Dealership Profits Remain Near Record Highs, Buy-Sells Rebound as Buyers and Sellers Return to the Table
I am pleased to share that the Q3 2025 Haig Report® is now available. This quarter shows continued strength in the auto retail market, with dealership profits rising for the second consecutive quarter, valuations holding near record highs and buy-sell activity rebounding as both buyers and sellers return to the table. While economic noise remains present, dealer confidence and market fundamentals continue to prove resilient.
Profits Remain Strong: Average pre-tax profits at public retailers increased 13 percent compared to Q3 2024, driven by strong fixed operations and continued F&I growth.
Blue Sky Values Continue to Rise: Average blue sky values are up 7.3 percent since year-end 2024, supported by elevated earnings and persistent buyer demand.
Buy-Sell Activity Rebounds: 149 dealerships traded hands in Q3, a strong rebound from the slow start of 2025.
Franchise Multiple Changes: Lexus received a multiple increase due to scarcity and concentration of pre-tax profits, Porsche received a slight multiple decrease due to EV product challenges and expensive facility requirements.
New Opportunities for Buyers and Sellers: Increased sales of underperforming franchises such as CDJR and Nissan are creating compelling value-entry points, while owners of high-performing stores continue to secure near-peak valuations.
Most dealers we speak with are optimistic about the future. Despite tariffs and struggles at some brands, average profits remain more than twice pre-pandemic levels, and both buyers and sellers are leaning in again. Confidence is back in the market and sellers can still receive near peak values for their dealerships.
Q3 Franchise Feature: Ford
This quarter’s feature explores Ford, a franchise navigating short-term pressure but offering compelling long-term potential. With strong truck-driven profitability and rising commercial demand through Ford Pro, long-term investors increasingly see today’s valuations as an attractive entry point ahead of future truck launches. Read the Ford Franchise Feature.
Economic and Operational Outlook
We also shared an economic and operational outlook in the Q3 2025 Haig Report® that highlights the impact of tariffs, the effects of modest rate cuts and the implications of policy changes such as the revocation of CARB waivers. These shifts continue to shape dealer performance and the strategic considerations for buyers and sellers heading into 2026.
We are deeply grateful to the dealers, industry partners and clients who place their trust in The Haig Report® as a resource for navigating the dynamic automotive retail market.
Maximizing Value Conference™: What to Buy & How to Grow
Dealers considering growth in 2026 are invited to the Haig Partners Maximizing Value Conference™ at NADA 2026 in Las Vegas. This year’s theme, “What to Buy and How to Grow,” features a lineup of industry leaders sharing insights on:
Dealership Buy-Sell Update with Alan Haig
Economic and Automotive Outlook with leading analysts
How to Build a Number One Volume Dealership in the U.S. with Rita Case
Attendance is limited to dealers and executive dealer management only.
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Haig Partners is a leading buy-sell advisory firm that helps owners of higher-value dealerships maximize the value of their businesses when they are ready to sell. The team at Haig Partners has advised on the purchase or sale of more than 535 dealerships and has represented 31 dealership groups that qualify for the Top 150 Dealership Groups list published by Automotive News, more than any other firm. Clients of Haig Partners benefit from the group's collective experience as previous executives with leading companies such as Ally Financial, AutoNation, Bank of America, Credit Suisse, Deloitte, FORVIS, J.P. Morgan, the Sewell Automotive Companies and Toyota Financial Services. Leveraging its unmatched expertise and extensive relationships, Haig Partners guides clients to successful outcomes through a confidential and customized sales process. The firm authors The Haig Report®, the leading industry quarterly report that tracks trends in auto retail and their impact on dealership values, and co-authors NADA’s Guide, “Buying and Selling a Dealership.” Haig Partners team members are frequent speakers at industry conferences and are regularly quoted in reputable media outlets, including Reuters, Forbes, The Wall Street Journal, The New York Times, CNBC, BBC, Automotive News, Wards, and CarDealershipGuy. For more information, https://www.haigpartners.com.
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