Group 1 Automotive Reports Q1 2026 Earnings with Revenue Decline and Cost Cuts
Group 1 Automotive (GPI) reported first-quarter earnings for fiscal year 2026, showing total revenues of $5.4 billion—a decline of 1.8% due to volume and margin pressures in the U.S. market. Adjusted diluted EPS from continuing operations fell to $8.66 compared to $10.17 a year earlier. The company implemented cost-cutting measures, including reducing headcount by 700 full-time employees early in April to improve SG&A leverage and achieve annualized savings of $50 million. U.S. new vehicle gross profit per unit (GPU) rose slightly to $3,313 from the previous quarter's $3,260. In the UK market, Group 1 added one Skoda and two Volkswagen dealerships expected to generate about $135 million in annual revenue. Same-store used volumes increased nearly 5%, while parts and service gross profit rose by 20%.
Tickers: $GPI
Topics: acquisitions adjusted_earnings_per_share cost_savings headcount_reduction marketing_initiatives revenue