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Document and Entity Information - shares | 3 Months Ended |
--- | --- | ---
Mar. 31, 2022 | Apr. 27, 2022
Document Information [Line Items] |  |
Entity Registrant Name | SONIC AUTOMOTIVE, INC. |
Entity Central Index Key | 0001043509 |
Entity Filer Category | Large Accelerated Filer |
Document Type | 10-Q/A |
Current Fiscal Year End Date | --12-31 |
Document Period End Date | Mar. 31, 2022 |
Document Fiscal Year Focus | 2022 |
Document Fiscal Period Focus | Q1 |
Trading Symbol | SAH |
Amendment Flag | true |
Entity Emerging Growth Company | false |
Entity Small Business | false |
City Area Code | (704) |
Entity Address, Address Line One | 4401 Colwick Road |
Entity Address, Postal Zip Code | 28211 |
Entity Tax Identification Number | 56-2010790 |
Local Phone Number | 566-2400 |
Entity File Number | 1-13395 |
Entity Shell Company | false |
Entity Current Reporting Status | Yes |
Entity Address, City or Town | Charlotte, |
Entity Address, State or Province | NC |
Document Quarterly Report | true |
Error Correction | EXPLANATORY NOTE Unless the context requires otherwise, references to “we,” “us,” “our,” and “Sonic,” refer to Sonic Automotive, Inc. and its subsidiaries. We have prepared this Amendment No. 1 (this “Amendment”) to our Quarterly Report on Form 10-Q for the quarter ended March 31, 2022, which was originally filed with the Securities and Exchange Commission on April 28, 2022 (the “Original 10-Q”) to reflect the restatement of our previously issued Condensed Consolidated Statements of Operations for the quarter ended March 31, 2022. As required by Rule 12b-15 under the Securities Exchange Act of 1934, as amended, new certifications by Sonic’s principal executive officer and principal financial officer are filed as exhibits 31.1, 31.2, 32.1 and 32.2 to this Form 10-Q/A. Internal Control over Financial Reporting In connection with this restatement, Sonic has re-evaluated the effectiveness of our disclosure controls and procedures for the three months ended March 31, 2022. Management has concluded that, in light of the error described below, a material weakness exists in our internal control over financial reporting related to the revenue recognition process at a single dealership acquired in December 2021. Based upon such re-evaluation, and due to such material weakness, our Chief Executive Officer and our Chief Financial Officer concluded that our disclosure controls and procedures were not effective as of March 31, 2022. For a discussion of management’s evaluation of the Company’s disclosures controls and procedures, internal control over financial reporting, and the material weakness identified, refer to Controls and Procedures in Part I, Item 4. Background of the Restatement On October 28, 2022, we filed a Current Report on Form 8-K under Item 4.02 with the Securities and Exchange Commission relating to previously issued financial statements as described below. As indicated in the Current Report on Form 8-K under Item 4.02, we determined that a restatement was necessary due to the effect of an error in our the Company's unaudited Condensed Consolidated Statement of Operations for the three months ended March 31, 2022. The impact on the 2021 consolidated financial statements was immaterial. During the quarter ended September 30, 2022, we identified an error related to the revenue recognition process at a single dealership acquired in December 2021. Specifically, we did not correctly apply the guidance in ASC 606 Revenue from Contracts with Customers related to transactions which required net reporting of certain fleet sales transactions within the Condensed Consolidated Statements of Operations. The effect of the error was an overstatement of fleet revenue and an equal overstatement of fleet cost of sales and associated subtotals. No other financial statements were affected and there was no impact on note disclosures, unless related to the items in the table below. The tables below reflect the sections of the Sonic’s condensed consolidated statements of operations that were impacted by the error. |
Class A Common Stock |  |
Document Information [Line Items] |  |
Entity Common Stock, Shares Outstanding |  | 27,530,283
Class B common stock |  |
Document Information [Line Items] |  |
Entity Common Stock, Shares Outstanding |  | 12,029,375

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