AutoCanada announces cybersecurity breach, earnings hit by previous incident
By The Canadian Press on August 13, 2024.
EDMONTON – AutoCanada Inc. says it has found a cybersecurity breach of its systems that could disrupt operations as it also reported a financial loss for the second quarter because of a separate cybersecurity incident. The Edmonton-based dealership network says it is still working to understand the extent of the breach, which occurred on Aug. 11, including what, if any, customer, supplier or employee data may have been compromised. AutoCanada, which has 84 franchised dealerships in North America, says its businesses remain open as it continues to investigate and work on containment and remediation efforts. The breach follows a June cyberattack against CDK Global, a company that provides software for thousands of auto dealers in the U.S. and Canada, that led to major disruptions. AutoCanada says the CDK breach helped push it to a net loss of $33.1 million for the quarter ended June 30 compared with earnings of $45.2 million for the same quarter last year. The company says the CDK outage lasted from June 19 to July 1 but it took until the end of July to have the software running back to normal, leading to lost sales and other costs for AutoCanada. This report by The Canadian Press was first published Aug. 13, 2024. Companies in this story: (TSX:ACQ) 9-8
