ABG Earnings Prediction
The chart below shows how ABG performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ABG sees a +0.74% change in stock price 10 days leading up to the earnings, and a +4.09% change 10 days following the report. On the earnings day itself, the stock moves by -1.59%. This data can give you a slight idea of what to expect for the next quarter's release.
ABG Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
4.50B
18.18%
6.32%
Gross Margin
16.22%
-5.70%
-1.70%
Operating Margin
5.63%
-11.20%
2.55%
Net Margin
2.86%
95.89%
-4.03%
EPS
6.54
144.03%
2.51%
No Data Available
ABG Earnings Analysis
Asbury Automotive Group Inc Corporation (ABG.N) Earnings Conference Call
Positive
Vehicle Volume and Profit Growth: Same store new vehicle volume increased by 7% year over year and 12% sequentially, with same store gross profit per new vehicle rising by $149 compared to the previous year.
Parts and Service Profit Growth: Parts and service gross profit on a same store basis was up 11%, with the customer pay segment specifically increasing by 13%.
Record Revenue Growth: Total revenue reached a record $4.5 billion, representing an 18% year-over-year increase, with gross profit rising to $750 million, an 11% increase.
Quarterly Adjusted Earnings: Adjusted earnings per share for the quarter was $7.26, contributing to a full year adjusted net income of $143 million.
Operating Cash Flow Results: The company generated $6.88 million in adjusted operating cash flow for the full year 2024, with free cash flow amounting to $5.26 million.
Negative
Quarterly Adjusted Net Income: Adjusted net income for the quarter was $143,000,000, which reflects a decrease due to $11,000,000 in non-cash asset impairments and $5,000,000 in losses related to Hurricane Milton.
Projected Tax Rate Increase: The adjusted tax rate for the quarter was 24.8%, with an estimated full year adjusted tax rate for 2025 projected to be 25.3%, indicating a potential increase in tax burden.
Projected Pretax Income 2025: The anticipated pretax income for 2025 is approximately $8,000,000, which includes a significant non-cash deferral hit of $62,000,000, equating to $2.35 per diluted share, suggesting a challenging earnings environment ahead.
Used Vehicle Market Decline: The same store used vehicle unit volume was down slightly compared to prior year results, indicating potential weakness in the used vehicle market.
SG&A Cost Projections: The company expects SG&A as a percentage of gross profit to rise to the mid-60s in 2025, reflecting anticipated cost pressures and investments in the business.
ABG FAQs
How does ABG typically perform around its earnings report dates?
Is Asbury Automotive Group Inc (ABG) Q4 2024 Earnings Call Summary positive or negative?
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ABG Earning Call Sentiment
Earnings call transcript: Asbury Automotive beats Q4 2024 expectations
ABG.N
2.36%Positive
The earnings call presents a mixed picture. Financial performance shows revenue and gross profit growth, but issues like Stellantis inventory and market volatility are concerns. The Q&A reveals optimism about future efficiencies and service growth, but also highlights uncertainties, such as tariff impacts. While there are positive elements like record revenue and operational improvements, the absence of a clear shareholder return plan and potential headwinds temper expectations. Given the company's market cap, the stock is likely to remain relatively stable, resulting in a neutral outlook.
