CDK Global, makers of software used by RV and marine dealerships, among others, said it beat analysts’ expectations in both revenue and income for the recent quarter.
CDK had $433.1 million in revenue during Q3 of fiscal 2021, a 2 percent increase year-over-year. The company reported net income of $860.9 million.
“CDK delivered the strongest increase in auto (dealership management system) sites since 2016, representing our ninth straight quarter of year-over-year growth,” said Brian Krzanich, CDK’s CEO. “Our strong customer-focused approach has resonated with dealers and OEMs, and coupled with enhancements to our software and integrations, has resulted in new customer growth and increased penetration within our base. We are excited about the significant progress we’ve made during the quarter and look forward to future investment opportunities as we continue our on strategic growth journey.”
“We achieved the highest total company site count and revenue per site in our history,” added Eric Guerin, CDK chief financial officer. “Revenue was up two percent on solid underlying fundamentals within our DMS and core applications business. During the quarter, we closed the sale of our international business, reduced outstanding debt and are now announcing our intention to resume share repurchases. Guidance for the fiscal year has been revised to narrow the ranges as we head into our fourth quarter.”
