Asbury Automotive Group, Inc. reported a consolidated revenue of $4.15 billion for the three months ended March 31, 2025, a decrease of 1% compared to $4.20 billion in the same period last year. The decline was primarily attributed to a 9% drop in used vehicle revenue, which fell to $1.24 billion, while new vehicle revenue increased by 4% to $2.14 billion. Gross profit for the quarter also decreased to $724.2 million from $750.0 million, reflecting lower profit margins on both new and used vehicles, despite a growth in parts and service gross profit.
The company experienced significant operational changes, including the pending acquisition of the Herb Chambers automotive group for approximately $1.34 billion, which is expected to close in the second quarter of 2025. This acquisition will add 33 dealerships and 52 franchises to Asbury's portfolio. Additionally, during the quarter, Asbury divested one Nissan and one Volvo franchise, generating a pre-tax gain of $4.1 million. The company did not engage in any acquisitions during the first quarter of 2025.
Operationally, Asbury's total accounts receivable decreased to $264.7 million from $285.5 million at the end of 2024, while inventories also saw a decline, totaling $1.82 billion compared to $1.98 billion previously. The company reported a total of 196 new vehicle franchises across 150 dealership locations, with a focus on expanding its geographic footprint. The company’s employee headcount remained stable, supporting its operational needs amid these changes.
Looking ahead, Asbury anticipates continued challenges in the automotive retail market, including fluctuating vehicle availability and economic conditions that may impact consumer spending. The company is focused on enhancing its operational efficiencies and leveraging its acquisitions to drive future growth. Asbury's management remains optimistic about the potential synergies from the Herb Chambers acquisition and is committed to navigating the evolving market landscape effectively.
About ASBURY AUTOMOTIVE GROUP INC
About 10-Q Filings
A 10-Q form is an important financial report that public companies in the United States must submit every three months. It gives a clear picture of a company's financial health and recent performance.
Key points about the 10-Q:
- Frequency: Companies file it three times a year, covering the first three quarters. The fourth quarter is covered in a more comprehensive annual report.
-
Content: It includes:
- Financial statements showing the company's current financial position
- Updates from management on the performance and projections of the business
- Information about potential risks the company faces
- Details on how the company is run internally
- Deadline: Must be filed within 40 or 45 days after the quarter ends, depending on the size of the company.
Our Methodology
AssetRoom is committed to providing timely summaries of news from public companies. We use AI to generate these summaries quickly, but they are not reviewed by human experts.
Our method:
- Data Collection: We continuously monitor for new filings (currently limited to US-listed stocks).
- AI-Powered Analysis: Our advanced AI system processes each filing, identifying key information and extracting relevant data.
- Summary Generation: The AI creates a concise, easy-to-understand summary of the filing, highlighting the most important points.
- Publication: The summary is immediately published on our platform, allowing users instant access to the latest information.
- Email users: We distribute round-up emails according to our users preferences, keeping them in the loop with the companies they follow.
Feedback & Corrections
Spot an error or have a suggestion? Contact us.