Group 1 Automotive Board Approves New Share Repurchase Authorization & Declares Quarterly Dividend

Rhea-AI Summary

Group 1 Automotive (NYSE: GPI) on Nov 11, 2025 approved a new $500 million common share repurchase authorization and declared a quarterly dividend of $0.50 per share payable Dec 15, 2025 to holders of record on Dec 1, 2025.

Year-to-date 2025 the company repurchased 1,038,797 shares (about 8% of outstanding shares at Jan 1, 2025) at an average price of $417.38 for a total of $434 million. The company expects repurchases to be funded by cash from operations, and repurchased shares will be held in treasury. The dividend reflects a 6% annualized increase from $1.88 in 2024 to $2.00 in 2025.

Positive

• $500M new share repurchase authorization
• Year-to-date repurchases: 1,038,797 shares (~8% of shares at 1/1/25)
• Total repurchases YTD: $434M
• Annualized dividend increased 6% to $2.00 in 2025

Negative

• Repurchases expected to be funded by cash from operations, reducing available operating cash
• Company already spent $434M on repurchases YTD, a large cash outlay

Insights

Capital allocation analyst

Board authorized $500 million buyback and declared a $0.50 quarterly dividend payable Dec 15, 2025.

Group 1 Automotive increased its common share repurchase authorization to $500 million after repurchasing 1,038,797 shares year-to-date 2025, roughly 8% of outstanding shares as of Jan 1, 2025, at an average price of $417.38 per share for a total of $434 million. The company states repurchases will be funded by cash from operations and repurchased shares will be held in treasury; the board also declared a quarterly dividend of $0.50 per share payable Dec 15, 2025 to holders of record on Dec 1, 2025.

The actions show a clear allocation of free cash toward shareholder returns through buybacks and recurring dividends; this directly reduces outstanding shares and returns cash to holders while retaining flexibility by executing repurchases "from time to time". Key dependencies and risks include the company\'s ability to continue funding repurchases from operating cash flow and the timing of open-market purchases versus privately negotiated transactions. Watch the pace of future buybacks relative to the remaining authorization, any updates on actual repurchase timing or funding source, and quarterly cash flow disclosures over the next 12 months for evidence these measures are sustained.

HOUSTON, Nov. 11, 2025 /PRNewswire/ -- Group 1 Automotive, Inc.(NYSE: GPI) ("Group 1" or the "Company"), a Fortune 250 automotive retailer with 259 dealerships located in the U.S. and U.K., today announced its board of directors approved a new share repurchase authorization of $500 million, and also declared a quarterly dividend.   

• Share Repurchase Authorization Increase
  The Company announced that its board of directors increased the Company's common share repurchase authorization by $457 million to $500 million.  Year-to-date 2025, the Company repurchased 1,038,797 shares representing approximately 8% of the Company's outstanding common shares at January 1, 2025, at an average price per common share of $417.38, for a total of $434 million.  Purchases may be made from time to time, based on market conditions, legal requirements, and other corporate considerations, in the open market or in privately negotiated transactions.  The Company expects that any repurchase of shares will be funded by cash from operations.  Repurchased shares will be held in treasury.
  
  
• Quarterly Dividend
  Group 1's board of directors also declared a $0.50 dividend per share that will be payable on December 15, 2025, to stockholders of record as of December 1, 2025.  The dividend is consistent with the Company's previously announced increase of 6% in its annualized dividend rate from $1.88 per share in 2024 to $2.00 per share in 2025. 

ABOUT GROUP 1 AUTOMOTIVE, INC.
Group 1 owns and operates 259 automotive dealerships, 324 franchises, and 35 collision centers in the United States and the United Kingdom that offer 36 brands of automobiles. Through its dealerships and omni-channel platform, the Company sells new and used cars and light trucks; arranges related vehicle financing; sells service and insurance contracts; provides automotive maintenance and repair services; and sells vehicle parts.
Group 1 discloses additional information about the Company, its business, and its results of operations at www.group1corp.com, www.group1auto.com, www.group1collision.com, www.acceleride.com, and www.facebook.com/group1auto .

 FORWARD-LOOKING STATEMENTS
All statements in this press release related to future, not past, events are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on our current expectations and assumptions regarding our business, the economy and other future conditions. While management believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting us will be those that we anticipate. Any such forward-looking statements are not assurances of future performance and involve risks and uncertainties that may cause actual results to differ materially from those set forth in the statements. For additional information regarding known material factors that could cause our actual results to differ from our projected results, please see our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise.

Investor contacts:
Terry Bratton
Manager, Investor Relations
Group 1 Automotive, Inc.
ir@group1auto.com

Media contacts:
Pete DeLongchamps
Senior Vice President, Financial Services and Manufacturer Relations
Group 1 Automotive, Inc.
pdelongchamps@group1auto.com

Kimberly Barta
Head of Marketing and Communications
Group 1 Automotive, Inc.
kbarta@group1auto.com 

or

Jude Gorman / Clayton Erwin
Collected Strategies
Group1-CS@collectedstrategies.com

View original content:https://www.prnewswire.com/news-releases/group-1-automotive-board-approves-new-share-repurchase-authorization--declares-quarterly-dividend-302612247.html

SOURCE Group 1 Automotive, Inc.

FAQ

What did Group 1 Automotive (GPI) announce on Nov 11, 2025 about share repurchases?

The board approved a new $500 million common share repurchase authorization.

How many shares has GPI repurchased in 2025 and what percent of shares did that represent?

Year-to-date 2025 Group 1 repurchased 1,038,797 shares, about 8% of outstanding shares at Jan 1, 2025.

What dividend did Group 1 Automotive (GPI) declare on Nov 11, 2025 and when is it payable?

The board declared a quarterly dividend of $0.50 per share, payable Dec 15, 2025 to holders of record on Dec 1, 2025.

How much has Group 1 spent on repurchases in 2025 and at what average price?

Group 1 spent $434 million in 2025 repurchases at an average price of $417.38 per share.

How will Group 1 fund the new share repurchase program announced Nov 11, 2025?

The company expects repurchases to be funded by cash from operations.