AutoNation (NYSE:AN) sank after the company reported second-quarter results that beat expectations. The company beat on the top and bottom lines, reporting adjusted earnings of $6.29 per share on revenue of $6.89 billion. Analysts expected per-share earnings of $5.91 on revenues of $6.78 billion.
During the year, AN also Repurchased 1.6 million shares of common stock for an aggregate purchase price of $207 million. It also Acquired five dealerships and opened 16th AutoNation USA store.
It also boasts a record-breaking 143 stores certified as a J.D. Power 2023 Dealer of Excellence.
Said CEO Mike Manley, "The strong performance during the quarter reflects the continued resiliency of our operations and the benefits of our diversified business model. Our dedicated team of associates consistently delivered an exceptional experience for our customers, and their efforts were acknowledged by J.D. Power with a record-breaking 143 dealerships being certified for excellent customer service. Our After-Sales team once again delivered double-digit gross profit growth, our customer financial services revenue per unit was a record high, and we effectively managed costs despite lower unit volumes. In addition, the strength of our balance sheet and robust cash flow enabled continued funding of investments and acquisitions while also returning significant capital to shareholders.”
AN shares tumbled $15.94, or 9%, to $161.08.
