Lithia & Driveway (LAD) Further Expands Network Adding $170 Million in Revenue
MEDFORD, Ore., Aug. 24, 2021 -- Lithia & Driveway today announced the acquisition of Rock Honda, a Top 20 Honda New Volume Dealer in the U.S. The purchase of this high-performing Honda dealership in the Inland Empire continues LAD's fast-paced growth trajectory and expands the reach of its omni-channel network.
Rock Honda is located in Fontana, CA and was the 16th largest New Volume Honda store in the nation in 2020. In addition to vehicle sales and service, Rock Honda is also licensed to provide customers with personal insurance as part of their consumer offerings.
"We are excited to reach more consumers in the Southwest region and welcome the Rock Honda team to the Lithia & Driveway family. This high-performing, customer-focused store expands our omni-channel network and introduces a new adjacency with personal insurance products, further complementing our ability to provide consumers transportation solutions wherever, whenever and however they desire," said Bryan DeBoer, LAD President and CEO.
Rock Honda is expected to generate $170 million in annualized revenues, bringing LAD's total expected annualized revenue acquired to date in 2021 to over $4.9 billion. Lithia is pacing ahead of their 5-year plan to achieve $50 in earnings per share (EPS) and $50 billion in revenue by 2025. This purchase was financed using an existing on-balance sheet capacity.
About Lithia & Driveway (LAD)
LAD is a growth company powered by people and innovation with a 5-Year Plan to profitably consolidate the largest retail sector in the country. As the leading provider of personal transportation solutions in the United States, LAD is among the fastest-growing companies in the Fortune 500 and is currently ranked #231 (#2 on 10-Year EPS Growth, #3 on 10-Year TSR and #12 on 10-year Revenue growth in 2021). By providing a wide array of products and services for the entire vehicle-ownership lifecycle through various consumer channels, they build magnetic brand loyalty. Operational excellence is achieved by focusing the business on convenient and transparent consumer experiences supported by proprietary data science to improve market share, consumer loyalty and profitability. LAD's omni-channel strategy will continue to pragmatically disrupt the industry by leveraging experienced teams, vast-owned inventories, technology, and physical network. Continuing to lead the industry's consolidation and Driveway's e-commerce, in-home experiences further accelerate the massive regenerating capital engine. Together, these endeavors create a unique and compelling high-growth strategy that provides transportation solutions wherever, whenever, and however consumers desire.
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SOURCE Lithia Motors, Inc.