10/26/10
Sonic Automotive, Inc. Declares Quarterly Cash Dividend
CHARLOTTE, N.C., Oct 26, 2010 /PRNewswire via COMTEX/ -- Sonic Automotive, Inc. (NYSE: SAH), a leader in automotive retailing, today announced that its Board of Directors approved a quarterly dividend of $0.025 per share payable in cash for shareholders of record on December 15, 2010. The dividend will be payable January 15, 2011.
Sonic Automotive, Inc., a Fortune 500 company based in Charlotte, N.C., is one of the nation's largest automotive retailers. Sonic can be reached on the web at http://www.sonicautomotive.com/.
Included herein is a forward-looking statement pertaining to an anticipated cash dividend to shareholders. There are many factors that affect management's views about future events and trends of the Company's business. These factors involve risk and uncertainties that could cause actual results or trends to differ materially from management's view, including without limitation, economic conditions in the markets in which we operate, new and used vehicle sales volume, the success of our operational strategies, the rate and timing of overall economic recovery and the risk factors described in the Company's annual report on Form 10-K for the year ending December 31, 2009 and the quarterly report on Form 10-Q for the quarter ending June 30, 2010. The Company does not undertake any obligation to update forward-looking information.
SOURCE Sonic Automotive
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10/26/10
Sonic Automotive, Inc. Continues Portfolio Maximization Strategy; Q3 Revenues and Volume Up Over Strong Prior Year Quarter
CHARLOTTE, N.C., Oct 26, 2010 /PRNewswire via COMTEX/ -- Sonic Automotive, Inc. (NYSE: SAH), one of the nation's largest automotive retailers, today reported that 2010 third quarter adjusted earnings from continuing operations were $0.27 per diluted share, compared to an adjusted $0.26 per diluted share from continuing operations in the same prior year quarter. The adjustments are detailed further in the attached tables.
Business Overview - Strong Top Line Growth Over Prior Year
Commenting on the quarter, B. Scott Smith, the Company's President, said, "Our total revenues were up approximately 9% over a prior year quarter that included the positive effects of the Cash for Clunkers program. Our strategy of portfolio maximization is built on utilizing predictable, repeatable and sustainable processes at our dealerships through our operating playbooks. These playbooks, coupled with the lowest associate turnover rate in our Company's history, are driving our current operating performance. As we increase revenue in a challenging yet improving economic environment, we continue to take steps to control expenses. We expect to see the results of some recent activity on this front as we progress through the fourth quarter and head into next year."
Capital Structure - Lower Debt and Strong Cash Flow Generation
During the third quarter, the Company completed the redemption of $20 million of its 8.625% senior subordinated notes. The Company also recently announced the planned redemption of the remaining $16 million of its 4.25% convertible notes. Mr. Smith commented, "The $49 million of debt repurchases which we will have completed this year will save us $3.5 million in annual cash interest expense. We expect to use our excess cash flow from operations to further reduce our non-mortgage debt over the next several years. At the same time, we expect to continue to replace our leased dealerships with mortgaged properties as the opportunity arises. With the internal growth opportunities we see in our portfolio maximization strategy, we expect to drive future revenue and profit growth without the risk and capital commitment associated with dealership acquisitions."
New and Used Retail Vehicles - Combined Revenue Increases 9%
New vehicle retail revenue increased 4% and used vehicle retail revenue increased 20% for the third quarter of 2010 compared to the same quarter last year. Jeff Dyke, the Company's EVP of Operations, stated, "We are pleased with the growth in our new vehicle revenue given that our strong import and luxury brand mix benefited in such a big way from the Cash for Clunkers program last year. Our 20% growth in used vehicle revenue was fueled by 15% volume growth along with a 5% increase in the average selling price. Every quarter we move closer to our near-term goal of 100 used vehicles per store per month. We have seen our average grow by approximately 30 vehicles per dealership since we started this process. Increasing that average at each dealership by another 25 vehicles per month would add over $600 million in annual revenue based on this quarter's average selling price. That's why we remain convinced that our focus on portfolio maximization and internal growth is the right strategy at this point in our Company's evolution."
Service, Parts & Body Shop - Revenue Growth Continues in Key Profit Center
Sonic's Service, Parts & Body Shop revenue for the third quarter was up nearly 6% compared to the prior year quarter. Mr. Dyke stated, "Our customer pay business was up 4% and we saw some stabilization in our warranty repair business. We have seen steady growth in this high margin piece of our business all year and, if these trends continue, our current group of stores is on track to deliver their highest annual fixed operations gross profit. We have several exciting pilot programs underway to drive more customer traffic in this key area of our business."
Presentation materials for the Company's October 26, 2010 earnings conference call at 11:00 A.M. (Eastern) can be accessed on the Company's website at http://www.sonicautomotive.com/ by clicking on the "For Investors" tab and choosing "Webcasts & Presentations" on the right side of the page.
To access the live broadcast of the call over the Internet go to: http://www.ccbn.com/ or http://www.sonicautomotive.com/
A live audio of the call will be accessible to the public by calling (877) 791-3416. International callers dial (706) 643-0958. Callers should dial in approximately 10 minutes before the call begins.
A conference call replay will be available one hour following the call for seven days and can be accessed by calling (800) 642-1687; International callers dial (706) 645-9291, conference call ID # 15968314
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10/21/10
Sonic Automotive Announces Redemption of All Outstanding 4.25% Convertible Senior Subordinated Notes Due 2015
CHARLOTTE, N.C., Oct 21, 2010 /PRNewswire via COMTEX/ --
Sonic Automotive, Inc. (NYSE: SAH) today announced that it has called all of its outstanding 4.25% Convertible Senior Subordinated Notes due 2015 (the "Notes") for redemption on November 30, 2010. Sonic will redeem the $16.0 million aggregate principal amount of the Notes for cash at par plus accrued and unpaid interest up to, but excluding, the redemption date. As a result of the issuance of the notice of redemption for the Notes, the Notes have become convertible at the option of the holder of the Notes upon the terms set forth in the indenture governing the Notes.
About Sonic Automotive
Sonic Automotive, Inc., a Fortune 500 company based in Charlotte, N.C., is one of the nation's largest automotive retailers. Sonic can be reached on the web at www.sonicautomotive.com.
Included herein are forward-looking statements, including statements pertaining to the redemption of Notes. There are many factors that affect management's views about future events and trends of the Company's business. These factors involve risk and uncertainties that could cause actual results or trends to differ materially from management's view, including without limitation, economic conditions, risks associated with acquisitions and the risk factors described in the Company's annual report on Form 10-K for the year ended December 31, 2009, as updated in the Company's quarterly report on Form 10-Q for the quarter ended June 30, 2010. The Company does not undertake any obligation to update forward-looking information.
SOURCE Sonic Automotive, Inc.
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10/5/10
Sonic Automotive, Inc. Schedules Release of Third Quarter Results and Conference Call
CHARLOTTE, N.C., Oct 05, 2010 /PRNewswire via COMTEX/ --
Sonic Automotive, Inc. (NYSE: SAH) today announced it will release fiscal 2010 third quarter financial results on Tuesday, October 26, 2010 at 7:30 A.M. (Eastern). Senior management will hold a conference call on October 26, 2010 at 11:00 A.M. (Eastern)
To access the live broadcast of the conference call over the Internet go to:
www.sonicautomotive.com
A live audio of the conference call will be accessible to the public by calling (877) 791-3416. International callers dial (706) 643-0958. Callers should dial in approximately 10 minutes before the call begins.
A conference call replay will be available one hour following the call for seven days and can be accessed by calling:
(800) 642-1687 (domestic) or (706) 645-9291 (international), conference call ID # 15968314
About Sonic Automotive
Sonic Automotive, Inc., a Fortune 500 company based in Charlotte, N.C., is the nation's third-largest automotive retailer, operating 136 franchises. Sonic can be reached on the web at www.sonicautomotive.com.
SOURCE Sonic Automotive, Inc.
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