GPI 8-K

Group 1 Automotive Inc (GPI)

8-K 2023-07-26 For: 2023-07-26

View Original

Added on April 05, 2026

Search and read filings like this one from Claude or ChatGPT with the SEC filings MCP server →


Second Quarter 2023 Key Performance Metrics (year-over-year comparable period basis)	Consolidated		Same Store (a non-GAAP measure)
Reported:	2Q23	Change	2Q23	Change
Total revenues	$4.6B	+10.0%	$4.3B	+5.9%
Total gross profit (“GP”)	$775.5M	+0.9%	$735.4M	(2.1)%

NV units sold	44,740	+15.2%	42,343	+12.3%
NV GP per retail unit (“PRU”)	$4,503	(16.9)%	$4,435	(18.5)%

Used vehicle (“UV”) retail units sold	46,764	(4.4)%	44,831	(6.4)%
UV retail GP PRU	$1,684	(7.9)%	$1,661	(9.5)%
Parts & service (“P&S”) GP	$304.1M	+9.5%	$291.3M	+7.4%
P&S Gross Margin (“GM”)	54.1%	(1.1)%	54.2%	(1.0)%
Finance and Insurance (“F&I”) revenues	$190.3M	0.0%	$181.2M	(2.6)%
F&I GP PRU	$2,080	(4.1)%	$2,078	(4.4)%
Selling, General and Administrative (“SG&A”) expenses as a % of GP	61.9%	+199 bps	63.0%	+296 bps
Adjusted SG&A expenses (a non-GAAP measure) as a % of GP	63.2%	+292 bps	63.1%	+308 bps


Group 1 Automotive, Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
(In millions, except per share data)

	Three Months Ended June 30,
	2023			2022			Increase/(Decrease)			% Change
REVENUES:
New vehicle retail sales	$	2,243.2		$	1,851.3		$	391.9		21.2	%
Used vehicle retail sales	1,450.6			1,505.4			(54.8)			(3.6)	%
Used vehicle wholesale sales	112.5			95.8			16.6			17.3	%
Parts and service sales	562.0			502.6			59.4			11.8	%
Finance, insurance and other, net	190.3			190.2			0.1			—	%
Total revenues	4,558.5			4,145.4			413.1			10.0	%
COST OF SALES:
New vehicle retail sales	2,041.7			1,641.0			400.7			24.4	%
Used vehicle retail sales	1,371.8			1,415.9			(44.1)			(3.1)	%
Used vehicle wholesale sales	111.6			95.1			16.5			17.4	%
Parts and service sales	257.9			224.9			32.9			14.6	%
Total cost of sales	3,783.0			3,377.0			406.0			12.0	%
GROSS PROFIT	775.5			768.4			7.1			0.9	%
Selling, general and administrative expenses	479.9			460.2			19.7			4.3	%
Depreciation and amortization expense	23.1			23.0			0.1			0.6	%
Asset impairments	1.8			0.8			1.0			118.0	%
INCOME FROM OPERATIONS	270.8			284.5			(13.7)			(4.8)	%
Floorplan interest expense	15.6			5.9			9.7			165.3	%
Other interest expense, net	25.9			18.5			7.4			40.2	%
Other expense	1.3			—			1.3			100.0	%

INCOME BEFORE INCOME TAXES	227.9			260.1			(32.2)			(12.4)	%
Provision for income taxes	57.6			60.8			(3.2)			(5.3)	%
Net income from continuing operations	170.3			199.3			(29.0)			(14.6)	%
Net income (loss) from discontinued operations	0.2			(3.4)			3.6			107.0	%
NET INCOME	$	170.5		$	195.9		$	(25.4)		(13.0)	%
Less: Earnings allocated to participating securities	4.1			5.4			(1.2)			(22.5)	%
Net income available to diluted common shares	$	166.4		$	190.6		$	(24.2)		(12.7)	%
Diluted earnings per share from continuing operations	$	12.02		$	12.11		$	(0.08)		(0.7)	%
Diluted earnings (loss) per share from discontinued operations	$	0.02		$	(0.20)		$	0.22		108.2	%
DILUTED EARNINGS PER SHARE	$	12.04		$	11.90		$	0.14		1.2	%
Weighted average dilutive common shares outstanding	13.8			16.0			(2.2)			(13.7)	%
Weighted average participating securities	0.3			0.5			(0.1)			(23.6)	%
Total weighted average shares	14.2			16.5			(2.3)			(14.0)	%
Effective tax rate on continuing operations	25.3		%	23.4		%	1.9		%


Group 1 Automotive, Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
(In millions, except per share data)

	Six Months Ended June 30,
	2023			2022			Increase/(Decrease)			% Change
REVENUES:
New vehicle retail sales	$	4,198.9		$	3,596.4		$	602.4		16.8	%
Used vehicle retail sales	2,799.5			2,865.3			(65.8)			(2.3)	%
Used vehicle wholesale sales	224.4			189.3			35.1			18.6	%
Parts and service sales	1,110.3			975.5			134.8			13.8	%
Finance, insurance and other, net	355.4			363.2			(7.8)			(2.1)	%
Total revenues	8,688.5			7,989.7			698.8			8.7	%
COST OF SALES:
New vehicle retail sales	3,810.7			3,184.9			625.8			19.6	%
Used vehicle retail sales	2,644.0			2,688.0			(44.0)			(1.6)	%
Used vehicle wholesale sales	221.6			185.7			35.9			19.3	%
Parts and service sales	508.9			438.0			70.9			16.2	%
Total cost of sales	7,185.1			6,496.6			688.5			10.6	%
GROSS PROFIT	1,503.4			1,493.1			10.3			0.7	%
Selling, general and administrative expenses	942.7			878.6			64.1			7.3	%
Depreciation and amortization expense	45.5			44.2			1.4			3.1	%
Asset impairments	2.9			0.8			2.1			257.0	%
INCOME FROM OPERATIONS	512.3			569.5			(57.2)			(10.0)	%
Floorplan interest expense	28.2			11.2			17.1			153.1	%
Other interest expense, net	45.6			35.9			9.7			27.0	%
Other expense	4.2			—			4.2			100.0	%

INCOME BEFORE INCOME TAXES	434.3			522.4			(88.2)			(16.9)	%
Provision for income taxes	105.2			122.0			(16.8)			(13.8)	%
Net income from continuing operations	329.1			400.4			(71.4)			(17.8)	%
Net loss from discontinued operations	(0.1)			(1.6)			1.5			(93.9)	%
NET INCOME	$	329.0		$	398.9		$	(69.9)		(17.5)	%
Less: Earnings allocated to participating securities	8.2			11.2			(3.0)			(26.8)	%
Net income available to diluted common shares	$	320.8		$	387.6		$	(66.9)		(17.3)	%
Diluted earnings per share from continuing operations	$	23.14		$	23.88		$	(0.74)		(3.1)	%
Diluted loss per share from discontinued operations	$	(0.01)		$	(0.09)		$	0.09		(92.8)	%
DILUTED EARNINGS PER SHARE	$	23.13		$	23.79		$	(0.65)		(2.7)	%
Weighted average dilutive common shares outstanding	13.9			16.3			(2.4)			(14.9)	%
Weighted average participating securities	0.4			0.5			(0.1)			(24.8)	%
Total weighted average shares	14.2			16.8			(2.5)			(15.2)	%
Effective tax rate on continuing operations	24.2		%	23.4		%	0.9		%


Group 1 Automotive, Inc.
Additional Information — Consolidated
(Unaudited)

	June 30, 2023		December 31, 2022		Increase/(Decrease)		% Change
SELECTED BALANCE SHEET INFORMATION:
(In millions)
Cash and cash equivalents	$	22.8	$	47.9	$	(25.1)	(52.3)	%
Inventories, net	$	1,718.0	$	1,356.6	$	361.5	26.6	%
Floorplan notes payable, net (1)	$	1,160.5	$	1,005.2	$	155.3	15.5	%
Total debt	$	2,249.6	$	2,082.5	$	167.1	8.0	%
Total equity	$	2,518.9	$	2,237.5	$	281.4	12.6	%
(1) Amounts are net of offset accounts of $267.7 and $153.6, respectively.


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
NEW VEHICLE UNIT SALES GEOGRAPHIC MIX:
United States	82.0	%	81.5	%	80.1	%	80.9	%
United Kingdom	18.0	%	18.5	%	19.9	%	19.1	%


NEW VEHICLE UNIT SALES BRAND MIX:
Toyota/Lexus	23.1	%	24.7	%	22.7	%	23.9	%
Volkswagen/Audi/Porsche/SEAT/SKODA	14.7	%	15.8	%	16.1	%	15.5	%
BMW/MINI	11.3	%	12.3	%	11.8	%	12.7	%
Chevrolet/GMC/Buick	9.4	%	6.4	%	8.1	%	6.3	%
Ford/Lincoln	7.7	%	8.6	%	8.0	%	8.4	%
Honda/Acura	8.0	%	6.6	%	7.6	%	7.3	%
Mercedes-Benz/Sprinter	6.5	%	6.5	%	6.5	%	6.2	%
Hyundai/Kia/Genesis	5.0	%	5.4	%	5.0	%	4.9	%
Chrysler/Dodge/Jeep/RAM	4.6	%	5.0	%	4.1	%	5.1	%
Nissan	4.0	%	3.5	%	4.1	%	4.0	%
Subaru	2.6	%	2.4	%	2.7	%	2.6	%
Jaguar/Land Rover	1.6	%	1.5	%	1.8	%	1.4	%
Mazda	1.3	%	1.1	%	1.2	%	1.2	%
Other	0.3	%	0.3	%	0.4	%	0.3	%
	100.0	%	100.0	%	100.0	%	100.0	%


☐			Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)


☐			Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)


☐			Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 40.14d-2(b))


	June 30, 2023	December 31, 2022	June 30, 2022
DAYS’ SUPPLY IN INVENTORY (1):
Consolidated
New vehicle inventory	27	24	15
Used vehicle inventory	35	34	35
U.S.
New vehicle inventory	27	21	11
Used vehicle inventory	31	28	32
U.K.
New vehicle inventory	29	36	31
Used vehicle inventory	48	63	43



(1) Days’ supply in inventory is calculated based on inventory unit levels and 30-day total unit sales volumes, both at the end of each reporting period.


Group 1 Automotive, Inc.
Reported Operating Data — Consolidated
(Unaudited)
(In millions, except unit data)

	Three Months Ended June 30,
	2023			2022			Increase/ (Decrease)			% Change		Currency Impact on Current Period Results		Constant Currency % Change
Revenues:
New vehicle retail sales	$	2,243.2		$	1,851.3		$	391.9		21.2	%	$	(1.3)	21.2	%
Used vehicle retail sales	1,450.6			1,505.4			(54.8)			(3.6)	%	(1.2)		(3.6)	%
Used vehicle wholesale sales	112.5			95.8			16.6			17.3	%	(0.1)		17.4	%
Total used	1,563.0			1,601.2			(38.2)			(2.4)	%	(1.3)		(2.3)	%
Parts and service sales	562.0			502.6			59.4			11.8	%	(0.2)		11.9	%
F&I, net	190.3			190.2			0.1			—	%	(0.1)		0.1	%
Total revenues	$	4,558.5		$	4,145.4		$	413.1		10.0	%	$	(2.8)	10.0	%
Gross profit:
New vehicle retail sales	$	201.5		$	210.3		$	(8.8)		(4.2)	%	$	0.1	(4.2)	%
Used vehicle retail sales	78.8			89.5			(10.7)			(12.0)	%	(0.1)		(11.9)	%
Used vehicle wholesale sales	0.9			0.8			0.1			10.5	%	—		10.9	%
Total used	79.6			90.3			(10.6)			(11.8)	%	(0.1)		(11.7)	%
Parts and service sales	304.1			277.7			26.4			9.5	%	(0.1)		9.5	%
F&I, net	190.3			190.2			0.1			—	%	(0.1)		0.1	%
Total gross profit	$	775.5		$	768.4		$	7.1		0.9	%	$	(0.2)	0.9	%
Gross margin:
New vehicle retail sales	9.0		%	11.4		%	(2.4)		%
Used vehicle retail sales	5.4		%	5.9		%	(0.5)		%
Used vehicle wholesale sales	0.8		%	0.8		%	—		%
Total used	5.1		%	5.6		%	(0.5)		%
Parts and service sales	54.1		%	55.2		%	(1.1)		%

Total gross margin	17.0		%	18.5		%	(1.5)		%
Units sold:
Retail new vehicles sold (1)	44,740			38,822			5,918			15.2	%
Retail used vehicles sold	46,764			48,907			(2,143)			(4.4)	%
Wholesale used vehicles sold	10,493			9,514			979			10.3	%
Total used	57,257			58,421			(1,164)			(2.0)	%
Average sales price per unit sold:
New vehicle retail (1)	$	50,504		$	47,686		$	2,818		5.9	%	$	338	5.2	%
Used vehicle retail	$	31,019		$	30,781		$	238		0.8	%	$	(25)	0.9	%
Gross profit per unit sold:
New vehicle retail sales	$	4,503		$	5,416		$	(913)		(16.9)	%	$	2	(16.9)	%
Used vehicle retail sales	$	1,684		$	1,830		$	(145)		(7.9)	%	$	(2)	(7.8)	%
Used vehicle wholesale sales	$	81		$	81		$	—		0.2	%	$	—	0.5	%
Total used	$	1,390		$	1,545		$	(154)		(10.0)	%	$	(2)	(9.9)	%
F&I PRU	$	2,080		$	2,168		$	(88)		(4.1)	%	$	(1)	(4.1)	%
Other:





SG&A expenses	$	479.9		$	460.2		$	19.7		4.3	%	$	(0.3)	4.4	%
Adjusted SG&A expenses (2)	$	490.3		$	463.3		$	26.9		5.8	%	$	(0.3)	5.9	%


SG&A as % gross profit	61.9		%	59.9		%	2.0		%
Adjusted SG&A as % gross profit (2)	63.2		%	60.3		%	2.9		%
Operating margin %	5.9		%	6.9		%	(0.9)		%
Adjusted operating margin % (2)	5.8		%	6.8		%	(1.0)		%
Pretax margin %	5.0		%	6.3		%	(1.3)		%
Adjusted pretax margin % (2)	4.8		%	6.2		%	(1.4)		%
Floorplan expense:
Floorplan interest expense	$	15.6		$	5.9		$	9.7		165.3	%	$	—	165.6	%
Less: Floorplan assistance (3)	18.5			14.1			4.4			30.8	%	—		30.8	%
Net floorplan expense	$	(2.9)		$	(8.3)		$	5.4				$	—


Group 1 Automotive, Inc.
Reported Operating Data — U.S.
(Unaudited)
(In millions, except unit data)

	Three Months Ended June 30,
	2023			2022			Increase/(Decrease)			% Change
Revenues:
New vehicle retail sales	$	1,915.5		$	1,561.7		$	353.8		22.7	%
Used vehicle retail sales	1,139.9			1,197.6			(57.7)			(4.8)	%
Used vehicle wholesale sales	79.8			59.1			20.6			34.9	%
Total used	1,219.7			1,256.8			(37.1)			(3.0)	%
Parts and service sales	491.2			445.6			45.7			10.2	%
F&I, net	173.2			173.1			0.1			0.1	%
Total revenues	$	3,799.6		$	3,437.2		$	362.4		10.5	%
Gross profit:
New vehicle retail sales	$	170.7		$	184.5		$	(13.8)		(7.5)	%
Used vehicle retail sales	62.0			73.7			(11.7)			(15.9)	%
Used vehicle wholesale sales	1.2			1.9			(0.6)			(34.7)	%
Total used	63.2			75.5			(12.3)			(16.3)	%
Parts and service sales	262.6			243.1			19.4			8.0	%
F&I, net	173.2			173.1			0.1			0.1	%
Total gross profit	$	669.7		$	676.3		$	(6.6)		(1.0)	%
Gross margin:
New vehicle retail sales	8.9		%	11.8		%	(2.9)		%
Used vehicle retail sales	5.4		%	6.2		%	(0.7)		%
Used vehicle wholesale sales	1.5		%	3.1		%	(1.6)		%
Total used	5.2		%	6.0		%	(0.8)		%
Parts and service sales	53.5		%	54.6		%	(1.1)		%

Total gross margin	17.6		%	19.7		%	(2.1)		%
Units sold:
Retail new vehicles sold	36,695			31,627			5,068			16.0	%
Retail used vehicles sold	36,306			38,523			(2,217)			(5.8)	%
Wholesale used vehicles sold	7,436			6,059			1,377			22.7	%
Total used	43,742			44,582			(840)			(1.9)	%
Average sales price per unit sold:
New vehicle retail	$	52,201		$	49,380		$	2,821		5.7	%
Used vehicle retail	$	31,397		$	31,089		$	308		1.0	%
Gross profit per unit sold:
New vehicle retail sales	$	4,651		$	5,834		$	(1,183)		(20.3)	%
Used vehicle retail sales	$	1,707		$	1,913		$	(205)		(10.7)	%
Used vehicle wholesale sales	$	163		$	307		$	(144)		(46.8)	%
Total used	$	1,445		$	1,694		$	(250)		(14.7)	%
F&I PRU	$	2,373		$	2,468		$	(95)		(3.8)	%
Other:





SG&A expenses	$	403.7		$	393.6		$	10.1		2.6	%
Adjusted SG&A expenses (1)	$	413.2		$	396.8		$	16.4		4.1	%


SG&A as % gross profit	60.3		%	58.2		%	2.1		%
Adjusted SG&A as % gross profit (1)	61.7		%	58.7		%	3.0		%


Group 1 Automotive, Inc.
Reported Operating Data — U.K.
(Unaudited)
(In millions, except unit data)

	Three Months Ended June 30,
	2023			2022			Increase/ (Decrease)			% Change		Currency Impact on Current Period Results		Constant Currency % Change
Revenues:
New vehicle retail sales	$	327.6		$	289.5		$	38.1		13.2	%	$	(1.3)	13.6	%
Used vehicle retail sales	310.7			307.8			2.9			0.9	%	(1.2)		1.3	%
Used vehicle wholesale sales	32.7			36.7			(4.0)			(10.9)	%	(0.1)		(10.7)	%
Total used	343.4			344.5			(1.1)			(0.3)	%	(1.3)		0.1	%
Parts and service sales	70.8			57.1			13.7			24.0	%	(0.2)		24.4	%
F&I, net	17.1			17.1			—			(0.2)	%	(0.1)		0.1	%
Total revenues	$	758.9		$	708.2		$	50.7		7.2	%	$	(2.8)	7.6	%
Gross profit:
New vehicle retail sales	$	30.8		$	25.8		$	5.0		19.6	%	$	0.1	19.3	%
Used vehicle retail sales	16.8			15.8			1.0			6.2	%	(0.1)		6.8	%
Used vehicle wholesale sales	(0.4)			(1.1)			0.7			66.7	%	—		66.9	%
Total used	16.4			14.7			1.7			11.6	%	(0.1)		12.3	%
Parts and service sales	41.5			34.5			7.0			20.2	%	(0.1)		20.5	%
F&I, net	17.1			17.1			—			(0.2)	%	(0.1)		0.1	%
Total gross profit	$	105.8		$	92.1		$	13.7		14.9	%	$	(0.2)	15.1	%
Gross margin:
New vehicle retail sales	9.4		%	8.9		%	0.5		%
Used vehicle retail sales	5.4		%	5.1		%	0.3		%
Used vehicle wholesale sales	(1.1)		%	(3.0)		%	1.9		%
Total used	4.8		%	4.3		%	0.5		%
Parts and service sales	58.7		%	60.5		%	(1.9)		%

Total gross margin	13.9		%	13.0		%	0.9		%
Units sold:
Retail new vehicles sold (1)	8,045			7,195			850			11.8	%
Retail used vehicles sold	10,458			10,384			74			0.7	%
Wholesale used vehicles sold	3,057			3,455			(398)			(11.5)	%
Total used	13,515			13,839			(324)			(2.3)	%
Average sales price per unit sold:
New vehicle retail (1)	$	42,416		$	40,241		$	2,176		5.4	%	$	(162)	5.8	%
Used vehicle retail	$	29,708		$	29,640		$	68		0.2	%	$	(113)	0.6	%
Gross profit per unit sold:
New vehicle retail sales	$	3,829		$	3,580		$	249		7.0	%	$	10	6.7	%
Used vehicle retail sales	$	1,604		$	1,521		$	82		5.4	%	$	(10)	6.1	%
Used vehicle wholesale sales	$	(119)		$	(316)		$	197		62.4	%	$	(1)	62.6	%
Total used	$	1,214		$	1,063		$	151		14.2	%	$	(8)	15.0	%
F&I PRU	$	923		$	973		$	(50)		(5.2)	%	$	(3)	(4.9)	%
Other:
SG&A expenses	$	76.1		$	66.6		$	9.6		14.4	%	$	(0.3)	14.9	%
Adjusted SG&A expenses (2)	$	77.1		$	66.6		$	10.5		15.8	%	$	(0.3)	16.3	%


SG&A as % gross profit	71.9		%	72.2		%	(0.3)		%
Adjusted SG&A as % gross profit (2)	72.8		%	72.2		%	0.6		%


Group 1 Automotive, Inc.
Same Store Operating Data — Consolidated
(Unaudited)
(In millions, except unit data)

	Three Months Ended June 30,
	2023			2022			Increase/ (Decrease)			% Change		Currency Impact on Current Period Results		Constant Currency % Change
Revenues:
New vehicle retail sales	$	2,093.0		$	1,806.4		$	286.6		15.9	%	$	(1.2)	15.9	%
Used vehicle retail sales	1,377.2			1,480.6			(103.4)			(7.0)	%	(1.1)		(6.9)	%
Used vehicle wholesale sales	106.7			93.8			12.9			13.8	%	(0.1)		13.8	%
Total used	1,483.9			1,574.3			(90.5)			(5.7)	%	(1.2)		(5.7)	%
Parts and service sales	537.7			491.2			46.5			9.5	%	(0.2)		9.5	%
F&I, net	181.2			186.0			(4.9)			(2.6)	%	(0.1)		(2.6)	%
Total revenues	$	4,295.7		$	4,058.0		$	237.7		5.9	%	$	(2.7)	5.9	%
Gross profit:
New vehicle retail sales	$	187.8		$	205.1		$	(17.3)		(8.4)	%	$	0.1	(8.5)	%
Used vehicle retail sales	74.5			88.0			(13.5)			(15.4)	%	(0.1)		(15.2)	%
Used vehicle wholesale sales	0.8			0.7			—			1.1	%	—		1.4	%
Total used	75.2			88.7			(13.5)			(15.2)	%	(0.1)		(15.1)	%
Parts and service sales	291.3			271.2			20.1			7.4	%	(0.1)		7.5	%
F&I, net	181.2			186.0			(4.9)			(2.6)	%	(0.1)		(2.6)	%
Total gross profit	$	735.4		$	751.0		$	(15.6)		(2.1)	%	$	(0.2)	(2.0)	%
Gross margin:
New vehicle retail sales	9.0		%	11.4		%	(2.4)		%
Used vehicle retail sales	5.4		%	5.9		%	(0.5)		%
Used vehicle wholesale sales	0.7		%	0.8		%	(0.1)		%
Total used	5.1		%	5.6		%	(0.6)		%
Parts and service sales	54.2		%	55.2		%	(1.0)		%

Total gross margin	17.1		%	18.5		%	(1.4)		%
Units sold:
Retail new vehicles sold (1)	42,343			37,691			4,652			12.3	%
Retail used vehicles sold	44,831			47,917			(3,086)			(6.4)	%
Wholesale used vehicles sold	10,065			9,250			815			8.8	%
Total used	54,896			57,167			(2,271)			(4.0)	%
Average sales price per unit sold:
New vehicle retail (1)	$	49,811		$	47,927		$	1,884		3.9	%	$	352	3.2	%
Used vehicle retail	$	30,719		$	30,898		$	(179)		(0.6)	%	$	(25)	(0.5)	%
Gross profit per unit sold:
New vehicle retail sales	$	4,435		$	5,441		$	(1,006)		(18.5)	%	$	2	(18.5)	%
Used vehicle retail sales	$	1,661		$	1,836		$	(175)		(9.5)	%	$	(2)	(9.4)	%
Used vehicle wholesale sales	$	75		$	80		$	(6)		(7.1)	%	$	—	(6.8)	%
Total used	$	1,370		$	1,552		$	(182)		(11.7)	%	$	(2)	(11.6)	%
F&I PRU	$	2,078		$	2,173		$	(95)		(4.4)	%	$	(1)	(4.3)	%
Other:





SG&A expenses	$	463.4		$	450.9		$	12.4		2.8	%	$	(0.3)	2.8	%
Adjusted SG&A expenses (2)	$	464.2		$	450.9		$	13.3		2.9	%	$	(0.3)	3.0	%


SG&A as % gross profit	63.0		%	60.0		%	3.0		%
Adjusted SG&A as % gross profit (2)	63.1		%	60.0		%	3.1		%
Operating margin %	5.8		%	6.8		%	(1.0)		%
Adjusted operating margin % (2)	5.8		%	6.8		%	(1.0)		%


Group 1 Automotive, Inc.
Same Store Operating Data — U.S.
(Unaudited)
(In millions, except unit data)

	Three Months Ended June 30,
	2023			2022			Increase/(Decrease)			% Change
Revenues:
New vehicle retail sales	$	1,772.8		$	1,517.8		$	255.1		16.8	%
Used vehicle retail sales	1,074.4			1,174.6			(100.3)			(8.5)	%
Used vehicle wholesale sales	75.0			57.3			17.7			30.9	%
Total used	1,149.3			1,231.9			(82.5)			(6.7)	%
Parts and service sales	472.6			436.6			35.9			8.2	%
F&I, net	164.5			169.0			(4.6)			(2.7)	%
Total revenues	$	3,559.2		$	3,355.3		$	203.9		6.1	%
Gross profit:
New vehicle retail sales	$	157.7		$	179.4		$	(21.7)		(12.1)	%
Used vehicle retail sales	58.4			72.3			(13.9)			(19.3)	%
Used vehicle wholesale sales	1.1			1.8			(0.7)			(38.7)	%
Total used	59.5			74.1			(14.6)			(19.8)	%
Parts and service sales	252.3			237.8			14.5			6.1	%
F&I, net	164.5			169.0			(4.6)			(2.7)	%
Total gross profit	$	634.0		$	660.4		$	(26.4)		(4.0)	%
Gross margin:
New vehicle retail sales	8.9		%	11.8		%	(2.9)		%
Used vehicle retail sales	5.4		%	6.2		%	(0.7)		%
Used vehicle wholesale sales	1.5		%	3.2		%	(1.7)		%
Total used	5.2		%	6.0		%	(0.8)		%
Parts and service sales	53.4		%	54.5		%	(1.1)		%

Total gross margin	17.8		%	19.7		%	(1.9)		%
Units sold:
Retail new vehicles sold	34,468			30,529			3,939			12.9	%
Retail used vehicles sold	34,670			37,631			(2,961)			(7.9)	%
Wholesale used vehicles sold	7,077			5,825			1,252			21.5	%
Total used	41,747			43,456			(1,709)			(3.9)	%
Average sales price per unit sold:
New vehicle retail	$	51,434		$	49,716		$	1,718		3.5	%
Used vehicle retail	$	30,989		$	31,215		$	(226)		(0.7)	%
Gross profit per unit sold:
New vehicle retail sales	$	4,575		$	5,876		$	(1,301)		(22.1)	%
Used vehicle retail sales	$	1,683		$	1,921		$	(238)		(12.4)	%
Used vehicle wholesale sales	$	157		$	312		$	(154)		(49.5)	%
Total used	$	1,425		$	1,706		$	(281)		(16.5)	%
F&I PRU	$	2,379		$	2,480		$	(101)		(4.1)	%
Other:





SG&A expenses	$	389.8		$	386.0		$	3.8		1.0	%
Adjusted SG&A expenses (1)	$	390.7		$	386.0		$	4.7		1.2	%


SG&A as % gross profit	61.5		%	58.4		%	3.0		%
Adjusted SG&A as % gross profit (1)	61.6		%	58.4		%	3.2		%


Group 1 Automotive, Inc.
Same Store Operating Data — U.K.
(Unaudited)
(In millions, except unit data)

	Three Months Ended June 30,
	2023			2022			Increase/ (Decrease)			% Change		Currency Impact on Current Period Results		Constant Currency % Change
Revenues:
New vehicle retail sales	$	320.2		$	288.7		$	31.5		10.9	%	$	(1.2)	11.3	%
Used vehicle retail sales	302.8			305.9			(3.1)			(1.0)	%	(1.1)		(0.6)	%
Used vehicle wholesale sales	31.7			36.5			(4.8)			(13.2)	%	(0.1)		(12.9)	%
Total used	334.5			342.5			(7.9)			(2.3)	%	(1.2)		(2.0)	%
Parts and service sales	65.1			54.5			10.6			19.4	%	(0.2)		19.8	%
F&I, net	16.7			17.0			(0.3)			(1.8)	%	(0.1)		(1.5)	%
Total revenues	$	736.5		$	702.6		$	33.9		4.8	%	$	(2.7)	5.2	%
Gross profit:
New vehicle retail sales	$	30.1		$	25.7		$	4.4		17.2	%	$	0.1	16.9	%
Used vehicle retail sales	16.1			15.7			0.4			2.7	%	(0.1)		3.4	%
Used vehicle wholesale sales	(0.4)			(1.1)			0.7			66.2	%	—		66.4	%
Total used	15.7			14.6			1.1			7.8	%	(0.1)		8.5	%
Parts and service sales	39.0			33.3			5.6			16.9	%	(0.1)		17.2	%
F&I, net	16.7			17.0			(0.3)			(1.8)	%	(0.1)		(1.5)	%
Total gross profit	$	101.5		$	90.6		$	10.9		12.0	%	$	(0.2)	12.2	%
Gross margin:
New vehicle retail sales	9.4		%	8.9		%	0.5		%
Used vehicle retail sales	5.3		%	5.1		%	0.2		%
Used vehicle wholesale sales	(1.1)		%	(2.9)		%	1.8		%
Total used	4.7		%	4.3		%	0.4		%
Parts and service sales	59.9		%	61.1		%	(1.3)		%

Total gross margin	13.8		%	12.9		%	0.9		%
Units sold:
Retail new vehicles sold (1)	7,875			7,162			713			10.0	%
Retail used vehicles sold	10,161			10,286			(125)			(1.2)	%
Wholesale used vehicles sold	2,988			3,425			(437)			(12.8)	%
Total used	13,149			13,711			(562)			(4.1)	%
Average sales price per unit sold:
New vehicle retail (1)	$	42,383		$	40,305		$	2,077		5.2	%	$	(163)	5.6	%
Used vehicle retail	$	29,798		$	29,740		$	58		0.2	%	$	(112)	0.6	%
Gross profit per unit sold:
New vehicle retail sales	$	3,821		$	3,585		$	236		6.6	%	$	10	6.3	%
Used vehicle retail sales	$	1,584		$	1,523		$	61		4.0	%	$	(10)	4.7	%
Used vehicle wholesale sales	$	(122)		$	(314)		$	192		61.2	%	$	(1)	61.5	%
Total used	$	1,196		$	1,064		$	132		12.4	%	$	(8)	13.2	%
F&I PRU	$	925		$	974		$	(49)		(5.0)	%	$	(3)	(4.7)	%
Other:
SG&A expenses	$	73.6		$	65.0		$	8.6		13.3	%	$	(0.3)	13.7	%

SG&A as % gross profit	72.5		%	71.7		%	0.8		%


Group 1 Automotive, Inc.
Reconciliation of Certain Non-GAAP Financial Measures — Consolidated
(Unaudited)
(In millions, except per share data)

	Three Months Ended June 30, 2023
	U.S. GAAP			Dealership and real estate transactions		Acquisition costs		Legal items and other professional fees		Asset impairments and accelerated depreciation		Non-GAAP adjusted
SG&A expenses	$	479.9		$	9.6	$	(0.3)	$	1.1	$	—	$	490.3
Depreciation and amortization expense	$	23.1		$	—	$	—	$	—	$	(0.3)	$	22.8
Asset impairments	$	1.8		$	—	$	—	$	—	$	(1.8)	$	—
Income (loss) from operations	$	270.8		$	(9.6)	$	0.3	$	(1.1)	$	2.1	$	262.5




Income (loss) before income taxes	$	227.9		$	(9.6)	$	0.3	$	(1.1)	$	2.1	$	219.6
Less: Provision (benefit) for income taxes	57.6			(4.5)		0.1		(0.3)		0.5		53.5
Net income (loss) from continuing operations	170.3			(5.1)		0.2		(0.9)		1.6		166.1
Less: Earnings (loss) allocated to participating securities	4.1			(0.1)		—		—		—		4.0
Net income (loss) from continuing operations available to diluted common shares	$	166.1		$	(5.0)	$	0.2	$	(0.8)	$	1.5	$	162.1

Diluted earnings (loss) per common share from continuing operations	$	12.02		$	(0.36)	$	0.01	$	(0.06)	$	0.11	$	11.73

Effective tax rate	25.3		%									24.3		%

SG&A as % gross profit (1)	61.9		%									63.2		%
Operating margin (2)	5.9		%									5.8		%
Pretax margin (3)	5.0		%									4.8		%

Same Store SG&A expenses	$	463.4		$	—	$	(0.3)	$	1.1	$	—	$	464.2
Same Store SG&A as % gross profit (1)	63.0		%									63.1		%

Same Store income (loss) from operations	$	248.3		$	—	$	0.3	$	(1.1)	$	2.1	$	249.5
Same Store operating margin (2)	5.8		%									5.8		%


	U.S. GAAP		Non-GAAP adjustments		Non-GAAP adjusted
Net income from discontinued operations	$	0.2	$	—	$	0.2
Less: Earnings allocated to participating securities	—		—		—
Net income from discontinued operations available to diluted common shares	$	0.2	$	—	$	0.2

Net income (loss)	$	170.5	$	(4.2)	$	166.4
Less: Earnings (loss) allocated to participating securities	4.1		(0.1)		4.0
Net income (loss) available to diluted common shares	$	166.4	$	(4.1)	$	162.3

Diluted earnings per common share from discontinued operations	$	0.02	$	—	$	0.02
Diluted earnings (loss) per common share from continuing operations	12.02		(0.29)		11.73
Diluted earnings (loss) per common share	$	12.04	$	(0.29)	$	11.75







	Three Months Ended June 30, 2022
	U.S. GAAP			Dealership and real estate transactions		Non-GAAP adjusted

SG&A expenses	$	393.6		$	3.2	$	396.8






SG&A as % gross profit (1)	58.2		%			58.7		%







	Six Months Ended June 30, 2023
	U.S. GAAP			Dealership and real estate transactions		Acquisition costs		Legal items and other professional fees		Non-GAAP adjusted
SG&A expenses	$	792.4		$	10.5	$	(0.3)	$	—	$	802.6






SG&A as % gross profit (1)	61.6		%							62.4		%




Same Store SG&A expenses	$	758.6		$	—	$	(0.3)	$	—	$	758.3
Same Store SG&A as % gross profit (1)	62.3		%							62.3		%







	Six Months Ended June 30, 2022
	U.S. GAAP			Dealership and real estate transactions		Non-GAAP adjusted

SG&A expenses	$	747.2		$	21.9	$	769.1






SG&A as % gross profit (1)	57.6		%			59.3		%