The latest Presidio-NCM Associates Average Dealership Performance Benchmark report finds U.S. franchised dealers enjoyed a 3.7% year-over-year increase in net pretax profit in the first quarter. Presidio-NCM’s Average Dealership Profitability Index improved to 180, up from 173 at the end of 2024.

The figures represent a “significant turning point,” the report states, following three years of declining profits after the “heady returns” dealers earned during the COVID pandemic.

“The first quarter of 2025 represents a critical inflection point for franchised dealers as demonstrated by the improvement in the Dealership Profitability Index,” Presidio Group President George Karolis writes. “After years of volatility, we’re seeing profit performance stabilize and even trend higher, which could signal a new operational normal more robust than pre-pandemic levels. The ongoing tariff dynamics add complexity, but they’re also revealing dealers’ resilience and adaptability in managing market uncertainties.”

In March, Presidio and NCM’s annual report found dealers enjoyed a modest gain in F&I income despite lower gross profits in 2024.

Read the full report at The Presidio Group