Asbury Automotive Group, Inc. (NYSE: ABG) reported its financial results for the three and nine months ended September 30, 2026, in a press release dated October 27, 2026. The company reported third quarter 2026 net income of $105 million, or $5.84 per diluted share, a decrease of 29% compared to the same period in 2025. Adjusted net income, a non-GAAP measure, was $111 million, or $6.16 per diluted share, representing a 21% decrease from the prior year.
For the third quarter of 2026, the company reported total revenue of $4.4 billion and gross profit of $732 million, resulting in a gross margin of 16.6%. Operating margin was reported at 4.7%, with an adjusted operating margin of 4.9%. On a same-store basis, revenue was $4.2 billion, gross profit was $695 million, and operating margin was 4.7%.
Asbury completed a company-wide technology conversion during the quarter. The company converted 47 stores in the third quarter, the most in any single quarter, and finished the remaining active stores in October. The company stated that its longest-tenured Tekion markets achieved efficiency gains, with customer pay gross profit up 7% and total parts and service gross profit up 5%.
Regarding liquidity, as of September 30, 2026, the company had cash, short-term investments, and floorplan offset accounts of $210 million, excluding $39 million of cash at Total Care Auto. The company also had availability under its used vehicle floorplan line and revolver of $821 million, for a total liquidity of $1.0 billion. The transaction adjusted net leverage ratio was 3.5x at quarter end.
During the first nine months of 2026, Asbury repurchased approximately 1.35 million shares for $278 million. As of September 30, the company had approximately $322 million remaining on its share repurchase authorization.
