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Group 1 Automotive(GPI) - 2021 Q2 - Earnings Call Transcript
2021-07-31 22:06
Financial Data and Key Metrics Changes - Group 1 generated adjusted net income of $190 million, equating to adjusted earnings per share of $10.31, an increase of 173% year-over-year and 264% compared to Q2 2019 [9][10] - Adjusted SG&A as a percentage of gross profit was 55.9% in the U.S., 63.4% in the U.K., and 68.8% in Brazil, showing significant cost control improvements [14] Business Line Data and Key Metrics Changes - U.S. same-store new and used sales increased by 11% and 12% respectively compared to Q2 2019 [15] - Aftersales gross profit in the U.S. increased by 17% compared to Q2 2019, indicating strong recovery in aftersales business [18] - In Brazil, despite a nearly 50% decline in retail units sold versus Q2 2019, margins grew across all lines of business, achieving the lowest SG&A as a percentage of gross profit in the region's history [25] Market Data and Key Metrics Changes - U.K. retail sales saw a 31% sequential increase from Q1 2021, driven by pent-up demand from Brexit and the pandemic [13] - Aftersales revenues in the U.K. increased sequentially throughout the quarter, with June seeing an 11% same-store increase over June 2019 [12] Company Strategy and Development Direction - The company is focused on external growth through acquisitions, having recently acquired 9 franchises in the U.K. expected to contribute approximately $300 million in annual revenues [30] - The company is prioritizing digital retailing through its Acceleride platform, which sold a record 5,600 vehicles in Q2, more than double the prior year [20] Management's Comments on Operating Environment and Future Outlook - Management noted strong consumer demand for vehicles and expects this trend to continue into the third quarter and beyond, assuming no material changes in demand [11] - There are concerns about the ongoing inventory challenges due to supply chain issues, with expectations that new vehicle inventories will remain tight for the foreseeable future [52][53] Other Important Information - The company reported total cash liquidity of $525 million and an additional $255 million in borrowing capacity, indicating a strong financial position [26] - The quarterly floorplan interest expense decreased by 13% year-over-year, reflecting improved financial management [29] Q&A Session Summary Question: Impact of Ford's order-to-build model on inventory - Management expressed that a leaner distribution system would reduce inventory carrying costs and land requirements, which would be beneficial for the dealer group [32][33] Question: Differences in F&I per unit between U.S. and U.K. - Management acknowledged legal and market differences but indicated potential for improvement in the U.K. market [36][37] Question: Sustainability of SG&A savings - Management indicated that SG&A savings are expected to be sticky, with no significant changes anticipated in Q3 performance [39] Question: Future acquisitions and capital allocation - Management stated that while M&A remains a priority, share buybacks could be considered if acquisition opportunities do not meet financial return hurdles [61] Question: Inventory supply and sustainability of momentum - Management confirmed that new car inventories remain lean, while used car inventories are in better shape due to new sourcing practices [65] Question: Agency model implications in the U.K. - Management discussed potential agency model discussions with OEMs, noting that it could lead to a demand-pull system beneficial for retailers [69] Question: Pent-up demand in parts and service - Management sees significant pent-up demand and is transitioning back to a 4-day work week to expand capacity [49] Question: Feedback on F-150 Lightning - Management reported high customer interest in the F-150 Lightning across their Ford stores [81] Question: Impact of potential corporate tax rate increase - Management estimated a blended tax rate could rise to around 27% if the corporate tax rate increases [83]
Group 1 Automotive(GPI) - 2021 Q1 - Quarterly Report
2021-05-06 17:12
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, 2021 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: 1-13461 Group 1 Automotive, Inc. (Exact name of registrant as specified in its charter) (State of other jurisdiction of incorporation or organ ...
Group 1 Automotive(GPI) - 2021 Q1 - Earnings Call Transcript
2021-05-01 18:25
Group 1 Automotive, Inc. (NYSE:GPI) Q1 2021 Earnings Conference Call April 29, 2021 10:00 AM ET Company Participants Pete DeLongchamps – Senior Vice President-Manufacturer Relations, Financial Services and Public Affairs Daryl Kenningham – President-U.S. and Brazilian Operations Daniel McHenry – Senior Vice President and Chief Financial Officer Earl Hesterberg – President and Chief Executive Officer Conference Call Participants Michael Ward – Benchmark John Murphy – Bank of America Rick Nelson – Stephens Ra ...
Group 1 Automotive(GPI) - 2021 Q1 - Earnings Call Presentation
2021-04-30 22:12
G R O U P 1 AUTOMOTIVE® 2021 First Quarter Financial Results & Overview April 29, 2021 PARTS & SERVICE BUY & SELL ONLINE SHOPPING FINANCE & INSURANCE CUSTOMER SUPPORT GPS Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, which are statements related to future, not past, events and are based on our current expectations and assumptions regarding our business, the economy and other future conditions. In ...
Group 1 Automotive(GPI) - 2020 Q4 - Annual Report
2021-02-24 17:44
☐ 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: 1-13461 Group 1 Automotive, Inc. UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2020 or (Exact name of registrant as specified in its charter) (State of other jurisdiction of incorporation or organizati ...
Group 1 Automotive(GPI) - 2020 Q4 - Earnings Call Transcript
2021-02-04 21:24
Group 1 Automotive, Inc. (NYSE:GPI) Q4 2020 Earnings Conference Call February 4, 2021 10:00 AM ET Company Participants Pete DeLongchamps - SVP of Manufacturer Relations, Financial Services and Public Affairs Earl Hesterberg - President and CEO Daryl Kenningham - President, U.S. and Brazilian Operations Daniel McHenry - SVP and CFO Michael Wells - VP and Corporate Controller Conference Call Participants John Murphy - Bank of America Michael Ward - Benchmark Rajat Gupta - JPMorgan Rick Nelson - Stephens David ...
Group 1 Automotive(GPI) - 2020 Q3 - Quarterly Report
2020-11-04 22:02
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 September 30, 2020 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: 1-13461 Group 1 Automotive, Inc. (Exact name of registrant as specified in its charter) Delaware 76-0506313 (State of other jurisdiction o ...
Group 1 Automotive(GPI) - 2020 Q3 - Earnings Call Transcript
2020-11-01 08:05
Group 1 Automotive, Inc. (NYSE:GPI) Q3 2020 Earnings Conference Call October 29, 2020 10:00 AM ET Company Participants Pete DeLongchamps - SVP of Manufacturer Relations, Financial Services and Public Affairs Earl Hesterberg - President and CEO Daryl Kenningham - President of U.S. and Brazilian Operations Daniel Mchenry - SVP and CFO Conference Call Participants Michael Ward - Benchmark John Murphy - Bank of America Merrill Lynch Rick Nelson - Stephens David Whiston - Morningstar Rajat Gupta - JPMorgan Opera ...
Group 1 Automotive (GPI) Presents At J.P. Morgan Auto Conference - Slideshow
2020-08-17 17:57
United States ited Kingdom GROUP 1 AUTOMOTIVE® 'VALUE DRIVEN' J.P. Morgan Auto Conference August 11, 2020 NYSE Forward Looking Statement This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, which are statements related to future, not past, events and are based on our current expectations and assumptions regarding our business, the economy and other future conditions. In this context, the forward-looking statements often include s ...
Group 1 Automotive(GPI) - 2020 Q2 - Quarterly Report
2020-08-03 10:18
☐ 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: 1-13461 Group 1 Automotive, Inc. (Exact name of registrant as specified in its charter) 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 June 30, 2020 or Delaware 76-0506313 (State of other jurisdiction of inc ...