ASBURY AUTOMOTIVE GROUP INC 8K

Asbury Automotive Group reported weaker year-over-year second quarter 2026 earnings while advancing its Tekion DMS rollout to 70% of stores and continuing significant share repurchases, supported by solid liquidity and detailed non-GAAP financial disclosures.

Asbury Automotive Group, Inc. filed a current report to announce its second quarter 2026 financial results, reporting revenue of $4.4 billion and net income of $115 million ($6.25 per diluted share), both down versus the prior-year quarter, alongside adjusted net income of $125 million ($6.82 per diluted share) that excludes Tekion implementation costs, asset impairments, weather-related losses, and duplicative DMS-related expenses. The company highlighted continued progress on its enterprise technology transformation, with approximately 70% of its stores converted to the Tekion dealer management system as of July 28, 2026 and the rollout expected to be completed in the fall. Operationally, Asbury delivered gross profit of $753 million, maintained a 17.2% total gross margin, and generated strong contributions from parts, service, and finance and insurance, while seeing pressure on new vehicle gross margins and lower used vehicle revenue compared to the prior year. The company reported liquidity of $966 million, a transaction-adjusted net leverage ratio of 3.4x at quarter end, and continued returning capital to shareholders by repurchasing approximately 668,000 shares for $131 million in the quarter (1.35 million shares for $278 million year-to-date), with $322 million remaining under its repurchase authorization. The release also provided detailed GAAP and non-GAAP reconciliations, segment data for its dealership and Total Care Auto operations, and reiterated forward-looking statements regarding its technology implementation, capital allocation, portfolio optimization, and strategic growth initiatives.

Filing Facts

CIK

1144980

Ticker

-

Form

8K

Source Type

sec

Accession

0001144980-26-000089

Alert Tier

6