Asbury Automotive Q1 EPS Drops to $5.37, Revenue Declines to $4.11B
Asbury Automotive Group posted Q1 net income of $187.8 million, or adjusted EPS of $5.37, missing estimates of $5.68 and down from $6.82 a year ago. Revenue fell to $4.11 billion versus expectations of $4.39 billion despite strength in parts and service and gains from recent divestitures.
1. Q1 Financial Results
Asbury Automotive Group reported GAAP net income of $187.8 million, or $9.87 per share, and adjusted earnings of $5.37 per share, falling short of the consensus forecast of $5.68. Revenue totaled $4.11 billion, missing the $4.39 billion analysts anticipated and marking a year-over-year decline from $6.82 adjusted EPS.
2. Segment Performance
The parts and service division delivered solid same-store revenue growth, while proceeds from recent dealership divestitures contributed non-recurring gains. However, weaker vehicle sales volumes weighed on overall profitability and drove the earnings and revenue shortfalls.
3. Share Performance and Outlook
Asbury’s shares have declined 14% year-to-date and 11% over the past 12 months following consecutive earnings misses. Management acknowledged market headwinds and indicated it will reassess full-year guidance based on second-quarter performance.