profit | $1,476.1 | $1,480.7 | -0.3% | | Income from Operations | $491.7 | $363.3 | 35.3% | | Net Income | $284.9 | $175.2 | 62.6% | | Diluted EPS | $14.46 | $8.64 | 67.4% | [Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow significantly increased, driven by higher net income and favorable working capital changes Six Months Ended June 30 Cash Flow Summary (in millions) | Cash Flow Category | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $316.4 | $22.7 | | Net cash provided by (used in) investing activities | $129.1 | $(18.0) | | Net cash (used in) provided by financing activities | $(460.1) | $16.7 | | **Net (decrease) increase in cash** | **$(14.6)** | **$21.5** | [Notes to Condensed Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail the significant post-quarter Herb Chambers acquisition, divestitures, and a pending FTC legal proceeding - The company operates through two reportable segments: Dealerships and Total Care Auto (TCA), its finance and insurance (F&I) product provider[24](index=24&type=chunk)[87](index=87&type=chunk) - On July 21, 2025, after the quarter ended, the company completed the acquisition of The Herb Chambers Companies for a preliminary purchase price of approximately **$1.82 billion**, financed through borrowings and cash[39](index=39&type=chunk)[40](index=40&type=chunk) - During the first six months of 2025, the company sold seven franchises across multiple locations, recording a **pre-tax gain of $10.1 million**[44](index=44&type=chunk) - A pre-tax non-cash franchise rights **impairment charge of $14.3 million** was recognized in March 2025 in connection with five dealerships classified as assets held for sale[51](index=51&type=chunk) - The company is involved in an administrative proceeding with the Federal Trade Commission (FTC) regarding alleged violations of the FTC Act and Equal Credit Opportunity Act[94](index=94&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=29&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes revenue growth to new vehicle sales, with income boosted by the absence of a prior-year impairment charge [Results of Operations - Three Months Ended June 30, 2025 vs. 2024](index=33&type=section&id=Results%20of%20Operations%20-%20Three%20Months%20Ended%20June%2030%2C%202025%20vs.%202024) Q2 revenue and operating income grew significantly, aided by a favorable comparison to the prior year's impairment charge - The CDK Global cyber-incident in June 2024 negatively impacted the prior year's results, creating a **favorable comparison for Q2 2025 performance**[121](index=121&type=chunk) Q2 2025 Key Performance Indicators vs. Q2 2024 | Metric | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | New Vehicle Revenue | $2,303.9M | $2,164.9M | 6% | | Used Vehicle Revenue | $1,285.8M | $1,308.0M | -2% | | Parts & Service Revenue | $601.5M | $580.9M | 4% | | F&I Revenue, net | $182.0M | $192.4M | -5% | | SG&A as % of Gross Profit | 63.2% | 65.2% | -2.0 p.p. | Q2 2025 Gross Profit Per Vehicle Retailed (PVR) vs. Q2 2024 | PVR Category | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | New Vehicle | $3,601 | $3,633 | -1% | | Used Vehicle (Retail) | $1,720 | $1,463 | 18% | | F&I, net | $2,084 | $2,151 | -3% | [Results of Operations - Six Months Ended June 30, 2025 vs. 2024](index=42&type=section&id=Results%20of%20Operations%20-%20Six%20Months%20Ended%20June%2030%2C%202025%20vs.%202024) H1 revenue saw modest growth while operating income increased substantially due to lower asset impairment charges H1 2025 Key Performance Indicators vs. H1 2024 | Metric | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | | New Vehicle Revenue | $4,442.0M | $4,229.1M | 5% | | Used Vehicle Revenue | $2,521.6M | $2,664.9M | -5% | | Parts & Service Revenue | $1,189.1M | $1,171.2M | 2% | | F&I Revenue, net | $368.9M | $382.1M | -3% | | SG&A as % of Gross Profit | 63.1% | 63.8% | -0.7 p.p. | H1 2025 Gross Profit Per Vehicle Retailed (PVR) vs. H1 2024 | PVR Category | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | | New Vehicle | $3,527 | $3,814 | -8% | | Used Vehicle (Retail) | $1,654 | $1,556 | 6% | | F&I, net | $2,171 | $2,205 | -2% | [Liquidity and Capital Resources](index=50&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintained a strong liquidity position of $1.12 billion, with no share repurchases during the period - Total available liquidity as of June 30, 2025, was **$1.12 billion**[181](index=181&type=chunk) Adjusted Cash Flow from Operating Activities (in millions) | Period | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Adjusted Cash Flow | $334.0 | $402.0 | - **No shares were repurchased** under the share repurchase program in H1 2025[185](index=185&type=chunk) - The company had **$275.9 million remaining** on its share repurchase authorization as of June 30, 2025[186](index=186&type=chunk) - Projected capital expenditures for the full year 2025 are expected to be approximately **$273.1 million**[200](index=200&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=54&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to interest rate risk on its variable-rate debt, which it mitigates using interest rate swaps - The company has **$1.28 billion in variable interest rate debt**, where a 100 basis point change would impact annual interest expense by $12.8 million[212](index=212&type=chunk) - Asbury uses **five interest rate swap agreements** to hedge against changes in variable rate cash flows related to the SOFR rate[214](index=214&type=chunk)[215](index=215&type=chunk) [Controls and Procedures](index=55&type=section&id=Item%204.%20Controls%20and%20Procedures) Disclosure controls were deemed ineffective due to a material weakness at a recently acquired dealership, with remediation underway - Disclosure controls and procedures were deemed **not effective** as of June 30, 2025, due to a material weakness[217](index=217&type=chunk) - The material weakness stems from insufficient IT general controls at a third-party DMS vendor for the **acquired Koons dealerships**[219](index=219&type=chunk) - Remediation efforts are underway, with the transition of Koons stores to a new DMS nearly complete as of July 2025 and full remediation expected in 2025[220](index=220&type=chunk) PART II—Other Information [Legal Proceedings](index=56&type=section&id=Item%201.%20Legal%20Proceedings) No new material legal proceedings or developments were reported during the period - **No material developments** in legal proceedings were reported for the quarter[223](index=223&type=chunk) [Risk Factors](index=56&type=section&id=Item%201A.%20Risk%20Factors) No material changes to previously disclosed risk factors were identified in the quarter - **No material changes** to risk factors were reported for the quarter[224](index=224&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=56&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company did not repurchase shares under its public program but has $275.9 million remaining in its authorization Q2 2025 Share Repurchase Activity | Period | Shares Purchased (Program) | Shares Purchased (Other) | Avg. Price Paid | | :--- | :--- | :--- | :--- | | Apr 2025 | 0 | 72 | $223.54 | | May 2025 | 0 | 138 | $223.57 | | Jun 2025 | 0 | 436 | $245.99 | | **Total Q2** | **0** | **646** | **N/A** | - The company has **$275.9 million remaining** under its share repurchase authorization as of June 30, 2025[226](index=226&type=chunk) [Other Information](index=56&type=section&id=Item%205.%20Other%20Information) No directors or officers adopted, modified, or terminated Rule 10b5-1 trading arrangements during the quarter - No directors or officers adopted, modified, or terminated a **Rule 10b5-1 trading arrangement** during the quarter[228](index=228&type=chunk) [Exhibits](index=57&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including certifications and interactive data files

Core Insights - Asbury Automotive (ABG) reported second-quarter 2025 adjusted earnings per share of $7.43, exceeding the Zacks Consensus Estimate of $6.82 and up from $6.40 in the previous year, driven by better-than-expected gross profits from vehicle sales [1][9] - Total revenues for the quarter were $4.37 billion, reflecting a nearly 3% year-over-year increase but falling short of the Zacks Consensus Estimate of $4.45 billion [1][9] Segment Performance - New vehicle revenues increased by 6% year over year to $2.30 billion, slightly missing the Zacks Consensus Estimate of $2.31 billion, attributed to lower-than-expected selling prices and unit sales [2] - Retail units sold in the new vehicle segment totaled 44,437, a 4% increase year over year, but below the consensus mark of 45,291 units [2] - The average selling price (ASP) for new vehicles was $51,846, up 2% year over year, but missed the consensus estimate of $52,011 [2] - Gross profit from new vehicles was $160 million, up 3% from the prior year and surpassing the Zacks Consensus Estimate of $148 million [2] - Used vehicle retail revenues declined by 3% year over year to $1.13 billion, missing the Zacks Consensus Estimate of $1.15 billion due to lower ASP and unit sales [3] - Retail used vehicle units sold totaled 36,233, down 6% year over year, lagging behind the consensus mark of 36,382 units [3] - The ASP for used vehicles was $31,171, up 3% year over year, but fell short of the consensus estimate of $31,207 [3] - Gross profit from used vehicles was $62.3 million, an 11% increase year over year, exceeding the Zacks Consensus Estimate of $57 million [3] - Revenues from the used vehicle wholesale business rose 11% to $156.3 million, beating the consensus estimate of $153 million [4] - Gross profit from the wholesale unit surged 43% to $6.6 million, surpassing the consensus mark of $2.72 million [4] - Net revenues from the finance and insurance business were $182 million, down 5% year over year and below the Zacks Consensus Estimate of $203 million [5] - Gross profit in this segment was $168.1 million, a 4% year-over-year decline, missing the Zacks Consensus Estimate of $170 million [5] - Revenues from the parts and service business reached $601.5 million, up from $580.9 million in the previous year but missing the Zacks Consensus Estimate of $625 million [6] - Gross profit from parts and service was $354.8 million, which lagged the consensus mark of $359 million but represented a 4% year-over-year increase [6] Financial Metrics - Selling, general & administrative expenses as a percentage of gross profit increased to 63.2%, a decrease of 198 basis points year over year [7] - As of June 30, 2025, the company had cash and cash equivalents of $54.8 million, down from $69.4 million as of December 31, 2024 [7] - Long-term debt stood at $3.05 billion as of June 30, 2025, down from $3.14 billion as of December 31, 2024 [7]

Core Viewpoint - Asbury Automotive Group held its Second Quarter 2025 Earnings Call, discussing financial results and future expectations [2][3]. Group 1: Company Overview - The call featured key participants including David Hult (President and CEO), Dan Clara (COO), and Michael Welch (CFO) [1][3]. - The press release detailing the second quarter results was made available on the company's investor relations website [3]. Group 2: Financial Performance - The earnings call is expected to include forward-looking statements regarding financial projections and forecasts, which are subject to uncertainties [4].