Lithia Motors, Inc. (NYSE:LAD) Q1 2023 Earnings Conference Call April 19, 2023 10:00 AM ET

Company Participants

Amit Marwaha - Director, Investor Relations

Bryan DeBoer - President and CEO

Chris Holzshu - Executive Vice President and COO

Tina Miller - Senior Vice President and CFO

Chuck Lietz - Senior Vice President, Driveway Finance

Conference Call Participants

Daniel Imbro - Stephens

John Murphy - Bank of America

Ryan Sigdahl - Craig-Hallum Capital Group

Rajat Gupta - JPMorgan

Bret Jordan - Jefferies

Chris Bottiglieri - BNP Paribas

Adam Jonas - Morgan Stanley

Operator

Good morning, and welcome to the Lithia & Driveway First Quarter 2023 Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers’ remarks, there will be a question-and-answer session.

I would now like to turn the call over to Amit Marwaha, Director of Investor Relations. Please begin.

Amit Marwaha

Thank you. With me today are Bryan DeBoer, President and CEO; Chris Holzshu, Executive Vice President and COO; Tina Miller, Senior Vice President and CFO; and Chuck Lietz, Senior Vice President of Driveway Finance.

Today’s discussion may include statements about future events, financial projections and expectations about the company’s products, markets and growth. Such statements are forward-looking and subject to risks and uncertainties that could cause actual results to materially differ from the statements made.

We disclose those risks and uncertainties we deem to be material in our filings with the Securities and Exchange Commission. We urge you to carefully consider these disclosures and not to place undue reliance on forward-looking statements. We undertake no duty to update any forward-looking statements, which are made as of the date of this release.

Our results discussed today include references to non-GAAP financial measures. Please refer to the text of today’s press release for a reconciliation to comparable GAAP measures. We have also posted an updated Investor Presentation on our website investors.driveway.com, highlighting our first quarter results.

With that, I would like to turn the call over to Bryan DeBoer, President and CEO.

Bryan DeBoer

Thanks, Amit. Good morning and welcome to our first quarter earnings call. We appreciate everyone joining us today and the opportunities to update you on our business strategy, growth and progress towards our 2025 plan. In Q1, Lithia & Driveway grew revenues to $7 billion, up 4% from 2022, resulting in adjusted diluted earnings per share of $8.44. Sequentially, GPUs were more resilient than expected across new and used and F&I, and we continue to focus on profitability, driving high-performance and improved efficiency.