AutoNation Reports Record First Quarter EPS

• EPS from continuing operations was $1.01, a record for first quarter results and up 4% compared to first quarter 2017 EPS from continuing operations of $0.97
• Total revenue of $5.3 billion increased by 2% compared to the year-ago period. Same store revenue of $5.2 billion increased by 3% compared to the year-ago period
• Same store used vehicle gross profit was $82 million, up 9% compared to the year-ago period. Same store Customer Financial Services gross profit was $238 million, up 10% compared to the year-ago period.

FORT LAUDERDALE -- AutoNation, Inc. (NYSE: AN), America's largest automotive retailer, today reported first quarter 2018 net income from continuing operations of $93 million, or $1.01 per share. First quarter 2017 net income from continuing operations totaled $98 million, or $0.97 per share.

First quarter 2018 total revenue of $5.3 billion increased by 2% compared to the year-ago period. Same store gross profit of $825 millionincreased by 3% compared to the year-ago period, driven by increases in used vehicle gross profit of 9%, Customer Financial Servicesgross profit of 10%, and Customer Care gross profit of 5%. Same store Customer Financial Services gross profit per vehicle retailed was an all-time record $1,779.

Brand Extension Update
AutoNation continues to move forward with its comprehensive brand extension strategy. Since January 1, 2018, the Company has opened its fourth AutoNation Auto Auction, located in Atlanta, GA, as well as its fourth and fifth AutoNation USA stores, located in Katy, TX and Las Vegas, NV, respectively. AutoNation now owns and operates over 325 locations from coast to coast.

Share Repurchase
AutoNation today announced that its Board of Directors has authorized the repurchase of up to an additional $250 million of AutoNation'scommon stock. AutoNation has approximately $314 million total Board authorization remaining for share repurchases with the increased authorization and approximately 91 million shares outstanding as of April 27, 2018. During the first quarter of 2018, AutoNationrepurchased approximately 550,000 shares of common stock for an aggregate purchase price of $27 million.

New Franchise Add-Points
AutoNation today announced the award of four Jaguar Land Rover add-points, representing eight Premium Luxury franchises, located in Florida, California, Texas, and Maryland. The combined anticipated annual revenues of these four locations are approximately $400 million once all are fully operational. These add-points are expected to open between 2020 and 2022.

Segment Results
Segment results(1) for the first quarter 2018 were as follows:

First Quarter 2018 Segment Results

• Domestic - Domestic segment income(2) was $60 million compared to year-ago segment income of $61 million, a decrease of 2%.

• Import - Import segment income(2) was $73 million compared to year-ago segment income of
  $72 million, an increase of 2%.

• Premium Luxury - Premium Luxury segment income(2) was $88 million compared to year-ago segment income of $81 million, an increase of 9%.

The first quarter conference call may be accessed by telephone at (888) 769-8515 (password: AutoNation) at 11:00 a.m. Eastern Timetoday or on AutoNation's investor relations website at http://investors.autonation.com.

The webcast will also be available on AutoNation's website under "Events & Presentations" following the call. A playback of the conference call will be available after 1:00 p.m. Eastern Time on May 1, 2018, through May 22, 2018, by calling (888) 568-0336 (passcode 2871).

About AutoNation, Inc. 
AutoNation, America's largest automotive retailer, through its bold leadership, innovation and its comprehensive brand extensions, is transforming the automotive industry. As of March 31, 2018, AutoNation owned and operated over 325 locations from coast to coast. AutoNation has sold over 11 million vehicles, the first automotive retailer to reach this milestone. AutoNation's success is driven by a commitment to delivering a peerless experience through customer-focused sales and service processes. Through its Drive Pink initiative, AutoNation is committed to drive out cancer, create awareness and support critical research. AutoNation continues to be a proud supporter of the Breast Cancer Research Foundation and other cancer-related charities.

Please visit investors.autonation.com, www.autonation.com, www.autonationdrive.com, www.twitter.com/autonation, www.twitter.com/CEOMikeJackson, www.facebook.com/autonation, and www.facebook.com/CEOMikeJackson, where AutoNationdiscloses additional information about the Company, its business, and its results of operations.