NYSE$SAH
Sonic Automotive Inc · Q1 2020 earnings
Q1 2020 earnings · · Investor relations
Briefing
Reported financial results for the first quarter ended March 31, 2020, with all-time record EchoPark revenue and unit sales, and strengthened balance sheet and liquidity.
Sonic Automotive reported a GAAP loss per diluted share of $4.67 for Q1 2020, compared to earnings per diluted share of $0.99 for Q1 2019, which includes a non-cash goodwill impairment charge of $268.0 million. Excluding this charge, adjusted earnings per diluted share were $0.40, up nearly 3% from $0.39 in Q1 2019. Total revenues were $2.3 billion, with record EchoPark revenues of $331.7 million.
- Adjusted earnings per diluted share from continuing operations were $0.40 for Q1 2020, compared to $0.39 for Q1 2019.
- Total Sonic consolidated first quarter 2020 revenues reached $2.3 billion with a gross profit of $350.6 million.
- EchoPark revenues hit a record $331.7 million, up 33% from Q1 2019.
- Total available liquidity was $418.4 million as of April 28, 2020, an increase from $311.5 million as of March 31, 2020.
Headline financials
Revenue & EPS history
Sonic Automotive · Revenue · Quarterly
$2.31B
Revenue by segment
Sonic Automotive · $3.02B total across 2 segments · Q3 2023
- Franchised Dealerships$2.96B+4.2%98.1%
- Powersports$57M—1.9%
Forward guidance
The company continues to take steps to strengthen its balance sheet and fortify the business by enhancing liquidity, lowering operating costs, postponing certain capital expenditures, and working with manufacturer and lending partners to access additional sources of liquidity.
Tailwinds
- Ensuring that first responders and other essential workers have safe, reliable access to transportation
- Implementing CDC-recommended social distancing protocols
- Enhancing sanitization procedures at dealerships
- Providing no-contact vehicle pick-up and delivery services for both vehicle sales and vehicle service
- The company believes that they have the operating procedures and financial resources in place to manage the current economic climate and to quickly recover when consumer and commercial activity resumes.
Headwinds
- Experienced a significant reduction in customer foot traffic in both service and sales businesses
- The COVID-19 pandemic is having a widespread effect on worldwide commerce, including the automotive industry.
- Since mid-March, Sonic has experienced a significant decrease in overall vehicle sales volumes and service department revenue compared to the prior year
- Decrease is mainly due to lower consumer demand related to the COVID-19 pandemic and related government-imposed restrictions and uncertainty around the overall economic outlook.
- The one-time, non-cash goodwill impairment charge was related to our franchised dealerships only and was triggered by the decrease in our stock market value from the time period between the official announcement of the COVID-19 pandemic on March 11, 2020 and the end of the first quarter, March 31, 2020.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q1 2020
+1.0%
Avg return
Earnings day
+2.1%
Avg return
5 days after
+1.6%
Avg return
30 days after
46%
30 / 65 earnings
Positive
+30.2%
Q1 2019
Best reaction
-15.9%
Q3 2025
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +0.4% | +7.5% | +12.2% | |
| Q4 2025 | +7.9% | +7.7% | +3.0% | |
| Q3 2025 | -15.9% | -17.4% | -20.4% | |
| Q1 2025 | +1.8% | +3.9% | +13.7% | |
| Q4 2024 | -4.0% | -1.8% | -21.3% | |
| Q3 2024 | +2.5% | +6.1% | +20.0% | |
| Q2 2024 | +3.0% | +7.0% | +5.7% | |
| Q1 2024 | +21.9% | +13.1% | +10.7% | |
| Q4 2023 | -5.9% | -8.3% | -8.2% | |
| Q3 2023 | +13.4% | +10.4% | +21.8% | |
| Q2 2023 | -3.7% | -2.9% | +1.4% | |
| Q1 2023 | -14.7% | -16.8% | -19.9% | |
| Q4 2022 | -3.8% | -2.1% | -19.2% | |
| Q3 2022 | +5.7% | +8.1% | +13.6% | |
| Q2 2022 | +4.9% | +3.5% | +41.5% | |
| Q1 2022 | -1.0% | +8.9% | +9.7% | |
| Q4 2021 | +3.6% | +3.4% | -3.9% | |
| Q3 2021 | -0.4% | +1.8% | -5.6% | |
| Q2 2021 | +8.3% | +8.4% | +1.0% | |
| Q1 2021 | -3.4% | +3.9% | -5.6% | |
| Q4 2020 | -10.7% | -1.6% | +19.2% | |
| Q3 2020 | -2.6% | +4.9% | +14.4% | |
| Q2 2020 | -11.3% | -6.8% | +2.6% | |
| Q1 2020 | +14.4% | +12.8% | +40.3% | |
| Q4 2019 | -6.0% | -3.7% | -64.4% | |
| Q3 2019 | +7.1% | +10.4% | +6.7% | |
| Q2 2019 | +4.8% | +6.5% | -1.9% | |
| Q1 2019 | +30.2% | +27.6% | +16.1% | |
| Q4 2018 | -2.2% | +0.6% | -12.6% | |
| Q3 2018 | +5.1% | +6.2% | -6.5% | |
| Q2 2018 | +11.1% | +10.6% | +21.2% | |
| Q1 2018 | -3.6% | -2.9% | +4.6% | |
| Q4 2017 | -3.4% | -5.4% | -6.7% | |
| Q3 2017 | +5.0% | +6.8% | +4.5% | |
| Q2 2017 | -4.2% | -8.7% | -11.1% | |
| Q1 2017 | -0.7% | -4.4% | -10.4% | |
| Q4 2016 | +6.3% | -4.8% | -14.7% | |
| Q3 2016 | -5.6% | -5.6% | +19.8% | |
| Q2 2016 | -5.0% | -5.3% | -9.3% | |
| Q1 2016 | +13.9% | — | — | |
| Q4 2015 | +11.0% | — | — | |
| Q3 2015 | +13.2% | — | — | |
| Q2 2015 | -4.1% | — | — | |
| Q1 2015 | +0.5% | — | — | |
| Q4 2014 | -3.2% | — | — | |
| Q3 2014 | -2.2% | — | — | |
| Q2 2014 | -5.3% | — | — | |
| Q1 2014 | +3.7% | — | — | |
| Q4 2013 | +4.1% | — | — | |
| Q3 2013 | -2.9% | — | — | |
| Q2 2013 | -2.0% | — | — | |
| Q1 2013 | +1.4% | — | — | |
| Q4 2012 | -4.1% | — | — | |
| Q3 2012 | +4.3% | — | — | |
| Q2 2012 | +2.4% | — | — | |
| Q1 2011 | -2.3% | — | — | |
| Q1 2012 | +2.9% | — | — | |
| Q2 2011 | -2.8% | — | — | |
| Q4 2011 | -2.8% | — | — | |
| Q4 2009 | -2.8% | — | — | |
| Q3 2011 | -1.4% | — | — | |
| Q3 2010 | -1.4% | — | — | |
| Q4 2010 | -4.1% | — | — | |
| Q2 2010 | -4.1% | — | — | |
| Q1 2010 | +2.7% | — | — |
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