Group 1 Automotive is one of the largest franchised automotive dealer groups in the U.S. and U.K., operating 145 U.S. dealerships across 17 states and 109 U.K. dealerships across 62 towns and cities, plus 32 collision centers. Group 1's brand mix skews toward luxury and import nameplates — Toyota/Lexus, BMW, Mercedes-Benz, Honda/Acura, and Volkswagen/Audi/Porsche are among its largest OEM relationships. The U.S. is the core earnings engine at roughly 72% of new vehicle unit sales, with Texas alone accounting for nearly a third of U.S. new vehicle sales. Group 1 generates revenue across four business lines: new vehicles (largest by revenue, lowest margin), used vehicles (retail and wholesale), parts and service (aftersales), and F&I. Aftersales is the highest-margin and most counter-cyclical line, driven by repair order volume and dollars per repair order; Group 1 views technician headcount as the primary constraint on aftersales growth and has been investing heavily in recruitment and retention. F&I — arranging third-party financing and selling service contracts at the point of sale — is high-margin and capital-light, with profitability driven by product penetration and amount financed. Group 1 follows a cluster strategy, building density within local markets to improve inventory sharing and marketing efficiency. Capital allocation priorities include luxury/import franchise acquisitions in growth markets, aggressive share repurchases (over 10% of shares outstanding in 2025 alone), and modest dividends. The U.K. business was roughly doubled via the 2024 Inchcape acquisition and is currently under active restructuring.