Lithia & Driveway announced the purchase of the Porsche Beverly Hills and Audi Santa Monica dealerships on November 11, 2025, adding an estimated $450 million in annualized revenue to its portfolio. The deal brings the company’s year‑to‑date expected annualized revenue acquired to $2.1 billion, underscoring its aggressive growth strategy in the high‑margin luxury segment.
The transaction is financed with on‑balance‑sheet capacity, a move that signals Lithia’s strong financial position and its confidence that the new stores will be accretive to earnings. By adding two iconic luxury brands in the Los Angeles market, the company expands its omnichannel ecosystem and strengthens its position among the world’s highest‑volume dealerships.
Management highlighted that the acquisition will enhance Lithia’s luxury mix and generate meaningful earnings. President and CEO Bryan DeBoer said, “We’re excited to welcome Porsche Beverly Hills and Audi Santa Monica to the Lithia family—two iconic dealerships rooted in one of the world’s most prestigious automotive markets. These stores not only elevate our luxury mix but also contribute to our ecosystem and generate meaningful earnings.”
While the fact‑check report notes that the deal value and specific multiples were not disclosed, the $450 million annualized revenue addition reflects a significant upside for Lithia’s revenue mix. The lack of a stated closing date is typical for such transactions, and the company’s on‑balance‑sheet financing suggests a smooth integration path.
The acquisition aligns with Lithia’s broader strategy of consolidating the fragmented automotive retail market through high‑quality, high‑volume assets. The company’s Q3 2025 earnings—$9.7 billion in revenue and $9.50 in adjusted diluted EPS—demonstrate the operational strength that supports further acquisitions. Analysts have noted that Lithia’s focus on luxury brands and omnichannel capabilities positions it well for continued growth in a market where premium customers increasingly value seamless digital and in‑store experiences.
Market reaction to the announcement was muted; the company’s stock traded slightly lower in early trade on November 11, 2025. The modest move reflects the market’s focus on broader valuation concerns rather than the specific transaction, which is viewed as a strategic fit rather than a headline‑making event.
Overall, the acquisition strengthens Lithia’s luxury footprint, adds significant revenue, and reinforces its disciplined approach to growth, positioning the company for continued expansion in the premium automotive segment.
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