Lithia Motors’ service, body and parts revenue climbed 9.3 percent to $89.67 million in the fourth quarter of 2012. Segment same-store sales increased 8.1 percent to $87.09 million, as warranty had a strong performance for the quarter, growing 11 percent. Wholesale parts revenue was up 6 percent, while body shop was up 14 percent. Customer-pay work increased 7 percent, which made for the 14th consecutive quarter of same-store sales improvement.
Service, body and parts gross margin increased 140 basis points to 48.2 percent over the final three months of 2012. Management’s guidance calls for the unit to come through with gross margin of between 48 percent and 48.2 percent in 2013. Service, body and parts same-store sales are expected to increase 5 percent this year.
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