Sonic Automotive Reaffirms FY Guidance; Sees Q3 Adjusted Ops EPS Up 18%
Sonic Automotive (NYSE: SAH), one of the nation's largest automotive retailers, today reported it is reaffirming its full year guidance for adjusted diluted earnings per share from continuing operations to be between $1.65 and $1.70. Excluded from this range are costs associated with retiring its outstanding 5.0% Convertible Senior Notes due 2029 ("5% Notes") and tax benefits related to the settlement of certain tax matters in the second and third quarters of 2012 which total a net charge of $0.16 per diluted share. This range of expected adjusted diluted earnings per share supersedes the previously communicated expected range of $1.62 to $1.70. On an unadjusted basis, full year guidance for diluted earnings per share from continuing operations is expected to be between $1.49 and $1.54.
Sonic anticipates announcing in its earnings release scheduled for October 23^rd, 2012 adjusted earnings per share from continuing operations of $0.40, in line with the company's expectations. These results were driven by double-digit retail volume growth and improved cost performance. Adjusted earnings per share from continuing operations of $0.40 excludes the effect of a pre-tax charge of $18.5 million, or $0.19 per diluted share, related to costs associated with retiring its 5% Notes in the third quarter of 2012.
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