Group 1 famous a 14 % rise in parts-and-service gross earnings, and Kenningham stated the retailer’s ongoing investments in technician hiring and know-how innovation helped.
“We continue to invest in after-sales and believe parts and service will be a strength through the rest of 2023,” he stated. “We retain two-thirds of our customers, [and] we feel like we can do a better job of retaining more of them. When you consider the amount of work that our customers still elect to defer, that’s an opportunity.”
Group 1 reported a number of actions associated to its dealership community. In March, it acquired Estero Bay Chevrolet in Florida, which is anticipated so as to add $150 million in annual income to the corporate.
It additionally offered a dealership in New Jersey in March and one other in New York in April. In March, Group 1 stated it ended a dealership franchise in New Mexico. Combined, these three entities had produced $50 million in annual income.
Group 1 reported a U.S. new-vehicle provide of 27 days on the finish of March vs. 21 days as of Dec. 31 and 9 days on the finish of March 2022. U.S. used-vehicle provide was at 25 days on the finish of March vs. 28 on the finish of December and 28 on the finish of 2022’s first quarter.
The group repurchased simply lower than 181,000 shares within the first quarter, persevering with a buyback program that has encompassed roughly 4.2 million shares over 18 months at a price of $747.9 million.
Shares of Group 1 closed at $221.13, up 0.4 %.
Q1 internet earnings: $158.4 million, down 22 % from a yr earlier
Q1 income: $4.13 billion, up 7.4 %
Q1 adjusted internet earnings from persevering with operations: $156.1 million, down 15 %
Vehicle gross sales: 39,649 new automobiles complete, up 7.9 %; 30,883 new automobiles within the U.S., up 4.7 %; 45,437 used automobiles complete, up 3.7 %; 34,440 used automobiles within the U.S., up 1.5 %
Ranking: Group 1 ranks No. 4 on Automotive News‘ checklist of the highest 150 dealership teams primarily based within the U.S., with retail gross sales of 154,714 new automobiles in 2022.
Source: www.autonews.com