Carvana Co.

Carvana Co. Earnings Recaps

CVNA Consumer Discretionary 3 recaps
Q1 2026 Apr 30, 2026

Carvana shares declined 2.6% following Q1 earnings as investors appeared cautious on forward margin outlook and unit profitability, despite headline record sales. While management highlighted operational improvements and record metrics, commentary pointed to expected year-over-year declines in per-unit gross profit due to fading tariff benefits and narrower industry spreads.

Key takeaways
  • Retail units sold reached an all-time high of 187,393 in Q1, up 40% year-over-year, with revenue growing 52% to $6.43 billion.
  • Non-GAAP retail gross profit per unit (GPU) fell by $58; management guided to further year-over-year declines in Q2, citing reduced tariff-related benefits and tighter wholesale-to-retail spreads.
  • Wholesale and other GPU also declined, down $83 and $88 respectively, primarily on mix, margin compression, and lower shipping fees.
  • Operational improvements in reconditioning ("recon") and SG&A leverage contributed to a $170 reduction in non-GAAP SG&A expense per retail unit sold, but higher advertising expense per unit partly offset these efficiency gains.
  • Management expressed confidence in long-term scaling and margin expansion, but near-term margin pressures and guidance for lower per-unit profits weighed on sentiment.
Full recap
Q3 2025 Oct 30, 2025

Carvana achieved a record-setting third quarter in 2025, reporting robust growth in retail units sold and profitability, underpinned by strategic operational efficiencies.

Key takeaways
  • Retail units sold increased by 44% year-over-year, reaching 155,941, marking a record high for the company.
  • Revenue surpassed $20 million for the first time, signaling significant business scalability.
  • Adjusted EBITDA margins continued to exceed industry averages, reflecting effective cost management and operational improvements.
  • Enhanced delivery capabilities, with 40% of Phoenix customers experiencing same or next-day delivery, indicate a strategic advantage in customer service.
  • Continued investments in reconditioning capacity and digital auction capabilities are expected to drive further growth and operational efficiencies.
Full recap
Q2 2025 Aug 1, 2025

Carvana delivered impressive Q2 2025 results, achieving record growth in revenue and profitability, and solidifying its position as the fastest-growing and most profitable automotive retailer.

Key takeaways
  • Retail units sold surged by 41% year-over-year, totaling 143,280, contributing to record revenue of $4.84 billion (up 42%).
  • Adjusted EBITDA margin improved by 200 basis points year-over-year, establishing Carvana as the most profitable in the automotive retail sector.
  • Achieved positive net income for the sixth consecutive quarter, aided by operational efficiencies and improved gross profit per unit (GPU).
  • Carvana currently captures approximately 1.5% of the U.S. used car market, with substantial growth potential as it aims for 3 million annual sales and a 13.5% adjusted EBITDA margin over the next 5-10 years.
Full recap