A Class Of Its Own

Lithia Motors expects third-quarter profit surge

Lithia Motors Inc. claimed it anticipates 3rd-quarter net income to surge and introduced plans to raise extra than $one billion via debt and equity offerings.

The Medford, Ore., retailer claimed Tuesday that net income per diluted share will be among $six.10 to $six.forty, an maximize of sixty eight % and seventy six %, respectively, in comparison with $three.64 per share recorded very last calendar year. Assuming Lithia retains about 23 million fantastic shares it noted in the second quarter, that would translate to a net income of $a hundred and forty million to $147 million. That compares with a net income of $78 million in the second quarter in 2019 and $85 million in the 3rd quarter.

Lithia also claimed it expects to report revenue increasing “in the mid- to large single-digit selection” in comparison with 2019’s noted $three.three billion for the 3rd quarter.

Individually, Lithia introduced plans to raise $one.2 billion in money via debt and equity offerings. The company expects $500 million to come from a senior take note and at the very least $seven-hundred million via a popular stock presenting, although that determine could maximize an further $one hundred and five million via a different stock sale.

Lithia executives did not react to requests for comment.