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What is Autonation's latest dividend and current dividend yield?

What is the revenue and EPS growth rate for Autonation year over year?

What were the key takeaways from Autonation's earnings call?

What were the key takeaways from Autonation’s earnings call?

What is the market's earnings forecast for Autonation next quarter?

What factors drove the changes in Autonation's revenue and profit?

- **EPS Growth**: Adjusted EPS up 25% YoY to $5.01, driven by strong cash flow and buybacks.
- **Sales Momentum**: New vehicle sales +5% YoY, hybrids/BEVs +25-40%, used vehicle inventory held at 27,000 to test demand.
- **Financial Health**: Free cash flow $786M (134% of net income), leverage 2.35x EBITDA, AN Finance portfolio >$2B.
- **Risks**: New vehicle margin pressure from domestic ICE, BEV mix (10%), and higher used car acquisition costs.
- **Strategic Moves**: Doubling AN Finance originations, acquiring high-density stores, and maintaining 2-3x leverage target.

**【CEO Summary Section】**
- **Strong Q3 Performance**: Adjusted EPS grew 25% YoY, driven by 7% revenue increase and strong cash flow. New vehicle sales rose 5% YoY, with domestic brands up 11% and hybrids/BEVs surging 25-40%.
- **Profitability Challenges**: New vehicle gross profit per unit declined 500 YoY due to domestic ICE margin compression and BEV mix (10% of sales). Used vehicle gross profit increased 3% YoY, but faced higher acquisition costs.
- **Strategic Initiatives**: Expanded AN Finance originations to $1.3B (near-doubling YoY), with portfolio >$2B. Acquired 2 high-density stores in Denver and Chicago.
- **Tariff Impact**: OEMs shifting production and decontenting, leading to reduced incentives and dealer margin pressure. Q4 expects better mix with luxury and non-BEV vehicles.

**【CFO Financial Commentary】**
- **Financial Highlights**: GAAP net income $191M (18% YoY), adjusted EPS $5.01 (25% YoY). Free cash flow $786M (134% of net income), up 68% YoY. Share buybacks $435M (6% of shares outstanding).
- **Cost Management**: SG&A 67.4% of gross profit (flat YoY). Floor plan expense down $13M YoY due to lower rates and borrowings. AN Finance operating loss narrowed to $4M (vs. $10M YoY).
- **Balance Sheet**: Leverage 2.35x EBITDA (down from 2.45x YoY), within 2-3x target range. Capital allocation prioritizes M&A (e.g., $350M in 2025) and buybacks.

**【Q&A Key Highlights】**
- **Gross Profit Trends**: Q3 new vehicle unit profit $2,300 (down $500 YoY), but September exit rate improved. Q4 expects better margin from luxury and non-BEV mix. Used vehicle inventory held at 27,000 to test sales velocity vs. depreciation drag.
- **Used Car Strategy**: 90% of inventory sourced from trade-ins/loaners. Q3 same-store sales +2%, but higher acquisition costs limited margin. Long-term focus on higher-priced vehicles (>40K) and service contract penetration.
- **Credit Portfolio Health**: AN Finance delinquency rate 2.4%, stable losses. FICO scores improving (6.97 vs. 6.74 YoY). ABS funding now 86% of portfolio, reducing equity need by $100M.
- **Tariff Outlook**: OEMs nearing supply chain clarity, but decontenting and fee increases expected. Dealers may see moderate incentive spend in Q4 vs. Q3 reductions.
- **Service Growth**: After-sales gross profit up 7% YoY, led by customer pay (+10%). Technician headcount +4% YoY, supporting mid-single-digit growth.


AutoNation (AN)-23 Oct 25-2025 Q3 Earnings call transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

AN

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