Lithia Motors, Inc. has recently released its 10-Q report, providing detailed insights into its financial performance and operations. The company operates as a global automotive retailer with two segments, Vehicle Operations and Financing Operations. It sells new and used vehicles, provides parts, repair, and maintenance services, vehicle finance, and insurance products. The Financing Operations segment offers financing to customers buying and leasing retail vehicles.
In the report, the company's forward-looking statements and risk factors are discussed in detail. It highlights the potential impact of future market conditions, business strategy and plans, growth and performance of its network, impact of sustainable vehicles and market changes, capital allocations, and more. The report also emphasizes the company's long-term strategy to create value for its customers, employees, and shareholders, focusing on driving operational excellence, innovation, diversification, growth through acquisition and network optimization, and thoughtful capital allocation.
Financially, the report indicates that the company experienced revenue growth in 2024 compared to 2023, primarily driven by increases in volume related to acquisitions. Total gross profit also grew, supported by same store increases in aftersales, despite a decline in new and used vehicle retail gross profit due to margin normalization. The report provides key performance metrics for revenue and gross profit in the Vehicle Operations segment, showcasing the company's performance in new and used vehicle retail, finance and insurance, and aftersales.
Additionally, the report includes same store operating data, reflecting the company's ability to grow revenues in its existing locations. It details the revenues, gross profit, gross profit margins, and retail units sold for new and used vehicles, offering a comprehensive overview of the company's financial performance in its core operations.
The market has reacted to these announcements by moving the company's shares -0.7% to a price of $333.1. For more information, read the company's full 10-Q submission here.
