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Group 1 Automotive: From Jaguar Land Rover Exits To Geely Partnerships—A Bold Portfolio Reset?

Group 1 Automotive reported first quarter 2026 revenues of $5.4 billion, with a gross profit of $878 million and an adjusted net income of $104 million, resulting in adjusted diluted EPS of $8.66 from continuing operations. The company navigated multiple operational and external challenges, including weather disruptions estimated to have impacted gross profit by approximately $7 million, largely in the after-sales business. Despite these headwinds, Group 1 demonstrated resilience, especially in its core operations. In the United States, new vehicle gross profit per unit (GPU) remained robust, exceeding $3,300 for the third consecutive quarter, even as unit sales declined due to affordability pressures and a tough comparative period. Used vehicle retail units also declined, with GPUs down about 3%, attributed to competitive sourcing environments and supply constraints, resulting in lighter inventories of lower-priced, higher-margin vehicles.