Asbury Automotive Group Inc (ABG) 2024 Q2 法說會逐字稿

Greetings, and welcome to the Asbury Automotive Group second quarter 2024 earnings conference call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. (Operator Instructions) As a reminder, this conference is being recorded.

您好，歡迎參加阿斯伯里汽車集團 2024 年第二季財報電話會議。此時，所有參與者都處於只聽模式。正式演講後將舉行簡短的問答環節。（操作員指示）謹此提醒，本次會議正在錄製中。

It is now my pleasure to introduce your host, Chris Reeves, Vice President of Finance and Investor Relations. Thank you, sir. You may begin.

現在我很高興向您介紹主持人，財務和投資者關係副總裁克里斯·里夫斯(Chris Reeves)。謝謝您，先生。你可以開始了。

Thanks, operator, and good morning. As noted, today's call is being recorded and will be available for replay later this afternoon. Welcome to Asbury Automotive Group's second quarter 2024 earnings call. The press release detailing Asbury's second quarter results was issued earlier this morning and is posted on our website at investors.asburyauto.com.

謝謝接線員，早安。如前所述，今天的通話正在進行錄音，並將於今天下午晚些時候重播。歡迎參加阿斯伯里汽車集團 2024 年第二季財報電話會議。詳細介紹阿斯伯里第二季業績的新聞稿於今天早上早些時候發布，並發佈在我們的網站 Investors.asburyauto.com 上。

Participating with me today are David Hult, our President and Chief Executive Officer; Dan Clara, our Senior Vice President of Operations; and Michael Welch, our Senior Vice President and Chief Financial Officer. At the conclusion of our remarks, we will open up the call for questions, and we'll be available later for any follow-up questions.

今天與我一起參加的有我們的總裁兼執行長 David Hult； Dan Clara，我們的營運資深副總裁；以及我們的高級副總裁兼財務長邁克爾·韋爾奇。在我們的演講結束時，我們將開放提問，稍後我們將回答任何後續問題。

Before we begin, we must remind you that the discussion during the call today is likely to contain forward-looking statements. Forward-looking statements are statements other than those which are historical in nature, which may include financial projections, forecasts, and current expectations, each of which are subject to significant uncertainties.

在開始之前，我們必須提醒您，今天電話會議的討論可能包含前瞻性陳述。前瞻性陳述是除歷史性陳述之外的陳述，其中可能包括財務預測、預測和當前預期，其中每一項都受到重大不確定性的影響。

For information regarding certain of the risks that may cause actual results to differ materially from these statements, please see our filings with the SEC from time to time, including our Form 10-K for the year ended December 2023, any subsequently filed quarterly reports on Form 10-Q, and our earnings release issued earlier today. We expressly disclaim any responsibility to update forward-looking statements.

有關可能導致實際結果與這些聲明存在重大差異的某些風險的信息，請參閱我們不時向 SEC 提交的文件，包括截至 2023 年 12 月的年度 10-K 表格以及隨後提交的任何季度報告10-Q表格以及我們今天早些時候發布的收益報告。我們明確表示不承擔更新前瞻性陳述的任何責任。

In addition, certain non-GAAP financial measures, as defined under SEC rules may be discussed on this call. As required by applicable SEC rules, we provide reconciliations of any such non-GAAP financial measures to the most directly comparable GAAP measures on our website. We have also posted an updated investor presentation on our website, investors.asburyauto.com, highlighting our second quarter results.

此外，本次電話會議可能會討論根據 SEC 規則定義的某些非 GAAP 財務指標。根據適用的 SEC 規則的要求，我們在我們的網站上提供任何此類非 GAAP 財務指標與最直接可比較的 GAAP 指標的調整表。我們也在我們的網站 Investors.asburyauto.com 上發布了更新的投資者演示文稿，重點介紹了我們第二季度的業績。

It is my pleasure to now hand the call over to our CEO, David Hult. David?

我很高興現在將電話轉交給我們的執行長 David Hult。大衛？

Thank you, Chris. Good morning, everyone. Welcome to our second quarter earnings call. I want to start by thanking our team members and our OEM and banking partners for their efforts to ensure we continued to deliver the highest possible guest experience through the challenges associated with the CDK outage. Their resourcefulness and dedication helped to ensure all store locations continued to sell and service vehicles, although certain levels of speed and efficiency were certainly impacted.

謝謝你，克里斯。大家早安。歡迎參加我們的第二季財報電話會議。首先，我要感謝我們的團隊成員以及我們的 OEM 和銀行合作夥伴所做的努力，以確保我們能夠克服與 CDK 中斷相關的挑戰，並繼續提供盡可能高的賓客體驗。他們的足智多謀和奉獻精神幫助確保所有商店地點繼續銷售和維修車輛，儘管一定程度的速度和效率肯定受到了影響。

Beginning on June 19, the outage affected all Asbury stores with the exception of our Koons stores, which utilize a different dealer management system. We received initial access to the DMS on July 1. However, all functions of CDK were not fully restored for us until July 8 with other plug-ins and bolt-on applications coming back online in the weeks thereafter.

從 6 月 19 日開始，停電影響了所有 Asbury 商店，但我們的 Koons 商店除外，該商店使用不同的經銷商管理系統。我們於 7 月 1 日首次獲得了 DMS 的存取權限。然而，直到 7 月 8 日，CDK 的所有功能才完全恢復，其他插件和附加應用程式將在幾週後恢復上線。

Once CDK services were restored, team members across the country worked tirelessly to recreate transactional activity that occurred during the outage back into the DMS. Due to the length of the disruption, the recovery process took approximately 12 days. To give you a sense of scale, just within our parts and service business almost 100,000 repair orders were recreated into CDK.

CDK 服務恢復後，全國各地的團隊成員不知疲倦地工作，將中斷期間發生的事務活動重新恢復到 DMS 中。由於中斷時間較長，恢復過程大約需要 12 天。為了讓您了解規模，僅在我們的零件和服務業務中，就有近 100,000 個維修訂單被重新建立到 CDK 中。

For several years, we've talked about our disciplined investments in technology designed to create a guest experience that is both more transparent and quicker. We designed the Showroom app and our Clicklane tool to facilitate in-person transactions that may have started online.

多年來，我們一直在談論我們對科技的嚴格投資，旨在創造更透明、更快捷的賓客體驗。我們設計了 Showroom 應用程式和 Clicklane 工具，以促進可能在線上開始的面對面交易。

During the outage, this application served as the primary way for us to facilitate the sale of vehicles since Clicklane functionality was not impacted by CDK. Tools such as these, combined with the dedication of our team members and partners, helped to mitigate the impact of our financial performance from the CDK incident.

在中斷期間，該應用程式是我們促進車輛銷售的主要方式，因為 Clicklane 功能並未受到 CDK 的影響。諸如此類的工具，加上我們的團隊成員和合作夥伴的奉獻精神，有助於減輕 CDK 事件對我們財務表現的影響。

For the quarter, we estimate this impact to be between $0.95 and $1.15 in diluted earnings per share from a combination of fewer new and used vehicle sales, which also impacted our F&I business, a reduction in parts and service volumes and certain one-time expenses related to our recovery efforts. The likelihood of recovering some portion of this through insurance or other recoveries is difficult to predict and is therefore not included in the previously mentioned estimate. Additionally, any recoveries we do receive may not occur for several quarters or longer.

對於本季度，我們估計，由於新車和二手車銷量減少，稀釋每股收益的影響將在0.95 美元至1.15 美元之間，這也影響了我們的F&I 業務、零件和服務數量的減少以及某些一次性費用與我們的恢復工作有關。透過保險或其他追償方式追回部分損失的可能性很難預測，因此不包括在前面提到的估計中。此外，我們確實收到的任何恢復可能需要幾個季度或更長時間才能實現。

I'd now like to turn our focus to the performance of our business, excluding the impact of the outage. Through the hard work of our team members, we delivered record second quarter total revenue and record second quarter parts and service revenue with $581 million and gross profit of $340 million.

我現在想將重點轉向我們的業務績效，排除中斷的影響。透過我們團隊成員的辛勤工作，我們實現了創紀錄的第二季度總收入以及創紀錄的第二季度零件和服務收入，達到 5.81 億美元，毛利達到 3.4 億美元。

Our used vehicles were pacing towards 1% growth in total units on a same-store basis through the first two months of the quarter. However, we ended the quarter down 2% due to the CDK outage. In parts and service, beyond the record quarter for total gross profit dollars, we saw strong performance in same-store results, pacing at 8% growth going into June before finishing with 4% growth due to the CDK outage. I am pleased with the performance and momentum of this business.

在本季的前兩個月，我們的二手車同店總銷量正朝著 1% 的速度成長。然而，由於 CDK 中斷，本季末我們的業績下降了 2%。在零件和服務方面，除了總毛利創紀錄的季度之外，我們還看到同店業績表現強勁，進入 6 月份增長了 8%，最後由於 CDK 中斷而增長了 4%。我對這項業務的表現和勢頭感到滿意。

Now for our consolidated results for the quarter. We generated $4.2 billion in revenue, had a gross profit margin of 17.2%. Our same-store adjusted SG&A as a percentage of gross profit was 64.4% and 64.8% on an adjusted all-store basis. We delivered an adjusted operating margin of 5.6%. Our adjusted earnings per share was $6.40 and our adjusted EBITDA was $236 million.

現在是我們本季的綜合業績。我們創造了 42 億美元的收入，毛利率為 17.2%。我們的同店調整後銷售及管理費用佔毛利的百分比為 64.4%，調整後全店基礎上的百分比為 64.8%。我們的調整後營業利益率為 5.6%。調整後每股收益為 6.40 美元，調整後 EBITDA 為 2.36 億美元。

During the quarter, we repurchased 193,000 shares for $43 million and another 160,000 shares for $36 million so far in the third quarter. This brings our year-to-date total through August 1, to 592,000 shares for $130 million.

本季度，我們以 4,300 萬美元回購了 193,000 股股票，第三季迄今又以 3,600 萬美元回購了 160,000 股股票。截至 8 月 1 日，我們今年迄今的股票總數達到 592,000 股，價值 1.3 億美元。

Our approach to capital allocation is a continuous process and we're constantly evaluating the optimal balance between acquisitions, organic investments, and share repurchases. We are committed to prioritizing the most strategic and accretive use of capital, and we'll continue to be opportunistic in pursuing attractive avenues for growth.

我們的資本配置方法是一個持續的過程，我們不斷評估收購、有機投資和股票回購之間的最佳平衡。我們致力於優先考慮最具策略性和增值性的資本使用，並將繼續抓住機遇，尋求有吸引力的成長途徑。

Effective capital allocation also extends to managing the makeup of our existing portfolio. In the second quarter, we divested two Nissan stores and will continue to monitor opportunities to make other changes throughout the year.

有效的資本配置也延伸到管理我們現有投資組合的組成。在第二季度，我們剝離了兩家日產商店，並將繼續關注全年進行其他變革的機會。

Now, before I hand the call over to Dan, I want to say thank you again to our team members for their perseverance and sacrifice through the late nights and long weekends. I was proud of how you came together to solve a common challenge, all while continuing to be the most guest-centric automotive retailer.

現在，在我把電話交給丹之前，我想再次感謝我們的團隊成員在深夜和長週末的堅持和犧牲。我為你們如何齊心協力解決共同的挑戰而感到自豪，同時繼續成為最以客戶為中心的汽車零售商。

Now, Dan will discuss our operational performance. Dan?

現在，丹將討論我們的營運績效。擔？

Thank you, David, and good morning, everyone. First, I'd like to extend my gratitude for our team members navigating this unprecedented situation and by going above and beyond to serve our guests through this time. Your perseverance, agility, and patience is greatly appreciated.

謝謝大衛，大家早安。首先，我要感謝我們的團隊成員在這前所未有的情況下度過難關，並在這段時間竭盡全力為我們的客人提供服務。非常感謝您的毅力、敏捷性和耐心。

During the CDK outage, we utilized our omni-channel platform Clicklane to serve as a transactional software tool, allowing us to sell vehicles in the affected stores. We retailed more than 15,200 sales through Clicklane in the quarter with over 8,000 occurring in June. Clicklane is often thought of as an online only tool. However, we use the showroom app functionality within Clicklane to facilitate in-store sales.

在 CDK 中斷期間，我們利用全通路平台 Clicklane 作為交易軟體工具，使我們能夠在受影響的商店中銷售車輛。本季我們透過 Clicklane 零售了超過 15,200 筆銷售額，其中 6 月的銷售額超過 8,000 筆。Clicklane 通常被認為是一種僅限線上的工具。但是，我們使用 Clicklane 中的陳列室應用程式功能來促進店內銷售。

Now moving to same-store performance, which includes dealerships and TCA unless stated otherwise, and to help quantify the impact of the disruption on our pace, I will provide some metrics of our April and May performance.

現在轉向同店績效，除非另有說明，其中包括經銷商和 TCA，並幫助量化中斷對我們步伐的影響，我將提供 4 月和 5 月績效的一些指標。

Starting with new vehicles. In the period of April and May, we were flat on unit growth. Same-store revenue and unit volume for the full quarter decreased 6% with varying results among the brands in our portfolio. New average gross profit per vehicle was $3,649, roughly in line with our expectations for the path of new gross profit per unit this year. New vehicle gross margin was 7.1%. Our same-store new days supply was 74 days at the end of June, compared to 53 days at the end of May due to the CDK outage.

從新車開始。4 月和 5 月期間，我們的銷售成長持平。整個季度的同店收入和單位銷售量下降了 6%，我們投資組合中的各個品牌的結果各不相同。每輛車的新平均毛利為 3,649 美元，大致符合我們對今年每輛車新毛利走勢的預期。新車毛利率為7.1%。6 月底，我們的同店新天供應量為 74 天，而 5 月底，由於 CDK 中斷，供應量為 53 天。

Turning to used vehicles. Second quarter unit volume decreased 2% versus last year, a percentage in line with the first quarter. However, going into June, we were up 1% in volume. Our same-store used days supply was 39 days at the end of the quarter, slightly higher than our historical average driven by the CDK incident. For reference, at the end of May, our days supply was 31 days for same-store use.

轉向二手車。第二季單位銷售量與去年同期相比下降了 2%，與第一季的百分比一致。然而，進入 6 月份，我們的銷量成長了 1%。截至本季末，我們的同店使用天數供應量為 39 天，略高於 CDK 事件推動的歷史平均值。作為參考，5月底，我們的同店使用天數為31天。

Shifting to F&I, we earned an F&I PVR of $2,124 in the quarter. As expected, the deferred revenue headwind of TCA is starting to be more pronounced. It contributed $169 of the $255 decrease in the F&I PVR number year-over-year, and we continue to expect this headwind to be impactful throughout 2024. In the first quarter, our total front-end yield per vehicle was $4,807.

轉向 F&I，本季我們的 F&I PVR 為 2,124 美元。正如預期的那樣，TCA 的遞延收入逆風開始變得更加明顯。F&I PVR 數量將年減 255 美元，其中 169 美元由其貢獻，我們繼續預期這一不利因素將在 2024 年全年產生影響。第一季度，我們每輛車的前端總收益為 4,807 美元。

Moving to parts and service. As David mentioned earlier, we were very happy with the record performance of our parts and service business. Our parts and service gross profit going into June was pacing at 8% year-over-year, before ending the quarter up 4%. For the quarter, we earned a gross profit margin of 58.7%, an expansion of 314 basis points versus prior year quarter, despite weather issues in several of our markets and the impact from the CDK event.

轉向零件和服務。正如大衛之前提到的，我們對零件和服務業務創紀錄的業績感到非常滿意。截至 6 月份，我們的零件和服務毛利潤年增 8%，本季末成長 4%。儘管我們的幾個市場出現了天氣問題以及 CDK 事件的影響，但本季我們的毛利率仍達到 58.7%，比去年同期增加了 314 個基點。

I'd like to give some color on our performance in some of the revenue buckets and how the CDK outage impacted our business. Within our customer pay repair order revenue, we were pacing up 10% at the end of May, ending the quarter up 4%. In warranty, we were up 17% before ending the quarter up 7% in revenue. The CDK outage was particularly significant for our wholesale parts and services business.

我想詳細介紹我們在某些​​收入方面的表現以及 CDK 中斷對我們業務的影響。在我們的客戶付費維修訂單收入中，截至 5 月底，我們成長了 10%，本季末成長了 4%。在保固期內，我們的營收在本季結束前成長了 17%，成長了 7%。CDK 中斷對於我們的批發零件和服務業務尤其重要。

Wholesale parts was flat through May before ending down 7%. The month of June had an $8 million decrease year-over-year or 21%. Collision was down 6% in the first two months, and it finished the quarter down 11%. Despite the challenges in June, we saw great progress among our team members in stores in the West, which as a cohort outperformed the portfolio of our Eastern stores on a same-store basis.

5 月批發零件持平，最終下跌 7%。6 月年減 800 萬美元，即 21%。前兩個月碰撞量下降了 6%，本季結束時下降了 11%。儘管六月面臨挑戰，我們還是看到西部門店的團隊成員取得了巨大進步，在同店基礎上，這些團隊的表現優於東部門店的組合。

I will now hand the call over to Michael to discuss our financial performance. Michael?

我現在將把電話轉給邁克爾，討論我們的財務表現。麥可？

Thank you, Dan. First off, I would like to echo what Dan and David said about our team members going above and beyond to keep the business operating during a challenging time, truly inspirational work by all involved.

謝謝你，丹。首先，我想回應 Dan 和 David 所說的關於我們的團隊成員在充滿挑戰的時期超越一切以保持業務運營的說法，所有參與者的工作確實鼓舞人心。

Our financial results were clearly impacted by the CDK outage. But broadly speaking, we were pleased with our 2Q results through mid-June and expect performance to normalize now that we are through our recovery efforts.

我們的財務表現明顯受到 CDK 中斷的影響。但總的來說，我們對截至 6 月中旬的第二季業績感到滿意，並預計，由於我們正在透過復甦努力，業績將恢復正常。

I will now walk us through a more detailed financial overview of the quarter. Overall, adjusted net income was $$129 million (corrected by company after the call) and adjusted EPS was $6.40 for the quarter. Adjusted net income for the second quarter of 2024 excludes net of tax, $101.3 million of non-cash asset impairments, gain on divestitures of $2.7 million, and losses related to hail damage of $2.3 million.

現在，我將向我們介紹本季更詳細的財務概況。總體而言，本季調整後淨利為 1.29 億美元（由公司在電話會議後修正），調整後每股收益為 6.40 美元。2024 年第二季調整後淨利不包括稅後淨收入、1.013 億美元的非現金資產減損、270 萬美元的資產剝離收益以及 230 萬美元的冰雹損失相關損失。

Adjusted net income for the second quarter of 2023 excluded net of tax gain on divestiture of $10.2 million, gain on legal settlement of $1.4 million and losses related to hail damage of $3.2 million.

2023 年第二季調整後淨利不包括 1,020 萬美元的資產剝離稅收收益、140 萬美元的法律和解收益以及 320 萬美元的冰雹損失相關損失。

Adjusted SG&A as a percentage of gross profit came in at 64.8%, driven by higher compensation, third-party vendor spend, elevated advertising expenses, and other miscellaneous costs. We've always been disciplined with cost control, and we will look for opportunities to bring that down through targeted expense reductions that do not come at the expense of growth.

受薪資上漲、第三方供應商支出、廣告費用增加和其他雜項成本推動，調整後的 SG&A 佔毛利的百分比為 64.8%。我們一直嚴格控製成本，我們將尋找機會透過有針對性的費用削減來降低成本，但不會以犧牲成長為代價。

We now expect SG&A as a percentage of gross profit to be in the mid-60s for the remainder of the year.

我們現在預計，在今年剩餘時間裡，SG&A 佔毛利潤的百分比將在 60 左右。

The adjusted tax rate for the quarter was 25.3%, and we still estimate our tax rate for the full year 2024 to be approximately 25%.

本季調整後的稅率為 25.3%，我們仍預期 2024 年全年的稅率約為 25%。

TCA generated $21.6 million of pre-tax income in the second quarter and $41 million year-to-date. We anticipate full year results to be between $65 million and $80 million on a pre-tax basis. We have delayed the rollout of TCA to Florida in Koons, but plan to offer TCA across these markets later this year.

TCA 第二季稅前收入為 2,160 萬美元，年初至今為 4,100 萬美元。我們預計全年稅前業績將在 6,500 萬美元至 8,000 萬美元之間。我們已推遲在佛羅裡達州昆斯推出 TCA，但計劃今年稍後在這些市場上提供 TCA。

We generated $193 million of adjusted operating cash flow in the second quarter and $402 million through the end of June. This is slightly higher than our typical cash flow in the second quarter due to timing of payments impacted by CDK.

第二季調整後營運現金流為 1.93 億美元，截至 6 月底為 4.02 億美元。由於付款時間受到 CDK 的影響，這略高於第二季度的典型現金流。

For the quarter, we repurchased $43 million in shares and $130 million (corrected by company after the call) year-to-date through August 1. Excluding real estate purchases, we spent $65 million on capital expenditures year-to-date, and we anticipate full year spend to be approximately $200 million to $225 million (corrected by company after the call). Free cash flow was $154 million for the quarter and $337 million year-to-date.

截至 8 月 1 日，本季我們回購了 4,300 萬美元的股票，並回購了 1.3 億美元（由公司在電話會議後更正）。不包括房地產購買，我們今年迄今的資本支出為 6500 萬美元，我們預計全年支出約為 2 億至 2.25 億美元（公司在電話會議後修正）。本季自由現金流為 1.54 億美元，年初至今為 3.37 億美元。

We ended the quarter with $806 million of liquidity, comprised of floor plan offset accounts, availability on both our used and revolving credit facility and cash, excluding cash at Total Care Auto.

本季結束時，我們擁有 8.06 億美元的流動資金，包括平面圖抵銷帳戶、已使用和循環信貸額度的可用性以及現金，不包括 Total Care Auto 的現金。

Our pro forma adjusted net leverage was 2.7 times at the end of June, reflecting our share repurchase activity, which we view as a compelling use of capital during a period of time where we're focused on integrating our recent acquisitions. We are committed to creating opportunities in our capital allocation approach across share buybacks, M&A and organic investment opportunities.

截至6 月底，我們的預期調整後淨槓桿率為2.7 倍，反映了我們的股票回購活動，我們認為，在我們專注於整合最近收購的一段時間內，這是對資本的一種引人注目的利用。我們致力於在股票回購、併購和有機投資機會等資本配置方法中創造機會。

Finally, I would like to again thank our team members for their focus on the guest experience and our growth strategy. Thank you.

最後，我想再次感謝我們的團隊成員對賓客體驗和我們發展策略的關注。謝謝。

This concludes our prepared remarks. We will now turn the call over to the operator to take your questions. Operator?

我們準備好的演講到此結束。我們現在將把電話轉給接線員回答您的問題。操作員？

Thank you. We will now be conducting a question-and-answer session. (Operator Instructions) John Murphy, Bank of America.

謝謝。我們現在將進行問答環節。（操作員指示）John Murphy，美國銀行。

Maybe just a first simple question on the CDK situation. David, as you think about sort of the catch-up here as the system has normalized through the course of July, how much catch-up do you think there will be as we think of sort of the different verticals of new, used and parts and service?

也許只是關於 CDK 情況的第一個簡單問題。大衛，當你想到隨著系統在 7 月正常化時，這裡會有多少追趕，當我們考慮新的、二手的和零件的不同垂直領域時，你認為會有多少追趕和服務？

Hey, John, it's David. Over half our competitors aren't on CDK and they were functioning as normal. And you could see it in the month-end performance when you could see the local market activity, you can almost pick who was on CDK and who had a different DMS. So I think people tend to go out and make their purchases and don't tend to wait while some will wait depending upon the product.

嘿，約翰，我是大衛。我們超過一半的競爭對手沒有使用 CDK，但他們的功能正常。您可以在月末表現中看到這一點，當您可以看到本地市場活動時，您幾乎可以選擇誰在 CDK 上以及誰擁有不同的 DMS。因此，我認為人們傾向於出去購買，而不是等待，而有些人會根據產品而等待。

Parts and services, you miss those opportunities, sell the hours, you don't get those hours back. So I don't think there's going to be a lot coming into the quarter. Having said that, probably the second half of July is when we go back to what I would call normal operations. And we've seen a very steady increase in our parts and service gross profit and also transactional revenue grow nicely in July compared to July of prior year.

零件和服務，你會錯過這些機會，賣掉時間，你就無法收回這些時間。因此，我認為本季不會有太多變化。話雖如此，我們可能會在七月下半月恢復正常運作。與去年 7 月相比，我們的零件和服務毛利潤以及交易收入在 7 月都有了非常穩定的成長。

Okay. That's helpful. And then just a second question on parts and service. It was running really hot pre the CDK disruption. As you think about the forward, second half of the year and going into 2025, sort of that mid to high-single-digit same-store sales number, a number that you think is reasonably achievable. I mean you got dented pretty hard here in June.

好的。這很有幫助。然後是關於零件和服務的第二個問題。在 CDK 中斷之前，它運行得非常熱。當你考慮未來、下半年以及進入 2025 年時，同店銷售數字將達到中高個位數，你認為這個數字是可以合理實現的。我的意思是你六月在這裡受到了極大的傷害。

Yeah, absolutely. We will certainly be that and probably closer to the high-single-digit numbers.

是的，絕對是。我們肯定會做到這一點，並且可能更接近高個位數的數字。

Okay. And then just lastly, I mean, Clicklane sounded like it was a pretty good bandaid sort of redundancy system. But is there any thought about what you're going to do with sort of the reliance on CDK going forward? Could it be an incremental investment in Clicklane to make that actually even more robust than it already is? Or I mean, what is kind of the longer-term thought process here?

好的。最後，我的意思是，Clicklane 聽起來像是一個非常好的創可貼式冗餘系統。但是，您是否考慮過今後將如何處理對 CDK 的依賴？難道這是對 Clicklane 的增量投資，使其實際上比現在更強大嗎？或者我的意思是，這裡的長期思考過程是什麼樣的？

Yeah. It's a great question, John. And actually when something catastrophic like this happens other than come up with quick solutions to fix it, you think about going forward. Every dealership needs a dealer management system and they're all capable as we've seen with other industries with cyber-attacks that are coming.

是的。這是一個很好的問題，約翰。實際上，當發生這樣的災難性事情時，除了想出快速解決方案來解決它之外，您還會考慮繼續前進。每個經銷商都需要一個經銷商管理系統，正如我們在其他即將面臨網路攻擊的行業中所看到的那樣，它們都有能力。

Clicklane's intention was always built to be a standalone transactional tool online, and we think it served itself really well. It can print all the documents, even the documents where some states require wet signatures, but it's not an accounting or DMS system. So we still need an outlet to plug into. It's functioned on its own, it did all the transactions. It handled the leasing, it handled the financing, it handled the signatures, but it's still -- all those deals had to be recreated back into the DMS system. So unfortunately, our industry, and I don't see a workaround, we need a dealer management system or an accounting system, if you will, to aggregate the data.

Clicklane 的初衷始終是成為一個獨立的線上交易工具，我們認為它的效果非常好。它可以列印所有文檔，甚至是某些州要求濕簽名的文檔，但它不是會計或 DMS 系統。所以我們仍然需要一個插座來插入。它獨立運作，完成所有交易。它處理租賃、處理融資、處理簽名，但仍然——所有這些交易都必須重新創建回 DMS 系統。不幸的是，我們的行業，我沒有看到解決方法，我們需要經銷商管理系統或會計系統（如果您願意的話）來匯總數據。

Rajat Gupta, JPMorgan.

拉賈古普塔，摩根大通。

Great. Thanks for taking the question. I had just a follow-up on John's question earlier on parts and services. The high-single-digit expectation going forward, was that like a revenue number or a gross profit number? And can you give us a sense of what drove the strong gross margin expansion in the second quarter in parts and services as well? Was that just mix? Or was there just more pricing drop through? Just curious if you could unpack that a little bit. And I have a quick follow-up.

偉大的。感謝您提出問題。我剛剛對約翰之前關於零件和服務的問題進行了跟進。未來的高個位數預期是收入數字還是毛利數字？您能否讓我們了解一下是什麼推動了第二季零件和服務毛利率的強勁成長？那隻是混合嗎？還是只是有更多的價格下降？只是好奇能否稍微解開一下。我有一個快速的跟進。

Sure. The high-single-digits, thank you for clarifying that. We tend to focus on gross profit more than revenue because that's what ultimately pays the bill. So that's that high-single-digit piece of it.

當然。高個位數，謝謝您的澄清。我們更傾向於關注毛利而不是收入，因為這才是最終支付帳單的來源。這就是其中的高個位數部分。

As far as the margin increase, it's a combination of a few things. We're large into wholesale parts revenue and gross profit, which brings down your margins. Missing $8 million in wholesale parts sales in the quarter was a massive impact and would have put us close to total revenue flat year-over-year on a same-store basis. So that was a little bit of a tailwind picking up the margin with the lack of wholesale sales.

就利潤率的增加而言，這是多種因素的結合。我們大量從事批發零件收入和毛利，這會降低您的利潤。本季批發零件銷售額減少 800 萬美元是一個巨大的影響，這將使我們的同店總收入接近同比持平。因此，由於缺乏批發銷售，這對提高利潤率起到了一點推動作用。

In Collision, we have so many Collision outlets, in the reverse, a lot of the transactional work didn't happen there because they were waiting on parts as well. So those two were certainly part of the indication as to why the gross margin went up, but it's also on our end. The last 90 days, we've been very focused on raising our margin within our service business alone. We saw a nice incremental growth across all our brands and all our markets and we're doing everything we can to make sure that sticks going forward.

在 Collision 中，我們有很多 Collision 網點，相反，很多事務工作都沒有發生在那裡，因為他們也在等待零件。因此，這兩個因素肯定是毛利率上升的部分原因，但這也是我們的問題。過去 90 天，我們一直非常專注於提高服務業務的利潤率。我們看到我們所有品牌和所有市場都實現了良好的增量成長，我們正在盡一切努力確保這種勢頭持續向前發展。

Got it. That's helpful clarification. And then the mid-60s SG&A to gross expectations for the remainder of the year, what kind of GPU assumptions on new and used side underlie that forecast? Could you give us some color there? Thank you.

知道了。這是很有幫助的澄清。然後是 60 年代中期的 SG&A 到今年剩餘時間的總體預期，該預測基於新舊方面的 GPU 假設是什麼？你能給我們一些顏色嗎？謝謝。

Yeah. On the -- for the GPUs, we expect new vehicle to continue to come down throughout the remainder of the year on kind of the glide path that we've been on. And then used vehicles will probably stay in the current environment. We don't see a lot of things that are going to change in the used vehicle market to raise those PVRs at least for the remainder of this year. So those are both kind of -- current GPUs are slightly lower for new vehicles in that forecast.

是的。在 GPU 方面，我們預計新車將在今年剩餘時間內繼續按照我們一直以來的下滑路線下降。然後二手車可能會留在當前的環境中。至少在今年剩餘時間內，我們認為二手車市場不會發生太多變化來提高這些 PVR。因此，在該預測中，新車的當前 GPU 略低。

(Operator Instructions) Ryan Sigdahl, Craig-Hallum Capital Group.

（操作員說明）Ryan Sigdahl，Craig-Hallum Capital Group。

Hey, good morning, guys. Looking at slide 13, just the impact from CDK outage, nice slide there to show early versus end of quarter performance. But it shows, my question is, Clicklane performed as a transactional software tool enabling in-store sales. I guess, can you walk through exactly kind of the burden or change to the end consumer or why so much sales were lost when you effectively had a band-aid software system that you could transact?

嘿，早上好，夥計們。看一下投影片 13，只是 CDK 中斷的影響，這張投影片很好地顯示了季度初與季度末的表現。但它表明，我的問題是，Clicklane 是作為一種交易軟體工具實現店內銷售的。我想，您能否詳細說明最終消費者的負擔或變化，或者當您實際上擁有可以進行交易的創可貼軟體系統時，為什麼會損失如此多的銷售額？

Ryan, I'll start and then Dan can jump in. I think the one-time -- this is my perception. I think a lot of folks look at simply the buckets of luxury, domestic and import and I think you really have to unpack what's going on within each brand itself.

瑞安，我開始，然後丹可以加入。我認為一次性——這是我的看法。我認為很多人只關注奢侈品、國產和進口產品，我認為你真的必須了解每個品牌本身的情況。

The market performance back within sales to us had more to do with our brand mix. We had brands that are up year-over-year in sales. Stellantis is -- we have 155 dealerships. It's almost 15% of our rooftops. And it's all brands are cyclical, but it's very -- it's struggling right now. And when you look at our year-over-year decrease in unit sales in domestic, 100% of it is tied to Stellantis. Also, in the import side with Nissan, it was a material impact on us as well.

對我們來說，銷售中的市場表現更與我們的品牌組合有關。我們的品牌銷售量逐年上升。Stellantis 是－我們有 155 家經銷商。它幾乎占我們屋頂的 15%。所有品牌都是週期性的，但它現在正在苦苦掙扎。當你看到我們國內單位銷量的同比下降時，你會發現其中 100% 與 Stellantis 有關。此外，在日產的進口方面，這也對我們產生了重大影響。

So even with the CDK outage, because of our brand mix, we're struggling a little bit with a couple of brands that we're a little bit heavy around as far as a percentage of our business. But again, all brands are cyclical. So while it's a headwind for us right now, it's going to be a tailwind in the future as they come back for us.

因此，即使 CDK 中斷，由於我們的品牌組合，我們在一些品牌上遇到了一些困難，這些品牌在我們業務中所佔的比例有點大。但同樣，所有品牌都是週期性的。因此，雖然現在這對我們來說是逆風，但未來當他們回來時，這將成為我們的順風。

I think the transactional tool worked really well. Where it lacks some function was with API connections with some of the OEM financial arms. Some of them don't have their software as sophisticated as ours and don't have the ability for API connections, which make it a little bit more challenging, especially with a couple of the European brands as it relates to leasing. So that really kind of slowed down the process.

我認為交易工具非常有效。它缺少一些功能的地方是與一些 OEM 金融部門的 API 連接。他們中的一些人沒有我們的軟體那麼複雜，也沒有 API 連接的能力，這使得它更具挑戰性，特別是對於與租賃相關的幾個歐洲品牌。所以這確實減慢了這個過程。

But generally, I think that we performed well. More of the miss on volume, to me, had more to do with the brand mix than the outage. Dan, I don't know if you feel differently.

但總的來說，我認為我們表現得很好。對我來說，銷量的下降更多是與品牌組合有關，而不是停電。丹，我不知道你是否有不同的感覺。

Yeah. I agree 100% with David. I do want to add, Ryan, that Clicklane as a transactional tool worked extremely well during the outage. But you can also -- we cannot forget that most of our stores are operating under Eleads and Eleads was also affected on the CDK outage.

是的。我 100% 同意大衛的觀點。Ryan，我確實想補充一點，Clicklane 作為交易工具在中斷期間運行得非常好。但您也可以 - 我們不能忘記，我們的大多數商店都在 Eleads 下運營，而 Eleads 也受到了 CDK 中斷的影響。

And what it means -- the impact that that had to us is the moment Eleads went down or CRM, we had no visibility to any leads or deals that we were working prior to the outage. We were in blank mode. So Clicklane allowed us to move forward, but we lost a lot of momentum from being able to follow-up with our team member -- with our guests prior to the outage and that also contributed to the lack of performance.

這意味著什麼——對我們的影響是，當 Eleads 或 CRM 出現故障時，我們無法看到在中斷之前我們正在處理的任何潛在客戶或交易。我們處於空白模式。因此，Clicklane 讓我們能夠繼續前進，但我們失去了很多動力，因為無法在中斷之前對我們的團隊成員（對我們的客人）進行跟進，這也導致了效能的下降。

And Ryan, just to follow-up on that. Eleads is a CRM system that's owned by CDK that we utilize. But I will say our development team internally quickly integrated with our third parties to create, basically within our sandbox, the ability for us to capture leads and respond to them. So a little bit of delay, but we were able to get back up on top.

瑞安（Ryan），只是為了跟進此事。Eleads 是我們使用的 CDK 擁有的 CRM 系統。但我想說的是，我們的開發團隊在內部快速與第三方集成，基本上在我們的沙箱內創建了我們捕獲線索並對其做出響應的能力。雖然有一點延遲，但我們還是能夠回到巔峰。

Great. And then just for my follow-up. You guys are on path to trial four stores on Tekion. Curious if this changes kind of how you think about DMS technology server-based versus cloud-based, et cetera, going forward? And then anything on that timeline as well? And if you would like to comment on that legal battle between unlocking some of that data that's in the headlines. I would love to hear that as well.

偉大的。然後只是為了我的後續行動。你們正在 Tekion 上試用四家商店。好奇這是否會改變您對基於伺服器的 DMS 技術與基於雲端的 DMS 技術等的看法？那麼該時間線上還有什麼嗎？如果您想評論頭條新聞中解鎖部分數據之間的法律鬥爭。我也很想聽聽。

Yeah. Thanks, Ryan. I don't want to comment on ongoing legal issues. I would say, we're excited about Tekion. It is 100% cloud-based. We will be more all eggs in one basket with them, if you will, because we won't have nearly as many bolt-on applications.

是的。謝謝，瑞安。我不想對正在進行的法律問題發表評論。我想說，我們對 Tekion 感到很興奮。它 100% 基於雲端。如果你願意的話，我們將更多地把雞蛋放在一個籃子裡，因為我們不會有那麼多的螺栓固定應用程式。

But we view that as a positive deal from a transparency standpoint with our guests and our team members being able to service our customers. We intend at this point to launch the four stores and our shared service center in October and hopefully continue to rollout from there on starting in early 2025.

但我們認為，從透明度的角度來看，這是一項積極的協議，讓我們的客人和我們的團隊成員能夠為我們的客戶提供服務。目前，我們計劃在 10 月推出這四家商店和我們的共享服務中心，並希望從 2025 年初開始繼續推出。

We're really comfortable, and we've had great conversations with Tekion on their cybersecurity and their SOC1 and SOC2 report and what they do. But again, as we've seen with every industry in this day and age, unfortunately, everyone is subject to some kind of cyber-attack.

我們真的很舒服，我們與 Tekion 就他們的網路安全、SOC1 和 SOC2 報告以及他們的工作進行了很好的對話。但不幸的是，正如我們在當今時代的每個行業所看到的那樣，每個人都會受到某種網路攻擊。

(Operator Instructions) It appears that there are no further questions at this time. I would now like to turn the floor back over to David Hult for closing comments.

（操作員說明）目前似乎沒有其他問題。我現在想把發言權交還給大衛霍特以徵求結束意見。

Thank you, Operator. We appreciate everyone's participation today on the call and we look forward to speaking with all of you at the end of the third quarter. Have a great day and a wonderful weekend. Take care.

謝謝你，接線生。我們感謝大家今天參加電話會議，我們期待在第三季末與大家交談。祝您有美好的一天和美好的週末。小心。

This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.

今天的電話會議到此結束。此時您可以斷開線路。感謝您的參與。