Penske Automotive Group announced its third-quarter earnings on Wednesday, showing positive growth across almost all measurements.
The automotive and commercial truck retailer reported that revenue for the third quarter increased by 7% to $6.9 billion. Income from continuing operations before taxes decreased slightly by 2%, to $467.2 million, while income from continuing operations attributable to common stockholders decreased by 4% to $340.1 million.
Related earnings per share increased 3% compared to last year – from $4.46 to $4.61. Excluding the impact of foreign currency exchange, earnings per share increased by approximately 7%.
Penske Chair and CEO Roger Penske said the strong performance demonstrates the “benefits of the company’s diversification.”
“Demand for new vehicles remains strong in both automotive and truck retail operations,” he added. “In addition, same-store service and parts revenue increased 10% from retail automotive operations (excluding changes in foreign currency exchange) and increased 23% from commercial truck operations. Further, the contribution to earnings from our Penske Transportation Solutions investment increased 15%.”
The company reported an 8% increase in revenue for the first nine months of the year, reaching $20.8 billion. Penske’s Board of Directors has increased the quarterly dividend four times this year, from $.46 per share to $.57 per share.
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