Lithia & Driveway (LAD), parent company of Airstream Adventures, reported financial results for the first quarter of 2026.
“Our team drove strong results across our platform and sequential growth in earnings, delivering higher revenues and improved GPU in used vehicles, meaningful growth in aftersales and growing penetration in Driveway Finance,” said Bryan DeBoer, president and CEO. “Capital discipline remains a key focus, and we repurchased nearly 4% of our shares at prices well below intrinsic value. Our balance sheet and diversified platform give us a durable foundation to successfully navigate any market cycle.”
First quarter 2026 revenue increased 1% to $9.3 billion from $9.2 billion in the first quarter of 2025.
First quarter 2026 diluted earnings per share attributable to LAD was $4.28, a 46% decrease from $7.94 per share reported in the first quarter of 2025. After adjusting for the unrealized loss on our investment in Pinewood Technologies Group PLC and other non-core items, adjusted diluted earnings per share attributable to LAD for the first quarter of 2026 was $7.34, a 7% decrease compared to $7.93 per share in the same period of 2025.
First quarter 2026 net income was $102.0 million, a 51.7% decrease compared to net income of $211.2 million in the first quarter of 2025. After adjusting for the unrealized loss on our investment in Pinewood Technologies Group PLC and other non-core items, adjusted net income for the first quarter 2026 was $173.3 million, an 18% decrease compared to adjusted net income of $210.9 million for the same period of 2025.
First Quarter Highlights
- Record first quarter revenues of $9.3 billion
- Used vehicle revenue increased 4.6% on a same store basis in the quarter
- Used retail GPUs increased 9%, or $133, sequentially
- Aftersales revenue increased 3.8%, gross profit increased by 5.7% and gross margin was 58.7%, a 100-basis point increase, on a same-store basis
- Driveway Finance Corporation achieved record originations of $840 million, with an 18.0% penetration rate and an average FICO score of 750 in the quarter
- First quarter diluted earnings per share of $4.28 and adjusted diluted earnings per share of $7.34
- Repurchased $259 million of shares, representing 4.0% of outstanding shares in the quarter
Click here to read the full release and view LAD’s reconciliation tables.
