AutoNation : Third Quarter 2025 Earnings Conference Call and Audio Webcast Presentation

Third Quarter 2025 Earnings Release

October 23, 2025

1

3Q 2025

Overview

HIGHLIGHTS
New Vehicle Unit Growth (SS)	+4%
Used Vehicle Unit Growth (SS)	+2%
CFS Gross Profit (SS)	+11%
After-Sales Gross Profit (SS)	+7%
AN Finance Portfolio	$2+B
Adjusted Free Cash Flow (YTD)	$786M
Capital Deployment (YTD)	$1.0B

Double-digit Domestic growth; record BEV sales Higher profitability YoY, strong wholesale performance 7% unit profitability, 4% unit volume

Record 3Q total store gross profit; margin up 100bps

Improving profitability and portfolio leverage Robust cash flow conversion

Repurchases $435M, Acquisitions $384M, & CapEx $223M

Strong performance and balanced capital deployment

3

3Q 2025

Financial Summary

3Q 2025	YoY
$7,037 $1,238 $834 $348 $191 38.1	7% Same-store New Vehicle +7%, After-Sales +6% 5% Same-store CFS +11%, After-Sales +7% Used +2% 5% 67.4% of Gross Profit (Target 66 - 67%) 9% Modest improvement in margin rate 18% Lower floorplan / ~25% effective tax rate -5% Continued capital allocation priority
$5.01	25%

($ in millions, except per share data)

3Q 2024

Total Revenue

$6,586

Gross Profit $1,183

Adj. SG&A Expense $797

Adj. Operating Income $320

Adj. Net Income $162

Wtd. Avg. S/O 40.3

Diluted Adj. EPS $4.02

Refer to the Appendix for Non-GAAP Reconciliations 4

3Q 2025

New Vehicles

5%

66,189

63,150

$2,804

$2,281

3Q 24

3Q 25

RETAIL UNITS & UNIT PROFITABILITY

• Same store units increased 4%, led by increases in domestic and import brands

• PVRs lower YoY driven by:

  • Lower manufacturer assistance

  • Domestic Mix

  • Record BEV sales, low exit inventory

• Vehicle supply at 47 days (v. June 49 days)

Retail Units

Gross Profit per Unit 5

3Q 2025

Used Vehicles

3Q 25

3Q 24

$1,489

$1,589

68,896

66,454

RETAIL UNITS & UNIT PROFITABILITY

• Unit sales increased 4% from 2024

• Strong unit growth led by over $40k category

  (+17% YoY)

• Total Used gross profit +3%, reflecting increased units and stronger wholesale

• Lower PVR reflects higher acquisition costs

• Vehicle supply at 37 days (v. June 39 days)

Retail Units

Gross Profit per Unit 6

3Q 2025

Customer Financial Services

3Q 25

3Q 24

$2,588

$2,775

$335

$375

GROSS PROFIT ($M) & UNIT PROFITABILITY

• Total unit sales increased 4%+

• Record total CFS profit - unit profitability increased YoY and QoQ

  • Improved margins on vehicle service contracts

  • Consistent attachment rates and higher

    finance penetration

• Continued growth of AN Finance - superior long-term shareholder value, current quarter CFS unit profitability headwind (~$30 YoY)

Gross Profit ($M)

Gross Profit per Unit 7

Sep. YTD 2025

$4

-$10

YTD 24

YTD 25

YTD PROFITABILITY ($M)

• Attractive offerings driving strong customer take-up in high ROE business model

• 10% penetration rate (vs 7% in 3Q 24)

• Originations of $1.3+B in YTD 25 (vs. $0.7B in

  YTD 24)

• Weighted average FICO of 697 YTD 25 (vs. 674 YTD 24)

• 30+ Day Delinquencies 2.4% in 3Q 25, losses

  stable as a percent of portfolio

• Improved funded status and doubled portfolio size without additional equity contribution

AutoNation Finance

Scaling the portfolio with improved profitability

AN Equity Funding (%)

$2,020

Non-Recourse Debt Funded (%)

$942

YTD 24

YTD 25

PORTFOLIO BALANCE ($M)

69%

31%

86%

14%

8

3Q 2025

After Sales

$1,226

$1,171

3Q 24

3Q 25

REVENUE ($M) & GROSS MARGIN (%)

47.7%

48.7%

• Same-store top-line and gross profit growth of 6% and 7%

• Growth led by Customer Pay, Internal, and Warranty

• Increased repair order count and value per repair order

• Increased technician headcount

Revenue ($M)

Gross Profit Margin (%) 9

Sep. YTD 2025

Free Cash Flow

$786M

$467M

YTD 2024

YTD 2025

ADJ FCF ($M) & CONVERSION %

91%

134%

Adjusted FCF ($M)

Conversion %

• Consistent, attractive cash conversion profile (100%)

• Focused on working capital and cycle times (e.g. billing, time-to-auction, and service WIP)

• CapEx discipline ($40M YoY reduction)

• CDK business interruption insurance proceeds ($40M)

Refer to the Appendix for Non-GAAP Reconciliations 10