Penske Automotive Group, Inc. (NYSE: PAG) has reported its first quarter results for 2025, showing a 2% increase in revenue to a record $7.6 billion compared to the same period in 2024. Net income attributable to common stockholders increased 14% to $244.3 million, and earnings per share increased 14% to $3.66.
The company's adjusted net income increased 5% to $226.3 million and adjusted earnings per share increased 6% to $3.39. Retail automotive same-store revenue increased 2%, with new vehicle revenue up 7% and used vehicle revenue down 3%. Retail automotive same-store gross profit increased 3%, driven by a 6% increase in same-store service and parts.
Penske Automotive Group's retail automotive service and parts revenue increased 4%, with related gross profit up 6%. The company's selling, general, and administrative expenses as a percentage of gross profit improved by 70 basis points to 70.0%. New and used retail commercial truck units increased by 4%, and retail commercial truck same-store revenue decreased by 3%.
Total new units delivered increased by 6%, while used units delivered decreased by 16%. However, excluding the performance of the company's U.K. Sytner Select dealerships, used units delivered only decreased by 1%. Retail automotive revenue increased by 1% to $6.6 billion, and total retail automotive gross profit increased 3% to $1.1 billion.
Penske Transportation Solutions ("PTS"), in which Penske Automotive Group has a 28.9% ownership interest, recorded $33.2 million in earnings for the first quarter of 2025, compared to $32.5 million for the same period in 2024. The company also repurchased 254,406 shares of common stock for approximately $39.9 million and acquired 822 shares for $0.1 million from employees.
As of March 31, 2025, the company had approximately $2.1 billion in liquidity, including $118 million in cash and $2.0 billion of availability under its U.S. and international credit agreements. The company’s leverage ratio at March 31, 2025 was 1.2x.
Penske Automotive Group operates dealerships in the United States, the United Kingdom, Canada, Germany, Italy, Japan, and Australia, and is one of the largest retailers of commercial trucks in North America for Freightliner. The company also distributes and retails commercial vehicles, diesel and gas engines, power systems, and related parts and services principally in Australia and New Zealand. Penske Automotive Group employs over 28,700 people worldwide and is a member of the S&P Mid Cap 400, Fortune 500, Russell 1000, and Russell 3000 indexes. The market has reacted to these announcements by moving the company's shares -2.5% to a price of $153.62. For the full picture, make sure to review Penske Automotive's 8-K report.
