Lithia & Driveway (LAD) Reports Fourth Quarter Results and Full Year Results
MEDFORD, Ore., Feb. 11, 2026 /PRNewswire/ -- Lithia & Driveway (NYSE: LAD), largest global automotive retailer, today reported financial results for the fourth quarter and full year 2025.
"Our team delivered strong growth in used vehicles and aftersales, despite headwinds in new vehicles and continued margin pressures. This resulted in industry-leading same store gross profits declines of only 1%. Driveway Finance Corporation delivered record quarterly income while achieving strong penetration with excellent credit quality." said Bryan DeBoer, President and CEO. "We remained disciplined in capital allocation, repurchasing over 11% of outstanding shares in 2025 while maintaining balance sheet strength. As we look ahead, our diversified platform and operational discipline position us to navigate a dynamic market and capitalize on opportunities."
Fourth Quarter 2025 Operational Summary
Fourth quarter 2025 revenue increased 0.3% to $9.20 billion from $9.17 billion in the fourth quarter of 2024.
Fourth quarter 2025 diluted earnings per share attributable to LAD was $5.72, a 28% decrease from $7.98 per share reported in the fourth quarter of 2024. Fourth quarter 2025 adjusted diluted earnings per share attributable to LAD was $6.74, a 12% decrease compared to $7.62 per share in the same period of 2024.
Fourth quarter 2025 net income was $137.9 million, a 35.5% decrease compared to net income of $213.7 million in the same period of 2024. Adjusted fourth quarter 2025 net income was $162.2 million, a 21% decrease compared to adjusted net income of $204.2 million for the same period of 2024.
The financial measures discussed include both GAAP and non-GAAP measures. See "Reconciliation of Certain Non-GAAP Measures".
Full Year 2025 Operational Summary
Full year 2025 revenue increased 4.0% to a record $37.63 billion from $36.19 billion in 2024.
Full year 2025 diluted earnings per share attributable to LAD was $32.32, a 10% increase from $29.45 per share reported in 2024. Full year 2025 adjusted diluted earnings per share attributable to LAD was $33.46, a 16% increase from $28.92 per share reported in 2024. Full year 2025 net income increased 1% to $825.9 million from $816.3 million for 2024. Adjusted net income increased 8% to $854.7 million for 2025 from $790.4 million for 2024.
Corporate Development
During the fourth quarter, LAD acquired a total of eleven stores across North America and the United Kingdom, which are expected to generate $1.6 billion in annualized revenues. For the full year 2025, LAD acquired $2.4 billion of expected annualized revenues, while divesting $1.3 billion.
Balance Sheet Update
LAD ended the fourth quarter with approximately $1.5 billion in cash and cash equivalents, marketable securities, and availability on our revolving lines of credit.
Dividend Payment and Share Repurchases
The Board of Directors approved a dividend of $0.55 per share related to fourth quarter 2025 financial results. The dividend is expected to be paid on March 20, 2026 to shareholders of record on March 6, 2026.
During the fourth quarter 2025, we repurchased approximately 917,427 shares at a weighted average price of $314. In 2025, we have repurchased approximately 3,020,000 shares at a weighed average price of $314. Under the current share repurchase authorization approximately $621.6 million remains available.
Fourth Quarter Earnings Conference Call and Updated Presentation
The fourth quarter 2025 conference call may be accessed at 10:00 a.m. ET today by telephone at 877-407-8029. An updated presentation highlighting the fourth quarter 2025 results has been added to our investor relations website. To listen live on our website or for replay, visit investors.lithiadriveway.com and click on quarterly earnings.
About Lithia & Driveway (LAD)
Lithia & Driveway (NYSE: LAD) is the largest global automotive retailer providing a wide array of products and services throughout the vehicle ownership lifecycle. Simple, convenient, and transparent experiences are offered through our comprehensive network of physical locations, e-commerce platforms, captive finance solutions, fleet management offerings, and other synergistic adjacencies. We deliver consistent, profitable growth in a massive and unconsolidated industry. Our highly diversified and competitively differentiated design provides us the flexibility and scale to pursue our vision to modernize personal transportation solutions wherever, whenever and however consumers desire.
Sites
www.lithia.com
investors.lithiadriveway.com
www.lithiacareers.com
www.driveway.com
www.greencars.com
www.drivewayfinancecorp.com
Lithia & Driveway on Facebook
https://www.facebook.com/LithiaMotors
https://www.facebook.com/DrivewayHQ
Lithia & Driveway on X
https://x.com/lithiamotors
https://x.com/DrivewayHQ
https://x.com/GreenCarsHQ
Lithia & Driveway on LinkedIn
https://www.linkedin.com/company/lithia-motors/
Lithia & Driveway on YouTube
https://www.youtube.com/@Lithia_Motors/featured
Forward-Looking Statements
Certain statements in this presentation, and at times made by our officers and representatives, constitute forward-looking statements within the meaning of the "Safe Harbor" provisions of the Private Securities Litigation Reform Act of 1995. Generally, you can identify forward-looking statements by terms such as "project," "outlook," "target," "may," "will," "would," "should," "seek," "expect," "plan," "intend," "forecast," "anticipate," "believe," "estimate," "predict," "potential," "likely," "ensure," "goal," "strategy," "future," "maintain," and "continue" or the negative of these terms or other comparable terms. Examples of forward-looking statements in this presentation include, among others, statements regarding:
Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Forward-looking statements are not guarantees of future performance, and our actual results of operations, financial condition and liquidity and development of the industry in which we operate may differ materially from those made in or suggested by the forward-looking statements in this presentation. Therefore, you should not rely on any of these forward-looking statements. The risks and uncertainties that could cause actual results to differ materially from estimated or projected results include, without limitation:
Any forward-looking statement made by us in this presentation is based only on information currently available to us and speaks only as of the date on which it is made. Except as required by law, we undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
Non-GAAP Financial Measures
This presentation contains non-GAAP financial measures, which may include adjusted net income, adjusted net income attributable to LAD, adjusted net income attributable to non-controlling interests, adjusted net income attributable to redeemable non-controlling interest, adjusted diluted earnings per share attributable to LAD, adjusted SG&A, adjusted SG&A as a percentage of revenue and gross profit, adjusted operating income, adjusted net cash provided by operating activities, adjusted income before income taxes, adjusted income tax (provision) benefit, adjusted operating profit as a percentage of revenue and gross profit, adjusted pre-tax margin and net profit margin, EBITDA, adjusted EBITDA and net debt. Non-GAAP measures do not have definitions under GAAP and may be defined differently by and not comparable to similarly titled measures used by other companies. As a result, we review any non-GAAP financial measures in connection with a review of the most directly comparable measures calculated in accordance with GAAP. We caution you not to place undue reliance on such non-GAAP measures, but also to consider them with the most directly comparable GAAP measures. We present cash flows from operations in the attached tables, adjusted to include the change in non-trade floor plan debt to improve the visibility of cash flows related to vehicle financing. As required by SEC rules, we have reconciled these measures to the most directly comparable GAAP measures in the attachments to this release. We believe the non-GAAP financial measures we present improve the transparency of our disclosures; provide a meaningful presentation of our results from core business operations, because they exclude items not related to core business operations and other non-cash items; and improve the period-to-period comparability of our results from core business operations. These presentations should not be considered an alternative to GAAP measures.
LAD
Consolidated Statements of Operations (Unaudited)
(In millions except per share data)
Three months ended
December 31,
%
Twelve months ended
December 31,
%
Increase
Increase
2025
2024
(Decrease)
2025
2024
(Decrease)
Revenues:
New vehicle
$ 4,626.7
$ 4,908.7
(5.7) %
$ 18,703.0
$ 18,322.8
2.1 %
Used vehicle
3,179.2
2,979.7
6.7
13,371.5
12,628.8
5.9
Finance and insurance
356.9
355.8
0.3
1,473.6
1,417.7
3.9
Aftersales
1,035.0
929.3
11.4
4,086.8
3,818.9
7.0
Total revenues
9,197.8
9,173.5
0.3 %
37,634.9
36,188.2
4.0 %
Cost of sales:
New vehicle
4,355.8
4,585.1
(5.0)
17,533.9
17,037.3
2.9
Used vehicle
3,029.1
2,821.5
7.4
12,638.3
11,905.1
6.2
Aftersales
441.5
395.4
11.7
1,729.7
1,684.8
2.7
Total cost of sales
7,826.4
7,802.0
0.3
31,901.9
30,627.2
4.2
Gross profit
1,371.4
1,371.5
— %
5,733.0
5,561.0
3.1 %
Finance operations income
22.9
4.3
432.6 %
74.6
8.4
788.1 %
Asset impairments
5.8
—
NM
5.8
—
NM
SG&A expense
979.3
902.1
8.6
3,944.7
3,755.2
5.0
Depreciation and amortization
67.8
62.1
9.2
262.4
245.6
6.8
Income from operations
341.4
411.6
(17.1) %
1,594.7
1,568.6
1.7 %
Floor plan interest expense
(58.3)
(64.8)
(10.0)
(228.2)
(278.8)
(18.1)
Other interest expense
(75.0)
(68.4)
9.6
(275.5)
(257.8)
6.9
Other (expense) income
(18.5)
3.9
(574.4)
17.4
39.3
(55.7)
Income before income taxes
189.6
282.3
(32.8) %
1,108.4
1,071.3
3.5 %
Income tax expense
(51.7)
(68.6)
(24.6)
(282.5)
(255.0)
10.8
Income tax rate
27.3 %
24.3 %
25.5 %
23.8 %
Net income
$ 137.9
$ 213.7
(35.5) %
$ 825.9
$ 816.3
1.2 %
Net income attributable to non-controlling
interests
(1.1)
(1.0)
10.0 %
(6.3)
(4.8)
31.3 %
Net income attributable to redeemable non-
controlling interest
—
—
NM
—
(14.8)
(100.0) %
Net income attributable to LAD
$ 136.8
$ 212.7
(35.7) %
$ 819.6
$ 796.7
2.9 %
Diluted earnings per share attributable
to LAD:
Net income per share
$ 5.72
$ 7.98
(28.3) %
$ 32.32
$ 29.45
9.7 %
Diluted shares outstanding
23.9
26.6
(10.2) %
25.4
27.1
(6.3) %
NM - not meaningful
LAD
Key Performance Metrics (Unaudited)
Three months ended
December 31,
%
Twelve months ended
December 31,
%
Increase
Increase
2025
2024
(Decrease)
2025
2024
(Decrease)
Gross margin
New vehicle
5.9 %
6.6 %
(70) bps
6.3 %
7.0 %
(70) bps
Used vehicle
4.7
5.3
(60)
5.5
5.7
(20)
Finance and insurance
100.0
100.0
—
100.0
100.0
—
Aftersales
57.3
57.4
(10)
57.7
55.9
180
Gross profit margin
14.9
15.0
(10)
15.2
15.4
(20)
Unit sales
New vehicle
97,424
106,027
(8.1) %
402,575
406,286
(0.9) %
Used vehicle retail
99,905
95,342
4.8
425,381
411,925
3.3
Average selling price (excluding agency)
New vehicle
$ 48,239
$ 47,478
1.6 %
$ 47,426
$ 46,259
2.5 %
Used vehicle retail
28,533
27,674
3.1
28,118
27,356
2.8
Average gross profit per unit
New vehicle
$ 2,781
$ 3,053
(8.9) %
$ 2,904
$ 3,164
(8.2) %
Used vehicle retail
1,555
1,694
(8.2)
1,756
1,769
(0.7)
Finance and insurance
1,869
1,852
0.9
1,844
1,813
1.7
Total vehicle (1)
3,942
4,160
(5.2)
4,077
4,188
(2.7)
Revenue mix
New vehicle
50.3 %
53.5 %
49.7 %
50.6 %
Used vehicle
34.6
32.5
35.5
34.9
Finance and insurance, net
3.9
3.9
3.9
3.9
Aftersales
11.2
10.1
10.9
10.6
Gross Profit Mix
New vehicle
19.8 %
23.6 %
20.4 %
23.1 %
Used vehicle
10.9
11.5
12.8
13.0
Finance and insurance, net
26.0
25.9
25.7
25.5
Aftersales
43.3
39.0
41.1
38.4
Adjusted
As reported
Adjusted
As reported
Three months ended
December 31,
Three months ended
December 31,
Twelve months ended
December 31,
Twelve months ended
December 31,
Other metrics
2025
2024
2025
2024
2025
2024
2025
2024
SG&A as a % of revenue
10.7 %
9.9 %
10.6 %
9.8 %
10.5 %
10.4 %
10.5 %
10.4 %
SG&A as a % of gross profit
71.4
66.3
71.4
65.8
68.7
67.4
68.8
67.5
Operating profit as a % of revenue
3.8
4.4
3.7
4.5
4.3
4.4
4.2
4.3
Operating profit as a % of gross profit
25.3
29.5
24.9
30.0
28.0
28.3
27.8
28.2
Pretax margin
2.4
3.0
2.1
3.1
3.0
2.9
2.9
3.0
Net profit margin
1.8
2.2
1.5
2.3
2.3
2.2
2.2
2.3
(1) Includes the sales and gross profit related to new, used, and finance and insurance and unit sales for new and used retail
LAD
Same Store Operating Highlights (Unaudited)
Three months ended
December 31,
%
Twelve months ended
December 31,
%
Increase
Increase
2025
2024
(Decrease)
2025
2024
(Decrease)
Revenues
New vehicle
$ 4,458.1
$ 4,773.4
(6.6) %
$ 17,912.0
$ 17,681.6
1.3 %
Used vehicle
3,041.7
2,865.8
6.1
12,658.5
11,969.4
5.8
Finance and insurance
344.9
348.0
(0.9)
1,419.3
1,376.8
3.1
Aftersales
995.1
897.2
10.9
3,892.0
3,661.6
6.3
Total revenues
8,839.8
8,884.4
(0.5)
35,881.8
34,689.4
3.4
Gross profit
New vehicle
$ 260.1
$ 314.5
(17.3) %
$ 1,120.0
$ 1239.3
(9.6) %
Used vehicle
146.3
155.9
(6.2)
705.6
713.2
(1.1)
Finance and insurance
344.9
348.0
(0.9)
1,419.3
1,376.8
3.1
Aftersales
570.0
519.1
9.8
2,252.5
2,058.3
9.4
Total gross profit
1,321.3
1,337.5
(1.2)
5,497.4
5,387.6
2.0
Gross margin
New vehicle
5.8 %
6.6 %
(80) bps
6.3 %
7.0 %
(70) bps
Used vehicle
4.8
5.4
(60)
5.6
6.0
(40)
Finance and insurance
100.0
100.0
—
100.0
100.0
—
Aftersales
57.3
57.9
(60)
57.9
56.2
170
Gross profit margin
14.9
15.1
(20)
15.3
15.5
(20)
Unit sales
New vehicle
94,046
102,596
(8.3) %
385,991
390,779
(1.2) %
Used vehicle retail
96,342
92,045
4.7
403,137
389,081
3.6
Average selling price (excluding agency)
New vehicle
$ 48,177
$ 47,732
0.9 %
$ 47,382
$ 46,434
2.0 %
Used vehicle retail
28,304
27,594
2.6
28,078
27,417
2.4
Average gross profit per unit
New vehicle
$ 2,766
$ 3,066
(9.8) %
$ 2,902
$ 3,171
(8.5) %
Used vehicle retail
1,575
1,726
(8.7)
1,784
1,842
(3.1)
Finance and insurance
1,874
1,865
0.5
1,863
1,842
1.1
Total vehicle (1)
3,946
4,205
(6.2)
4,112
4,269
(3.7)
(1) Includes the sales and gross profit related to new, used, and finance and insurance and unit sales for new and used retail
LAD
Other Highlights (Unaudited)
Three months ended December 31,
Twelve months ended December 31,
2025
2025
Key Performance by Country
Total Revenue
Total Gross Profit
Total Revenue
Total Gross Profit
United States
79.5 %
83.8 %
78.5 %
83.3 %
United Kingdom
17.4 %
13.6 %
18.4 %
14.1 %
Canada
3.1 %
2.6 %
3.1 %
2.6 %
As of
December 31,
December 31,
December 31,
Days' Supply (1)
2025
2024
2023
New vehicle inventory
54
59
47
Used vehicle inventory
48
53
41
(1) Days' supply in inventory is calculated using on-ground inventory unit levels and a 30-day total unit sales volumes, both at the end of each reporting period.
Selected Financing Operations Financial Information
Three months ended December 31,
Twelve months ended December 31,
($ in millions)
2025
% (1)
2024
% (1)
2025
% (1)
2024
% (1)
Interest and fee income
$ 109.3
9.1
$ 90.9
9.2
$ 407.4
9.2
$ 340.8
9.3
Interest expense
(52.1)
(4.3)
(49.1)
(5.0)
(202.1)
(4.6)
(195.1)
(5.3)
Total interest margin
$ 57.3
4.8
$ 41.8
4.2
$ 205.3
4.6
$ 145.7
4.0
Lease income
23.9
13.4
91.6
74.6
Lease costs
(19.5)
(9.3)
(73.5)
(60.3)
Lease income, net
4.4
4.1
18.1
14.3
Provision expense
(24.8)
(2.1)
(29.7)
(3.0)
(97.3)
(2.2)
(106.7)
(2.9)
Other financing operations expenses
(13.9)
(1.2)
(11.8)
(1.2)
(51.5)
(1.2)
(44.9)
(1.2)
Finance operations income
$ 22.9
$ 4.3
$ 74.6
$ 8.4
Total average managed finance receivables
$ 4,767.2
$ 3,928.7
$ 4,421.9
$ 3,659.9
(1) Annualized percentage of total average managed finance receivables
LAD
Condensed Consolidated Balance Sheets (Unaudited)
(In millions)
December 31, 2025
December 31, 2024
Cash, restricted cash, and cash equivalents
$ 341.8
$ 402.2
Trade receivables, net
1,134.1
1,237.0
Inventories, net
6,119.6
5,911.7
Other current assets
262.5
223.0
Total current assets
$ 7,858.0
$ 7,773.9
Property and equipment, net
4,936.0
4,629.9
Finance receivables, net
4,755.1
3,868.2
Intangibles
5,254.1
4,665.8
Other non-current assets
2,304.0
2,184.8
Total assets
$ 25,107.2
$ 23,122.6
Floor plan notes payable
5,008.9
4,903.1
Other current liabilities
1,687.8
1,648.0
Total current liabilities
$ 6,696.7
$ 6,551.1
Long-term debt, less current maturities
7,274.9
6,119.3
Non-recourse notes payable, less current maturities
2,404.2
2,051.2
Other long-term liabilities and deferred revenue
2,103.0
1,726.9
Total liabilities
$ 18,478.8
$ 16,448.5
Equity
6,628.4
6,674.1
Total liabilities and equity
$ 25,107.2
$ 23,122.6
LAD
Condensed Consolidated Statements of Cash Flows (Unaudited)
(In millions)
Twelve months ended December 31,
Cash flows from operating activities:
2025
2024
Net income
$ 825.9
$ 816.3
Adjustments to reconcile net income to net cash provided by operating
activities
578.9
436.9
Changes in:
Inventories
33.3
(260.9)
Finance receivables
(878.3)
(622.4)
Floor plan notes payable
(186.1)
194.5
Other operating activities
(17.0)
(139.3)
Net cash provided by operating activities
356.7
425.1
Cash flows from investing activities:
Capital expenditures
(350.9)
(351.4)
Cash paid for acquisitions, net of cash acquired
(886.4)
(1,248.5)
Proceeds from sales of stores
194.0
85.7
Other investing activities
15.4
(340.2)
Net cash used in investing activities
(1,027.9)
(1,854.4)
Cash flows from financing activities:
Net borrowings on floor plan notes payable, non-trade
191.7
304.8
Net borrowings on non-recourse notes payable
364.5
403.7
Net borrowings on other debt and finance lease liabilities
1,139.1
615.8
Proceeds from issuance of common stock
27.5
27.3
Repurchase of common stock
(960.9)
(365.9)
Dividends paid
(55.3)
(56.5)
Other financing activity
(94.5)
(21.6)
Net cash provided by financing activities
612.1
907.6
Effect of exchange rate changes on cash and restricted cash
4.6
(4.5)
Change in cash, restricted cash, and cash equivalents
(54.5)
(526.2)
Cash, restricted cash, and cash equivalents at beginning of period
445.8
972.0
Cash, restricted cash, and cash equivalents at end of period
391.3
445.8
LAD
Reconciliation of Non-GAAP Cash Flow from Operations (Unaudited)
(In millions)
Twelve months ended December 31,
Net cash provided by operating activities
2025
2024
As reported
$ 356.7
$ 425.1
Floor plan notes payable, non-trade, net
191.7
304.8
Adjust: finance receivables activity
878.3
622.4
Less: Borrowings on floor plan notes payable, non-trade associated with
acquired new vehicle inventory
(135.4)
(105.5)
Adjusted
$ 1,291.3
$ 1,246.8
LAD
Reconciliation of Certain Non-GAAP Financial Measures (Unaudited)
(In millions, except for per share data)
Three Months Ended December 31, 2025
As reported
Net gain on
disposal of
stores
Asset
impairment
Investment
loss
Insurance
reserves
Acquisition
expenses
Tax attribute
Adjusted
Asset impairments
$ 5.8
$ —
$ (5.8)
$ —
$ —
$ —
$ —
$ —
Selling, general and
administrative
979.3
2.6
—
—
(1.4)
(0.9)
—
979.6
Operating income
341.4
(2.6)
5.8
—
1.4
0.9
—
346.9
Other income
(expense), net
(18.5)
—
—
27.9
—
—
—
9.4
Income before
income taxes
189.6
(2.6)
5.8
27.9
1.4
0.9
—
223.0
Income tax
(provision) benefit
(51.7)
0.4
(1.5)
(7.0)
(0.4)
(0.2)
(0.4)
(60.8)
Net income
$ 137.9
$ (2.2)
$ 4.3
$ 20.9
$ 1.0
$ 0.7
$ (0.4)
$ 162.2
Net income
attributable to non-
controlling interests
(1.1)
—
—
—
—
—
—
(1.1)
Net income
attributable to LAD
$ 136.8
$ (2.2)
$ 4.3
$ 20.9
$ 1.0
$ 0.7
$ (0.4)
$ 161.1
Diluted earnings per
share attributable to
LAD
$ 5.72
$ (0.09)
$ 0.18
$ 0.88
$ 0.04
$ 0.03
$ (0.02)
$ 6.74
Diluted share count
23.9
Three Months Ended December 31, 2024
As reported
Net gain on
disposal of
stores
Investment
gain
Acquisition
expenses
Tax attribute
Adjusted
Selling, general and administrative
$ 902.1
$ 7.9
$ —
$ (0.3)
$ —
$ 909.8
Operating income
411.6
(7.9)
—
0.3
—
404.0
Other income (expense), net
3.9
—
(1.1)
—
—
2.8
Income before income taxes
282.3
(7.9)
(1.1)
0.3
—
273.6
Income tax (provision) benefit
(68.6)
4.1
0.3
(0.1)
(5.1)
(69.4)
Net income
$ 213.7
$ (3.8)
$ (0.8)
$ 0.2
$ (5.1)
$ 204.2
Net income attributable to non-controlling interests
$ (1.0)
$ —
$ —
$ —
$ —
$ (1.0)
Net income attributable to redeemable non-
controlling interest
$ —
$ —
$ —
$ —
$ —
$ —
Net income attributable to LAD
$ 212.7
$ (3.8)
$ (0.8)
$ 0.2
$ (5.1)
$ 203.2
Diluted earnings per share attributable to LAD
$ 7.98
$ (0.15)
$ (0.03)
$ 0.01
$ (0.19)
$ 7.62
Diluted share count
26.6
LAD
Reconciliation of Certain Non-GAAP Financial Measures (Unaudited)
(In millions, except for per share data)
Twelve Months Ended December 31, 2025
As reported
Net gain on
disposal of
stores
Asset
impairment
Investment
loss
Insurance
reserves
Acquisition
expenses
Tax attribute
Adjusted
Asset impairments
$ 5.8
$ —
$ (5.8)
$ —
$ —
$ —
$ —
$ —
Selling, general and
administrative
3,944.7
20.3
—
—
(6.7)
(17.0)
—
3,941.3
Operating income
1,594.7
(20.3)
5.8
—
6.7
17.0
—
1,603.9
Other income
(expense), net
17.4
—
—
23.8
—
—
—
41.2
Income before
income taxes
1,108.4
(20.3)
5.8
23.8
6.7
17.0
—
1,141.4
Income tax
(provision) benefit
(282.5)
11.9
(1.5)
(6.0)
(1.7)
(0.8)
(6.1)
(286.7)
Net income
$ 825.9
$ (8.4)
$ 4.3
$ 17.8
$ 5.0
$ 16.2
$ (6.1)
$ 854.7
Net income
attributable to non-
controlling interests
(6.3)
—
—
—
—
—
—
(6.3)
Net income
attributable to LAD
$ 819.6
$ (8.4)
$ 4.3
$ 17.8
$ 5.0
$ 16.2
$ (6.1)
$ 848.4
Diluted earnings per
share attributable to
LAD
$ 32.32
$ (0.33)
$ 0.17
$ 0.70
$ 0.20
$ 0.64
$ (0.24)
$ 33.46
Diluted share count
25.4
Twelve Months Ended December 31, 2024
As reported
Net gain on
disposal of
stores
Investment
gain
Insurance
reserves
Acquisition
expenses
Premium on
redeemable
NCI buyout
Tax attribute
Adjusted
Selling, general and
administrative
$ 3,755.2
$ 8.2
$ —
$ (6.1)
$ (10.0)
$ —
$ —
$ 3,747.3
Operating income
1,568.6
(8.2)
—
6.1
10.0
—
—
1,576.5
Other income
(expense), net
39.3
—
(30.2)
—
—
—
—
9.1
Income before
income taxes
1,071.3
(8.2)
(30.2)
6.1
10.0
—
—
1,049.0
Income tax
provision) benefit
(255.0)
4.1
7.5
(1.6)
(0.5)
—
(13.1)
(258.6)
Net income
$ 816.3
$ (4.1)
$ (22.7)
$ 4.5
$ 9.5
$ —
$ (13.1)
$ 790.4
Net income
attributable to non-
controlling interests
(4.8)
—
—
—
—
—
—
(4.8)
Net income
attributable to
redeemable non-
controlling interest
(14.8)
—
—
—
—
11.6
—
(3.2)
Net income
attributable to LAD
$ 796.7
$ (4.1)
$ (22.7)
$ 4.5
$ 9.5
$ 11.6
$ (13.1)
$ 782.4
Diluted earnings per
share attributable to
LAD
$ 29.45
$ (0.15)
$ (0.84)
$ 0.17
$ 0.35
$ 0.43
$ (0.49)
$ 28.92
Diluted share count
27.1
LAD
Adjusted EBITDA and Net Debt to Adjusted EBITDA (Unaudited)
(In millions)
Three months ended December 31,
%
Twelve months ended December 31,
%
Increase
Increase
2025
2024
(Decrease)
2025
2024
(Decrease)
EBITDA and Adjusted EBITDA
Net income
$ 137.9
$ 213.7
(35.5) %
$ 825.9
$ 816.3
1.2 %
Flooring interest expense
58.3
64.8
(10.0)
228.2
278.8
(18.1)
Other interest expense
75.0
68.4
9.6
275.5
257.8
6.9
Financing operations interest expense
52.1
49.1
6.1
202.1
195.1
3.6
Income tax expense
51.7
68.6
(24.6)
282.5
255.0
10.8
Depreciation and amortization
67.8
62.1
9.2
262.4
245.6
6.8
EBITDA
$ 442.8
$ 526.7
(15.9) %
$ 2,076.6
$ 2,048.6
1.4 %
Other adjustments:
Less: flooring interest expense
$ (58.3)
$ (64.8)
(10.0)
$ (228.2)
$ (278.8)
(18.1)
Less: financing operations interest expense
(52.1)
(49.1)
6.1
(202.1)
(195.1)
3.6
Less: used vehicle line of credit interest
(1.7)
(4.6)
(63.0)
(12.9)
(24.2)
(46.7)
Add: acquisition expenses
0.9
0.3
200.0
17.0
10.0
70.0
Add: loss (gain) on disposal of stores
(2.6)
(7.9)
NM
(20.3)
(8.2)
NM
Add: investment loss (gain) (1)
27.9
(1.1)
NM
23.8
(30.2)
NM
Add: insurance reserves
1.4
—
NM
6.7
6.1
9.8
Add: asset impairment
5.8
—
NM
5.8
—
NM
Adjusted EBITDA
$ 364.1
$ 399.5
(8.9) %
$ 1,666.4
$ 1,528.2
9.0 %
NM - not meaningful
(1) Investment losses (gains) retrospectively included in adjusted non-GAAP financial measures presented
As of
%
December 31,
Increase
Net Debt to Adjusted EBITDA
2025
2024
(Decrease)
Floor plan notes payable
$ 5,008.9
$ 4,903.2
2.2 %
Used and service loaner vehicle inventory financing facility
1,043.0
975.3
6.9
Revolving lines of credit
1,570.8
1,633.2
(3.8)
Warehouse facilities
1,251.0
834.0
50.0
Non-recourse notes payable
2,473.9
2,109.3
17.3
4.625% Senior notes due 2027
400.0
400.0
—
3.875% Senior notes due 2029
800.0
800.0
—
5.500% Senior notes due 2030
600.0
—
—
4.375% Senior notes due 2031
550.0
550.0
—
Finance leases and other debt
1,152.1
1,085.9
6.1
Unamortized debt issuance costs
(27.8)
(25.1)
10.8
Total debt
$ 14,821.9
$ 13,265.7
11.7 %
Less: Inventory related debt
$ (6,051.9)
$ (5,878.5)
2.9 %
Less: Financing operations related debt
(3,724.9)
(2,943.3)
26.6
Less: Unrestricted cash and cash equivalents
(109.2)
(225.1)
(51.5)
Less: Marketable securities
(56.4)
(53.4)
5.6
Less: Availability on used vehicle and service loaner financing facilities
(15.4)
(23.3)
(33.9)
Net Debt
$ 4,864.1
$ 4,142.1
17.4 %
TTM Adjusted EBITDA
$ 1,666.4
$ 1,528.2
9.0 %
Net debt to Adjusted EBITDA
2.92 x
2.71 x
NM - not meaningful
SOURCE Lithia Motors, Inc.