We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Group 1 Automotive, Inc. (GPI - Free Report) reported adjusted earnings per share of $5.57 in first-quarter 2021, beating the Zacks Consensus Estimate of $4.39. This outperformance stemmed from the higher-than-anticipated gross profit in the new vehicle retail, used vehicle retail, used-vehicle wholesale, and the Finance and Insurance segments.
Moreover, the bottom line comes in significantly higher than the prior-year quarter’s $1.66 per share, marking a whopping growth of 236.2%.
Additionally, the automotive retailer reported net sales of $3,010 million, topping the Zacks Consensus Estimate of $2,604 million. Also, the top-line figure comes in 11.9% higher than the year-ago quarter’s $2,690.8 million.
Q1 Highlights
New-vehicle retail sales increased 15% from the prior-year quarter to $1,543.4 million. In addition, the figure exceeded the Zacks Consensus Estimate of $1,394 million. Also, gross profit from the unit totaled $99 million, up 57.7% year over year. The reported profit figure also surpassed the consensus mark of $91 million.
Used-vehicle retail sales rose 15.4% from the year-ago quarter to $898.8 million. The sales figure also outpaced the consensus mark of $829 million. Further, gross profit from the unit summed $59.6 million, up 41.4% year over year. The reported profit figure also beat the consensus mark of $52 million.
However, used-vehicle wholesale sales declined 7.2% from the corresponding quarter last year to $80.2 million, missing the consensus mark of $87 million. Gross profit from used-vehicle wholesale sales amounted $3.9 million, skyrocketing 293.5% year on year and also outpacing the consensus mark of $3 million.
For the Parts and Service business, the top line slid 2.7% from the year-ago period to $360.6 million. In addition, the revenue figure missed the Zacks Consensus Estimate of $379 million. Gross profit from the segment summed $201.1 million, inching up 1.5% year on year but falling shy of the consensus mark of $204 million.
Nonetheless, revenues from the Finance and Insurance business grew 12.9% from the prior-year period to $127 million, topping the consensus mark of $123 million. Segmental gross profit of $127 million grew 12.9% on a yearly basis and also beat the consensus estimate of $123 million.
Segments in Detail
For the reported quarter, revenues in the U.S. business segment climbed 19.8% year on year to $2,404.3 million. The segment’s gross profit also scaled up 21.8% year over year to $415.3 million. During the March-end quarter, retail new-vehicle, used-vehicle, and wholesale used-vehicle units sold were 29,152, 30,431 and 6,440, respectively.
For the January-March period, revenues tailed off 6.9% year over year to $549.6 million for the U.K. business segment. Yet, gross profit summed $66 million, inching up 1.8% from the first quarter of 2020. During the reported quarter, retail new-vehicle, used-vehicle, and wholesale used-vehicle units sold were 6,540, 7,112 and 3,138, respectively.
Revenues for the Brazil business segment plunged 39.4% year over year to $56.1 million during the first quarter. Further, the segment’s gross profit dipped 12.1% year over year to $9.4 million. In the reported quarter, retail new-vehicle, used-vehicle and wholesale used-vehicle units sold were 1,171, 516 and 234, respectively.
Financial Position
Group 1 Automotive had cash and cash equivalents of $82.9 million as of Mar 31, 2021, up from $19.2 million in the corresponding period of 2020. Long-term debt totaled $1,282.6 million as of Mar 31, 2021, up from $1,137.7 million recorded in the comparable period of 2020.
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 77 billion devices by 2025, creating a $1.3 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 4 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2022.
Image: Bigstock
Group 1 Automotive (GPI) Q1 Earnings & Sales Beat, Rise Y/Y
Group 1 Automotive, Inc. (GPI - Free Report) reported adjusted earnings per share of $5.57 in first-quarter 2021, beating the Zacks Consensus Estimate of $4.39. This outperformance stemmed from the higher-than-anticipated gross profit in the new vehicle retail, used vehicle retail, used-vehicle wholesale, and the Finance and Insurance segments.
Moreover, the bottom line comes in significantly higher than the prior-year quarter’s $1.66 per share, marking a whopping growth of 236.2%.
Additionally, the automotive retailer reported net sales of $3,010 million, topping the Zacks Consensus Estimate of $2,604 million. Also, the top-line figure comes in 11.9% higher than the year-ago quarter’s $2,690.8 million.
Q1 Highlights
New-vehicle retail sales increased 15% from the prior-year quarter to $1,543.4 million. In addition, the figure exceeded the Zacks Consensus Estimate of $1,394 million. Also, gross profit from the unit totaled $99 million, up 57.7% year over year. The reported profit figure also surpassed the consensus mark of $91 million.
Used-vehicle retail sales rose 15.4% from the year-ago quarter to $898.8 million. The sales figure also outpaced the consensus mark of $829 million. Further, gross profit from the unit summed $59.6 million, up 41.4% year over year. The reported profit figure also beat the consensus mark of $52 million.
However, used-vehicle wholesale sales declined 7.2% from the corresponding quarter last year to $80.2 million, missing the consensus mark of $87 million. Gross profit from used-vehicle wholesale sales amounted $3.9 million, skyrocketing 293.5% year on year and also outpacing the consensus mark of $3 million.
For the Parts and Service business, the top line slid 2.7% from the year-ago period to $360.6 million. In addition, the revenue figure missed the Zacks Consensus Estimate of $379 million. Gross profit from the segment summed $201.1 million, inching up 1.5% year on year but falling shy of the consensus mark of $204 million.
Nonetheless, revenues from the Finance and Insurance business grew 12.9% from the prior-year period to $127 million, topping the consensus mark of $123 million. Segmental gross profit of $127 million grew 12.9% on a yearly basis and also beat the consensus estimate of $123 million.
Segments in Detail
For the reported quarter, revenues in the U.S. business segment climbed 19.8% year on year to $2,404.3 million. The segment’s gross profit also scaled up 21.8% year over year to $415.3 million. During the March-end quarter, retail new-vehicle, used-vehicle, and wholesale used-vehicle units sold were 29,152, 30,431 and 6,440, respectively.
For the January-March period, revenues tailed off 6.9% year over year to $549.6 million for the U.K. business segment. Yet, gross profit summed $66 million, inching up 1.8% from the first quarter of 2020. During the reported quarter, retail new-vehicle, used-vehicle, and wholesale used-vehicle units sold were 6,540, 7,112 and 3,138, respectively.
Revenues for the Brazil business segment plunged 39.4% year over year to $56.1 million during the first quarter. Further, the segment’s gross profit dipped 12.1% year over year to $9.4 million. In the reported quarter, retail new-vehicle, used-vehicle and wholesale used-vehicle units sold were 1,171, 516 and 234, respectively.
Financial Position
Group 1 Automotive had cash and cash equivalents of $82.9 million as of Mar 31, 2021, up from $19.2 million in the corresponding period of 2020. Long-term debt totaled $1,282.6 million as of Mar 31, 2021, up from $1,137.7 million recorded in the comparable period of 2020.
Group 1 Automotive, peers of which include AutoNation (AN - Free Report) , Lithia Motors (LAD - Free Report) and Penske Automotive (PAG - Free Report) , currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 77 billion devices by 2025, creating a $1.3 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 4 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2022.
Click here for the 4 trades >>