Penske Automotive Group posts record first-quarter results, revenue jumps 21% to $7 billion

Retail sales at Penske Automotive Group’s 23 CarShop locations increased 71%, while revenue increased 113%. // Courtesy of CarShop

Penske Automotive Group in Bloomfield Township reported record quarterly results for the first quarter (Q1) of 2022, reporting a 102% increase in profit from continuing operations attributable to common shareholders to $367.9 million and a 111% increase in related earnings per share to $4.76.

Foreign exchange negatively impacted earnings per share by $0.05.

“I am pleased to report record quarterly results for the first quarter of 2022 as pretax earnings, net earnings and earnings per share more than doubled from the first quarter of 2021,” said Roger Penske, president and CEO. of the Penske automotive group. “In addition to strong financial performance, so far this year we have repurchased $184.1 million of common stock and added approximately $665 million in annualized revenue through acquisitions and a new opening point. since the beginning of the year.

“Our results were driven by strong performance across the business, with pre-tax profit increasing 93% for retail motor vehicles, 113% for commercial truck retail in Americas North and 75% for Penske Australia. Additionally, the benefits of our investment in Penske Transportation Solutions increased by 121%. »

Among other highlights, total revenue rose 21% to $7.0 billion from $5.8 billion. Automotive comparable store revenues increased 11%, with new vehicles down 3% and used vehicles up 29%. Finance and Insurance increased 25%, and Service and Parts increased 13%.

Automotive retail comparable store gross profit increased 27%, with new vehicles up 45% and used vehicles up 38%. Finance and Insurance increased by 25% and Service and Parts increased by 12%.

Commercial truck same-store revenues increased 47%, with new trucks increasing 55% and used trucks increasing 54%. Finance and Insurance increased by 77%, and Service and Parts increased by 26%.

Commercial Truck same-store gross profit increased 45%. New trucks increased by 71% and used trucks by 92%. Finance and Insurance increased by 77%, and Service and Parts increased by 28%.

As of March 31, 2022, Penske operated 23 CarShop used vehicle locations. For the three months ended March 31, 2022, retail unit sales increased 71% to 19,523, while total revenue increased 113% to $515.8 million, including an 89% increase on a comparable store basis.

Penske Transportation Solutions (PTS), a full-service truck rental, truck rental, contract maintenance and logistics services provider in which Penske Automotive Group has a 28.9% stake, posted a profit of 118, $5 million, compared to $53.7 million for the same period last year. year, an increase of 121%.

The increase was primarily due to increased demand for the company’s full-service leasing, rental and logistics services, coupled with improved efficiency that resulted in a 13.4% return on sales for PTS during the first quarter of 2022.

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