- Revenue was $1,388.2 million as
compared to $1,195.8 million in the
prior year, an increase of 16.1%
- Net income for the period was $14.8
million versus $69.4 million
in the prior year
- Adjusted EBITDA1 was $50.7
million versus $65.9 million
in the prior year, a decrease of $(15.2)
million
- Current year results include an incremental used vehicle
writedown provision of $(12.4)
million and an increase in floorplan financing costs of
$(13.3) million
- Adjusted EBITDA margin1 was 3.6% versus 5.5% in the
prior year, a decrease of (1.9) percentage points
- Diluted earnings per share was $0.52, a decrease of $(1.86) from $2.38
in the prior year
- A Substantial Issuer Bid was completed to purchase and cancel
1,851,851 common shares at a purchase price of $27.00 per share, representing an aggregate
purchase price of $50.0 million in Q4
2022
- For the year ended December 31,
2022, including two Substantial Issuer Bids and the Normal
Course Issuer Bid, a total of 4,741,879 common shares were
purchased and cancelled for total consideration of $139.1 million
- Indebtedness of $555.1 million at
the end of Q4 2022 compares to $285.9
million at the end of Q4 2021
- Net indebtedness1 of $446.8
million at the end of Q4 2022 compares to $212.7 million at the end of Q4 2021
EDMONTON, AB, March 1, 2023 /CNW/ - AutoCanada Inc.
("AutoCanada" or the "Company") (TSX: ACQ), a multi-location North
American automobile dealership group, today reported its financial
results for the three and twelve month period ended
December 31, 2022.
"AutoCanada's finish to the year with record fourth quarter
revenue and strong same store performance is a testament to the
high-level focus the entire organization placed on our strategic
objectives, not only in the quarter but over the full year," said
Paul Antony, Executive Chairman of
AutoCanada. "I am very proud of the results our team achieved
to maximize our complete business model, particularly our continued
focus on growing our used to new retail units ratio which gave us
the opportunity to leverage our best in class F&I and
parts, service and collision repair business operations.
Contributions from acquisitions also supported our performance and
have exceeded expectations."
"I remain excited about what the future holds for AutoCanada. We
are confident in our ability to navigate the evolving landscape of
the automotive industry given our complete business model, our
strong balance sheet and the resiliency we've built into our
platform and remain well positioned to drive value for our
shareholders and stakeholders through our many growth
opportunities."
In addition, effective February 27,
2023, Mike Borys has retired
from the role of Chief Financial Officer. Azim Lalani will be appointed as AutoCanada's
new Chief Financial Officer in March
2023.
2022 Fourth Quarter Key Highlights and Recent
Developments
All comparisons presented below are between the three-month
period ended December 31, 2022 and the three-month period
ended December 31, 2021, unless
otherwise indicated.
Executive Overview
The business model continued to perform in the fourth quarter.
Results in the quarter were being impacted by fluctuations in used
vehicle pricing that necessitated the incremental used vehicle
writedown provision and by the increase in floorplan costs. Our
finance and insurance ("F&I") and parts, service and collision
repair ("PS&CR") business operations were strong contributors
to performance in the quarter, supported by strong used retail
volume. Acquisitions have also been a positive contributor to
results and have exceeded Year 1 pro forma targets to date.
Net income for the period was $14.8
million as compared to $69.4
million in Q4 2021. Diluted earnings per share was
$0.52, a decrease of $(1.86) from $2.38
in the prior year.
Adjusted EBITDA1 for the period was $50.7 million as compared to $65.9 million in Q4 2021. Adjusted EBITDA
margin1 of 3.6% compares to 5.5% in the prior year, a
decrease of (1.9) percentage points ("ppts"). This decrease is
largely driven by the noted $(12.4)
million incremental used vehicle writedown provision,
adjusting used vehicle inventory to net realizable value, and the
year-over-year increase of $(13.3) million in floorplan
financing costs.
Gross profit increased by $14.1
million to $242.6 million, an
increase of 6.2%, as compared to prior year. This increase was
largely driven by the increases of $17.1
million from F&I and $19.7
million from PS&CR. This continued improvement in our
F&I and PS&CR gross profit is representative of our
continued optimization and refinement of business processes and
integration of acquisitions to date.
Gross profit percentage2 was 17.5% in the quarter as
compared to 19.1% in the prior year. This decrease is largely
driven by the current used vehicle macro environment, resulting in
both a compression of used vehicle gross profit
percentage2 and the incremental used vehicle writedown
provision. While used retail vehicle2 gross profit
percentage2 weakened, used retail vehicle2
sales increased by 2,525 units, up 21.2%, to 14,418 units, and
contributed to the consolidated used to new retail units
ratio2 moving to 1.78 from 1.45. Used vehicle sales
volume also contributed to our strong F&I and PS&CR gross
profit performance.
Our U.S. Operations contributed $34.3
million of gross profit, a decrease of $(4.9) million or (12.4)% as compared to prior
year. This decrease in gross profit was primarily driven by
compression of new and used vehicle gross profit
percentage2 and $(3.3)
million of incremental used vehicle writedown provision
taken in the quarter. Used retail vehicles2 sales
increased 26.0% as compared to the prior year and supports both the
increases in F&I gross profit by $2.7
million, or 22.2%, and PS&CR gross profit by
$4.5 million, or 48.8%.
Operating expenses before depreciation as a percentage of gross
profit2 increased by 6.6 ppts to 75.7%. The increase is
largely due to the noted compressed gross profit and increased
operating expenses before depreciation2. Operating
expenses before deprecation2 increased by $25.7 million and is largely driven by
acquisitions and related costs, and increased head count to
facilitate organizational growth.
Floorplan financing costs increased by $(13.3) million, or
564%, to $15.7 million as compared to
prior year. The increase is attributable to the combination of
rising interest rates and an increase in our used vehicle inventory
position. While rising interest rates are expected to impact
customer affordability, we consider the availability of vehicle
inventory to remain the most significant challenge to sales growth.
Additionally, some of the direct impacts of rising interest rates
may be offset by vehicle financing products which provide
flexibility in financing terms, inclusive of incentives and term
extensions. Management continues to monitor the macro environment
and will adjust F&I product offerings and other aspects of the
business, where necessary, to meet customer needs.
We continue to actively manage our vehicle inventory as the chip
shortage remains an issue and continues to impact the supply of new
vehicle inventory. While we have seen positive indicators and noted
gradual improvements in both the availability of inventory and
product allocations, we are not anticipating a return to "normalcy"
in new vehicle inventory levels until late 2023 to 2024.
Compensating for constrained new vehicle supply, we have managed
our used vehicle inventory position to meet current market
demands.
Net indebtedness1 increased by $96.0 million from September 30 2022 to $446.8 million at the end of Q4 2022. This
increase is primarily driven by the purchase and cancellation of
$(50.0) million of common shares
under a Substantial Issuer Bid ("SIB"), and $54.6 million of acquisitions, including Kavia
Auto Body Inc., Excellence Auto Collision Limited, and Sterling Honda. Free cash flow1 on a
trailing twelve month ("TTM") basis was $136.7 million at Q4 2022 as compared to
$107.2 million in Q4 2021; the
increase in free cash flow1 between years was driven
primarily by reduced stock based compensation related cash payments
and improvements in working capital. Additionally, our net
indebtedness leverage ratio1 of 2.1x remained well below
our target range at the end of Q4 2022, as compared to 0.2x in Q4
2021.
Had all of the acquisitions, completed as of Q4 2022, occurred
at January 1, 2022, pro forma net income1
would have been $91.6 million for the
TTM ended December 31, 2022, as compared to pro forma net
income1 of $174.8 million
for the year ended December 31, 2021.
Pro forma normalized adjusted EBITDA1 would be
$274.7 million for the TTM ended
December 31, 2022, as compared to pro forma normalized
adjusted EBITDA1 of $266.4
million for the year ended December
31, 2021.
We have established an acquisition pipeline, with dealerships
and collision centres representing in excess of $395 million in annual revenue currently being
evaluated. We are at varying stages of the acquisition process with
these targets, ranging from signed letters of intent to signed
purchase agreements, with the potential deals remaining subject to
due diligence, OEM approvals, and other standard closing
conditions. We remain well-positioned to continue to execute on our
acquisition strategy in the coming quarters.
Our performance, both in Canada
and U.S. Operations, continues our trend of sustainable improvement
and demonstrates the efficacy of our complete business model and
strategic initiatives. We remain aware that uncertainty continues
to exist in the macroeconomic environment given the ongoing
challenges associated with the lingering effects of the global
pandemic, inflation, rising interest rates, and the ongoing
Ukraine conflict. Uncertainties
may include potential economic recessions or downturns, continued
disruptions to the global automotive manufacturing supply chain,
and other general economic conditions resulting in reduced demand
for vehicle sales and service. We will continue to remain proactive
and vigilant in assessing the impacts on our organization and
remain committed to optimizing and building stability and
resiliency into our business model to ensure we are able to drive
industry-leading performance regardless of changing market
conditions.
Consolidated AutoCanada Highlights
TOTAL VEHICLES2 SOLD INCREASED BY 14%
For the three-month period ended December
31, 2022:
- Revenue was $1,388.2 million, an
increase of $192.4 million or
16.1%
- Total vehicles2 sold were 23,190, an increase of
2,894 units or 14.3%
- Used retail vehicles2 sold increased by 2,525 or
21.2%
- Net income was $14.8 million (or
$0.52 per diluted share) versus
$69.4 million (or $2.38 per diluted share)
- Adjusted EBITDA1 decreased by (23.1)% to
$50.7 million, a decrease of
$(15.2) million
- Current year results include an incremental used vehicle
writedown provision of $(12.4)
million and an increase in floorplan financing costs of
$(13.3) million
- Adjusted EBITDA1 on a TTM basis was $264.8 million as compared to $251.9 million in the prior year
- Net indebtedness1 of $446.8
million reflected an increase of $96.0 million from the end of Q3 2022
- Net indebtedness leverage ratio1 of 2.1x at the end
of Q4 2022, as compared to 1.5x in Q3 2022
Canadian Operations Highlights
TOTAL GROSS PROFIT INCREASED BY 10%
Our F&I and PS&CR segments, driven by 20.2% increase in
used retail unit sales, were key drivers of the 10.0% increase in
total gross profit. F&I gross profit increased by $14.4 million or 27.9% to $65.9 million and PS&CR gross profit
increased by $15.3 million or 22.9%
to $82.0 million as compared to prior
year.
Unless stated otherwise, all results for acquired businesses are
included in all Canadian references in the press release.
For the three-month period ended December
31, 2022:
- Revenue was $1,172.7 million, an
increase of 17.4%
- Used retail unit2 sales increased by 1,962 or
20.2%
-
- Average TTM Canadian used retail unit sales per dealership per
month, excluding Used Digital Retail Division
dealerships2, improved to 63, as compared to 52 in the
prior year
- Used to new retail units ratio2 increased to 1.64
from 1.45
-
- TTM used to new retail ratio2 improved to 1.67 at Q4
2022 as compared to 1.43 at Q4 2021
- F&I gross profit per retail unit average2
increased to $3,503, up 11.9% or
$373 per unit
- Net income was $15.0 million,
down (75.8)% from a net income of $62.3
million in 2021
- Adjusted EBITDA1 decreased by (17.2)% to
$45.7 million, a decrease of
$(9.5) million
-
- Current year results include the incremental used vehicle
writedown provision of $(9.1)
million
- Adjusted EBITDA margin1 was 3.9% as compared to 5.5%
in the prior year, a decrease of (1.6) ppts driven primarily by the
incremental used vehicle writedown provision and increased
floorplan financing costs
U.S. Operations Highlights
USED RETAIL VEHICLES SOLD INCREASED BY 26%
Used retail vehicle unit sales increased by 26.0%. Our F&I
and PS&CR departments continue to offset the compressed new and
used vehicle gross profit percentage2.
- Revenue was $215.5 million, an
increase of 9.4%, from $197.0
million
- Used retail vehicles2 sold increased by 26.0%
- F&I gross profit per retail unit average2
increased to $4,064 per unit, up
20.0% or $677 per unit
- Net income decreased by $(7.4)
million to $(0.2) million from
$7.1 million
-
- Net income on a TTM basis was $14.8
million as compared to $17.1
million in the prior year
- Adjusted EBITDA1 was $5.0
million as compared to $10.7
million, a decrease of $(5.7)
million
-
- Current year results include an incremental used vehicle
writedown provision of $(3.3)
million
- Adjusted EBITDA1 on a TTM basis was $32.8 million as compared to $31.2 million in the prior year
Same Store Metrics - Canadian Operations
USED RETAIL VEHICLES2 SOLD INCREASED BY
7.6%
The continued optimization of the Company's complete business
model is highlighted by the growth in same store used retail
vehicle2 sales. Our total gross profit of $165.8 million continues to be driven by our
strong F&I and PS&CR performance and included an
incremental same store used vehicle writedown provision of
$(6.2) million.
Refer to Section 20 Same Store Results Data of the MD&A for
the definition of same store and further information.
- Revenue increased to $943.8
million, an increase of 2.2%
- Gross profit decreased by $(9.9)
million or (5.7)%
- Used to new retail units ratio2 increased to 1.55
from 1.29
-
- Used retail vehicles2 sold increased by 7.6%, an
increase of 628 units
- F&I gross profit per retail unit average2
increased to $3,844, up 16.1% or
$532 per unit; F&I gross profit
increased to $56.1 million as
compared to $48.4 million in the
prior year, an increase of 15.8%
- PS&CR gross profit increased to $64.6 million, an increase of 7.2%
-
- PS&CR gross profit percentage2 increased to
57.7% as compared to 56.0% in the prior year
Financing and Investing Activities and Other Recent
Developments
AMENDED CREDIT FACILITY AGREEMENT EXTENDED TO APRIL 15, 2026
Net indebtedness1 of $446.8
million resulted in a net indebtedness leverage
ratio1 of 2.1x. Financing and investing activities
included the following:
Acquisitions
The Company completed $54.6
million of acquisitions in Q4 2022 and $178.7 million for the year. The acquisitions
support management's strategic objectives of expanding our presence
across Canada and operational
capacity.
- On October 27, 2022, the Company
acquired 100% of the shares of Kavia Auto Body Inc. ("Kavia Auto
Body"), a collision centre located in Saskatoon, Saskatchewan.
- On November 7, 2022, the Company
acquired 100% of the shares of Excellence Auto Collision Limited
("Excellence Auto Collision"), an entity that operates two
luxury-brand focused collision centres (Excellence Auto Collision
Silver Star and Excellence Auto Collision Midwest) located in
Scarborough, Ontario and
Toronto, Ontario.
- On December 1, 2022, the Company
acquired substantially all of the assets to be used in the
operations of Sterling Honda, a
Honda dealership in Hamilton,
Ontario.
- On February 27, 2023, the Company
acquired 100% of the shares of 5121175 Manitoba Ltd. ("DCCHail"), a
paintless dent repair entity, located in Calgary, Alberta. DCC Hail operates with a
national presence and specializes in the insurance claim management
process and repair of hail damaged vehicles.
Share Purchases
- On December 16, 2022, the Company
completed a SIB, by way of a modified Dutch auction, to purchase,
for cancellation, the common shares of the Company (the "Second
Offer"). The Company purchased and cancelled 1,851,851 common
shares at a purchase price of $27.00
per share under the Offer, representing an aggregate purchase price
$50.0 million, which represents 7.29%
of the total issued and outstanding Shares of the Company before
giving effect to the Second Offer.
- For the year ended December 31,
2022, a total of 4,741,879 common shares were purchased and
cancelled for total consideration of $139.1
million, net of transaction costs.
Credit Facility Amendments
- On December 12, 2022, the Company
executed the accordion feature to increase the revolving credit
limit by $50 million to $275 million from $225
million and amended our existing credit facility for
administrative changes.
- On January 30, 2023, Standard
& Poor's Ratings Services ("S&P") issued a research update
where our Issuer Credit Rating remains unchanged at 'B+'.
- On February 3, 2023, the Company
amended and extended our existing credit facility to increase our
total aggregate bank facilities to $1.6
billion. This included increasing our revolving credit limit
to $375 million from $275 million. We maintained a three-year tenor by
extending the maturity date to April 15,
2026.
1
|
See "NON-GAAP AND OTHER
FINANCIAL MEASURES" below.
|
2
|
This press release
contains "SUPPLEMENTARY FINANCIAL MEASURES". Section 15. NON-GAAP
AND OTHER FINANCIAL MEASURES of the Company's Management's
Discussion & Analysis for the three month period ended December
31, 2022 ("MD&A") is hereby incorporated by reference for
further information regarding the composition of these measures
(accessible through the SEDAR website at www.sedar.com).
|
Fourth Quarter Financial Information
The following table summarizes the Company's results for the
quarter and year ended December 31,
2022:
|
Three Months Ended
December 31
|
Year Ended
December 31
|
Consolidated
Operational Data
|
2022
|
2021
|
%
Change
|
2022
|
2021
|
%
Change
|
Revenue
|
1,388,206
|
1,195,782
|
16.1 %
|
6,040,619
|
4,653,415
|
29.8 %
|
Gross
profit
|
242,622
|
228,514
|
6.2 %
|
1,042,873
|
834,183
|
25.0 %
|
Gross profit
%
|
17.5 %
|
19.1 %
|
-1.6 ppts
|
17.3 %
|
17.9 %
|
-0.6 ppts
|
Operating
expenses
|
197,397
|
170,008
|
16.1 %
|
811,018
|
612,609
|
32.4 %
|
Operating
profit
|
58,604
|
99,410
|
(41.0) %
|
254,551
|
270,068
|
(5.7) %
|
Net income for the
period
|
14,810
|
69,398
|
(78.7) %
|
91,060
|
167,199
|
(45.5) %
|
Basic net income per
share attributable to AutoCanada shareholders
|
0.55
|
2.54
|
(78.3) %
|
3.28
|
5.98
|
(45.2) %
|
Diluted net income per
share attributable to AutoCanada shareholders
|
0.52
|
2.38
|
(78.2) %
|
3.03
|
5.60
|
(45.9) %
|
Adjusted
EBITDA 1
|
50,669
|
65,873
|
(23.1) %
|
264,800
|
251,863
|
5.1 %
|
|
|
|
|
|
|
|
New retail
vehicles2 sold (units)
|
8,100
|
8,204
|
(1.3) %
|
36,216
|
35,799
|
1.2 %
|
New fleet
vehicles2 sold (units)
|
672
|
199
|
237.7 %
|
1,892
|
1,872
|
1.1 %
|
Total new
vehicles2 sold (units)
|
8,772
|
8,403
|
4.4 %
|
38,108
|
37,671
|
1.2 %
|
Used
retail vehicles2 sold (units)
|
14,418
|
11,893
|
21.2 %
|
63,611
|
48,729
|
30.5 %
|
Total
vehicles2 sold
|
23,190
|
20,296
|
14.3 %
|
101,719
|
86,400
|
17.7 %
|
Same store
new retail vehicles2 sold (units)
|
5,714
|
6,380
|
(10.4) %
|
25,636
|
28,762
|
(10.9) %
|
Same store
new fleet vehicles2 sold (units)
|
625
|
192
|
225.5 %
|
1,715
|
1,864
|
(8.0) %
|
Same store
used retail vehicles2 sold (units)
|
8,876
|
8,248
|
7.6 %
|
40,736
|
37,035
|
10.0 %
|
Same store
total vehicles2 sold
|
15,215
|
14,820
|
2.7 %
|
68,087
|
67,661
|
0.6 %
|
Same
store2 revenue
|
943,849
|
923,341
|
2.2 %
|
4,281,582
|
3,808,650
|
12.4 %
|
Same
store2 gross profit
|
165,804
|
175,749
|
(5.7) %
|
746,401
|
689,709
|
8.2 %
|
Same
store2 gross profit %
|
17.6 %
|
19.0 %
|
(1.4) %
|
17.4 %
|
18.1 %
|
(0.7) %
|
1
See "NON-GAAP AND OTHER FINANCIAL MEASURES" below.
|
2
This press release contains "SUPPLEMENTARY FINANCIAL
MEASURES". Section 15. NON-GAAP AND OTHER FINANCIAL MEASURES of the
Company's Management's Discussion & Analysis for the three
month period ended December 31, 2022 ("MD&A") is hereby
incorporated by reference for further information regarding the
composition of these measures (accessible through the SEDAR website
at www.sedar.com).
|
3
See the Company's MD&A for the quarter and year ended
December 31, 2022 for complete footnote disclosures.
|
4
In Q4 2021, it was determined there were Revenues and Cost
of sales accounts incorrectly classified between revenue streams in
the first three quarters of 2021 within the U.S. Operations
segment. As a result, the classification of these accounts has been
corrected and we have revised the Q1, Q2, and Q3 2021 amounts. This
reclassification had no impact on total gross profit.
|
SELECTED QUARTERLY FINANCIAL INFORMATION
The following table shows the unaudited results of the Company
for each of the eight most recently completed quarters. The results
of operations for these periods are not necessarily indicative of
the results of operations to be expected in any given comparable
period.
|
MD&A
Footnote
Reference3
|
Q4
2022
|
Q3
2022
|
Q2
2022
|
Q1
2022
|
Q4
2021
|
Q3
2021
REVISED
|
Q2
2021
REVISED
|
Q1
2021
REVISED
|
Income Statement
Data
|
5
|
|
|
|
|
|
|
|
|
New vehicles
4
|
6
|
508,008
|
557,492
|
583,870
|
511,195
|
467,085
|
498,142
|
547,593
|
451,061
|
Used vehicles
4
|
6
|
626,397
|
807,236
|
840,998
|
595,514
|
524,043
|
518,791
|
539,785
|
354,922
|
Parts, service and
collision repair 4
|
6
|
168,544
|
161,805
|
160,307
|
152,009
|
136,800
|
116,953
|
122,459
|
108,427
|
Finance, insurance and
other 4
|
6
|
85,257
|
97,416
|
100,851
|
83,720
|
67,854
|
72,868
|
71,218
|
55,414
|
Revenue
|
|
1,388,206
|
1,623,949
|
1,686,026
|
1,342,438
|
1,195,782
|
1,206,754
|
1,281,055
|
969,824
|
New vehicles
4
|
6
|
48,218
|
58,760
|
58,950
|
53,384
|
50,632
|
46,525
|
44,619
|
34,639
|
Used vehicles
4
|
6
|
17,775
|
32,627
|
34,125
|
36,772
|
38,118
|
39,669
|
40,269
|
23,206
|
Parts, service and
collision repair 4
|
6
|
95,661
|
88,707
|
90,713
|
78,431
|
75,917
|
64,748
|
68,115
|
57,874
|
Finance, insurance and
other 4
|
6
|
80,968
|
93,540
|
95,490
|
78,752
|
63,847
|
69,250
|
64,838
|
51,917
|
Gross
Profit
|
|
242,622
|
273,634
|
279,278
|
247,339
|
228,514
|
220,192
|
217,841
|
167,636
|
Gross profit
%
|
|
17.5 %
|
16.8 %
|
16.6 %
|
18.4 %
|
19.1 %
|
18.2 %
|
17.0 %
|
17.3 %
|
Operating
expenses
|
|
197,397
|
207,266
|
212,709
|
193,646
|
170,008
|
159,880
|
154,773
|
127,948
|
Operating expenses as
a % of gross profit
|
|
81.4 %
|
75.7 %
|
76.2 %
|
78.3 %
|
74.4 %
|
72.6 %
|
71.0 %
|
76.3 %
|
Operating
profit
|
|
58,604
|
69,303
|
69,954
|
56,690
|
99,410
|
62,841
|
66,153
|
41,664
|
Recovery of
non-financial assets
|
|
(8,691)
|
—
|
—
|
—
|
(39,846)
|
—
|
—
|
—
|
Net income
|
|
14,810
|
32,870
|
39,058
|
4,322
|
69,398
|
38,769
|
37,698
|
21,334
|
Basic net income per
share attributable to AutoCanada shareholders
|
|
0.55
|
1.22
|
1.40
|
0.11
|
2.54
|
1.37
|
1.33
|
0.77
|
Diluted net income per
share attributable to AutoCanada shareholders
|
|
0.52
|
1.16
|
1.33
|
0.10
|
2.38
|
1.27
|
1.23
|
0.71
|
Dividends declared per
share
|
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
Adjusted
EBITDA 1
|
3
|
50,669
|
76,374
|
75,561
|
62,196
|
65,873
|
68,265
|
70,491
|
47,234
|
Free cash
flow 1
|
3
|
32,177
|
35,319
|
63,318
|
5,852
|
7,603
|
12,372
|
67,803
|
19,391
|
Operating
Data
|
5
|
|
|
|
|
|
|
|
|
New retail
vehicles2 sold
|
4
|
8,100
|
9,186
|
9,878
|
9,052
|
8,204
|
9,255
|
10,107
|
8,233
|
New fleet
vehicles2 sold
|
4
|
672
|
433
|
497
|
290
|
199
|
358
|
575
|
740
|
Total new
vehicles2 sold
|
4
|
8,772
|
9,619
|
10,375
|
9,342
|
8,403
|
9,613
|
10,682
|
8,973
|
Used
retail vehicles2 sold
|
4
|
14,418
|
17,381
|
17,740
|
14,072
|
11,893
|
13,831
|
13,271
|
9,734
|
Total
vehicles sold2
|
4
|
23,190
|
27,000
|
28,115
|
23,414
|
20,296
|
23,444
|
23,953
|
18,707
|
# of service and
collision repair orders completed2
|
4
|
263,796
|
241,907
|
261,671
|
221,632
|
232,373
|
199,870
|
214,149
|
182,869
|
# of dealerships at
period end
|
1
|
86
|
85
|
82
|
80
|
80
|
68
|
67
|
67
|
# of same
store dealerships
|
1, 2
|
49
|
49
|
49
|
49
|
49
|
49
|
49
|
49
|
# of service bays at
period end
|
|
1,367
|
1,331
|
1,322
|
1,293
|
1,303
|
1,108
|
1,098
|
1,098
|
Same
store2 revenue growth
|
2
|
2.2 %
|
17.6 %
|
14.2 %
|
17.2 %
|
14.1 %
|
15 %
|
54.2 %
|
27.8 %
|
Same
store2 gross profit
growth
|
2
|
(5.7) %
|
8.7 %
|
10.3 %
|
23.2 %
|
29.4 %
|
18.6 %
|
102.5 %
|
35.0 %
|
1
See "NON-GAAP AND OTHER FINANCIAL MEASURES" below.
2 This press release contains
"SUPPLEMENTARY FINANCIAL MEASURES". Section 15. NON-GAAP AND OTHER
FINANCIAL MEASURES of the Company's Management's Discussion &
Analysis for the three month period ended December 31, 2022
("MD&A") is hereby incorporated by reference for further
information regarding the composition of these measures (accessible
through the SEDAR website at www.sedar.com).
3 See the Company's MD&A for the
quarter and year ended December 31, 2022 for complete footnote
disclosures.
4 In Q4 2021, it was determined there were
Revenues and Cost of sales accounts incorrectly classified between
revenue streams in the first three quarters of 2021 within the U.S.
Operations segment. As a result, the classification of these
accounts has been corrected and we have revised the Q1, Q2, and Q3
2021 amounts. This reclassification had no impact on total gross
profit.
|
MD&A and Financial Statements
Information included in this press release is a summary of
results. It should be read in conjunction with AutoCanada's
Consolidated Financial Statements and Management's Discussion and
Analysis for the year ended December 31, 2022, which can be
found on the Company's website at www.autocan.ca or on
www.sedar.com.
NON-GAAP AND OTHER FINANCIAL MEASURES
This press release contains certain financial measures that do
not have any standardized meaning prescribed by Canadian GAAP.
Therefore, these financial measures may not be comparable to
similar measures presented by other issuers. Investors are
cautioned these measures should not be construed as an alternative
to net earnings (loss) or to cash provided by (used in) operating,
investing, financing activities, cash and cash equivalents, and
indebtedness determined in accordance with Canadian GAAP, as
indicators of our performance. We provide these additional non-GAAP
measures, capital management measures, and supplementary financial
measures to assist investors in determining our ability to generate
earnings and cash provided by (used in) operating activities and to
provide additional information on how these cash resources are
used.
Adjusted EBITDA, adjusted EBITDA margin, normalized adjusted
EBITDA, income statement impacts and adjusted EBITDA on a pre-IFRS
16 basis, pro forma adjusted EBITDA, pro forma normalized adjusted
EBITDA, pro forma net income, free cash flow, net indebtedness, and
net indebtedness leverage ratio are not earnings measures
recognized by GAAP and do not have standardized meanings prescribed
by GAAP. Investors are cautioned that these non-GAAP measures
should not replace net earnings or loss (as determined in
accordance with GAAP) as an indicator of the Company's performance,
of its cash flows from operating, investing and financing
activities or as a measure of its liquidity and cash flows. The
Company's methods of calculating referenced non-GAAP measures may
differ from the methods used by other issuers. Therefore, these
measures may not be comparable to similar measures presented by
other issuers.
It should be noted that certain of the financial measures
described below include pro forma items estimating the impact of
the acquisitions if they had occurred on the first day of the
relevant period, or as of a specified date. Readers should
understand that these estimates were determined by management in
good faith and are not indicative of what the historical results of
the businesses acquired in the acquisitions actually were for the
relevant period, or what those results would have been if the
acquisitions had occurred on the dates indicated, or what they will
be for any future period. As a result, the pro forma financial
measures may not be indicative of the Company's financial position
that would have prevailed, or operating results that would have
been obtained, if the transactions had taken place on the dates
indicated or of the financial position or operating results which
may be obtained in the future. These pro forma financial measures
are not a forecast or projection of future results. The actual
financial position and results of operations of the Company for any
period following the closing of the acquisitions will vary from the
amounts set forth following pro forma financial measures, and such
variation may be material.
We list and define these "NON-GAAP MEASURES" below:
Adjusted EBITDA
Adjusted EBITDA (earnings before interest, taxes, depreciation,
and amortization) is an indicator of a company's operating
performance over a period of time and ability to incur and service
debt. Adjusted EBITDA provides an indication of the results
generated by our principal business activities prior to:
- Interest expense (other than interest expense on floorplan
financing), income taxes, depreciation, and amortization;
- Charges that introduce volatility unrelated to operating
performance by virtue of the impact of external factors (such as
share-based compensation amounts attributed to certain equity
issuances as a part of the Used Digital Retail Division);
- Non-cash charges (such as impairment, recoveries, gains or
losses on free-standing derivatives, revaluation of contingent
consideration and revaluation of redemption liabilities);
- Charges outside the normal course of business (such as
restructuring, gains and losses on dealership divestitures and real
estate transactions); and
- Charges that are non-recurring in nature (such as provisions
for wholesale fraud and settlement income).
The Company believes adjusted EBITDA provides improved
continuity with respect to the comparison of our operating
performance over a period of time.
Normalized Adjusted EBITDA
With the onset of COVID-19 during the second quarter of 2020,
the impact of COVID-19 related government restrictions resulted in
charges that are one-time in nature, and related government
programs resulted in subsidies that are non-recurring in the
future.
Normalized adjusted EBITDA is an indicator of a company's
operating performance over a period of time and ability to incur
and service debt, normalized for charges that are non-recurring in
nature related to the pandemic such as:
- Canada Emergency Wage Subsidy
("CEWS") income, expected to recur until the Company is no longer
eligible for the subsidy;
- Canada Emergency Rent Subsidy
("CERS"), expected to recur until the Company is no longer eligible
for the subsidy;
- One-time forgiveness of Small Business Association Paycheck
Protection Program ("PPP") loans;
The Company believes normalized adjusted EBITDA provides
improved continuity with respect to the comparison of our operating
performance normalized for impacts related to the COVID-19
pandemic.
Pro Forma Adjusted EBITDA and Pro Forma Normalized Adjusted
EBITDA
The Company believes pro forma adjusted EBITDA and pro forma
normalized adjusted EBITDA provides improved understanding of the
progress of our acquisition strategy as if the acquisitions had
occurred at the beginning of the period. Pro forma adjusted EBITDA
and pro forma normalized adjusted EBITDA includes management's
estimate of the net income generated by our acquisitions prior to
interest expense (other than interest expense on floorplan
financing), income taxes, depreciation, and amortization, assuming
acquisitions in the year had occurred on the first day of the year
ended December 31, 2022 prior to any synergies, pursuant to
the terms of the credit facilities. Pro forma adjustments estimated
by management were derived from dealership financial statements.
The Company's blended rate of Canadian corporate tax of 25.5% was
applied to pro forma adjustments where applicable.
Refer to the Notes to the Consolidated Financial Statements for
the year ended December 31, 2022 and Section 5, Acquisitions,
Divestitures, Relocations, and Real Estate of the Company's
MD&A for further details.
Pro Forma Net Income
The Company believes pro forma net income provides improved
understanding of the progress of our acquisition strategy as if the
acquisitions had occurred at the beginning of the period. Pro forma
net income includes management's estimate of the net income
generated by our acquisitions, assuming acquisitions in the year
had occurred on the first day of the year ended December 31,
2022, prior to any synergies, pursuant to the terms of the credit
facilities. Pro forma adjustments estimated by management were
derived from dealership financial statements. The Company's blended
rate of Canadian corporate tax of 25.5% was applied to pro forma
adjustments where applicable.
Refer to the Notes to the Consolidated Financial Statements for
the year ended December 31, 2022 and Section 5, Acquisitions,
Divestitures, Relocations, and Real Estate of the Company's
MD&A for further details.
Adjusted EBITDA Margin
Adjusted EBITDA margin is an indicator of a company's operating
performance specifically in relation to our revenue
performance.
The Company believes adjusted EBITDA margin provides improved
continuity with respect to the comparison of our operating
performance with retaining and growing profitability as our revenue
and scale increases over a period of time.
Income Statement Impacts and Adjusted EBITDA on a Pre-IFRS 16
basis
The Company adopted IFRS 16 on January 1,
2019. On adoption of IFRS 16, the Company recognized lease
liabilities in relation to leases, which had previously been
classified as 'operating leases' under the principles of IAS 17
Leases. These liabilities were measured at the present value of the
remaining lease payments, discounted using the lessee's incremental
borrowing rate. There are also corresponding income statement
impacts to net income and other comprehensive income.
The Company believes adjusted EBITDA on a pre-IFRS 16 basis
provides improved continuity for purposes of comparing to our
historical operating performance prior to fiscal year 2019. Our
Credit Facility financial covenants are calculated and presented on
a pre-IFRS 16 basis. In addition, the net indebtedness leverage
ratio is calculated on a pre-IFRS 16 basis.
Adjusted EBITDA on a pre-IFRS 16 basis is calculated as adjusted
EBITDA less the rental expense, fair market value rent adjustment
and step lease rent adjustment eliminated from the adoption of IFRS
16 lease liabilities accounting standards.
Refer to the Notes to the Consolidated Financial Statements for
the year ended December 31, 2022 for further details.
Free Cash Flow
Free cash flow is a measure used by Management to evaluate the
Company's performance. While the closest Canadian GAAP measure is
cash provided by operating activities, free cash flow is considered
relevant because it provides an indication of how much cash
generated by operations is available after capital expenditures. It
shall be noted that although we consider this measure to be free
cash flow, financial and non-financial covenants in our credit
facilities and dealer agreements may restrict cash from being
available for distributions, re-investment in the Company,
potential acquisitions, or other purposes. Investors should be
cautioned that free cash flow may not actually be available for
such purposes. References to "Free cash flow" are to cash provided
by (used in) operating activities (including the net change in
non-cash working capital balances) less capital expenditure (not
including acquisitions of dealerships and dealership
facilities).
Net Indebtedness Leverage Ratio
Net indebtedness leverage ratio is a measure used by management
to evaluate the liquidity of the Company.
The Company believes presenting the net indebtedness leverage
ratio on a pre-IFRS 16 basis provides improved continuity for
purposes of comparing to our historical operating performance prior
to fiscal year 2019 and remains relevant while our Credit Facility
financial covenants continues to be calculated and presented on a
pre-IFRS 16 basis. Net indebtedness leverage ratio is calculated as
net indebtedness compared to Adjusted EBITDA pre-IFRS 16 on a TTM
basis.
We list and define "CAPITAL MANAGEMENT MEASURES" below:
Net Indebtedness
Net indebtedness is used by management to evaluate the liquidity
of the Company.
Net indebtedness is calculated as indebtedness, net of
unamortized deferred financing costs, adding back embedded
derivative asset, and less cash and cash equivalents.
NON-GAAP AND OTHER FINANCIAL MEASURES RECONCILIATIONS
Adjusted EBITDA, Normalized Adjusted EBITDA, Pro Forma
Adjusted EBITDA, and Pro Forma Normalized Adjusted EBITDA
Reconciliation
The following table illustrates adjusted EBITDA for the
three-month periods ended December
31, over the last two years of operations:
|
2022
|
2021
|
Period from October
1 to December 31
|
|
|
Net income for the
period
|
14,810
|
69,398
|
Add back:
|
|
|
Income tax
expense
|
9,994
|
24,463
|
Depreciation of
property and equipment
|
5,664
|
4,830
|
Interest on long-term
indebtedness
|
8,121
|
6,161
|
Depreciation of right
of use assets
|
8,326
|
7,465
|
Lease liability
interest
|
8,283
|
6,520
|
|
55,198
|
118,837
|
Add back:
|
|
|
Recoveries of
non-financial assets, net
|
(8,691)
|
(39,846)
|
Share-based
compensation (Used Digital Retail Division)
|
391
|
—
|
Loss on redemption
liabilities
|
4,829
|
14,116
|
Unrealized fair value
changes in derivative instruments
|
(2,496)
|
(2,853)
|
Amortization of loss
on terminated hedges
|
817
|
817
|
Unrealized foreign
exchange losses
|
497
|
25
|
Gain on termination of
lease
|
—
|
(492)
|
Unrealized fair value
changes on embedded derivative
|
—
|
(24,778)
|
Loss on disposal of
assets, net
|
124
|
47
|
Adjusted
EBITDA
|
50,669
|
65,873
|
The following table illustrates adjusted EBITDA, normalized
adjusted EBITDA, pro forma adjusted EBITDA, and pro forma
normalized adjusted EBITDA for the trailing twelve month period
ended December 31, over the last two
years of operations:
|
2022
|
2021
|
Period from
January 1 to December 31
|
|
|
Net income for the
period
|
91,060
|
167,199
|
Add back:
|
|
|
Income tax
expense
|
32,824
|
54,021
|
Depreciation of
property and equipment
|
20,852
|
17,272
|
Interest on long-term
indebtedness
|
29,325
|
21,900
|
Depreciation of right
of use assets
|
30,781
|
26,420
|
Lease liability
interest
|
29,828
|
23,062
|
|
234,670
|
309,874
|
Add back:
|
|
|
Recoveries of
non-financial assets, net
|
(8,691)
|
(39,846)
|
Share-based
compensation (Used Digital Retail Division)
|
391
|
—
|
Loss on redemption
liabilities
|
4,829
|
14,116
|
Loss on extinguishment
of debt
|
9,860
|
1,128
|
Unrealized fair value
changes in derivative instruments
|
(9,321)
|
(7,873)
|
Amortization of loss
on terminated hedges
|
3,268
|
3,268
|
Unrealized foreign
exchange losses
|
192
|
115
|
Loss on extinguishment
of embedded derivative
|
29,306
|
—
|
Loss on termination of
lease, net
|
—
|
427
|
Unrealized fair value
changes on embedded derivative
|
—
|
(29,306)
|
Loss (gain) on
disposal of assets
|
296
|
(40)
|
Adjusted
EBITDA
|
264,800
|
251,863
|
Normalizing
items:
|
|
|
Less:
|
|
|
Canada Emergency Wage
Subsidy
|
—
|
(4,388)
|
Canada Emergency Rent
Subsidy
|
—
|
(336)
|
Forgiveness of PPP
loans
|
—
|
(6,728)
|
Normalized Adjusted
EBITDA
|
264,800
|
240,411
|
Pro forma items had
the acquisitions occurred on January 1:
|
|
|
Net income for the
period
|
583
|
7,634
|
Add back:
|
|
|
Income tax
expense
|
200
|
2,464
|
Depreciation of
property and equipment
|
689
|
1,765
|
Interest on long-term
indebtedness
|
5,058
|
5,698
|
Depreciation of right
of use assets
|
1,185
|
3,224
|
Lease liability
interest
|
2,207
|
5,235
|
Pro Forma Adjusted
EBITDA
|
274,722
|
277,883
|
Pro Forma Normalized
Adjusted EBITDA
|
274,722
|
266,431
|
Pro Forma Net
Income
|
91,643
|
174,833
|
Segmented Adjusted EBITDA and Segmented Normalized Adjusted
EBITDA
The following table illustrates segmented adjusted EBITDA for
the three-month period ended December
31, over the last two years of operations:
|
Three Months Ended
December 31, 2022
|
|
Three Months Ended
December 31, 2021
|
|
Canada
|
U.S.
|
Total
|
|
Canada
|
U.S.
|
Total
|
Period from October
1 to December 31
|
|
|
|
|
|
|
|
Net income (loss) for
the period
|
15,043
|
(233)
|
14,810
|
|
62,253
|
7,145
|
69,398
|
Add back:
|
|
|
|
|
|
|
|
Income tax
expense
|
9,908
|
86
|
9,994
|
|
24,144
|
319
|
24,463
|
Depreciation of
property and equipment
|
5,168
|
496
|
5,664
|
|
4,467
|
363
|
4,830
|
Interest on long-term
indebtedness
|
5,100
|
3,021
|
8,121
|
|
4,818
|
1,343
|
6,161
|
Depreciation of right
of use assets
|
7,658
|
668
|
8,326
|
|
6,796
|
669
|
7,465
|
Lease liability
interest
|
7,305
|
978
|
8,283
|
|
5,630
|
890
|
6,520
|
|
50,182
|
5,016
|
55,198
|
|
108,108
|
10,729
|
118,837
|
Add back:
|
|
|
|
|
|
|
|
Recoveries of
non-financial assets, net
|
(8,691)
|
—
|
(8,691)
|
|
(39,846)
|
—
|
(39,846)
|
Share-based
compensation (Used Digital Retail Division)
|
391
|
—
|
391
|
|
—
|
—
|
—
|
Loss on redemption
liabilities
|
4,829
|
—
|
4,829
|
|
14,116
|
—
|
14,116
|
Unrealized fair value
changes in derivative instruments
|
(2,496)
|
—
|
(2,496)
|
|
(2,853)
|
—
|
(2,853)
|
Amortization of loss
on terminated hedges
|
817
|
—
|
817
|
|
817
|
—
|
817
|
Unrealized foreign
exchange losses
|
497
|
—
|
497
|
|
25
|
—
|
25
|
Gain on termination of
lease
|
—
|
—
|
—
|
|
(492)
|
—
|
(492)
|
Unrealized fair value
changes on embedded derivative
|
—
|
—
|
—
|
|
(24,778)
|
—
|
(24,778)
|
Loss on disposal of
assets, net
|
124
|
—
|
124
|
|
47
|
—
|
47
|
Adjusted
EBITDA
|
45,653
|
5,016
|
50,669
|
|
55,144
|
10,729
|
65,873
|
The following table illustrates segmented adjusted EBITDA and
normalized adjusted EBITDA for the year ended December 31 for the last two years of
operations:
|
Year Ended
December 31, 2022
|
|
Year Ended
December 31, 2021
|
|
Canada
|
U.S.
|
Total
|
|
Canada
|
U.S.
|
Total
|
Period from January
1 to December 31
|
|
|
|
|
|
|
|
Net income for the
period
|
76,263
|
14,797
|
91,060
|
|
150,104
|
17,095
|
167,199
|
Add back:
|
|
|
|
|
|
|
|
Income tax
expense
|
29,626
|
3,198
|
32,824
|
|
53,702
|
319
|
54,021
|
Depreciation of
property and equipment
|
19,117
|
1,735
|
20,852
|
|
15,995
|
1,277
|
17,272
|
Interest on long-term
indebtedness
|
22,605
|
6,720
|
29,325
|
|
15,631
|
6,269
|
21,900
|
Depreciation of right
of use assets
|
28,033
|
2,748
|
30,781
|
|
23,759
|
2,661
|
26,420
|
Lease liability
interest
|
26,271
|
3,557
|
29,828
|
|
19,503
|
3,559
|
23,062
|
|
201,915
|
32,755
|
234,670
|
|
278,694
|
31,180
|
309,874
|
Add back:
|
|
|
|
|
|
|
|
Recoveries of
non-financial assets, net
|
(8,691)
|
—
|
(8,691)
|
|
(39,846)
|
—
|
(39,846)
|
Share-based
compensation (Used Digital Retail Division)
|
391
|
—
|
391
|
|
—
|
—
|
—
|
Loss on redemption
liabilities
|
4,829
|
—
|
4,829
|
|
14,116
|
—
|
14,116
|
Loss on extinguishment
of debt
|
9,860
|
—
|
9,860
|
|
1,128
|
—
|
1,128
|
Unrealized fair value
changes in derivative instruments
|
(9,321)
|
—
|
(9,321)
|
|
(7,873)
|
—
|
(7,873)
|
Amortization of loss
on terminated hedges
|
3,268
|
—
|
3,268
|
|
3,268
|
—
|
3,268
|
Unrealized foreign
exchange losses
|
192
|
—
|
192
|
|
115
|
—
|
115
|
Loss on extinguishment
of embedded derivative
|
29,306
|
—
|
29,306
|
|
—
|
—
|
—
|
Loss on termination of
lease, net
|
—
|
—
|
—
|
|
427
|
—
|
427
|
Unrealized fair value
changes on embedded derivative
|
—
|
—
|
—
|
|
(29,306)
|
—
|
(29,306)
|
Loss (gain) on
disposal of assets, net
|
296
|
—
|
296
|
|
(40)
|
—
|
(40)
|
Adjusted
EBITDA
|
232,045
|
32,755
|
264,800
|
|
220,683
|
31,180
|
251,863
|
Normalizing
Items:
|
|
|
|
|
|
|
|
Less:
|
|
|
|
|
|
|
|
Canada Emergency Wage
Subsidy
|
—
|
—
|
—
|
|
(4,388)
|
—
|
(4,388)
|
Canada Emergency Rent
Subsidy
|
—
|
—
|
—
|
|
(336)
|
—
|
(336)
|
Forgiveness of PPP
loans
|
—
|
—
|
—
|
|
—
|
(6,728)
|
(6,728)
|
Normalized Adjusted
EBITDA
|
232,045
|
32,755
|
264,800
|
|
215,959
|
24,452
|
240,411
|
Adjusted EBITDA Margin
The following table illustrates adjusted EBITDA margin for the
three-month periods ended December
31, over the last two years of operations:
|
2022
|
2021
|
Period from October
1 to December 31
|
|
|
Adjusted
EBITDA
|
50,669
|
65,873
|
Revenue
|
1,388,206
|
1,195,782
|
Adjusted EBITDA
Margin
|
3.6 %
|
5.5 %
|
Free Cash Flow
The following table illustrates free cash flow for the last
eight consecutive quarters:
|
Q4
2022
|
Q3
2022
|
Q2
2022
|
Q1
2022
|
Q4
2021
|
Q3
2021
|
Q2
2021
|
Q1
2021
|
Cash provided by
operating activities
|
38,099
|
37,662
|
64,935
|
7,279
|
10,153
|
13,721
|
68,604
|
20,506
|
Deduct:
|
|
|
|
|
|
|
|
|
Purchase of non-growth
property and equipment
|
(5,922)
|
(2,343)
|
(1,617)
|
(1,427)
|
(2,550)
|
(1,349)
|
(801)
|
(1,115)
|
Free cash
flow
|
32,177
|
35,319
|
63,318
|
5,852
|
7,603
|
12,372
|
67,803
|
19,391
|
Free cash flow -
TTM
|
136,666
|
112,092
|
89,145
|
93,630
|
107,169
|
118,806
|
159,878
|
144,632
|
Net Indebtedness and Net Indebtedness Leverage Ratio
Reconciliation
The following table illustrates the Company's net indebtedness
and net indebtedness leverage ratio as at December 31, 2022
and December 31, 2021:
|
December 31,
2022
$
|
December 31,
2021
$
|
Syndicated Credit
Facility - revolving credit
|
178,588
|
63,842
|
Senior unsecured notes
(including embedded derivative asset)
|
344,502
|
221,965
|
Mortgage and other
debt
|
32,038
|
101
|
Total
Indebtedness
|
555,128
|
285,908
|
Add back:
|
|
|
Embedded derivative
asset
|
—
|
29,306
|
Total Indebtedness for
net indebtedness purpose
|
555,128
|
315,214
|
Cash and cash
equivalents
|
(108,301)
|
(102,480)
|
Net
indebtedness
|
446,827
|
212,734
|
Adjusted EBITDA -
pre-IFRS 16 - trailing twelve months
|
210,761
|
206,584
|
Net indebtedness
leverage ratio
|
2.1x
|
1.0x
|
Conference Call
A conference call to discuss the results for the three months
ended December 31, 2022 will be held on March 2, 2023 at
9:00am Mountain (11:00am Eastern). To participate in the
conference call, please dial 1.888.664.6392 approximately 10
minutes prior to the call.
This conference call will also be webcast live over the internet
and can be accessed by all interested parties at the following URL:
https://investors.autocan.ca/event/2022-q4-conference-call/
About AutoCanada
AutoCanada is a leading North American multi-location automobile
dealership group currently operating 82 franchised dealerships,
comprised of 28 brands, in eight provinces in Canada as well as a group in Illinois, USA. AutoCanada currently sells
Chrysler, Dodge, Jeep, Ram, FIAT, Alfa Romeo, Chevrolet, GMC,
Buick, Cadillac, Ford, Infiniti,
Nissan, Hyundai, Subaru, Audi, Volkswagen, Kia, Mazda,
Mercedes-Benz, BMW, MINI, Volvo, Toyota, Lincoln, Acura, Honda and Porsche branded
vehicles. In addition, AutoCanada's Canadian Operations segment
currently operates 3 used vehicle dealerships and 1 used vehicle
auction business supporting the Used Digital Retail Division, 11
RightRide division locations, and 10 stand-alone collision centres
within our group of 25 collision centres. In 2022, our dealerships
sold approximately 100,000 vehicles and processed over 900,000
service and collision repair orders in our 1,367 service bays
generating revenue in excess of $6
billion.
Additional information about AutoCanada Inc. is available
at www.sedar.com and the Company's website
at www.autocan.ca.
Forward Looking Statements
Certain statements contained in this press release are
forward-looking statements and information (collectively
"forward-looking statements", including "with respect to", "among
other things", "future performance", "expense reductions" and the
"Go Forward Plan"), within the meaning of the applicable Canadian
securities legislation. We hereby provide cautionary statements
identifying important factors that could cause our actual results
to differ materially from those projected in these forward-looking
statements. Any statements that express, or involve discussions as
to, expectations, beliefs, plans, objectives, assumptions or future
events or performance (often, but not always, through the use of
words or phrases such as "will likely result", "are expected to",
"will continue", "is anticipated", "projection", "vision", "goals",
"objective", "target", "schedules", "outlook", "anticipate",
"expect", "estimate", "could", "should", "plan", "seek", "may",
"intend", "likely", "will", "believe", "shall" and similar
expressions) are not historical facts and are forward-looking and
may involve estimates and assumptions and are subject to risks,
uncertainties and other factors some of which are beyond our
control and difficult to predict.
Accordingly, these factors could cause actual results or
outcomes to differ materially from those expressed in the
forward-looking statements. Therefore, any such forward-looking
statements are qualified in their entirety by reference to the
factors discussed throughout this press release.
The Company's Annual Information Form and other documents filed
with securities regulatory authorities (accessible through the
SEDAR website at www.sedar.com) describe the risks, material
assumptions and other factors that could influence actual results
and which are incorporated herein by reference.
Further, any forward-looking statement speaks only as of the
date on which such statement is made, and, except as required by
applicable law, we undertake no obligation to update any
forward-looking statement to reflect events or circumstances after
the date on which such statement is made or to reflect the
occurrence of unanticipated events. New factors emerge from time to
time, and it is not possible for Management to predict all of such
factors and to assess in advance the impact of each such factor on
our business or the extent to which any factor, or combination of
factors, may cause actual results to differ materially from those
contained in any forward-looking statement.
Additional Information
Additional information about AutoCanada is available at the
Company's website at www.autocan.ca and www.sedar.com.
SOURCE AutoCanada Inc.