We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
CVNA Q1 Earnings Beat on Solid Revenues, Adjusted EBITDA Doubles
Read MoreHide Full Article
Used car e-retailer Carvana (CVNA - Free Report) reported first-quarter earnings of $1.51 per share, which breezed past the Zacks Consensus Estimate of 75 cents and the year-ago quarter’s loss of 41 cents per share. Better-than-expected revenues across all segments led to the outperformance. Revenues of $4.23 billion beat the Zacks Consensus Estimate by 4.7% and rose 38% year over year.
Key Highlights
Total gross profit amounted to $929 million, up 57.2% year over year. Total gross profit per unit (GPU) was $6,938, rising from $6,432 in the year-ago period. SG&A expenses were $535 million, up 17.3% year over year. Carvana achieved an adjusted EBITDA of $488 million for the first quarter of 2025. Adjusted EBITDA margin in the quarter under review was 11.5%, up from 7.7% in the first quarter of 2024.
Retail vehicle sales totaled $2.98 billion in the quarter, rising 37% year over year and beating our estimate of $2.87 billion on the back of higher-than-expected sales volume. In the reported quarter, the number of vehicles sold to retail customers rose 45.7% to 133,898 from the prior-year period and exceeded our estimate of 121,868 units. Gross profit amounted to $429 million, up 51.6% year over year. Gross profit per unit came in at $3,204, which rose from $3,080 generated in the year-ago period but missed our expectation of $3,523.
In the first quarter, wholesale vehicle sales totaled $863 million, up 31.4% year over year. Sales topped our estimate of $702 million amid higher-than-expected unit sales. During the reported quarter, the number of vehicles sold to wholesale customers soared 43.7% to 63,454 from the prior-year period and exceeded our estimate of 57,311 units. Gross profit came in at $111 million, up 40.5% from the corresponding quarter of 2024. GPU came in at $829, down 3.6% year over year but above our estimate of $697.
In the period under consideration, other sales and revenues rose 70% year over year to $389 million and beat our forecast of $310.3 million. Gross profit was $389 million, up 70% year over year. GPU came in at $2,905, up 16.6% year over year. It fell short of our estimate of $2,930.
(Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Financial Position
Carvana had cash and cash equivalents of $1.85 billion as of March 31, 2025, compared with $1.71 million as of Dec. 31, 2024. Long-term debt was $5.27 billion as of March 31, 2025, compared with $5.25 billion recorded on Dec. 31, 2024.
Outlook
Carvana expects significant growth in both retail units sold and adjusted EBITDA in full-year 2025, including a sequential rise in both retail units sold and adjusted EBITDA in the second quarter of 2025.
Lithia Motors (LAD - Free Report) reported first-quarter 2025 adjusted earnings per share of $7.66, which improved from the prior-year quarter’s $6.11 but missed the Zacks Consensus Estimate of $7.77. Lithia Motors clocked revenues of $9.18 billion, which increased 7.3% year over year but lagged the Zacks Consensus Estimate of $9.33 billion. Lithia Motors had cash/cash equivalents/restricted cash of $430.3 million as of March 31, 2025, up from $402.2 million as of Dec. 31, 2024. Long-term debt was $5.9 billion as of March 31, 2025, down from $6.1 billion as of Dec. 31, 2024.
Sonic Automotive (SAH - Free Report) posted first-quarter 2025 adjusted earnings per share of $1.48, which topped the Zacks Consensus Estimate of $1.46 and improved 8.82% from the year-ago quarter. Sonic Automotive reported revenues of $3.65 billion, which surpassed the Zacks Consensus Estimate of $3.54 billion and rose from the year-ago quarter’s $3.38 billion. Sonic Automotive had cash & cash equivalents of $64.6 million as of March 31, 2025, up from $44 million as of Dec. 31, 2024. Long-term debt was $1.49 billion as of March 31, 2025, down from $1.51 billion as of Dec. 31, 2024.
AutoNation, Inc. (AN - Free Report) reported first-quarter 2025 adjusted earnings of $4.68 per share, which increased 4% year over year and beat the Zacks Consensus Estimate of $4.35. AutoNation registered revenues of $6.69 billion, which surpassed the Zacks Consensus Estimate of $6.57 billion and rose from $6.48 billion reported in the first quarter of 2024. As of March 31, 2025, the company’s liquidity was $1.6 billion. At the end of the first quarter, AutoNation’s non-vehicle debt was $3.96 billion.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
CVNA Q1 Earnings Beat on Solid Revenues, Adjusted EBITDA Doubles
Used car e-retailer Carvana (CVNA - Free Report) reported first-quarter earnings of $1.51 per share, which breezed past the Zacks Consensus Estimate of 75 cents and the year-ago quarter’s loss of 41 cents per share. Better-than-expected revenues across all segments led to the outperformance. Revenues of $4.23 billion beat the Zacks Consensus Estimate by 4.7% and rose 38% year over year.
Key Highlights
Total gross profit amounted to $929 million, up 57.2% year over year. Total gross profit per unit (GPU) was $6,938, rising from $6,432 in the year-ago period. SG&A expenses were $535 million, up 17.3% year over year. Carvana achieved an adjusted EBITDA of $488 million for the first quarter of 2025. Adjusted EBITDA margin in the quarter under review was 11.5%, up from 7.7% in the first quarter of 2024.
Carvana Co. Price, Consensus and EPS Surprise
Carvana Co. price-consensus-eps-surprise-chart | Carvana Co. Quote
Segmental Performance
Retail vehicle sales totaled $2.98 billion in the quarter, rising 37% year over year and beating our estimate of $2.87 billion on the back of higher-than-expected sales volume. In the reported quarter, the number of vehicles sold to retail customers rose 45.7% to 133,898 from the prior-year period and exceeded our estimate of 121,868 units. Gross profit amounted to $429 million, up 51.6% year over year. Gross profit per unit came in at $3,204, which rose from $3,080 generated in the year-ago period but missed our expectation of $3,523.
In the first quarter, wholesale vehicle sales totaled $863 million, up 31.4% year over year. Sales topped our estimate of $702 million amid higher-than-expected unit sales. During the reported quarter, the number of vehicles sold to wholesale customers soared 43.7% to 63,454 from the prior-year period and exceeded our estimate of 57,311 units. Gross profit came in at $111 million, up 40.5% from the corresponding quarter of 2024. GPU came in at $829, down 3.6% year over year but above our estimate of $697.
In the period under consideration, other sales and revenues rose 70% year over year to $389 million and beat our forecast of $310.3 million. Gross profit was $389 million, up 70% year over year. GPU came in at $2,905, up 16.6% year over year. It fell short of our estimate of $2,930.
(Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Financial Position
Carvana had cash and cash equivalents of $1.85 billion as of March 31, 2025, compared with $1.71 million as of Dec. 31, 2024. Long-term debt was $5.27 billion as of March 31, 2025, compared with $5.25 billion recorded on Dec. 31, 2024.
Outlook
Carvana expects significant growth in both retail units sold and adjusted EBITDA in full-year 2025, including a sequential rise in both retail units sold and adjusted EBITDA in the second quarter of 2025.
CVNA currently carries a Zacks Rank #1 (Strong Buy) each at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Peer Releases
Lithia Motors (LAD - Free Report) reported first-quarter 2025 adjusted earnings per share of $7.66, which improved from the prior-year quarter’s $6.11 but missed the Zacks Consensus Estimate of $7.77. Lithia Motors clocked revenues of $9.18 billion, which increased 7.3% year over year but lagged the Zacks Consensus Estimate of $9.33 billion. Lithia Motors had cash/cash equivalents/restricted cash of $430.3 million as of March 31, 2025, up from $402.2 million as of Dec. 31, 2024. Long-term debt was $5.9 billion as of March 31, 2025, down from $6.1 billion as of Dec. 31, 2024.
Sonic Automotive (SAH - Free Report) posted first-quarter 2025 adjusted earnings per share of $1.48, which topped the Zacks Consensus Estimate of $1.46 and improved 8.82% from the year-ago quarter. Sonic Automotive reported revenues of $3.65 billion, which surpassed the Zacks Consensus Estimate of $3.54 billion and rose from the year-ago quarter’s $3.38 billion. Sonic Automotive had cash & cash equivalents of $64.6 million as of March 31, 2025, up from $44 million as of Dec. 31, 2024. Long-term debt was $1.49 billion as of March 31, 2025, down from $1.51 billion as of Dec. 31, 2024.
AutoNation, Inc. (AN - Free Report) reported first-quarter 2025 adjusted earnings of $4.68 per share, which increased 4% year over year and beat the Zacks Consensus Estimate of $4.35. AutoNation registered revenues of $6.69 billion, which surpassed the Zacks Consensus Estimate of $6.57 billion and rose from $6.48 billion reported in the first quarter of 2024. As of March 31, 2025, the company’s liquidity was $1.6 billion. At the end of the first quarter, AutoNation’s non-vehicle debt was $3.96 billion.