Lithia Mtrs Inc Stock Price, News & Analysis

Lithia Motors (NYSE: LAD) has acquired two Mercedes-Benz dealerships from the Higginbotham family - Mercedes-Benz of Jackson in Mississippi and Mercedes-Benz of Collierville in suburban Memphis, Tennessee, including their associated real estate. The deal, finalized on June 2, was facilitated by The Presidio Group. This marks Lithia's fifth transaction through Presidio, with total revenue acquired through these deals exceeding $4 billion. The acquisition strengthens Lithia's Southeast presence and luxury market footprint, adding to their existing operations in both states. The dealerships were previously owned by the Higginbotham family, led by Trudy Higginbotham Moody, who was Mississippi's recent TIME Dealer of the Year nominee. The family's automotive legacy dates back to 1976 when Dennis Higginbotham founded his first dealership.

Lithia & Driveway (LAD) has announced the acquisition of two Mercedes-Benz dealerships in Collierville, TN and Jackson, MS, marking its first Mercedes-Benz presence in the Southeast region. The acquisition is expected to contribute $220 million in annualized revenue, bringing LAD's total year-to-date acquired revenue to $400 million. The company financed the purchase using existing balance sheet capacity. Additionally, LAD provided an update on its share repurchase program, revealing it has invested $230 million to repurchase approximately 729,000 shares at an average price of $315 per share, representing 2.8% of outstanding shares. The company still has $589 million available under its current repurchase authorization and maintains a balanced approach between acquisitions and share repurchases.

Pinewood.AI has agreed to acquire Lithia's 51% stake in their North American joint venture for $76.5M, paid through 14.56M new Pinewood.AI shares, valuing the venture at $150M. The deal gives Pinewood.AI full control of its North American platform and includes a 5-year contract to implement their Automotive Intelligence platform across all Lithia's US and Canada dealerships by 2028. Pinewood.AI expects to generate $40M in annual recurring revenue post-rollout, potentially reaching $60M with additional features. The acquisition simplifies Pinewood.AI's structure and enables full revenue consolidation. Lithia will remain a minority shareholder and key customer, with the platform rollout starting with pilot US stores in H2 2025 and full implementation beginning in 2026.

Lithia & Driveway (LAD) has climbed to position #124 on the 2025 Fortune 500 list, advancing 16 spots from its #140 ranking in 2024. The company has maintained its position as the world's largest automotive retailer, leading the Automotive Retail category for the second consecutive year. LAD's remarkable growth journey is evidenced by its revenue increase from $7.9 billion when it first appeared on the Fortune 500 at #482 in 2015, to $36.2 billion in 2024. CEO Bryan DeBoer attributes this success to their long-term growth strategy, disciplined business model execution, and commitment to operational excellence. The company's expansion has been fueled by a combination of organic growth, strategic acquisitions, digital innovation, and an expanding dealership network.

Lithia & Driveway (NYSE: LAD) executives Tina Miller (CFO) and Dianna du Preez (CCO) have been named among the 100 Leading Women in the North American Auto Industry by Automotive News. The 2025 recognition follows a rigorous nomination and judging process across the US, Canada, and Mexico.

Miller, serving as CFO since 2019, has been crucial in achieving sector-leading growth, launching the company's captive finance company (DFC), and promoting workplace diversity. This marks her second appearance on the list. Du Preez, as the company's first Chief Customer Officer, leads Driveway (online retail vertical), Marketing, Aftersales Strategy, and Customer Ecosystem Initiatives, bringing over 30 years of automotive industry experience.

Lithia & Driveway (LAD) reported record first quarter 2025 results with revenue increasing 7% to $9.2 billion from $8.6 billion in Q1 2024. The company achieved a 35% increase in diluted earnings per share to $7.94, while adjusted diluted EPS rose 25% to $7.66.

Net income grew 28% to $211 million, with adjusted net income up 20% to $204 million. Key highlights include a 3.6% increase in new retail units on a same-store basis, improved used retail performance, and 7.5% growth in aftersales gross profit. Driveway Finance originated $623 million in loans.

LAD expanded its network with two Subaru store acquisitions in Virginia and California, adding $180 million in expected annualized revenue. The company increased its quarterly dividend by 4% to $0.55 per share and repurchased approximately 403,000 shares at an average price of $326.

Lithia & Driveway (NYSE: LAD) announced that Executive Vice President and Chief Operating Officer Adam Chamberlain will transition from his role effective June 1, 2025 to become CEO of Mercedes-Benz USA. CEO Bryan DeBoer acknowledged Chamberlain's contributions in strengthening operations, driving growth, and advancing company strategy.

Following this transition, LAD's Regional Presidents and Regional Vice Presidents will report directly to CEO Bryan DeBoer. The company emphasized its 'Growth Powered by People' mission and expressed confidence in its operational leadership team to maintain high velocity and continue executing company strategy.

Lithia & Driveway (LAD) has announced the schedule for its first quarter 2025 financial results release. The earnings report will be published before market opening on Wednesday, April 23, 2025, followed by a conference call at 10:00 a.m. Eastern Time on the same day to discuss the results.

Investors and interested parties can participate in the conference call by dialing (877) 407-8029. Additionally, a live webcast and replay of the earnings call will be available on the company's investor relations website at investors.lithiadriveway.com under the quarterly earnings section.

Lithia & Driveway (LAD) has announced two significant developments: a strategic acquisition and an increase in share repurchase authorization. The company acquired Elk Grove Subaru in California, expanding its Sacramento presence and Southwest regional network. This acquisition is expected to add $100 million in annual revenue, bringing LAD's total year-to-date acquired annualized revenue to $180 million.

Additionally, LAD's Board of Directors approved a $350 million increase to its share repurchase authorization, resulting in approximately $748 million available for future repurchases. The company has already invested $71 million this year to repurchase over 197,500 shares at a weighted average price of $361 per share, representing 0.75% of outstanding shares.