(Reuters) – AutoNation Inc, the largest U.S. auto dealership chain, on Friday reported a better-than-expected quarterly profit, as it earned more per vehicle sold.
The company said its same-store gross profit per vehicle retailed across its 325 U.S. locations was up 6 percent to $3,559 during the quarter.
AutoNation’s profits have been under pressure as overall new vehicle sales in the country have weakened after a long bull run since the end of the financial crisis of 2008.
Over the past year, the company has focused on expanding offerings such as branded car parts and services and finance and insurance products to boost profitability.
Net income from continuing operations fell to $92.1 million in the first quarter ended March 31, from $93.3 million a year earlier.
Earnings per share from continuing operations rose to $1.02 from $1.01, beating the average analyst estimate of 91 cents, according to IBES data from Refinitiv.
Revenue fell 5.3 percent to $4.98 billion, and was below the Wall Street’s expectation of $5.21 billion.
Reporting by Ankit Ajmera in Bengaluru; Editing by Shinjini Ganguli