From The Motley Fool · Motley Fool Transcribing · · 2m
Asbury Automotive Q3 2026 Earnings Results
Asbury Automotive reports 8% drop in new vehicle sales as EV decline hits 76% year over year.
In brief
Asbury Automotive reports 8% drop in new vehicle sales as EV decline hits 76% year over year. Asbury Automotive's Q3 2026 earnings show 8% new vehicle unit decline driven by 76% year-over-year EV drop, with adjusted EPS at $6.16. Originally reported by The Motley Fool.
Q3 2026 Earnings Results
Asbury Automotive reported total revenue of $4.4 billion, an 8% decrease from prior year.
New Vehicle Unit Decline
New vehicle unit sales down 8% year over year, with 76% decline in electric vehicle volume.
Adjusted EPS
Adjusted EPS of $6.16, excluding $0.69 per share noncash deferral headwind from protection products.
Used Vehicle Performance
Used retail volume up 4.5% sequentially, with gross profit up 1% year over year.
Technology Platform Rollout
Completed Tekion technology platform conversion across all 157 active dealerships.
Financial Metrics
Adjusted net income of $111 million, representing 21% decrease from Q3 2025.
PVR Metrics
New vehicle PVR at $2,949, used vehicle PVR at $1,780, both within target ranges.
Leverage Ratio
Transaction adjusted net leverage ratio at 3.5x, targeting below 3x by mid-2027.
F&I Performance
Adjusted F&I PVR at $2,450, up $119 year over year excluding noncash deferrals.
SG&A Efficiency
SG&A as percentage of gross profit at 67.4%, targeting low-60% range by end of 2027.
Inventory Management
New vehicle inventory at 53 days supply, used vehicle inventory at 41 days supply.
Share Repurchases
$278 million spent on 1.35 million shares year to date through Sept. 30, 2026.
Tax and Capital Expenditures
Full-year capital expenditures projected between $270 million to $275 million for 2026.
FTC Proceeding
FTC administrative proceeding dismissed in early October 2026, consistent with lawful practices.
Stellantis Headwinds
Management warned of continued headwinds with Stellantis affecting inventory management.
Q4 Outlook
Management expects used vehicle volume to increase year over year heading into fourth quarter.
The one thing
Asbury Automotive's Q3 2026 earnings show 8% new vehicle unit decline driven by 76% year-over-year EV drop, with adjusted EPS at $6.16.
