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AutoNation Inc. (AN-3.91%) has filed its annual report on Form 10-K for the fiscal year ended December 31, 2024 filing.
The filing details AutoNation's operations, which include 325 new vehicle franchises and 243 stores across the United States, primarily in the Sunbelt region. The company sells 31 different new vehicle brands, with core brands including Toyota, Honda, Ford, General Motors, BMW, Mercedes-Benz, Stellantis, and Volkswagen.
AutoNation reported total revenue of $26.8 billion for 2024, a slight decrease from the previous year. New vehicle sales accounted for 49% of total revenue, while used vehicle sales contributed 29%, parts and service 17%, and finance and insurance 5%.
The company experienced a net income of $692.2 million, down from $1.0 billion in 2023. Earnings per share for 2024 were $16.92, compared to $22.74 in 2023.
AutoNation's gross profit decreased by 7% in 2024, with declines in new vehicle, used vehicle, and finance and insurance gross profits, partially offset by an increase in parts and service gross profit.
The company highlighted the impact of a cyber incident involving its dealer management system provider, CDK Global, which disrupted operations and negatively impacted earnings per share by approximately $1.75.
AutoNation's capital allocation strategy focuses on maintaining and upgrading facilities, building new stores, and repurchasing common stock. The company repurchased 2.9 million shares for $460 million in 2024.
The filing also outlines AutoNation's strategic initiatives, including expanding its AutoNation Finance business, AutoNation USA used vehicle stores, and AutoNation Mobile Service.
AutoNation's debt agreements contain covenants that limit additional indebtedness and other financial activities. The company reported $3.8 billion in total non-vehicle long-term debt at the end of 2024.
The report discusses risks related to economic conditions, vehicle manufacturers, strategic initiatives, legal and regulatory compliance, cybersecurity, and interest rate fluctuations.
AutoNation continues to focus on providing a superior customer experience through its stores and digital channels, aiming to increase customer loyalty and expand its market share.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the AutoNation Inc. annual 10-K report dated February 14, 2025. To report an error, please email earnings@qz.com.