From CNBC: 2025-05-07 16:11:00

Carvana’s first-quarter results surpassed Wall Street’s expectations with record sales due to heightened industry demand amid concerns of price hikes from automotive tariffs. Earnings per share were $1.51 compared to an expected 67 cents, while revenue hit $4.23 billion, exceeding the estimated $3.98 billion. The company reported a 46% increase in year-over-year sales to nearly 134,000 units.

Carvana also revealed records of $373 million in net income, $488 million in adjusted EBITDA, and $394 million in operating income during the first quarter. Revenue grew by 38% year over year to $4.23 billion from $3.06 billion. The company updated its long-term objectives and quarterly guidance, aiming to sell 3 million retail units annually at a 13.5% adjusted EBITDA margin within five to ten years.

Carvana CEO Ernie Garcia expressed confidence in the company’s future financial performance and customer experiences. Shares of Carvana have risen by 27% this year, attributed to a restructuring that focused on cost reduction and operational efficiency. The impact of tariffs on new vehicle prices could indirectly affect the used car market, although Carvana did not address this topic in recent discussions.



Read more at CNBC:: Carvana (CVNA) earnings Q1 2025