PENSKE AUTOMOTIVE GROUP REPORTS QUARTERLY RESULTS (Form 8-K)

PENSKE AUTOMOTIVE GROUP REPORTS QUARTERLY RESULTS

Total New and Used Retail Automotive Gross Profit Per Unit Retailed Increases Sequentially

Record Retail Automotive Service and Parts Revenue Increases 4.6% to $864 Million

Same-Store Retail Automotive Service and Parts Revenue Increases 4.6% and Related Gross Profit Increases 5.7%

Same-Store Retail Commercial Truck Service and Parts Revenue Increases 4.1%

Earnings Before Taxes of $324 Million; Net Income of $235 Million; Earnings Per Share of $3.56

Completed Acquisitions Representing $450 Million in Estimated Annualized Revenue

Repurchased 170,393 Shares

BLOOMFIELD HILLS, MI, April 29, 2026 - Penske Automotive Group, Inc. (NYSE: PAG), a diversified international transportation services company and one of the world's premier automotive and commercial truck retailers, today announced financial results for the first quarter of 2026. For the quarter, revenue was $7.9 billion compared to $8.0 billion for the same period in 2025. Net income attributable to common stockholders was $234.5 million compared to $257.7 million for the same period in 2025, and related earnings per share was $3.56 compared to $3.86 for the same period in 2025. These GAAP results include certain disposals and other charges, as well as the full quarterly results of Penske Motor Group in both periods, which is required by GAAP for common control transactions (see page 14 below). Excluding certain disposals and other charges and a gain on the sale of a dealership in both periods, as reconciled in the attached schedules, adjusted net income decreased 16% to $200.6 million and adjusted earnings per share decreased 15% to $3.05, as a difficult comparison with the prior year period and challenging market conditions impacted year-over-year performance. Foreign currency exchange positively impacted revenue by $227.6 million, net income attributable to common stockholders by $3.4 million, and earnings per share by $0.05.

Commenting on the Company's results, Chair Roger Penske said, "In the first quarter of 2026, our business delivered over 126,000 retail automotive and commercial truck units, generated $7.9 billion in revenue and $323.7 million in earnings before taxes. During the quarter, we continued to demonstrate a flexible approach to capital allocation by completing the acquisition of two Lexus dealerships in the Orlando metropolitan area of Central Florida, increasing the dividend paid to stockholders by 1.4% and repurchasing 170,393 shares of common stock. I was particularly pleased with the sequential increase in new and used vehicle gross profit per unit in our retail automotive business and the continued strength of our service and parts business, which increased retail automotive same-store revenue by 5% and related gross profit by 6%. Further, I am encouraged with the trends we are seeing across the trucking market as the freight environment improves and Class 8 orders were strong in recent months."

Retail Automotive Dealerships

For the three months ended March 31, 2026, total new units delivered decreased 5% and used units delivered decreased 1%. The decrease in new units is primarily related to the U.S. market from weather-related disruptions during January and

February, the benefit in the prior period from tariff-related pull-forward of retail sales, and the lower demand for electric vehicles in the U.S. associated with regulatory easing and the expiration of tax credits. Total retail automotive revenue increased 1% to $7.0 billion and increased 1% on a same-store basis. On a sequential basis when compared to the fourth quarter of 2025, new vehicle gross profit per unit increased $94 and used vehicle gross profit per unit increased $306. When compared to the prior year period, same-store retail automotive service and parts revenue increased 5%, gross profit increased 6%, and gross margin improved 60 basis points to 59.0%.

Retail Commercial Truck Dealerships

For the three months ended March 31, 2026, the Company's retail commercial truck dealerships retailed 3,583 new and used units and generated $694.6 million in revenue and $36.4 million in earnings before taxes. This compares to new and used units of 4,714, revenue of $823.7 million, and $45.1 million in earnings before taxes during the same period in the prior year as lower order intake related to the weak freight environment in the third and fourth quarters of 2025 impacted truck deliveries during the first quarter of 2026. In recent months, the Class 8 market order activity began to increase as the freight recession started to show signs of improvement, with industry reports showing a 91% increase in Class 8 market orders for the three months ended March 31, 2026, when compared to the same period in the prior year. In addition, our retail commercial truck dealership operations experienced a 5% increase in service and parts revenue during the quarter.

Penske Transportation Solutions Investment

Penske Transportation Solutions ("PTS") is a leading provider of full-service truck leasing, truck rental, contract maintenance, and logistics services. PTS operates a managed fleet with over 387,500 trucks, tractors, and trailers under lease, rental and/or maintenance contracts. Penske Automotive Group has a 28.9% ownership interest in PTS and accounts for its ownership interest using the equity method of accounting. For the three months ended March 31, 2026, the Company recorded a 24% increase in earnings to $41.1 million as PTS operating results improved related to growth in full-service leasing, improved fleet utilization, lower operating expenses, and lower interest costs, partially offset by continued challenges in the rental market and by lower gain on sale of used trucks.

Corporate Development, Capital Allocation, Liquidity, and Leverage

The Company's strong balance sheet, cash flow generation, and best in class leverage continue to support our flexible capital allocation approach. In February 2026, the Company announced that it completed the acquisition of Lexus of Orlando and Lexus of Winter Park, both located in the Orlando metropolitan area of Central Florida. The acquisition is expected to add $450 million in estimated annualized revenue. Coupled with the acquisitions in November 2025, the Company has acquired two Toyota and four Lexus dealerships in the last six months which are expected to generate approximately $2 billion in estimated annualized revenues.

During the three months ended March 31, 2026, the Company repurchased 170,393 shares of common stock for approximately $26.4 million. As of March 31, 2026, $221.2 million remained outstanding and available for repurchases under our securities repurchase program. As of March 31, 2026, the Company had approximately $1.3 billion in liquidity, including $84 million in cash and $1.2 billion of availability under its U.S. and international credit agreements and revolving mortgage facilities. The Company's leverage ratio at March 31, 2026 was 1.8x.

Conference Call

Penske Automotive Group will host a conference call discussing financial results relating to the first quarter of 2026 on Wednesday, April 29, 2026, at 2:00 p.m. Eastern Daylight Time. To listen to the conference call, participants must dial (800) 715-9871 [International, please dial (646) 307-1963] using access code 9658297. The call will also be simultaneously broadcast over the Internet, available through the Investors section of the Penske Automotive Group website. Additionally, an investor presentation relating to the first quarter 2026 financial results has been posted to the Investors section of the Company's website. To access the presentation or to listen to the Company's webcast, please refer to www.penskeautomotive.com.

About Penske Automotive

Penske Automotive Group, Inc., (NYSE: PAG) headquartered in Bloomfield Hills, Michigan, is a diversified international transportation services company and one of the world's premier automotive and commercial truck retailers. PAG operates dealerships in the United States, the United Kingdom, Canada, Germany, Italy, Japan, and Australia and is one of the largest retailers of commercial trucks in North America for Freightliner. PAG also distributes and retails commercial vehicles, diesel and gas engines, power systems, and related parts and services principally in Australia and New Zealand. PAG employs over 28,800 people worldwide. Additionally, PAG owns 28.9% of Penske Transportation Solutions ("PTS"), a business that employs nearly 41,000 people worldwide, manages one of the largest, most comprehensive and modern trucking fleets in North America with over 387,500 trucks, tractors, and trailers under lease, rental, and/or maintenance contracts and provides innovative transportation, supply chain, and technology solutions to its customers. PAG is a member of the S&P Mid Cap 400, Fortune 500, Russell 1000, and Russell 3000 indexes. For additional information, visit the Company's website at www.penskeautomotive.com.

Non-GAAP Financial Measures

This release contains certain non-GAAP financial measures as defined under SEC rules, such as adjusted revenue, adjusted gross profit, adjusted net income, adjusted earnings per share, adjusted earnings before taxes, earnings before interest, taxes, depreciation, and amortization ("EBITDA"), adjusted EBITDA, adjusted selling, general, and administrative expenses, and leverage ratio. The Company has reconciled these measures to the most directly comparable GAAP measures in the release. The Company believes that these widely accepted financial measures of operating profitability improve the transparency of the Company's disclosures and provide a meaningful presentation of the Company's results from its core business operations excluding the impact of items not related to the Company's ongoing core business operations and improve the period-to-period comparability of the Company's results from its core business operations. These non-GAAP financial measures are not substitutes for GAAP financial results and should only be considered in conjunction with the Company's financial information that is presented in accordance with GAAP.