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130,000 Companies Are Involved in the $65 Billion Auto Repair Industry in the US

DUBLIN, Ireland--April 20, 2006--Research and Markets has announced the addition of Automotive Repair Shops - Industry Profile to their offering.

Brief Excerpt from Industry Overview Chapter:

About 130,000 companies in the US are involved primarily in auto repair, with combined annual revenue of $65 billion. Only ten companies have revenue over $100 million, including Midas, Monro Muffler Brake, and Diamond Triumph Auto Glass. Some car repair work is also provided by 45,000 gas stations; 24,000 new car dealerships; and branches of chain stores, like Sears and Kmart. The industry is highly fragmented: 10,000 companies have annual revenue over $1 million, 150 have revenue over $10 million.


Demand depends on the number of cars, how much they're driven, and how complicated they are to fix. The profitability of individual companies depends on volume, because many costs are fixed. Large companies are more likely to use expensive diagnostic equipment efficiently and benefit from advertising, but the economies of scale aren't large.

The typical repair shop operates one location and has annual revenue between $250,000 and $1 million. Companies with higher revenue typically operate more than one location, with revenue per location close to $1 million. Revenue per location is lower for large repair chains, like Monro, that typically provide specialized but lower-skilled services like muffler and windshield replacement. Recently, Monro operated 515 locations, with average revenue per location less than $500,000.


About 60 percent of industry revenue comes from mechanical repair and 40 percent from body shop work.

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Topics Covered

Industry Overview

Quarterly Industry Update

Business Challenges

Trends and Opportunities

Call Preparation Questions

Financial Information

Industry Forecast

Website and Media Links

Glossary of Acronyms

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