Sonic Automotive Q2 Profit Down; Backs FY EPS View

(RTTNews) - Automotive retailer Sonic Automotive, Inc. (SAH) Tuesday reported net income of $8.9 million or $0.17 per share for the second quarter, compared with $28.1 or $0.47 per share during the same quarter last year.

Excluding pre-tax charge of about $29 million or $0.34 per share related to costs associated with retiring the company's outstanding 9 percent Senior Subordinated Notes due 2018, adjusted earnings from continuing operations increased 11.1 percent to $0.50 per share. On average, nine analysts polled by Thomson Reuters expected earnings per share of $0.52 for the quarter. Analysts' estimates typically exclude one-time items.

Total revenues increased to $2.2 billion from $2.1 billion reported during the corresponding period last year. Analysts expected the company to $2.28 billion for the quarter.

"..I'm pleased to reiterate our earnings guidance that was originally given at the beginning of the year. We are targeting fully diluted earnings per share from continuing operations at $1.93-$2.03 for the full year 2013..." Scott Smith, the Company's President said.

In a separate statement, the company proposed a quarterly cash dividend of $0.025 per share payable on October 15 to shareholders of record on September 13.