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CHARLOTTE, N.C. - Sonic Automotive (NYSE:SAH) reported better-than-expected fourth quarter results on Wednesday, sending shares up 3.4% in early trading.
The automotive retailer posted adjusted earnings per share of $1.51, beating analyst estimates of $1.46. Revenue surged 9% YoY to an all-time quarterly record of $3.9 billion, surpassing the consensus forecast of $3.6 billion.
Sonic’s Franchised Dealerships segment drove growth, with revenues up 12% YoY to $3.4 billion. The EchoPark used vehicle segment saw revenues decline 9% YoY to $506.2 million, but achieved record quarterly gross profit of $49 million, up 14% YoY.
"I’m very proud of our team’s performance in the fourth quarter, building positive momentum heading into 2025," said David Smith, Chairman and CEO of Sonic Automotive.
"Our franchised dealerships segment achieved all-time record quarterly revenues, outperforming the industry in both new and used retail unit sales volume growth."
The company exceeded its technician hiring goal for 2024, increasing headcount by 335 technicians. This positions Sonic well for continued growth in 2025, according to Smith.
For the full year 2024, Sonic reported revenues of $14.2 billion, down 1% YoY, and adjusted earnings per share of $5.60, down 18% YoY.
Sonic’s Board of Directors approved a quarterly cash dividend of $0.35 per share, payable on April 15, 2025.
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