Daniel Hagan's questions to Group 1 Automotive Inc (GPI) leadership • Q4 2024
Question
Daniel Hagan asked about the drivers of the sequential and year-over-year increase in SG&A as a percentage of gross profit in the U.S. and where there are opportunities for efficiency. He also inquired about January sales trends.
Answer
CFO Daniel McHenry explained the slight increase in U.S. SG&A was partly due to a small rise in headcount costs and the effect of new vehicle margin reduction on the percentage calculation, rather than an absolute dollar increase. CEO Daryl Kenningham deferred commenting on January trends until the next quarterly report.