10-K · February 25, 2026
Lithia (Lithia & Driveway) emphasizes an omnichannel, acquisition-driven growth strategy centered on its 455-store network, Driveway/GreenCars e-commerce platforms, and captive finance (DFC). The 2025 10-K highlights…
Earnings analysis · 10-Q
LAD earnings analysis
Filed April 29, 2026 · Our reading of the company's report
The latest report
Lithia Motors (LAD) reported Q1 2026 results with revenues of $9.27 billion and EPS of $7.34, both exceeding market expectations. Notable growth in used vehicle sales and aftersales drove the revenue increase compared…
Read full summary
Lithia Motors (LAD) reported Q1 2026 results with revenues of $9.27 billion and EPS of $7.34, both exceeding market expectations. Notable growth in used vehicle sales and aftersales drove the revenue increase compared to the prior year, despite a decline in new vehicle gross profit margin and net income.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $7.34
- Gross margin
- 15.3%
- Segment
- New vehicle
- Segment
- Used vehicle
- Segment
- Finance and insurance
- Segment
- Aftersales
What stood out
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Q1 Revenue Exceeds Expectations
Q1 2026 revenue reached $9.27 billion, beating estimates of $9.25 billion.
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Strong EPS Performance
Reported EPS was $7.34, surpassing expectations of $6.90.
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7.3% Growth in Used Vehicle Sales
Used vehicle revenue increased by 7.3% to $3.49 billion compared to Q1 2025.
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Aftersales Revenue Increases
Aftersales revenue grew 6.1% to $1.04 billion, supported by increased customer pay transactions.
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Solid Free Cash Flow
Free cash flow for the quarter stood at $297 million, indicating healthy cash generation.
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Robust Liquidity Position
Total liquidity as of March 31, 2026, was approximately $1.4 billion, including $160.8 million in cash.
What to watch
-
Decline in New Vehicle Revenue
New vehicle revenue decreased by 4.4% to $4.38 billion compared to Q1 2025.
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Increased SG&A Expenses
SG&A expenses increased as a percentage of gross profit, impacting net income.
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EPS Decline Compared to Prior Year
EPS dropped compared to the prior year, revealing underlying profitability challenges.
Management's outlook
No explicit numerical guidance provided; outlook remains focused on strategic growth through acquisitions and market conditions.
Earlier filings 4
10-Q · July 30, 2025
Lithia reported Q2 2025 results that beat consensus: revenue of $9,583.0 million and diluted EPS of $9.87. Gross margin and operating margin were essentially stable (15.5% and ~4.4%), operating profit increased to…
10-Q · April 24, 2025
Lithia reported Q1 revenue of $9,178.3 million, up 7.2% year-over-year, with gross margin modestly compressing to ~15.4% while operating margin expanded to ~4.4%. Diluted EPS rose to $7.94 (vs $5.89YE-2024 Q1),…
10-K · February 24, 2025
Lithia and Driveway (LAD) emphasizes an omnichannel strategy built on scale (459 locations, 52 brands as of December 31, 2024) and acquisition-driven growth (146 stores acquired in 2024). The company deploys a formal…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.