$LAD

LITHIA MOTORS INC

CIK:0001023128|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Revenues
Total revenues	$ 9,791.3	$ 9,583.0	$ 19,062.7	$ 18,761.2
Cost of sales
Total cost of sales	8,293.9	8,097.9	16,143.6	15,865.8
Gross profit	1,497.4	1,485.1	2,919.1	2,895.4
Finance operations income	36.5	20.1	57.8	32.6
Selling, general and administrative	1,014.7	1,014.7	2,052.1	1,967.4
Depreciation and amortization	70.9	65.2	140.7	129.0
Operating profit	448.3	425.3	784.1	831.6
Floor plan interest expense	(69.7)	(55.0)	(125.6)	(112.0)
Other interest expense, net	(62.7)	(66.7)	(132.9)	(132.2)
Other income (expense), net	36.2	48.5	(31.5)	49.3
Income before income taxes	352.1	352.1	494.1	636.7
Income tax provision	(90.5)	(93.9)	(130.4)	(167.3)
Net income	261.6	258.2	363.7	469.4
Net income attributable to non-controlling interest	(1.6)	(2.1)	(3.3)	(3.8)
Net income attributable to Lithia Motors, Inc.	$ 260.0	$ 256.1	$ 360.4	$ 465.6
Basic earnings per share attributable to Lithia Motors, Inc. common stockholders (in dollars per share)	$ 11.56	$ 9.89	$ 15.71	$ 17.83
Shares used in basic per share calculations (in shares)	22.5	25.9	22.9	26.1
Diluted earnings per share attributable to Lithia Motors, Inc. common stockholders (in dollars per share)	$ 11.54	$ 9.87	$ 15.68	$ 17.80
Shares used in diluted per share calculations (in shares)	22.5	25.9	23.0	26.2
Cash dividends paid per share (in dollars per share)	$ 0.57	$ 0.55	$ 1.12	$ 1.08
New vehicle
Revenues
Total revenues	$ 4,829.2	$ 4,703.5	$ 9,208.6	$ 9,283.9
Cost of sales
Total cost of sales	4,545.2	4,390.1	8,665.0	8,677.1
Used vehicles
Revenues
Total revenues	3,528.3	3,478.3	7,017.7	6,728.8
Cost of sales
Total cost of sales	3,314.3	3,273.0	6,616.0	6,334.8
Finance and insurance
Revenues
Total revenues	366.4	373.8	726.1	738.1
Aftersales
Revenues
Total revenues	1,067.4	1,027.4	2,110.3	2,010.4
Cost of sales
Total cost of sales	$ 434.4	$ 434.8	$ 862.6	$ 853.9

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net income	$ 363.7	$ 469.4
Adjustments to reconcile net income to net cash (used in) provided by operating activities:
Depreciation and amortization	174.7	158.1
Stock-based compensation	23.8	31.1
Net loss on disposal of other assets	4.5	2.6
Net gain on disposal of stores	(15.1)	(2.3)
Unrealized investment loss (gain), net	38.2	(31.4)
Deferred income taxes	51.4	62.5
Amortization of operating lease right-of-use assets	49.1	46.1
Decrease (increase) (net of acquisitions and dispositions):
Accounts receivable, net	25.9	36.0
Inventories	(433.8)	(19.7)
Finance receivables	(534.5)	(432.1)
Other assets	(82.8)	(99.6)
Increase (decrease) (net of acquisitions and dispositions):
Floor plan notes payable	12.6	26.4
Trade payables	139.2	25.9
Accrued liabilities	(5.8)	11.5
Other long-term liabilities and deferred revenue	14.8	46.9
Net cash (used in) provided by operating activities	(174.1)	331.4
Cash flows from investing activities:
Principal payments received on notes receivable	13.8	0.0
Capital expenditures	(153.4)	(148.8)
Proceeds from sales of assets	11.7	17.9
Net cash used for other investments	(23.2)	(10.4)
Cash paid for acquisitions, net of cash acquired	(221.7)	(278.6)
Proceeds from sales of stores	21.0	104.4
Net cash used in investing activities	(351.8)	(315.5)
Cash flows from financing activities:
Borrowings (repayments) on floor plan notes payable, net: non-trade	1,409.2	(141.2)
Borrowings on lines of credit	6,167.6	7,406.0
Repayments on lines of credit	(6,667.6)	(6,818.4)
Principal payments on long-term debt and finance lease liabilities, scheduled	(24.6)	(20.0)
Principal payments on long-term debt and finance lease liabilities, other	(43.7)	(15.4)
Principal payments on non-recourse notes payable	(790.3)	(631.4)
Proceeds from issuance of non-recourse notes payable	1,057.7	564.0
Payment of debt issuance costs	(4.2)	(2.6)
Proceeds from issuance of common stock	14.0	13.6
Repurchase of common stock	(534.0)	(263.3)
Dividends paid	(25.7)	(28.2)
Payment of contingent consideration related to acquisitions	0.0	(9.3)
Other financing activity	(3.3)	(67.3)
Net cash provided by (used in) financing activities	555.1	(13.5)
Effect of exchange rate changes on cash, restricted cash, and cash equivalents	(3.3)	7.4
Increase in cash, restricted cash, and cash equivalents	25.9	9.8
Cash, restricted cash, and cash equivalents at beginning of year	391.3	445.8
Cash, restricted cash, and cash equivalents at end of period	417.2	455.6
Reconciliation of cash, restricted cash, and cash equivalents to the consolidated balance sheets
Cash and cash equivalents	110.3	202.8
Restricted cash from collections on auto loans receivable and customer deposits	253.6	201.6
Cash, restricted cash, and cash equivalents	363.9	404.4
Restricted cash on deposit in reserve accounts, included in other non-current assets	53.3	51.2
Total cash, restricted cash, and cash equivalents reported in the Consolidated Statements of Cash Flows	417.2	455.6
Supplemental cash flow information:
Cash paid during the period for interest	371.6	351.2
Cash paid during the period for income taxes, net	67.9	66.8
Debt paid in connection with store disposals	4.6	10.2
Non-cash activities:
Debt assumed in connection with acquisitions	12.1	0.0
Acquisition of finance leases in connection with acquisitions	23.3	0.0
Right-of-use assets obtained in exchange for lease liabilities	50.6	27.7
Unsettled repurchases of common stock and excise taxes	10.0	2.6
Debt issued in connection with acquisitions	$ 18.7	$ 0.0

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash, restricted cash, and cash equivalents	$ 363.9	$ 341.8
Accounts receivable, net of allowance for doubtful accounts of $5.7 and $6.9	1,124.9	1,134.1
Inventories, net	6,516.8	6,119.6
Other current assets	267.7	262.5
Total current assets	8,273.3	7,858.0
Property and equipment, net of accumulated depreciation of $1,094.9 and $1,004.9	5,031.6	4,936.0
Operating lease right-of-use assets	710.3	717.2
Finance receivables, net of allowance for credit losses of $153.4 and $143.7	5,281.6	4,755.1
Goodwill	2,538.8	2,476.7
Franchise value	2,781.7	2,777.4
Other non-current assets	1,628.5	1,586.8
Total assets	26,245.8	25,107.2
Current liabilities:
Floor plan notes payable	1,986.2	1,992.6
Floor plan notes payable: non-trade	4,401.2	3,016.3
Trade payables	486.9	339.5
Accrued liabilities	1,229.1	1,214.4
Total current liabilities	8,248.9	6,696.7
Deferred revenue	482.0	452.7
Deferred income taxes	566.6	516.3
Non-current operating lease liabilities	650.6	662.1
Other long-term liabilities	490.5	471.9
Total liabilities	19,818.4	18,478.8
Equity:
Preferred stock - no par value; authorized 15.0 shares; none outstanding	0.0	0.0
Common stock - no par value; authorized 125.0 shares; issued and outstanding 22.0 and 23.5	0.0	0.0
Additional paid-in capital	0.0	18.1
Accumulated other comprehensive income	37.8	67.3
Retained earnings	6,364.3	6,517.8
Total stockholders’ equity - Lithia Motors, Inc.	6,402.1	6,603.2
Non-controlling interest	25.3	25.2
Total equity	6,427.4	6,628.4
Total liabilities and equity	26,245.8	25,107.2
Long-term debt
Current liabilities:
Current maturities of debt	93.0	64.2
Debt, less current maturities	6,690.9	7,274.9
Non-recourse notes payable
Current liabilities:
Current maturities of debt	52.5	69.7
Debt, less current maturities	$ 2,688.9	$ 2,404.2