Overview

* Penske AutomotiveQ2 revenue flat at $7.7 bln, missing analyst expectations

* Net income rises 4% to $250 mln, EPS up 5% to $3.78

* Co repurchased 630,000 shares, acquired Ferrari dealership in Italy

Result Drivers

* SERVICE & PARTS - Record retail automotive service and parts revenue increased 8%, with related gross profit up 9%

* GROSS MARGIN - Overall gross margin improved by 50 basis points, contributing to earnings growth

* FOREIGN EXCHANGE - Positive impact from foreign currency exchange added $136.6 mln to revenue

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Miss $7.66 $7.93

Revenue bln bln (7

Analysts

)

Q2 EPS $3.78

Q2 Net $250.90

Income mln

Q2 Gross $1.30

Profit bln

Q2 $348.20

Operatin mln

g Income

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 4 "hold" and 2 "sell" or "strong sell"

* The average consensus recommendation for the auto vehicles, parts & service retailers peer group is "buy."

* Wall Street's median 12-month price target for Penske Automotive Group Inc ( PAG ) is $175.00, about 4% above its July 29 closing price of $168.01

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)