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Penske Q2 profit margins fell

The No. 2 U.S. car dealership group said EPS rose 20% to 60 cents per share, beating views by 3 cents. Sales climbed 15% to $3.4 bil, above forecasts of $3.3 bil. But the average gross profit per vehicle narrowed 80 basis points to 7.7%, while profit margins on used cars were down 20 basis points to 7.3%. Penske Automotive Group (PAG) said revenue from dealerships open at least a year rose 11.7%. Shares fell 8.5% to 28.90.