Investments

12 Months Ended

Dec. 31, 2024

Investments, Debt and Equity Securities [Abstract]

INVESTMENTS

Marketable Securities

In 2024, our captive insurance subsidiary began investing cash in excess of current needs in marketable securities. The marketable securities are recorded within other current assets in the Consolidated Balance Sheets and consist of debt securities accounted for as available-for-sale (AFS) and equity securities measured at fair value. Changes in the fair value of equity securities are recognized as a component of other income (expense), net in the Consolidated Statements of Operations and unrealized gains (losses) on AFS debt securities are recorded as a component of other comprehensive income (loss), net of tax until the security is sold. See Note 15 – Fair Value Measurements.

As of December 31, 2024, equity securities recorded within other current assets in the Consolidated Balance Sheets were $2.2 million. Net unrealized gains recognized during the twelve months ended December 31, 2024 on equity securities held at the reporting date were $0.3 million.

Marketable debt securities accounted for as AFS were as follows:


	As of As of December 31, 2024
									Fair Value of Securities with Contractual Maturities
(in millions)	Amortized Cost		Gross Gains1		Gross Losses1		Fair Value		Within 1 Year		After 1 Year through 5 Years		After 5 Years
U.S. Treasury	$	20.4	$	—	$	(0.2)	$	20.2	$	3.4	$	13.8	$	3.1
Municipal securities	10.0		—		—		10.0		1.5		7.0		1.5
Corporate debt	21.0		—		(0.1)		20.9		4.2		13.7		2.9
Total	$	51.4	$	—	$	(0.3)	$	51.1	$	9.1	$	34.5	$	7.5

(1)Represents total unrealized losses for securities with net losses in accumulated other comprehensive income as of December 31, 2024.

There were no sales of AFS securities during the twelve months ended December 31, 2024.

Equity Method Investments

In 2024, we purchased an investment in Pinewood Technologies, PLC (PINE.L), a U.K.-based automotive dealership management system provider. Our investment consists of 25.5% of the common stock voting interests accounted for as an equity method investment, included as a component of “Other non-current assets” on the Consolidated Balance Sheets. The investment is measured at fair value based on quoted market prices, and all fair value changes in the investment are recorded as unrealized gains or losses as a component of other income (expense), net in the Consolidated Statements of Operations. The fair value of our investment was $100.0 million as of December 31, 2024. See Note 15 – Fair Value Measurements.

In 2024, we purchased an investment in Wheels, Inc., an automotive fleet management provider, through LMMH. Our investment in LMMH consists of 26.5% of the common stock voting interests accounted for as an equity method investment. The investment is measured at cost plus or minus our share of equity method investee income or loss as a component of other non-current assets in the Consolidated Balance Sheets. The book value of our investment was $208.2 million as of December 31, 2024.

We reported unrealized gains on equity method investments of $32.8 million for the twelve months ended December 31, 2024. Comparatively, we recorded losses on previously owned equity method investments of $1.7 million and $39.2 million in the same periods of 2023 and 2022, respectively.