AutoNation Slashes Guidance on CDK Global Cyberattack

AutoNation (AN) has trim its quarterly net guidance successful nan aftermath of a cyberattack connected package supplier CDK Global past month, nan institution said Monday successful Securities and Exchange Commission (SEC) filing.

CDK provides package to astir 15,000 car dealerships, including AutoNation locations. Due to disruption from nan attack, AutoNation slashed its second-quarter earnings per stock (EPS) guidance by astir $1.50 to a scope of $3.15 to $3.30. That fig doesn't return into relationship immoderate imaginable recoveries related to nan incident, nan institution said. 

'Certain Ancillary Systems' Still Sidelined

AutoNation said it has restored entree to its trader guidance strategy and halfway functions but that “certain ancillary systems” are still sidelined. The institution expects to decorativeness restoring each systems by nan extremity of July. 

"While nan afloat scope, nature, and effect of nan incident is yet to beryllium known, we do not expect nan incident to person a worldly effect connected AutoNation's wide financial information aliases connected its ongoing results of operations," nan institution said. 

AutoNation shares roseate much than 3% to $176.16 arsenic of astir 12:30 p.m. ET Monday contempt nan downward revision. They are up astir 17% this year.