Second quarter revenues up at Group 1 Automotive

Second quarter revenues up at Group 1 Automotive

Group1US dealer group Group 1 Automotive, which owns UK dealership brands including Barons, Chandlers, Elms and Spire, has reported 2017 second quarter net income of $39.1 million.

The Company's UK operations accounted for 16.4% of total revenues and 12.6% of total gross profit. Although the overall UK new vehicle market decreased 10% in the quarter, the company's new vehicle unit sales outperformed the market with a decrease of 1.4%.

Total revenue grew 2.5% and total gross profit grew 2.6. The profit growth was driven by a 4.2% increase in aftersales gross profit and a 7.5% increase in F&I per retail unit.
Announcing the results, Group 1's president and CEO, Earl J. Hesterberg, said: "The UK market did experience some deceleration as a result of the increased road tax enacted in April, with the overall market declining about 10% in the second quarter. However, we were able to significantly outperform the market with our new vehicle unit sales only contracting 1.4% and overall same store revenue on a constant currency basis growing 2.5%."