Asbury Automotive Group Inc · NYSE:ABG
Asbury Automotive — Q2 2025 Earnings Presentation
45 slides from Asbury Automotive's earnings presentation, Jul 29, 2025
Slide 1: Investor Relations Presentation 2025 Second Quarter
A B G | A s b u r y A u t o m o t i v e Investor Relations Presentation 2025 Second Quarter
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains "forward-looking inability to realize the benefits expected from franchise laws and tariffs; our ability to execute statements" within the meaning of the Private recently completed transactions; our inability our strategic and operational strateg
Slide 3: NYSE: ABG
Cy Herb Pak Pu wre Chambers gt-CE ic Au “&s» McDavid ao* 7 OM, NALEY * © KOONS A. LarryH Miller Dealerships _MIKE’SHAW, STEVINSONZ= CQURTESY Goggin GUESTS ESTES 4 L. ky ¢ é % : % £ % AUTOMOTIVE GROUP WE ARE ONE TEAM MEMBERS Have a fun, supportive and Be caring AUTOMOTIVE inclusive culture where team
Slide 4: Company values
Do What You Say You're Going to Do We hold ourselves and others accountable, act with integrity, communicate with transparency, and are thorough in our approach. Raise the Bar We drive towards excellence, demonstrate professionalism, exceed expectations, and anticipate the needs of our guests. Inves
Slide 5: Agenda: July 29, 2025
Agenda: July 29, 2025 01 Company Highlights ……………………………………………………………………………………………………………………………….…………………………………………….. Page 6 02 2Q25 Review ……………………………………………………………………………………………………………………………….…………………………………………….. Page 12 03 Growth Strategy ……………………………………………………………………………………………………………………………….……………………………………………..
Slide 6: Company Highlights
01 A B G | A s b u r y A u t o m o t i v e Company Highlights NYSE: ABG 6
Slide 7: Company Highlights: Asbury, Since 2019
Highlights 2Q25 Growth Appendix Company Highlights Asbury, Since 2019(1) $37.66 • 138% increase in revenue; +19% CAGR $32.60 $27.29 $27.24 • 188% increase in Adj EPS(2); +24% CAGR $17.2B • 73% increase in new car dealerships $15.4B $14.8B $12.90 $9.46 Adj EBITDA(2) Adj Op. Cash Flow(2) ($MM) ($MM) $
Slide 8: Company Profile
Highlights 2Q25 Growth Appendix Company Profile $17.3 BILLION Total Revenue (1) 3 31 ID MA 2 320,118 RI New and Used Vehicles Retailed(1) 9 9 9 17 UT MD MD CO 6 IN 14 2.46x MO VA Adjusted Net Leverage(2,3) 13 6 4 AZ NM 15 SC $1.1 BILLION GA Available Liquidity(2) 13 TX 24 $620 MILLION FL LTM Adjuste
Slide 9: Rebalancing our Portfolio Following Acquisition
Highlights 2Q25 Growth Appendix Rebalancing our Portfolio Following Acquisition A diversified portfolio with the right brands in the right markets (Based on New Vehicle Revenue — Pro Forma(1)) Pro Forma Brand Mix LUXURY DOMESTIC 30% 30% Asbury 2Q25(1) DOMESTIC LUXURY 27% IMPORTS 40% 35% DOMESTIC 10%
Slide 10: Asbury Brand Mix Recomposition Post Acquisition
Highlights 2Q25 Growth Appendix Asbury Brand Mix Recomposition Post Acquisition (Estimate based on New Vehicle Revenue — Pro Forma(1)) 18% 11% 12% 9% 8% 8% 8% 7% 5% 4% 4% 3% 2% 2% Other Luxury Other Import Luxury: 35% Import: 38% Domestic: 27% NYSE: ABG 10 (1) Proforma of 2Q25 Asbury results, net of
Slide 11: The Four Key Components
Highlights 2Q25 Growth Appendix 4% F&I, includes TCA 14% 23% Parts & Service The Four Used Key Components 30% New Diversified 47% business mix provides multiple profit streams 52% 9% (2Q25 YTD) 21% Revenue Gross Profit NYSE: ABG 11 May not add to 100% due to rounding
Slide 12: Second Quarter 25
02 A B G | A s b u r y A u t o m o t i v e Second Quarter 2025 NYSE: ABG 12
Slide 13: Summary
Highlights 2Q25 Growth Appendix Summary 2025 Year-Over-Year 2Q25 Revenue Total Company Same Store Total 3% 5% New Vehicle 6% 9% Used Vehicle Retail (3%) (1%) (1) Finance & Insurance(1) (5%) (4%) Parts & Service 4% 6% NYSE: ABG 13 (1) Includes Total Care Auto, or “TCA”.
Slide 14: Parts & Service
Highlights 2Q25 Growth Appendix Parts & Service Driving profitable growth 2Q25 Same Store Drivers(1) 7% Same Store Parts & Service Gross Profit Growth, YoY 11% 11% 6% 9% 19% Combined Customer Pay & Warranty 17% Collision 15% Wholesale Parts Warranty 7% 16% Customer Pay 66% 55% Customer Pay Warranty
Slide 15: Parts & Service: By Powertrain
Highlights 2Q25 Growth Appendix Parts & Service: By Powertrain 2Q25 Proportion of RO Count by Powertrain 2Q25 Dollars per RO by Powertrain ICE & Hybrid: 98% PHEV: 1% $851 $656 BEV: 1% $553 ICE & Hybrid PHEV BEV NYSE: ABG 15 Same store basis; may not add to 100% due to rounding
Slide 16: Parts & Service: Average Mileage Serviced
Highlights 2Q25 Growth Appendix Parts & Service: Average Mileage Serviced Extending relationships with our guests Average Vehicle Mileage in our Service Drives A key metric for the health of our service department, Customer Pay mileage, continues to trend upward Increased average mileage serviced le
Slide 17: F&I Profit Per Vehicle Retailed (PVR)
Highlights 2Q25 Growth Appendix F&I Profit Per Vehicle Retailed (PVR) Attractive insurance product offerings to support our guests Same Store F&I PVR Historical & Current F&I PVR Composition Ex-TCA Headwind PVR: $2,257 TCA deferral $161 headwind, YoY 1/3 2/3 $2,182 $2,096 Insurance Product Reserve T
Slide 18: Total Care Auto: Overview
Highlights 2Q25 Growth Appendix Total Care Auto: Overview Strategic, standalone asset with four decades of serving guests 1.6M+ A Rated $400M+ Vehicle Sold Active Contracts Increased from A- Investment & (Dealership) Post-Acquisition Cash Balance Service Drives F&I Vehicle Service Contracts Key & Re
Slide 19: Total Care Auto: Estimated Roadmap for Growth
Highlights 2Q25 Growth Appendix Total Care Auto: Estimated Roadmap for Growth Subject to change due to impact and/or duration of tariff policies FY26 through FY29 estimates under review pending full visibility into tariff impact Pre-Tax Estimates ($ in millions) 2024 1Q25 2Q25 2025 E 2026 E 2027 E 2
Slide 20: Operating Income & Margin Trend
Highlights 2Q25 Growth Appendix Operating Income & Margin Trend We consistently deliver best in class operating efficiency 8.1% 8.3% 7.3% Adj. Operating Margin 5.7% 5.8% 5.9% 5.8% 4.6% $1,274 $1,075 $997 Adj. Operating Income ($M) $793 $502 $496 $405 $334 2019 2020 2021 2022 2023 2024 2Q24 YTD 2Q25
Slide 21: Cash Flow Summary
Highlights 2Q25 Growth Appendix Cash Flow Summary As a larger company with more robust operating cash flow, we have increased capacity for capital deployment $44.15 $33.64 $34.40 Adj. Operating Cash $31.52 Flow per Share $987 $22.93 $893 $19.82 $14.63 $16.96 $705 $688 $632 $556 $563 $526 $443 $396 $
Slide 22: Leverage and Liquidity
Highlights 2Q25 Growth Appendix Leverage and Liquidity Robust cash flow providing opportunity for capital deployment — share repurchases and acquisitions Transaction Adjusted Net Leverage Ratio Total Liquidity ($M) 2.87x 2.85x $1,116 2.75x 2.70x $964 2.46x $828 $806 $768 2Q24 3Q24 4Q24 1Q25 2Q25 2Q2
Slide 23: Leverage Varies Based on Business Conditions & Environment
Highlights 2Q25 Growth Appendix Leverage Varies Based on Business Conditions & Environment Equilibrium leverage target range balances financial flexibility with an efficient capital structure 2.5x Normal Target Range 3.0x NET DEBT/EBITDA Factors Influencing Leverage Top ECONOMIC CYCLE Bottom High MA
Slide 24: Capital Allocation History
Highlights 2Q25 Growth Appendix Capital Allocation History We have a track record of prudent capital allocation 2014–2020 2021 2022 2023 2024 2025 YTD Acquisitions $3.1B Revenue Acquired $5.8B(2) Revenue Acquired N/A $2.7B (4) Revenue Acquired N/A $2.9B Revenue Acquired(5) ▪ Dealerships in ▪ LHM & T
Slide 25: Growth Strategy
03 A B G | A s b u r y A u t o m o t i v e Growth Strategy NYSE: ABG 25
Slide 26: Overview of Transaction
Highlights 2Q25 Growth Appendix Overview of Transaction Flagship Motor Cars Ford of Westborough INDIVIDUAL-OWNED business since 1985 16th largest private dealership group by revenue(1)(2) 33 new vehicle dealerships & 52 new vehicle franchises(3) Audi Brookline Lexus of Hingham Leading market share i
Slide 27: Herb Chambers Acquisition - Details
Highlights 2Q25 Growth Appendix Herb Chambers Acquisition - Details Transaction valued at ~$1.45B • $750M of Blue Sky plus ~$85 million for inventory and fixed assets • $610M in real estate & improvements Financed through combination of credit facility funding, proceeds from new mortgage facility an
Slide 28: Strategic Expansion into Attractive Auto Market
Highlights 2Q25 Growth Appendix Strategic Expansion into Attractive Auto Market Net Growth to Asbury : (1) 3 Expands footprint into +30 31 NEW CAR DEALERSHIPS ID MA 2 stable New England RI market 9 9 9 17 +44 MD UT 6 FRANCHISES CO IN 14 ~$20 BILLION MO VA Pro Forma Total Revenue(2) 13 6 +5 4 BRANDS
Slide 29: Delivering on Our Mission to Transform Our Business
Highlights 2Q25 Growth Appendix Delivering on Our Mission to Transform Our Business Smart growth strategy powering us to $30B+ in revenue Our Guiding Principles Fulfilling the Vision Meeting the Future Since starting our journey, we’ve: Affirming our commitment to growth: • Achieve scale through M&A
Slide 30: Capital Allocation
Highlights 2Q25 Growth Appendix Capital Allocation Acquisitions have played a vital part in growing the portfolio … And will continue to be a core element of our balanced approach to allocating capital End of 2019 July 28, 2025 Disciplined Pursuit of Capital Allocation ID MA RI Acquisitions in strat
Slide 31: Appendix
04 A B G | A s b u r y A u t o m o t i v e Appendix NYSE: ABG 31
Slide 32: Herb Chambers Acquisition Adjusted FY24 Results
Highlights 2Q25 Growth Appendix Herb Chambers Acquisition Adjusted FY24 Results* Herb Chambers Metrics ($ in millions) Adjusted FY24 Reconciling with Form 8-K/A Herb Chambers Dealerships column + Pro Forma Adjustments column Revenue $2,944.6 on page 4 in Exhibit 99.4 of Form 8-K/A Herb Chambers Deal
Slide 33: TCA: Simplified Accounting Example—Cash View
Highlights 2Q25 Growth Appendix TCA: Simplified Accounting Example—Cash View Example Fact Pattern • Customer Price of Insurance Contract: $2,500 • TCA Cost: • Contract Term: 5 Years o Overhead Costs: $250 • Dealership profit: $1,500 o Claims Reserve: $525 • Commission Paid to Sales Employee (~25% of
Slide 34: TCA: Simplified Accounting Example—GAAP View
Highlights 2Q25 Growth Appendix TCA: Simplified Accounting Example—GAAP View Math for 5 Year Life of Contract Example Fact Pattern Revenue $2,500 • Customer Price of Insurance Contract: $2,500 • TCA Cost: Claim Yr 3 ($525) • Contract Term: 5 Years o Overhead Costs: $250 Fixed Ops Gross Profit on Cla
Slide 35: Segment Reporting 2Q24 & 2Q25
Highlights 2Q25 Growth Appendix Segment Reporting 2Q24 & 2Q25 ($ in millions) Three Months Ended June 30, 2024 Three Months Ended June 30, 2025 TCA After Total TCA After Total Dealerships Eliminations Company Dealerships Eliminations Company Revenue New $ 2,164.9 $ - $ 2,164.9 $ 2,303.9 $ - $ 2,303.
Slide 36: Segment Reporting 2Q24 YTD & 2Q25 YTD
Highlights 2Q25 Growth Appendix Segment Reporting 2Q24 YTD & 2Q25 YTD ($ in millions) Six Months Ended June 30, 2024 Six Months Ended June 30, 2025 TCA After Total TCA After Total Dealerships Eliminations Company Dealerships Eliminations Company Revenue New $ 4,229.1 $ - $ 4,229.1 $ 4,442.0 $ - $ 4,
Slide 37: Online Growth: Parts & Service
Highlights 2Q25 Growth Appendix Online Growth: Parts & Service Technology enables productivity and transparency, driving higher $s per repair order 427K Online Service Appointments 102K 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 We believ
Slide 38: Debt Maturity Schedule
Highlights 2Q25 Growth Appendix Debt Maturity Schedule Our near-term obligations remain minimal with no significant maturities until 2026 ($ in Millions) Senior Notes Mortgages $800 $526 $600 $405 $445 $155 $36 $60 2025 2026 2027 2028 2029 2030 2031 2032 NYSE: ABG 38 Note: As of 6/30/2025; Excludes
Slide 39: Non-GAAP Financial Disclosure and Reconciliation
Non-GAAP Financial Disclosure and Reconciliation In addition to evaluating the financial condition and results unusual or non-recurring nature. Because these non-core, divestiture(s) is excluded from Transaction adjusted EBITDA. of our operations in accordance with GAAP, from time to time unusual or
Slide 40: Non-GAAP Reconciliation
Highlights 2Q25 Growth Appendix Non-GAAP Reconciliation Adjusted income from Operations and Adjusted Operating Margin For the Year Ended ($ In millions) For the Six Months Ended June 30, December 31, 2019 2020 2021 2022 2023 2024 2024 2025 Adjusted income from operations: Income from operations $ 32
Slide 41: Non-GAAP Reconciliation
Highlights 2Q25 Growth Appendix Non-GAAP Reconciliation Adjusted EBITDA For the Three Months For the Year Ended December 31, Ended June 30, ($ In millions) 2019 2020 2021 2022 2023 2024 2025 Adjusted EBITDA: Calculation of earnings before interest, taxes, depreciation and amortization ("EBITDA"): Ne
Slide 42: Non-GAAP Reconciliation
Highlights 2Q25 Growth Appendix Non-GAAP Reconciliation Adjusted Net Income and Adjusted EPS For the Year Ended For the Three Months December 31, Ended June 30, (In millions, except per share data) 2019 2020 2021 2022 2023 2024 2025 Adjusted net income: Net income $ 184.4 $ 254.4 $ 532.4 $ 997.3 $ 6
Slide 43: Non-GAAP Reconciliation
Highlights 2Q25 Growth Appendix ($ In millions) For the Twelve Months Ended June 30, September 30, December 31, March 31, June 30, 2024 2024 2024 2025 2025 Adjusted EBITDA: Calculation of earnings before interest, taxes, depreciation and amortization ("EBITDA"): Net Income $ 400.0 $ 357.1 $ 430.3 $
Slide 44: Non-GAAP Reconciliation
Highlights 2Q25 Growth Appendix Non-GAAP Reconciliation Adjusted Cash Flow from Operations, Adjusted Free Cash Flow and Adjusted Operating Cash Flow Per Share For the Twelve For the Year Ended For the Six Months Ended June 30, Months Ended (In millions, except per share data) December 31, June 30, 2
Slide 45: Thank You
Thank You investors.asburyauto.com NYSE: ABG 45
Asbury Automotive Group — Q2 2025 Earnings Presentation on 6ix