MEDFORD, Ore. -

In a period that saw the dealership group’s same-store used- and new-vehicle sales climb double-digits, Lithia Motors enjoyed nearly a 70-percent spike in income from continuing operations during the third quarter, the retailer reported Wednesday.

Specifically, Lithia posted income from continuing operations of $16.3 million, up from $9.6 million a year ago.

Quarterly revenues from continuing operations reached $737.9 million, up 28.8 percent year-over-year.

Same-store used sales jumped 14 percent, while same-store new sales climbed 28 percent. Sales in the service/body/parts department climbed 3 percent on a same-store basis.

Lithia noted that SG&A expense as a percent of gross profit was 70.8 percent, down 310 basis points.

“Our team continued to execute in the third quarter,” said Lithia chairman and chief executive officer Sid DeBoer. “We increased quarterly revenue 29 percent, and we grew diluted earnings per share 69 percent. As we remain disciplined on controlling costs, incremental operating leverage demonstrates the earnings power of our company.”

Bryan DeBoer, president and chief operating officer, added: “We grew new-vehicle same-store sales 28 percent, well above the national average. Our import stores grew new unit sales volume 2 percent, despite shortage of import brand new-vehicle inventory. However, we still have opportunity to increase our market share in both new- and used-vehicle sales.”

Through the first three quarters of the year, Lithia has pulled in $2.0 billion in revenue from continuing operations, versus the $1.6 billion figure from the first nine months of 2010.

Through September, Lithia increased same-store new sales by 31 percent year-to-date and pushed same-store used sales up by 16 percent.
Meanwhile, it has seen a 5-percent lift in service/body/parts same-store sales.

Year-to-date, Lithia’s adjusted income from continuing operations is at $1.48 per diluted share. During the same period of 2010, it was $0.72 per diluted share in 2010.

Without adjustments, Lithia has generated income from continuing operations of $1.47 per diluted share in the first three quarters of the year. During the first nine months of 2010, this figure was $0.35 per diluted share.

Sharing some balance sheet data, officials noted that at the end of the third quarter, Lithia had cash of $16 million and unfinanced new-car inventory totaling $49 million.

Lithia secured a new three-year revolving credit facility on Sept. 30 with US Bank, N.A. and JPMorgan Chase Bank, N.A. totaling $200 million. Of that sum, $100 million will go to new-vehicle floor plan financing and the other half is for general corporate purposes.

Officials indicated that the new facility provides roughly $29 million in available funds, which pushes Lithia’s available liquidity to about $94 million.