Penske Automotive Group Inc. posted third-quarter F&I results of $1,922, up 8.7 percent.
CEO Roger Penske responded in the third-quarter earnings call in October to an analyst’s question on the Federal Trade Commission’s proposed dealership compliance rule by saying he fully supports the elimination of unfair, deceptive practices.
“Look, this is not the kind of business we want to be in,” Penske said. “I think any of my peers, also, would feel the same.
“About 40 percent of our reserve comes from finance and 60 percent comes from product,” Penske said. “To me, with us being a big player in leasing, we don’t have a lot to sell to a lease customer because typically those are two- or three-year leases.
“I think we’ve got to clean up the practices for sure. It only makes our industry better,” he added.
Penske Automotive ranks No. 3 on the Automotive News list of the top 150 dealership groups based in the U.S. The Bloomfield Hills, Mich., company’s retail sales of new vehicles totaled 195,384 last year.
John Huetter, Lindsay Van Hulle and Jack Wallsworth contributed to this report.