Sonic Automotive

Sonic Automotive (SAH) Q1 2025 Earnings

Reported Apr 24, 2025 at 8:53 AM ET · SEC Source

Q1 25 EPS

$1.48

BEAT +3.04%

Est. $1.44

Q1 25 Revenue

$3.65B

BEAT +3.78%

Est. $3.52B

vs S&P Since Q1 25

+21.4%

BEATING MARKET

SAH +58.5% vs S&P +37.1%

Market Reaction

Did SAH Beat Earnings? Q1 2025 Results

Sonic Automotive kicked off 2025 with a solid beat on both top and bottom lines, as the Charlotte-based auto retailer posted adjusted earnings of $1.48 per diluted share in the first quarter, clearing the consensus estimate of $1.44 by 3.04%, while r… Read more Sonic Automotive kicked off 2025 with a solid beat on both top and bottom lines, as the Charlotte-based auto retailer posted adjusted earnings of $1.48 per diluted share in the first quarter, clearing the consensus estimate of $1.44 by 3.04%, while revenue of $3.65 billion topped expectations by 3.78% and grew 7.9% year-over-year. The standout driver behind the quarter's momentum was EchoPark, Sonic's pre-owned vehicle platform, which delivered all-time record quarterly gross profit of $63.90 million, up 21% year-over-year, swinging to segment income of $10.30 million from a $2.90 million loss a year ago. The Franchised Dealerships segment also contributed with record first-quarter revenues of $3.06 billion, though new vehicle gross profit per unit slipped 17% to $3,089 as industry pricing continues normalizing. Looking ahead, management struck a cautious note, adjusting its 2025 guidance to account for tariff-driven uncertainty that could pressure new and used vehicle volumes and pricing beginning in the second quarter, while projecting EchoPark adjusted EBITDA of $35 million to $40 million for the full year.

Key Takeaways

  • Record first quarter consolidated revenues driven by 8% YoY growth
  • EchoPark all-time record quarterly gross profit, segment income, and adjusted EBITDA
  • Franchised Dealerships record first quarter total revenues, fixed operations gross profit, and F&I gross profit
  • Same store retail new vehicle unit sales volume up 10% in Franchised Dealerships
  • Same store warranty gross profit up 38% in Franchised Dealerships
  • EchoPark total used vehicle and F&I GPU up 15% to $3,411
  • $30 million pre-tax cyber insurance proceeds boosting reported net income
  • Lower SG&A expenses as percentage of gross profit (67.1% reported vs 73.1% prior year)
24/7 Wall St

SAH YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

24/7 Wall St

SAH Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“In the first quarter, our team continued to execute at a high level, driving record first quarter consolidated revenues and combined new and used retail unit sales volume, in addition to all-time record quarterly adjusted EBITDA in our EchoPark Segment. Going forward, we remain focused on delivering an outstanding experience for our guests and teammates, continuing to grow our EchoPark volume and profitability, gaining market share in our franchised dealerships and powersports segments, and optimizing our expense structure to drive sustained success. Despite uncertainty around the impact of tariffs on pricing, vehicle and parts inventory levels, gross margin, and consumer demand, our entire team remains focused on executing our strategy and continuing to grow our business, in order to create long-term value for our stakeholders.”

— David Smith, Q1 2025 Earnings Press Release