Group 1 Automotive Board Approves Share Repurchase Authorization, Announces Quarterly Cash Dividend

— Increases share buyback authorization

— Increases quarterly cash dividend

HOUSTON, February 16, 2022 /PRNewswire/ — Group 1 Automotive, Inc. (NYSE: GPI) (“Group 1” or the “Company”), a Fortune 300 international automotive retailer with 200 dealerships located in the United States and United Kingdom, today announced that its Board of Directors has increased the authorization of repurchase of ordinary shares of the Société de $144.2 million at $200.0 million, and also declared an increased quarterly cash dividend. In addition, the Company announced the disposal of two stores.

“We continue to demonstrate strong cash flow and a healthy balance sheet, which will allow for significant capital deployment flexibility in 2022 as we seek to grow through acquisitions while returning capital to our shareholders,” said Earl J. HesterbergPresident and CEO of Group 1.

  • Share buybacks and increased authorizations
    The Company announced that its Board of Directors has increased the Company’s common stock repurchase authorization by $144.2 million at $200.0 million. During February 2022Following the fourth quarter 2021 earnings call, the Company executed transactions to repurchase 107,320 shares at an average price per common share of $172.00for a total of $18.5000000. Purchases may be made from time to time, depending on market conditions, legal requirements and other corporate considerations, on the open market or in privately negotiated transactions. The Company expects any share buybacks to be funded by cash flow from operations. The repurchased shares will be held in treasury.

  • Quarterly Cash Dividend Increase
    The Group 1 board also declared a cash dividend of $0.36 per share for the fourth quarter of 2021. The dividend represents an increase of 2.9%, i.e. $0.01 per share, starting in the third quarter of 2021, and will be payable on March 15, 2022to shareholders registered in March 1, 2022.

  • Business development
    The company also announced the divestiture of a Honda dealership and a Toyota dealership in the New England area. These stores generated approximately $125 million in the income of the last twelve months.

    In November 2021the Company announced the pending sale of its Brazilian operations, which is expected to close in the second quarter of 2022.

ABOUT GROUPE 1 AUTOMOTIVE, INC.
Group 1 owns and operates 200 car dealerships, 266 franchisees, and 45 collision centers at United States and the UK this offer 34 automobile brands. Through its dealers, the Company sells new and used cars and light trucks; organizes the financing of related vehicles; sells service contracts; provides automotive maintenance and repair services; and sells vehicle parts.

Group 1 discloses additional information about the company, its business and its results of operations at www.group1corp.com, www.group1auto.com, www.group1collision.com, www.acceleride.com, www.facebook.com/group1autoand www.twitter.com/group1auto.

FORWARD-LOOKING STATEMENTS
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which are statements relating to future, not past, events and are based on our current expectations and assumptions about our business, economy and other future conditions. In this context, forward-looking statements often include statements about our objectives, plans, projections and directions regarding our financial condition, results of operations and business strategy, and often contain words such as “expects “, “anticipates”, “intends”, “”plans”, “believes”, “seeks”, “should”, “plans”, “may” or “will” and similar expressions. these forward-looking statements are reasonable as made, there can be no assurance that future developments affecting us will be those we anticipate. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may actual results may differ materially from those set forth in the statements.These risks and uncertainties include, among others, (a) general economic and business conditions. ales, (b) the level of manufacturer incentives, (c) the future regulatory environment, (d) our ability to obtain inventory of new and used vehicles, (e) our relationship with our automakers and the willingness manufacturers to approve future acquisitions, (f) our cost of financing and availability of credit to consumers, (g) our ability to complete acquisitions and divestitures and the risks associated therewith, (h) controls over and currency fluctuations, (i) the impacts of COVID-19 on our business, (j) the impacts of any potential global recession, (k) our ability to maintain sufficient liquidity to operate, (l) the risk that proposed transactions are not completed in a timely manner, and (m) our ability to successfully integrate recent and future acquisitions. For additional information about known important factors that could cause our actual results to differ materially from our projected results, please see our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K, our quarterly reports on Form 10-Q and our current reports. Reports on Form 8-K. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statements after the date on which they are made, whether as a result of new information, future events or otherwise.

Investor contacts:
Sheila Roth
Manager, Investor Relations
Group 1 Automotive, Inc.
713-647-5741 | [email protected]

Media contacts:
Pete DeLongchamps
Senior Vice President, Manufacturer Relations, Financial Services and Public Affairs
Group 1 Automotive, Inc.
713-647-5770 | [email protected]
Where
Clint Woods
Pierpont Communications, Inc.
713-627-2223 | [email protected]

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SOURCE Group 1 Automotive, Inc.

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