AutoNation Inc. (NYSE:AN) reported better-than-expected quarterly earnings as the automotive retailer benefited from 17 percent jump in revenue due to stronger retail new vehicle unit sales.
Earnings from continuing operations were $82 million or $0.66 per share for the second quarter, compared with $73 million or $0.49 per share in the comparable period of last year.
Revenue rose to $3.9 billion from $3.3 billion, with retail new vehicle unit sales surging 29 percent.
Analysts, on average, polled by Thomson Reuters expected earnings of 59 cents per share on revenue of $3.77 billion.
Fort Lauderdale, Florida-based AutoNation's Domestic segment is comprised of stores that sell vehicles manufactured by General Motors (GM), Ford (F), and Chrysler. Its Import unit consists of stores that sell vehicles manufactured primarily by Toyota, Honda, Hyundai and Nissan.
The company's Premium Luxury segment is comprised of stores that sell vehicles manufactured primarily by Mercedes-Benz, BMW, Audi and Lexus.
The stock, which has been trading between $30.46 and $42.84 over the past year, closed Wednesday's regular trading at $42.45.