Lithia Motors, Inc. · NYSE:LAD
Lithia Motors — Q3 2026 Earnings Presentation
25 slides from Lithia Motors's earnings presentation, Oct 21, 2026
Slide 1: Lithia & Driveway Investor Presentation
Lithia & Driveway Investor Presentation OCTOBER 2026
Slide 2: Disclosure: Forward-Looking Statements
NYSE: LAD Disclosure Forward-Looking Statements Certain statements in this presentation, and at times made by our officers and representatives, constitute forward-looking statements within the meaning of the “Safe Harbor” provisions of the Private Securities Litigation Reform Act of 1995. Generally,
Slide 3: Consistent Growth and Returns Over Time
NYSE: LAD Consistent Growth and Returns Over Time LAD’s unique strategy consistently delivers industry-leading earnings and shareholder returns. +356% Revenue Growth 16% 10-year CAGR +371% Adjusted EPS Growth 17% 10-year CAGR +524% EBITDA per share Growth 20% 10-year CAGR 3
Slide 4: Key Highlights
NYSE: LAD Key Highlights Broad Customer Ecosystem Operating Excellence Differentiated Model Regenerative Capital Engine Our omnichannel strategy is uniquely Our resilient and diversified model spans Our captive finance company, Driveway Our consistent free cash flow creates positioned as the world’s
Slide 5: Diversified, Dynamic, and Profitable Growth
NYSE: LAD THE LAD STRATEGY Diversified, Dynamic, and Profitable Growth Complementary growth engines compound into durable, multi-year EPS expansion. % Growth Mid-Term Long-Term 04 03 02 Long-term Target $2 EPS per $1B of Revenue 01 • Revenue: $75-100B • SG&A % GP: 55-60% • Op Margin: 5+% Time Horizo
Slide 6: Brand Network With Global Reach
NYSE: LAD 01 | BROAD CUSTOMER ECOSYSTEM Brand Network With Global Reach We’re increasing consumer optionality through class-leading scale and diverse geographies. Driveway Hub 0 100 205 mi ~220mi 59 471 170,000+ $1.6B Miles to Reach 95% of U.S. OEM Brands Stores Globally Retail Vehicles in Inventory
Slide 7: One company. Every offering.
NYSE: LAD 01 | BROAD CUSTOMER ECOSYSTEM One company. Every offering. LAD is the only operator covering every layer of the vehicle ownership lifecycle, which is the foundation for compounding customer experiences and capital-efficient growth. Lithia & Driveway Public Franchised Peers E-commerce Retai
Slide 8: Differentiated, Resilient Business Model
NYSE: LAD 02 | OPERATING EXCELLENCE Differentiated, Resilient Business Model Multiple earnings streams, broad spectrum of brands, and geographic mix power earnings growth. New Vehicles New vehicle sales anchor LAD's ecosystem and serve as the primary entry point into lifetime BUSINESS MIX New and Us
Slide 9: Improving Operating Efficiency
NYSE: LAD 02 | OPERATING EXCELLENCE Improving Operating Efficiency SG&A efficiency increases operating leverage and powers earnings growth. Increase Scale ADJUSTED SG&A AS A % OF GROSS PROFIT As LAD grows, we improve our margins through greater purchasing power, better fixed cost allocation, and gre
Slide 10: Strategic Design Provides Platform for Adjacencies
NYSE: LAD 03 | DIFFERENTIATED MODEL KEY Strategic Design Provides Platform for Adjacencies Verticals – Consumer Growth (REV) Horizontals – Consumer Synergies (EPS) Massive market opportunity exists in adjacent mobility sectors. 2019 2026 Mid-Term Long-Term The LAD Advantage Every adjacency is layere
Slide 11: Captive Finance Provides Consistent Earnings
NYSE: LAD 03 | DIFFERENTIATED MODEL Captive Finance Provides Consistent Earnings Driveway Finance Corporation (DFC) supports a high-quality portfolio with significant growth potential. $17B Top of Funnel High-quality Credit LAD’s 300+ US stores and Driveway e- Disciplined underwriting delivers an Fi
Slide 12: Regenerative Free Cash Flow Creates Opportunity
NYSE: LAD 04 | REGENERATIVE CAPITAL ENGINE Regenerative Free Cash Flow Creates Opportunity Best-in-class cash flow growth allows opportunistic capital allocation. LAD’s Capital Allocation Strategy TTM CAPITAL ALLOCATION1 Acquisitions Share repurchases Capex Cash dividends Acquisitive Growth 3% 3% 3%
Slide 13: Acquisition Opportunity in Largest Retail Industry
NYSE: LAD 04 | REGENERATIVE CAPITAL ENGINE Acquisition Opportunity in Largest Retail Industry LAD continues to consolidate auto retail through a strategic M&A strategy. LARGEST RETAIL INDUSTRY1 EXPANDING MARKET SHARE2 DISCIPLINED M&A ENGINE Total Available Market by Segment LAD US Market Share Acqui
Slide 14: Future Earnings Potential
NYSE: LAD THE LAD STRATEGY Future Earnings Potential By leveraging our platform, we are set up to achieve future EPS and revenue targets. Mid-Term Execution Targets % Growth Long-Term Execution Targets Regenerative Capital • Focus on share repurchases when undervalued • Investment grade balance shee
Slide 15: Appendix
NYSE: LAD Appendix
Slide 16: LAD Over the Years
NYSE: LAD LAD Over the Years The pragmatic disrupter with a proven multifaceted success strategy, uniquely and competitively leading the modernization of personal transportation solutions wherever, whenever, and however consumers desire. 1946 2012 2021 2023 Mid-Term Walt DeBoer founded Bryan DeBoer
Slide 17: Driveway.com
NYSE: LAD SUPPLEMENTAL INFORMATION Driveway.com Customers in North America purchased 44,000 vehicles Shop through our digital ecosystem in Q3 2026. Driveway.com’s ecosystem benefits create flywheel effects Sell/Trade as customers trade in and return to LAD for future purchases. Integrated with DFC,
Slide 18: 2026 Quarterly Income Statement
NYSE: LAD SUPPLEMENTAL INFORMATION 2026 Quarterly Income Statement $M YTD 2026 Q4 2026 Q3 2026 Q2 2026 Q1 2026 FY 2025 Q4 2025 Q3 2025 Q2 2025 Q1 2025 New vehicle $14,077.1 $4,868.6 $4,829.2 $4,379.4 $18,703.0 $4,626.7 $4,792.4 $4,703.5 $4,580.4 Used vehicle 10,647.8 3,630.1 3,528.3 3,489.4 13,371.6
Slide 19: 2026 Adjusted Non-GAAP Income Statement
NYSE: LAD SUPPLEMENTAL INFORMATION 2026 Adjusted Non-GAAP Income Statement YTD Net loss (gain) on disposal of Investment loss (gain) Insurance reserves Acquisition expenses Contract Tax attributes YTD 2026 stores Buyouts 2026 $M, except for per share As Reported Q2 Q3 Q1 Q2 Q3 Q2 Q3 Q1 Q2 Q1 Q1 Q2 Q
Slide 20: 2025 Adjusted Non-GAAP Income Statement
NYSE: LAD SUPPLEMENTAL INFORMATION 2025 Adjusted Non-GAAP Income Statement FY Net loss (gain) on disposal of Asset Investment loss (gain) Insurance reserves Acquisition expenses Tax attributes FY 2025 stores impairments 2025 $M, except for per share As Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
Slide 21: EBITDA, Adjusted EBITDA, and Net Debt
NYSE: LAD SUPPLEMENTAL INFORMATION EBITDA, Adjusted EBITDA, and Net Debt $M YTD 2026 FY’2025 FY’2024 FY’2023 FY’2022 FY’2021 Net Income 656.6 825.9 816.3 1,011.7 1,261.6 1,062.7 Add: Flooring interest expense 195.9 228.2 278.8 150.9 38.8 22.3 Add: Other interest expense 196.0 275.5 257.8 201.2 129.1
Slide 22: Segment and Brand Mix
NYSE: LAD SUPPLEMENTAL INFORMATION Segment and Brand Mix Brand Mix Segment Segment %4 Brand Brand Revenue Brand Unit Sales Honda 11% 15% Toyota 11% 12% Hyundai 6% 8% Import 42% Subaru 5% 6% Kia 3% 5% Volkswagen 2% 2% Other Imports 1,5 4% 6% BMW/MINI 8% 6% Audi 5% 5% Mercedes-Benz 5% 5% Porsche 4% 1%
Slide 23: Used Vehicle Mix
NYSE: LAD SUPPLEMENTAL INFORMATION Used Vehicle Mix Q3 2026 NORTH AMERICA SAME STORE METRICS Average Selling % Mix Price CPO 19% CPO $35,170 25% Core 2 $32,452 52% VALUE Used Vehicle Value Autos $15,778 23% 58% Market 36M units1 CORE 23% § LAD retails vehicles up to 20 years old § Value autos are hi
Slide 24: Aftersales Mix
NYSE: LAD SUPPLEMENTAL INFORMATION Aftersales Mix SAME STORE AFTERSALES REVENUE & GROSS PROFIT MIX SAME STORE AFTERSALES REVENUE MIX Q3 2026 2019 vs YTD 2026 4% 4% 6% 4% 5% 14% 14% 15% 26% 26% 26% 25% Collision center Collision center Parts wholesale Parts wholesale Warranty Warranty Customer Pay Cu
Slide 25: Thank You
NYSE: LAD Thank You