Oct. 20, 2003 – Top Guns

swadminOctober 20, 2003

Dealer profit climbs in August

Overall dealer profitability, as measured by Top Gun dealers nationwide, increased in August to 8.8%, up from 7.9% in July, but was off from the 10.1% recorded in August 2002. Overall net profit for the year through August was 8.4%, an increase over the 7.5% YTD figure recorded through July but down from the 9.4% reported through last August.

Showroom traffic also improved slightly in August. Traffic was off 1% in August, compared to August 2002. By comparison, traffic had been down 3% in July.

Indicators listed are year-to-date figures for franchised, non-Harley-Davidson retail

Average Gross Profit per Vehicle Financed is based on the profits from all extended service agreements, the commissions on insurance policies and 50% of service maintenance programs, sold for at least three years. Does not include DOC fees. Floor traffic at participating dealerships is determined by analyzing Guest Logs, information sheets filled out by visiting consumers. This represents net profit as a percentage of sales before depreciation and with all owner salaries adjusted to reflect the true value of the job performed. Rent amounts are also adjusted to reflect true market value of the facility when it is shareholder owned and leased back to a corporation.
powersports dealerships generating a total of more than $500,000,000 in annual retail powersports business collected as of 8/31/2003.