Penske Automotive is one of the largest car retailers in the world. With 172 mainly premium and import dealerships in 17 states, Penske is the second largest auto dealer in the U.S. As a result, this publically-trade, Fortune 500 Company acts as a barometer for car dealers around the country and the world. Good news: Penske experienced a surge in total sales in the first quarter of 2011, up 15-percent to almost $3 billion.
Penske's U.S. retail sales in the first quarter were up 18-percent. U.S. dealers saw new car sales rise 11-percent with used car sales up 18-percent. Penske earned half its revenue from new car sales and 29-percent from used.
The full impact of the earthquake and tsunami in Japan on Penske’s dealerships won’t be felt until later this year. Anthony Pordon, Penske Senior Vice-President, told TheCarConnection that he expects the supply chain to be more severely affected beginning in June. He doesn't expect the full brunt of supply chain problems to hit those dealerships impacted by earthquake-affected areas in Japan until the third quarter.
Penske’s 326 dealers around the world had a 42-day new car inventory at the end of the first quarter of this year. Pordon says that this compares to a 45-day inventory a year ago. Used car inventories stood at 34 days at the end of the first quarter of 2011 compared to 32 days last year.
Penske sells 39 different brands at 326 dealerships worldwide. Most are located in the U.S. and the United Kingdom. This is a break-out of the automobile manufacturers sold through its dealerships:
- BMW / MINI 23 percent
- Toyota / Lexus 17 percent
- Honda / Acura 13 percent
- Audi 12 percent
- Mercedes Benz / smart 10-percent
- LandRover 5 percent
- Porsche 4 percent
- Ferrari / Maserati 3 percent
- Other 13 percent
Only four percent of Penske dealerships carry vehicles made by the Big 3 domestic carmakers.