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Business Combinations
 9 Months Ended
Sep. 30, 2015
Business Combinations  
Business Combinations

3. Business Combinations

 

We acquired one retail automotive franchise and two retail commercial truck dealerships during the nine months ended September 30, 2015, and made an additional investment to gain control of a retail automotive joint venture previously accounted for under the equity method, as discussed previously. During the nine months ended September 30, 2014, we acquired two retail automotive franchises, as well as made an additional investment in an entity previously accounted for under the equity method. Our financial statements include the results of operations of the acquired entities from the date of acquisition. The fair value of the assets acquired and liabilities assumed have been recorded in our consolidated condensed financial statements, and may be subject to adjustment pending completion of final valuation. A summary of the aggregate consideration paid and the aggregate amounts of the assets acquired and liabilities assumed for the nine months ended September 30, 2015 and 2014 follows:

 

 

 

September 30,

 

 

 

2015

 

2014

 

Accounts receivable

 

$
52.0

 

$
0.7

 

Inventory

 
171.7

 
29.1

 

Other current assets

 
1.3

 
1.2

 

Property and equipment

 
72.1

 
4.1

 

Indefinite-lived intangibles

 
68.2

 
57.1

 

Other non-current assets

 
1.3

 

—

 

Current liabilities

 
(42.1

)
(2.6

)

Non-current liabilities

 
(67.8

)
(2.2

)

 

 

 

 

 

 

Total consideration

 
256.7

 
87.4

 

Seller financed/assumed debt

 
(2.6

)
(1.2

)

Seller assumed floorplan

 
(118.3

)

—

 

Fair value of previously held interest

 
(28.0

)

—

 

Fair value of non-controlling interest

 
(22.4

)

—

 

 

 

 

 

 

 

Total cash used in acquisitions

 

$
85.4

 

$
86.2

 

 

 

 

 

 

 

 

 

 

The following unaudited consolidated pro forma results of operations of PAG for the three and nine months ended September 30, 2015 and 2014 give effect to acquisitions consummated during 2015 and 2014 as if they had occurred effective at the beginning of the periods:

 

 

 

Three Months Ended September 30,

 

Nine Months Ended September 30,

 

 

 

2015

 

2014

 

2015

 

2014

 

Revenues

 

$
5,054.2 

 

$
4,806.2 

 

$
14,775.6 

 

$
14,113.7 

 

Income from continuing operations

 
86.4 

 
79.7 

 
258.6 

 
230.9 

 

Net income

 
86.4 

 
77.5 

 
257.5 

 
223.7 

 

Income from continuing operations per diluted common share

 

$
0.96 

 

$
0.88 

 

$
2.87 

 

$
2.55 

 

Net income per diluted common share

 

$
0.96 

 

$
0.86 

 

$
2.85 

 

$
2.47