Automotive Dealer Group Q4 Profit Up 21% - Helped By Increases in F&I Gross Profit
Sonic Automotive Inc.'s Q4 profit grew 21% over 2015's 4th quarter. The growth came mostly from gains in F&I gross profit and service/parts operations.
F&I gross profit increased 3.2% to $1,363 per vehicle sold by the group.
Here's what Sonic's executive vice president of operations had to say - “During the year, increases in fixed operations and F&I gross profit have been able to overshadow challenges experienced in the new and used vehicle gross profit categories."
What does this mean for you?
More and more dealers are relying on F&I gross profit to boost their bottom line. This is why they are happy to get customers from services like TrueCar, that don't help customers negotiate passed the selling price. To make sure you're getting the best deal possible, you need to partner with a car buying service that will handle the selling price, trade-in value, financing, leasing and insurance products.