#United States #Penske Automotive #Bloomfield Hills #Transportation Services #NYSE: PAG

Penske Automotive Group Reports Strong Quarterly Results

BLOOMFIELD HILLS, Mich., July 30, 2025 — Penske Automotive Group, Inc. (NYSE: PAG), a leading international transportation services provider and prominent player in the automotive retail space, has recently unveiled its second-quarter results for 2025. The company has achieved noteworthy financial milestones, highlighting its resilience and growth strategy amid challenging market conditions.

Key Financial Highlights

In Q2 2025, Penske Automotive Group reported total revenue of $7.7 billion, which remained steady compared to the same period in 2024. Notably, the net income attributable to common stockholders witnessed a 4% increase to reach $250 million, up from $241.2 million year-over-year. Further emphasizing its robust financial performance, the earnings per share (EPS) grew by 5%, standing at $3.78 compared to $3.61 in the previous year.

Highlighting the effects of foreign currency exchange, Penske received a boost of $136.6 million in revenue, contributing to the overall financial growth. The gross profit for the quarter reached $1.3 billion, marking a 3% increase relative to the prior year.

Retail Performance Insights

Despite facing a 1% decline in same-store retail automotive revenue, Penske reported a 3% rise in same-store gross profit. This turnaround was primarily driven by an impressive 9% increase in service and parts revenue, which reflects the company's focus on enhancing customer service and satisfaction in the retail automotive sector.

The retail automotive segment observed a mixed performance, where new vehicle sales declined by 2%, while used vehicle sales were down by 1%. However, services in parts experienced a substantial growth rate, underlining Penske's strategic initiatives in maximizing earnings from services and maintenance, rather than solely from vehicle sales.

Commercial Truck Sales

Turning to commercial truck operations, Penske maintained a steady performance with retail unit sales increasing by 2%, even though it declined 4% on a same-store basis. The retail commercial truck revenue grew by 6%, indicating that the company continues to have a favorable position in the North American truck market, signaling strong operational capabilities.

Strategic Investments and Share Repurchase

During the first half of 2025, Penske also repurchased 885,272 shares, representing about 1.3% of its outstanding shares. This move indicates the company's proactive approach to enhancing shareholder returns while maintaining financial stability. The company currently holds $2.3 billion in liquidity, including $155 million in cash and substantial credit availability.

Penske Automotive has also made strategic investments, including the recent acquisition of a Ferrari dealership in Italy, projected to generate annual revenues of $40 million. This venture aligns with Penske's commitment to expanding its luxury and performance automobile offerings.

Future Outlook

Penske Automotive Group's Chair, Roger Penske, expressed confidence in the company's future, citing consistent year-over-year earnings growth alongside overall improvement in gross margin metrics. The diversification of revenue sources, along with the management’s focus on premium brands, equips Penske for sustained success even amidst the economic uncertainties that characterize the current market.

The company will hold a conference call on July 30, 2025, at 2:00 PM Eastern Daylight Time to further discuss the quarter's results. Interested parties can join the call via telephone or stream it live from Penske's website.

Conclusion

Penske Automotive Group's Q2 2025 results depict a resilient and adaptive organization maneuvering through a dynamic automotive landscape. Its focus on profitability through service expansions and prudent financial management sets a solid foundation for future growth as the company continues to flourish in domestic and international markets.

For more information, visit the Penske Automotive Group website.