NEW YORK — Icahn Enterprises L.P.'s automotive segment — comprising Pep Boys, IEH Auto Parts Holding and franchise businesses — reported a net loss of $230 million and fell into the red on an operating basis for fiscal 2018 on 4.7-percent higher sales of $2.86 billion.
The automotive segment's operating loss was $48 million, Icahn reported in its 10-Q Filing with the Securities and Exchange Commission. The net loss quadrupled to $230 million from $51 million in fiscal 2017.
Icahn did not provide guidance as to why the automotive business's earnings worsened in 2018 versus 2017, saying instead that the automotive segment is in the process of implementing a "multi-year transformation plan," which includes the integration and restructuring of the operations of Pep Boys, IEH Auto Parts Holding L.L.C. and the franchise businesses of Precision Tune and American Driveline.
Icahn Automotive's operations include 1,352 company-operated store locations, 848 franchise locations and 27 distributions centers throughout the U.S.
During fiscal 2018, Icahn made a number of acquisitions — including RPM Automotive Inc., a Jacksonville-based auto repair chain with 10 outlets operating more than 100 service bays throughout northeastern Florida; and four stores in the Detroit metro area: Belanger Tire & Auto Service in Westland, Novi Motive Goodyear in Novi, and Fix' N Go Auto Centers in Troy and Oxford — and launched a mobile tire-fitting and auto service concept, called Pep Boys Mobile Crew.