Quarterly report pursuant to Section 13 or 15(d)

Segment Information

v2.4.1.9
Segment Information
 3 Months Ended
Mar. 31, 2015
Segment Reporting [Abstract]  
Segment Information

11. Segment Information

 

As of March 31, 2015, Sonic had two operating segments: Franchised Dealerships and EchoPark®. The Franchised Dealerships segment is comprised of retail automotive franchises that sell new and used vehicles, replacement parts and vehicle repair and maintenance services, and finance and insurance products. The EchoPark® segment is comprised of stand-alone pre-owned specialty retail locations that provide customers an opportunity to search, buy, service and sell pre-owned vehicles.

 

The operating segments identified above are the business activities of Sonic for which discrete financial information is available and for which operating results are regularly reviewed by Sonic’s chief operating decision maker to assess operating performance and allocate resources. Sonic’s chief operating decision maker is a group consisting of the Company’s Chief Executive Officer, President and Chief Strategic Officer and the Chief Financial Officer. The Company has determined that its operating segments also represent its reportable segments.

 

Reportable segment revenue and segment income are as follows:

 

 

 

Three Months Ended March 31,

 

 

 

2015

 

 

2014

 

 

 

(In thousands)

 

Revenues:

 

 

 

 

 

 

 

 

Franchised Dealerships

 

$

2,219,830

 

 

$

2,136,386

 

EchoPark®

 

 

15,685

 

 

 

-

 

Total consolidated revenues

 

$

2,235,515

 

 

$

2,136,386

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended March 31,

 

 

 

2015

 

 

2014

 

 

 

(In thousands)

 

Segment income (loss) (1):

 

 

 

 

 

 

 

 

Franchised Dealerships

 

$

43,072

 

 

$

47,696

 

EchoPark®

 

 

(6,354

)

 

 

(1,742

)

Total segment income

 

 

36,718

 

 

 

45,954

 

Interest expense, other, net

 

 

(13,219

)

 

 

(13,818

)

Other income (expense), net

 

 

90

 

 

 

97

 

Income (loss) from continuing operations before taxes

 

$

23,589

 

 

$

32,233

 

(1) Segment income (loss) for each segment is defined as operating income less floor plan interest expense.