Stock Monitor: Carvana Post Earnings Reporting

LONDON, UK / ACCESSWIRE / March 15, 2018 / Active-Investors.com has just released a free earnings report on Penske Automotive Group, Inc. (NYSE: PAG) ("PAG"). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=PAG. PAG reported financial results on February 08, 2018, for the fourth quarter and full year ended December 31, 2017. The Company reported record performance in the fourth quarter of 2017 (Q4 FY17), driven by the US retail automotive operations, a robust commercial truck business, growing stand-alone used vehicle supercenter operations, and investment in Penske Truck Leasing. Register today and get access to over 1,000 Free Research Reports by joining our site below:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Penske Automotive Group most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

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Earnings Highlights and Summary

PAG's total revenues reached $5.4 billion for Q4 FY17, an increase of 10.44% from $4.89 billion in Q4 FY16, driven by solid US retail automotive operations and a robust commercial truck business. The reported revenue number surpassed analysts' consensus estimates of $5.24 billion.

During Q4 FY17, PAG's cost of sales was $4.59 billion compared to $4.16 billion in Q4 FY16, reflecting an increase of 10.32%. The Company's gross profit advanced 11.14% to $808.3 million in the reported quarter from $727.3 million in the year-ago corresponding quarter. The Company's selling, general, and administrative expenses (SG&A) jumped 11.57% to $646.2 million in Q4 FY17, up from $579.2 million in Q4 FY16. The Company generated an operating income of $137 million in Q4 FY17 compared to $125.2 million in Q4 FY16, reflecting an increase of 9.42%.

PAG's net income from continuing operations attributable to common shareholders for Q4 FY17 was $330.0 million, up 300% from $82.5 million in Q4 FY16. PAG's income per share also rose 296.91% to $3.85 per share in the quarter under review from $0.97 in the year-ago comparable quarter. The Company's reported income included income tax benefit of $243.4 million, or $2.84 per share, due to the enactment of the federal Tax Cuts and Jobs Act. The Company's adjusted income from continuing operations, excluding special items, was $86.6 million in Q4 FY17 compared to $77.4 million in Q4 FY16. PAG's adjusted income per share increased 10.99% to $1.01 in the quarter under review from $0.91 in the year-ago same quarter. The reported EPS exceeded analysts' consensus estimates of $1.00 per share.

For the year ending December 31, 2017, PAG's total revenues were $21.39 billion, an increase of 6.3% from $20.12 billion in FY16. The Company's income from continuing operations attributable to common shareholders was $613.5 million in the reported year, up 78.39% from $343.9 million in the previous year. The Company's income per share rose 78.95% to $7.14 in FY17 from $4.0 in FY16. Adjusted income per share for the full year 2017, excluding special items was $4.31, up 9.67% from $3.93 in FY16.

Penske Automotive Group's Segment Details

During Q4 2017, the Retail Automotive segment's net revenues were $4.94 billion compared to $4.55 billion in Q4 FY16, reflecting an increase of 8.58%. The same-store retail unit sales declined 2.7% to 106,522 units y-o-y, while retail unit sales went up 7% to 119,935 y-o-y in the quarter ending December 31, 2017. This segment's gross profit for the quarter ending December 31, 2017, increased 9.53% to $726.3 million from $663.1 million in the same period last year. The retail automotive segment's gross margin improved 0.1% to 14.7% in Q4 FY17 from 14.6% in Q4 FY16.

For Q4 FY17, the Retail Commercial Trucks segment's net revenues advanced 41.12% to $308.2 million on a y-o-y basis. In this quarter, the segment's gross profit increased 35.84% to $45.1 million from $33.2 million in Q4 FY16. However, this segment's gross margin dipped 0.6% to 14.6% in Q4 FY17 from 15.2% in Q4 FY16.

During Q4 FY17, the commercial vehicles Australia/power systems and others segment generated net revenues of $148 million, an increase of 25.42% from $118 million in previous year's corresponding quarter. This segment's gross profit was $36.9 million in Q4 FY17, up 19.03% from $31 million in Q4 FY16. This segment's gross margin declined 1.4% to 24.9% in the reported quarter from 26.3% in the year-ago same quarter.

Cash Matters

PAG had cash and cash equivalents of $45.7 million as on December 31, 2017, 90.42% higher than $24 million as on December 31, 2016. The Company's long-term debt as on December 31, 2017, was $2.09 billion, up 14.3% from $1.83 billion as on December 31, 2016.

For the twelve months ended December 31, 2017, PAG repurchased 302,000 shares at an average price of $41.95 per share, or a total of $12.7 million. The Company had the remaining share repurchase authorization of approximately $200.0 million by the end of FY17.

Stock Performance Snapshot

March 14, 2018 - At Wednesday's closing bell, Penske Automotive Group's stock marginally rose 0.04%, ending the trading session at $46.93.

Volume traded for the day: 398.09 thousand shares.

Stock performance in the previous six-month period ? up 5.98%

After yesterday's close, Penske Automotive Group's market cap was at $3.90 billion.

Price to Earnings (P/E) ratio was at 10.89.

The stock has a dividend yield of 2.77%.

The stock is part of the Services sector, categorized under the Auto Dealerships industry.

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