Q2 26 EPS
$1.82
BEAT +4.11%
Est. $1.75
Q2 26 Revenue
$3.93B
BEAT +3.99%
Est. $3.78B
vs S&P Since Q2 26
-29.4%
TRAILING MARKET
SAH -26.1% vs S&P +3.3%
Market Reaction
Did SAH Beat Earnings? Q2 2026 Results
Sonic Automotive posted a solid beat across both top-line and bottom-line metrics in the second quarter of 2026, though the results told a story of growth under pressure. The Charlotte-based auto retailer reported adjusted diluted EPS of $1.82, clear… Read more Sonic Automotive posted a solid beat across both top-line and bottom-line metrics in the second quarter of 2026, though the results told a story of growth under pressure. The Charlotte-based auto retailer reported adjusted diluted EPS of $1.82, clearing the consensus estimate of $1.75 by 4.11%, while revenue of $3.93 billion topped expectations by 3.99% and grew 7.6% year-over-year. The headline numbers, however, masked meaningful margin erosion: adjusted EPS declined 17% from a year ago as SG&A costs as a percentage of gross profit widened 370 basis points to 72.2%, squeezing profitability even as unit volumes climbed. EchoPark's used vehicle segment was a notable mixed signal, with retail unit volume rising 17% to 19,601 units yet GPU per unit falling 12% to $3,292, prompting management to lower full-year EchoPark GPU guidance to $3,100-$3,300 while raising volume growth expectations to 12%-15%. The company's expanding powersports footprint, including five recently acquired Harley-Davidson dealerships, added roughly $100 million in annualized revenue, underscoring Sonic's push to diversify beyond traditional franchised retail ahead of what management flagged as a tariff-clouded second half.
Key Takeaways
- • EchoPark retail used vehicle unit sales volume increased 17% year-over-year to 19,601 units
- • Powersports revenue grew 53% driven by April 2026 acquisition of five Harley-Davidson dealerships
- • Franchised Dealerships same store used vehicle unit volume up 7%
- • Fixed operations gross profit grew 6% year-over-year in Franchised Dealerships segment
- • Consolidated gross profit reached all-time quarterly record of $616.2 million
- • SG&A expenses as percentage of gross profit increased 370 basis points to 72.2%
- • New vehicle GPU declined 11% and used vehicle GPU declined 12% in Franchised Dealerships
SAH Forward Guidance & Outlook
For FY 2026, Sonic anticipates Franchised Dealerships new vehicle GPU in the $2,850-$3,000 range (raised from $2,700-$3,000), used vehicle GPU of $1,350-$1,450, mid-single-digit same store fixed operations gross profit growth, and F&I GPU of $2,600-$2,700. Adjusted SG&A expenses as a percentage of gross profit are expected in the low 70% range. The effective tax rate is expected at 28.0%-29.0%. EchoPark is expected to deliver 12%-15% used retail unit volume growth (raised from high single digits) with total GPU in the $3,100-$3,300 range (lowered from $3,400-$3,600), adjusted EBITDA of $35-$40 million, and plans for 1 new location in Q4 2026 with $8-$12 million in incremental brand advertising in Q4. Powersports adjusted EBITDA is expected between $14-$17 million including recent acquisitions. Management highlighted tariff uncertainty as a key variable affecting new vehicle pricing, consumer demand, and second-half profitability.
SAH YoY Financials
Q2 2026 vs Q2 2025, source: SEC Filings
SAH Revenue by Segment
With YoY comparisons, source: SEC Filings
“Our second quarter performance reflects the strength of Sonic's diversified business model and the commitment of our teammates across the organization. We generated second quarter record consolidated revenues of $3.9 billion and all-time record quarterly gross profit of $616.2 million, driven by growth across our diversified operating segments. EchoPark delivered double-digit unit volume growth and second quarter record gross profit, while Powersports achieved record second quarter revenue and gross profit. Our latest results and outlook reaffirm our commitment to investing in differentiated platforms that broaden our earnings base and position Sonic to create sustainable long-term value for our stockholders.”
— David Smith, Q2 2026 Earnings Press Release
SAH Earnings Trends
SAH vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
SAH EPS Trend
Earnings per share: estimate vs actual
SAH Revenue Trend
Quarterly revenue: estimate vs actual
SAH Quarterly Results
6 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q2 26 BEAT | $1.75 | $1.82 | +4.11% | $3.93B | +3.99% |
| Q1 26 BEAT | $1.40 | $1.62 | +15.46% | $3.69B | -1.10% |
| Q4 25 BEAT FY | $1.50 | $1.52 | +1.66% | $3.87B | -1.69% |
| FY Full Year | $6.60 | $6.60 | -0.01% | $15.15B | -0.05% |
| Q3 25 MISS | $1.74 | $1.41 | -18.74% | $3.97B | +9.52% |
| Q2 25 BEAT | $1.60 | $2.19 | +36.58% | $3.66B | -0.03% |
| Q1 25 BEAT | $1.44 | $1.48 | +3.04% | $3.65B | +3.78% |