AUTOCANADA ANNOUNCES FOURTH QUARTER RESULTS

Executive Summary

• AutoCanada reported Q4 2025 revenue of C$1,116.6 M, down 11.8% YoY, and a net loss from continuing operations of C$2.3 M versus a profit of C$9.8 M in Q4 2024.
• Adjusted EBITDA fell 39.9% to C$32.7 M (margin 2.9%) as gross profit declined 19.5% and operating expenses were reduced 15.9%.
• The company completed several strategic actions: acquisition of Doug’s Place Strathcona (Oct 2025) and Modern Autobody (Jan 2026), a normal‑course issuer bid for up to 10% of shares, and multiple senior leadership transitions including appointment of Samuel Cochrane as CEO (Feb 2026).

Key Details

• Revenue: C$1,116.6 M (−11.8% YoY)
• Same‑store revenue: C$1,114.9 M (−9.4%)
• Gross profit: C$174.0 M (−19.5%); gross profit margin 15.6% vs 17.1% prior year
• Net loss – continuing ops: C$(2.3) M (−123.7% YoY) → diluted EPS $(0.06) vs $0.45 prior year
• Adjusted EBITDA (continuing): C$32.7 M (−39.9%) ; margin 2.9% vs 4.3% YoY
• Operating expenses before depreciation: C$137.2 M (−16.4%); normalized OPEX before depreciation C$131.5 M (−13.2%)
• Floorplan financing expense: C$8.3 M (−36.2%)
• Collision segment: Revenue C$35.4 M (−2.5%); gross profit C$18.1 M (+5.2%); adjusted EBITDA C$5.5 M (−7.9%)
• Vehicle sales: New retail units 7,028 (−17.7%); Used retail units 8,741 (−17.4%)
• Gross profit per new unit: C$3,748 (‑19.0%); per used unit: C$442 (‑75.9%)
• Cost transformation: $115 M annualized run‑rate cost savings achieved in 2025; restructuring charges of C$4.9 M reflected in normalized OPEX.
• Leadership changes:
• Oct 3 2025 – acquisition of Doug’s Place Strathcona (collision facility).
• Oct 28 2025 – CFO appointed Interim CEO; Executive Chair and Chief Strategy Officer/General Counsel departed.
• Nov 13 2025 – COO & President, North America transitioned out; promotions to interim president and collision president.
• Dec 15 2025 – appointment of Fade Bouras as COO (effective Jan 5 2026) and John North to Board.
• Feb 18 2026 – Samuel Cochrane appointed CEO (also Interim CFO).
• Share repurchase: Normal Course Issuer Bid approved Dec 15 2025; up to 1,177,539 shares (~10% of public float) may be purchased between Dec 18 2025 and Dec 17 2026.
• Divestitures & acquisitions post‑quarter:
• Jan 20 2026 – acquisition of Modern Autobody (collision facility).
• Jan 27 2026 – sale of Toyota of Lincoln Park (Chicago) for cash $11.2 M plus adjustments.
• Conference call: March 18 2026, 4:00 pm MT / 6:00 pm ET; webcast at https://investors.autocan.ca/2025-q4-conference-call/.

Notable Quotes

“Fourth quarter performance was shaped by a more challenging market backdrop… We have identified the issues, put new operating leadership in place, and are focused on closing the gap to market through 2026.” – Samuel Cochrane, CEO & Interim CFO.