Sonic F&I revenue rises 13% YoY in 2025

Auto retailer Sonic Automotive ’s finance and insurance revenue increased despite a slowdown in new- and used-auto sales in the fourth quarter and full-year 2025. Sonic’s finance and insurance (F&I) revenue in Q4 2025 came in at $202.3 million, up 6.1% year over year , according to today’s earnings release. Full-year F&I revenue increased 12.9% YoY to $798.9 million. Charlotte, N.C.-based Sonic’s F&I gross profit per unit (GPU) was a record $2,624 in Q4, up 8.3% YoY, according to the release. Full-year F&I GPU rose 9.4% YoY to $2,596. Sonic’s floorplan interest expense increased to $22.4 million in Q4, up 4.7% YoY, according to the release. Full-year interest expense hit $84.7 million, down 2.5% YoY. Sonic reported new- and used-vehicle performance data: Q4 retail new-vehicle sales totaled 29,400 units, down 8.8% YoY; Full-year retail new-vehicle sales finished at 115,981 units, up 4.1% YoY; Q4 used-vehicle sales landed at 27,401 units, up 6.6% YoY; Full-year used-vehicle sales reached 104,202 units, up 2.2% YoY; Q4 retail new-vehicle GPU dipped 0.9% YoY to $3,209; Full-year retail new-vehicle retail GPU fell 6.3% YoY to $3,170; Q4 used-vehicle GPU declined 0.9% YoY to $1,389; and Full-year used-vehicle GPU rose 2.8% YoY to $1,514. While tariffs still concern consumers, especially as automakers begin to pass costs on to buyers, Sonic expects a strong year, with more certainty coming ahead of the summer, Chief Executive and Chairman David Smith said during today’s earnings call. “Great news is the service business is great and has lots of upside, the F&I business is great, and then the used-car business should just be fantastic,” he said. One potential concern for Sonic and other dealers is increasing new-vehicle prices because of tariffs, which is widening the gap between new- and used-car prices , Smith said. “As that gap widens, you really want your average retail selling price for used cars to be one half of that new car, and we're beginning to see that gap come back,” he said. “A lot of great opportunities when we move into the year, but a big caution on exactly what's going to happen from a pricing perspective on new.” Powersports F&I rises 15% YoY In addition to its automotive growth, Sonic reported growth across its powersports segment, with powersports F&I revenue rising 15.4% YoY to $1.5 million in Q4, according to the earnings release. For full-year 2025, powersports F&I revenue rose to $8.2 million, up 15.5% YoY. Additional powersports performance included: Q4 retail new-vehicle sales landed at 1,085 units, up 15.4% YoY; Full-year retail new-vehicle sales totaled 5,143 units, up 21.2% YoY; Q4 used-vehicle sales were 640 units, up 23.1% YoY; Full-year used-vehicle sales reached 3,442 units, up 54.5% YoY; Q4 wholesale vehicle sales landed at 76 units, up 375% YoY; Full-year wholesale vehicle sales totaled 278 units, up 90.4% YoY; Q4 new-vehicle GPU rose 17.3% YoY to $2,742; Full-year new-vehicle retail GPU increased 12.4% YoY to $3,050; Q4 used-vehicle GPU dipped 0.7% YoY to $1,927; Full-year used vehicle GPU dropped 17.4% YoY to $1,980; Q4 F&I GPU inched up 0.7% YoY to $874; and Full-year F&I GPU fell 12.2% YoY to $959. Sonic’s plan for its powersports segment in 2026 includes streamlining operations, upgrading inventory and marketing, using its wider network scale to grow used and F&I sales, and pursuing mergers and acquisitions to drive growth and reduce volatility, according to the earnings presentation. “We are beginning to see the benefits of our investment in modernizing the powersports business and the future growth opportunities it may provide,” Smith said. Shares of Sonic Automotive [ NYSE: SAH ] were trading at $62.89 at market close, up 7.9% or $4.61, from market open. Sonic has a market capitalization of $2 billion. Auto Finance News will present multiple invaluable events for industry professionals in 2026, starting with Auto Finance Summit East and Auto Finance Capital Summit in May. To see event agendas and register, visit autofinance.live .

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Sonic F&I revenue rises 13% YoY in 2025

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