Asbury Automotive operates within the highly attractive industry of automotive retailing. The characteristics of automotive retailing are very compelling and, within the industry itself, Asbury is an established company that is well positioned for growth. The Company was strategically built on the premise of starting with the best ingredients - the right brands, markets and dealers. It's a solid foundation - building on that foundation with a sound strategy and operating model will determine our success in the future.
Attractive Industry Dynamics
Automotive retailing is a huge industry, with total annual revenues of approximately $1 trillion in the United States. Yet it remains much more fragmented than other major retail categories, as the combined market share of the top 10 companies is still well under 10 percent.
Automotive retailing offers relatively steady profit streams throughout various economic cycles. Over the last 25 years, the industry's profits have proven far more resilient and consistent than earnings of U.S. automobile manufacturers. Asbury itself has achieved steady growth in revenues and gross profit over the last five years.