AutoNation reported a mixed fourth quarter with a slight revenue decrease year-over-year, driven by lower new and used vehicle unit sales. However, the company achieved record after-sales gross profit and strong profitability in its finance segment, leading to an increase in adjusted EPS and free cash flow for the full year.
Full year 2025 revenue increased 3% to $27.6 billion.
positiveFull year 2025 Adjusted EPS increased 16% to $20.22.
positiveRecord Q4 After-Sales gross profit and record quarterly and full year Customer Financial Services profit per unit.
positiveFull year adjusted free cash flow was $1.05 billion, or 125% of adjusted net income.
positiveShare repurchases of $785 million in 2025, reducing share count by 10%.
positiveTotal revenue decreased 4% to $6.9 billion in Q4 2025 compared to the prior year.
negativeSame-store revenue decreased 5% in Q4 2025 due to lower unit sales of new and used vehicles.
negativeSame-store new vehicle retail unit sales decreased 10% in Q4 2025.
negativeSame-store used vehicle retail unit sales decreased 5% in Q4 2025.
negativeOperating income decreased 8% to $313.9 million in Q4 2025.
negativeNet income decreased 8% to $172.1 million in Q4 2025.
negativeMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
Domestic | N/A | — | — | — |
Import | N/A | — | — | — |
Premium luxury | N/A | — | — | — |
AutoNation Finance | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
We are pleased to report another quarter of strong performance with record gross profit in After-Sales and unit profitability in Customer Financial Services.
For the full year we grew unit volume for both new and used vehicles, increased revenues across all our business lines and grew gross profit for After-Sales, Customer Financial Services and Used vehicles.
Full year adjusted earnings per share and Adjusted Free Cash flow increased significantly from a year ago, and we deployed significant capital for share repurchases and acquisitions to improve density in existing markets.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.