ReutersReuters

Auto retailer Group 1 beats Q2 revenue estimates

RefinitivLess than 1 min read

Overview

  • Group 1 Q2 2025 revenue grows 21.4%, beating analyst expectations

  • Adjusted EPS for Q2 rises 17.5%, reflecting strong operational performance

  • Co repurchased 114,918 shares, indicating confidence in future growth

Outlook

  • Company anticipates positive momentum in U.K. market despite challenges

  • Group 1 expects further optimization and cost reductions in U.K. operations

  • Company plans to pursue balanced growth and opportunistic share repurchases

  • Group 1 focuses on efficient integration of acquisitions to drive value

Result Drivers

  • PARTS & SERVICE - Parts and service gross profit rose 27.1%, driven by strong customer pay growth in U.S. and U.K.

  • U.K. CHALLENGES - U.K. market faced industry volume challenges and BEV mandate-related margin pressures

  • F&I PERFORMANCE - Finance and Insurance revenues grew 18.8%, with notable gains in the U.K.

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q2 Revenue

Beat

$5.70 bln

$5.62 bln (9 Analysts)

Q2 Adjusted EPS continuing operations

$11.52

Q2 EPS continuing operations

$10.77

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the auto vehicles, parts & service retailers peer group is "buy"

  • Wall Street's median 12-month price target for Group 1 Automotive Inc is $480.00, about 13.1% above its July 23 closing price of $417.35

  • The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release:

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