Asbury Automotive reports Q3 loss, completes Tekion rollout and faces lower guidance
Asbury Automotive Group posted third‑quarter 2026 revenue of $4.4 billion, a decline of 8% year‑over‑year, and adjusted earnings per share of $6.16, missing consensus estimates. Net income fell 29% to $105 million. The company finished converting all dealerships to the Tekion cloud platform, a major technology initiative, while used‑vehicle retail volume rose 4.5% sequentially. Management highlighted a goal to bring SG&A down to the low‑60% of gross profit range and to reduce net leverage below 3 × by mid‑2027.
Why it matters
BofA Securities cut its price target to $232, citing expected SG&A improvements from the Tekion rollout. The lower earnings and revenue miss may pressure the stock, while the technology completion and leverage reduction plan could support future profitability.
Key facts
- 1Total company revenue was $4.4 billion stocktitan.net
- 2Adjusted EPS was $6.16 per diluted share investing.com
- 3Net income was $105 million, down 29% YoY tradingview.com
- 4The Tekion technology platform conversion was completed across all active stores in October stocktitan.net
- 5Used retail unit volume increased 4.5% sequentially stocktitan.net
- 6Adjusted SG&A was 67.4% of gross profit stocktitan.net
Summary written by AlphAI AI Desk from 11 of 11 sources. Not investment advice. Figures are as stated by the linked sources.