Lithia Motors(US:LAD)2022-02-10 06:03Lithia & Driveway's Strategic Overview - Lithia & Driveway aims to modernize personal transportation by providing consumer solutions wherever, whenever, and however they desire[3] - The company targets a 5% market share in the new and used vehicle market within a ~$600 billion opportunity[7] - Lithia operates in a $2 trillion+ market with 100% national coverage[4] Financial Performance and Growth - Lithia's 10-year revenue growth boasts a 20% Compound Annual Growth Rate (CAGR)[4] - The company's 10-year Total Shareholder Return (TSR) shows a 37% CAGR[4] - Lithia's 10-year EPS Growth demonstrates a 43% CAGR[4] - The company's 2025 Plan targets $50 billion in revenues and $55 to $60 in EPS[5] - In Q4 2021, Lithia increased total revenue and gross profit by 60% and 92%, respectively[33] - Adjusted earnings per share increased by 109% in Q4 2021[33] Driveway Finance Corporation (DFC) - DFC aims for a portfolio size of $9 billion by 2025 and a future state of $17 billion[13] - DFC targets a penetration rate range of 15% to 20%[13] - A loan originated with DFC contributes 3x the profitability of a loan arranged with a third party[14]