Asbury Automotive Group, Inc. - ABG STOCK NEWS

Asbury Automotive Group's Vice President and Chief DEI Officer, Wendy Reynolds-Dobbs, has been named a 2024 Automotive News Champion of Diversity. With 15 years of public company experience, Reynolds-Dobbs leads strategic initiatives in DEI, ESG, and organizational development at Asbury. She spearheads various programs including the HBCU Change initiative, DEI newsletter 'Mosaic,' and Asbury Center for Learning. The recognition comes as part of the fourth annual Champions of Diversity in Automotive program, which acknowledges individuals championing diversity, equity, and inclusion in the automotive industry.

Asbury Automotive Group (NYSE: ABG) reported Q3 2024 results with revenue of $4.2 billion, up 16% year-over-year. Net income was $126 million ($6.37 per diluted share), down 25% from $169 million in Q3 2023. Parts & Service showed strong performance with 16% gross profit growth. The company faced challenges from stop sale orders affecting nearly 1,200 new units and Hurricane Helene, impacting EPS by $0.39-$0.43. During Q3, Asbury repurchased approximately 394,000 shares for $89 million. The company maintained strong liquidity of $768 million and a transaction adjusted net leverage ratio of 2.9x.

Asbury Automotive Group (NYSE: ABG), a leading automotive retail and service company in the U.S., has announced the schedule for its third quarter 2024 financial results release. The company will unveil its results before the market opens on Tuesday, October 29, 2024. Following the release, Asbury will host a conference call at 10:00 a.m. Eastern Time on the same day.

Investors and interested parties can access the conference call through multiple channels:

• Live simulcast on the internet at https://investors.asburyauto.com
• 30-day replay available on the same website
• Live audio accessible to the public

Participants can join the call by dialing:
Domestic: (877) 407-2988
International: +1 (201) 389-0923
Passcode: 13749524

Callers are advised to enter the conference call five to ten minutes before the scheduled start time.

Asbury Automotive Group (NYSE: ABG) has filed a lawsuit challenging the constitutionality of an administrative proceeding initiated by the Federal Trade Commission (FTC). The lawsuit, filed on October 4, 2024, in the U.S. District Court for the Northern District of Texas, seeks to enjoin the FTC's proceeding against three Asbury dealerships in the Dallas-Ft. Worth area.

Asbury argues that the FTC's administrative process violates its constitutional rights by denying a jury trial and allowing the FTC to act as both prosecutor and judge. The company cites the recent Supreme Court decision in SEC v. Jarkesy, which reaffirmed a defendant's right to a jury trial in similar administrative proceedings.

The original FTC complaint, which Asbury rejected in August, alleged that the dealerships sold protection products to customers without their agreement. Asbury, a Fortune 500 company and one of the largest automotive retailers in the U.S., operates 153 new vehicle dealerships across 31 brands as of September 30, 2024.

Asbury Automotive Group (NYSE: ABG) has won a preliminary injunction against CDK Global in a lawsuit filed in Georgia. The court order directs CDK to transfer data for four Asbury dealerships to Tekion Corp., a competitor in Dealership Management System (DMS) services, as part of Asbury's pilot program. CDK had previously refused to transfer the data.

Barry Cohen, VP and CIO at Asbury, expressed satisfaction with the decision, stating it allows them to test products that improve the car-buying and servicing experience. Asbury, a Fortune 500 company, operates 153 new vehicle dealerships with 202 franchises across 31 brands. The company also runs Total Care Auto and 37 collision repair centers, offering a wide range of automotive products and services.

Asbury Automotive Group (NYSE: ABG) has rejected allegations by the Federal Trade Commission (FTC) against three of its Dallas-Ft. Worth area dealerships. The FTC claims these dealerships sold protection products without customer consent and discriminated against minorities. Asbury denies these accusations, stating that customers received full disclosure and signed for protection products. The company emphasizes its compliance procedures, including independent deal clerk reviews.

Asbury CEO David W. Hult affirmed the company's commitment to customer protection and service. The company plans to contest the FTC's lawsuit, confident in its practices and the absence of consumer complaints. Asbury also refutes claims of discrimination, highlighting its diverse workforce and commitment to fair lending practices. The company vows to defend its reputation and resist any coercion for fines or requirements that could negatively impact customer experience.

Kerrigan Advisors has represented Asbury Automotive Group (NYSE: ABG) in the sale of Nalley Chevrolet in Union City, Atlanta, to ALM Automotive Group. This marks Kerrigan Advisors' 276th dealership sold since inception and 70th franchise sold year-to-date. Asbury, one of the largest US auto retailers with $14.8 billion in revenue in 2023, continues to optimize its portfolio. The sale highlights strong buyer demand in the Southern region, particularly for Chevrolet, the top domestic brand. Atlanta's robust economy, growing 32% in five years, and Chevrolet's 13% sales growth in 2023 underscore the deal's attractiveness. Kerrigan Advisors' expertise in the buy/sell market and the Southern region played a important role in facilitating this transaction.

Asbury Automotive Group (NYSE: ABG) has been named one of America's Fastest-Growing Companies for 2024 by the Financial Times. The company achieved an impressive 114% Absolute Growth rate and a 28.88% Compound Growth rate, ranking 327th out of 500 companies with the strongest revenue growth.

The list, compiled by Statista, focuses on companies with the highest growth in publicly disclosed revenues between 2019 and 2022 in North and South America. Asbury's President and CEO, David Hult, attributed this recognition to the company's valuable team members and their dedication to providing exceptional guest experiences.

As one of the largest automotive retail and service companies in the U.S., Asbury's inclusion in this prestigious list highlights its significant and thoughtful growth in recent years.

Asbury Automotive Group (NYSE: ABG) reported record second quarter revenue of $4.2 billion, a 13% increase year-over-year. However, net income decreased 86% to $28 million ($1.39 per diluted share) compared to $196 million in Q2 2023. Adjusted net income fell 31% to $129 million ($6.40 per diluted share). The company's results were significantly impacted by a CDK Global cyber incident, estimated to have negatively affected earnings by $0.95 to $1.15 per diluted share. Despite challenges, Asbury achieved record parts & service revenue of $581 million and gross profit of $340 million. The company also repurchased approximately 193,000 shares for $43 million in Q2 and 592,000 shares for $130 million year-to-date through August 1, 2024.