Icahn Automotive cuts losses despite falling sales

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SUNNY ISLES BEACH, Fla. — Icahn Automotive Group LLC reduced its pretax operating loss for the three months ended March 31 to $2 million from $9 million despite a 7.4% decline in revenue.

Icahn Automotive, an Icahn Enterprises LP unit, includes the pepboys auto repair and tire retailing and AutoPlus automotive parts distribution companies and is the franchisor of the AAMCO and Fine tuning car maintenance companies.

Icahn Enterprises did not comment on the reasons for the improved earnings performance.

On the revenue side, sales fell to $554 million, as an 8% rise in revenue from its automotive services business was offset by a $70 million decline in sales from its auto parts business, which the The company has linked store closures in line with its ongoing transformation plan.

The increase in Automotive Services revenue, to $353 million, represents an increase on a primarily organic basis, as prices rose 2% from a comparable prior year, Icahn said.

In the automotive services sector, management is working to find external tenants for underutilized locations, in line with the company’s agreement in 2020 to lease retail space in 109 Pep Boys stores. in California for Advanced auto parts Inc.

Net loss was reduced by 39% to $28 million.

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