Financial Data and Key Metrics Changes - Total first quarter revenue was $430.6 million, up 151% year-over-year and nearly $21 million ahead of the high-end of guidance [36] - Marketplace revenue was $163.3 million for the first quarter, up 2% from the prior quarter and up 5% from $155.8 million in the prior year [36] - Wholesale revenue was $91 million for the first quarter, up 559% from $13.8 million in the prior year and grew 10% compared to the previous quarter [37] - Product revenue was $176.3 million for the first quarter, up 9,896% from $1.8 million in the prior year and up 84% from the previous quarter [38] - Non-GAAP gross margin was 44%, down from 59% in the prior quarter and 86% in the year-ago quarter [40] - Non-GAAP operating income was $62.2 million, representing a margin of 14% [43] - First quarter GAAP net income attributable to CarGurus Inc. totaled $19.9 million [45] Business Line Data and Key Metrics Changes - CarOffer revenue was $267 million, growing 50% quarter-over-quarter and over 1600% year-over-year [10] - Instant Max Cash Offer generated approximately $162 million, exceeding the high end of forecasted guidance for the quarter and growing 92% quarter-over-quarter [15] - Dealer-to-dealer business generated $105 million in revenue, growing approximately 12% quarter-over-quarter and over 575% year-over-year [12] - U.S. QARSD grew approximately 5% year-over-year to $5,713 [18] - Internationally, QARSD grew by 40% to $1,556 year-over-year [20] Market Data and Key Metrics Changes - The dealer base expanded to 10,850 enrolled dealer rooftops at the end of Q1, with 1,750 rooftops added in the past quarter [10] - Internationally, the company ended Q1 with 6,648 paying dealers, down modestly quarter-over-quarter [20] - The company expanded its coverage to five additional states, now covering approximately 80% of the U.S. [15] Company Strategy and Development Direction - The company aims to create an end-to-end transaction-enabled marketplace for consumers and dealers [9][31] - Focus on activating digital deals and expanding into new geographies for Instant Max Cash Offer [8] - Continuous investment in technology and marketing to drive long-term growth [48] - Introduction of Digital Deal to enhance the car buying process for consumers [24][26] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing macroeconomic challenges, including semiconductor chip shortages and inflation affecting consumer demand [7][12] - The company remains optimistic about growth opportunities in the dealer market and the efficiency of the CarOffer model [14] - Future revenue guidance for Q2 is expected to be in the range of $480 million to $510 million [48] Other Important Information - The company generated $93.1 million in cash from operations in the first quarter [47] - Non-GAAP free cash flow was $89.3 million, including capital expenditures of $3.7 million [47] - The company ended the first quarter with $375 million in cash and investments, an increase of $53.1 million from the end of the fourth quarter [46] Q&A Session Summary Question: Can you discuss CarOffer's average gross merchandise sales per dealership and its impact on dealer behavior? - Management noted that wholesale pricing volatility has made dealers cautious about buying and selling, impacting overall engagement [50][52] Question: How does the moderation in used car demand affect CarGurus' marketplace business? - Management believes that as consumer demand wanes, dealers will need to market more aggressively, which could benefit CarGurus [56][58] Question: Can you elaborate on the decline in CarOffer's non-GAAP gross profit margin? - Management explained that price volatility and increased transportation costs contributed to the compression in gross margin [60][63] Question: What is the outlook for the wholesale dealer-to-dealer business as new inventory comes online? - Management indicated that the business will remain sensitive to wholesale prices and that uncertainty among dealers is a key factor [70][72] Question: How is the rental car segment performing in the wholesale dealer-to-dealer business? - Management expressed confidence that the rental car segment is a durable customer base and is expected to continue performing well [76][78]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________________ to _________________ Commission File Number: 001-38233 CARGURUS, INC. (Exact Name of Registrant as Specified in its Charter) Delaware 04-38434 ...

Q4 2021 Business Update . 000 AT&T LTE 1:22 PM イズ ■ www.cargurus.com (00 @ = Car Gurus Sell New Used Select Make ZIP Find My Car Your Last Search CarGurus © 2022 CarGurus, Inc. All Rights Reserved. Cautionary Note Regarding Forward-Looking Statements Certain information contained in this presentation, other matters discussed today and answers that may be given in response to questions may include "forward-looking statements." We may, in some cases, use terms such as "anticipates," "believes," "could," "esti ...

Financial Data and Key Metrics Changes - Total fourth quarter revenue was $339.3 million, up 124% year-over-year, exceeding guidance by nearly $54 million [49] - Marketplace revenue for Q4 was $160.8 million, a 6% increase from $151.6 million in the prior year [49] - Non-GAAP operating income for Q4 was $76.3 million, representing an operating margin of 22% [65] - Non-GAAP diluted earnings per share were $0.43 for Q4, exceeding guidance by $0.13 [66] Business Line Data and Key Metrics Changes - CarOffer generated approximately $179 million in revenue for Q4, growing over 1,000% since the acquisition [12] - Product revenue for Q4 was $96 million, which includes revenue from the Instant Max cash offer product [50] - Wholesale revenue for Q4 was $82.6 million, an 83% increase from the previous quarter [52] Market Data and Key Metrics Changes - Gross merchandise sales increased by 163% quarter-over-quarter to $2.3 billion due to higher transaction volumes and increased average selling prices [15] - The US ended the year with 23,860 paying dealers, a decrease of less than 1% year-over-year [40] - International revenue for Q4 was $11.5 million, up 45% compared to the prior year [56] Company Strategy and Development Direction - The company aims to evolve from a listings business to a transaction-enabled marketplace, providing cross-platform synergies [10] - The new mission statement emphasizes empowering consumers and dealers with innovative solutions [8] - The focus is on enhancing digital retail capabilities and expanding the Instant Max cash offer service [27][20] Management Comments on Operating Environment and Future Outlook - Management acknowledged challenges from the semiconductor chip shortage and the pandemic but expressed optimism about growth opportunities [44] - The company plans to increase marketing spend to attract high-intent shoppers and improve dealer ROI [44] - Future guidance for Q1 2022 anticipates revenue between $390 million to $410 million [72] Other Important Information - The company plans to adjust its reporting segments to combine US and international operations for better financial clarity [73] - The integration of CarOffer has been highlighted as a significant growth driver, with expectations for continued market share acquisition in 2022 [55] Q&A Session Summary Question: Insights on Instant Max performance and marketing efficiencies - Management discussed the synergies between Instant Max and dealer-to-dealer wholesale business, emphasizing ongoing optimization and improved marketing strategies [77][78] Question: Go-to-market strategy for dealers - Management indicated that the focus will be on leveraging synergies and enhancing the value proposition for dealers rather than increasing prices [84][88] Question: Dealer enrollment and subscription platform - Management clarified that 37% of new dealer enrollments were driven by the CarGurus sales team, with plans to continue integrating offerings [91][92] Question: Impact of Carvana acquiring ADESA - Management expressed that the acquisition may not significantly impact their business, as the shift from physical to digital auctions continues [100] Question: Average transaction prices on CarOffer - Management confirmed that average transaction prices remain steady in the high $20,000 range for both dealer-to-dealer and Instant Max transactions [101]

PART I [Business](index=5&type=section&id=Item%201.%20Business) CarGurus is a multinational online automotive platform, evolving into a transaction-enabled ecosystem with **$951.4 million** revenue in 2021, up **73%** driven by CarOffer acquisition - CarGurus operates as a multinational online automotive platform, building upon its listings marketplace with digital retail solutions and the **CarOffer** online wholesale platform[10](index=10&type=chunk) - The company is evolving into a transaction-enabled marketplace where consumers can shop, finance, and sell cars, and dealers can source, market, and sell vehicles[11](index=11&type=chunk) - In January 2021, CarGurus acquired a **51% interest** in **CarOffer, LLC**, an automated instant vehicle trade platform, which enabled the launch of **CarGurus Instant Max Cash Offer (IMCO)** and added digital wholesale capabilities[15](index=15&type=chunk)[16](index=16&type=chunk)[58](index=58&type=chunk) Key Business Metrics (as of Dec 31, 2021) | Metric | Value | | :--- | :--- | | Average Monthly U.S. Unique Users (2021) | 31.6 million | | Paying Dealers in U.S. Marketplace | 23,860 | | Total Paying Dealers (Consolidated) | 30,630 | | Total Full-Time Employees | 1,203 | Fiscal Year 2021 Financial Highlights | Metric | 2021 (in millions) | 2020 (in millions) | % Change | | :--- | :--- | :--- | :--- | | Revenue | $951.4 | $551.5 | 73% | | Consolidated Net Income | $110.4 | $77.6 | 42% | | Adjusted EBITDA | $249.5 | $160.8 | 55% | [Risk Factors](index=22&type=section&id=Item%201A.%20Risk%20Factors) The company faces risks from COVID-19 impacts, supply chain issues, dealer dependence, search engine reliance, regulatory complexities, and concentrated founder voting control - The **COVID-19 pandemic** has adversely affected business operations, contributing to inventory supply problems, such as the global **semiconductor chip shortage**, which could lead dealers to reduce advertising spend[124](index=124&type=chunk) - The business is substantially dependent on relationships with dealers, and the termination of a significant number of dealer subscription agreements would materially harm financial results[126](index=126&type=chunk) - The company relies heavily on internet search engines to drive traffic to its websites. A failure to appear prominently in search results could lead to a decline in traffic and adversely affect the business[130](index=130&type=chunk) - The company is subject to a complex framework of laws and regulations, including those related to motor vehicle sales, advertising, and consumer protection, which could challenge the business model[137](index=137&type=chunk) - The founder, **Langley Steinert**, controls a majority of the voting power through **Class B common stock**, which has a **ten-to-one voting ratio** compared to Class A common stock, allowing him to control key decisions[153](index=153&type=chunk)[154](index=154&type=chunk) [Unresolved Staff Comments](index=37&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports that there are no unresolved staff comments - Not applicable[164](index=164&type=chunk) [Properties](index=37&type=section&id=Item%202.%20Properties) CarGurus leases all its office spaces, with principal executive offices in Cambridge, Massachusetts, and a new Boston lease for 2023 occupancy - The company's principal executive offices are leased in Cambridge, Massachusetts, totaling approximately **185,064 square feet**[165](index=165&type=chunk) - A new lease for office space at **1001 Boylston Street** in Boston, Massachusetts, was entered into, with expected occupancy in **2023**[165](index=165&type=chunk) [Legal Proceedings](index=37&type=section&id=Item%203.%20Legal%20Proceedings) The company is not currently involved in any pending or threatened litigation expected to have a material adverse effect on its business - The company is not presently subject to any pending or threatened litigation that would be expected to have a material adverse effect on the business[166](index=166&type=chunk) [Mine Safety Disclosures](index=37&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[168](index=168&type=chunk) PART II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=38&type=section&id=Item%205.%20Market%20for%20Registrant's%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) CarGurus' Class A common stock is listed on Nasdaq, and the company has never paid cash dividends, intending to retain earnings for growth - The company's **Class A common stock** has been listed on the **Nasdaq Global Select Market** under the symbol **\"CARG\"** since **October 12, 2017**[172](index=172&type=chunk) - CarGurus has never declared or paid any cash dividends and currently anticipates retaining future earnings to fund business development and growth[174](index=174&type=chunk) [Selected Consolidated Financial Data](index=39&type=section&id=Item%206.%20Selected%20Consolidated%20Financial%20Data) This item is not applicable - Not applicable[179](index=179&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=40&type=section&id=Item%207.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's financial performance, highlighting a **73% revenue increase** to **$951.4 million** in 2021, driven by CarOffer and strong liquidity - Total revenue for the year ended December 31, 2021, was **$951.4 million**, a **73% increase** from **$551.5 million** in 2020[189](index=189&type=chunk) - The increase in revenue was primarily driven by the acquisition of a **51% interest** in **CarOffer**, which contributed **$195.1 million** in wholesale revenue and **$119.3 million** in product revenue[250](index=250&type=chunk)[251](index=251&type=chunk) - Marketplace revenue increased by **16% year-over-year**, partly due to the non-recurrence of approximately **$50 million** in fee reductions provided to dealers in 2020 in response to the **COVID-19 pandemic**[249](index=249&type=chunk) Key Business Metrics Comparison (2021 vs. 2020) | Metric | 2021 | 2020 | | :--- | :--- | :--- | | **Average Monthly Unique Users (Total, in thousands)** | 39,141 | 44,563 | | **Average Monthly Sessions (Total, in thousands)** | 96,625 | 110,235 | | **Number of Paying Dealers (Total)** | 30,630 | 30,631 | | **QARSD (Consolidated)** | $4,731 | $4,382 | Consolidated Results of Operations (in thousands) | Line Item | 2021 (in thousands) | 2020 (in thousands) | | :--- | :--- | :--- | | **Total Revenue** | **$951,373** | **$551,451** | | Gross Profit | $657,358 | $508,745 | | Income from Operations | $148,268 | $97,756 | | **Consolidated Net Income** | **$110,373** | **$77,553** | - As of December 31, 2021, the company's principal sources of liquidity were cash and cash equivalents of **$231.9 million** and investments of **$90.0 million**[271](index=271&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=67&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's market risk exposure is primarily interest rate risk on cash and investments, and foreign currency exchange risk, neither considered significant - The company is exposed to interest rate risk on its cash, cash equivalents, and investments, which totaled **$321.9 million** as of December 31, 2021. However, fluctuations in interest income have not been material to date[392](index=392&type=chunk)[393](index=393&type=chunk) - Foreign currency exchange risk exists due to operations in the **British pound**, **Euro**, and **Canadian dollar**, but this exposure is not considered significant[395](index=395&type=chunk) [Financial Statements and Supplementary Data](index=68&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the company's audited consolidated financial statements for 2021, including the independent auditor's report, highlighting significant growth - The report of the independent registered public accounting firm, **Ernst & Young LLP**, provides an unqualified opinion on the consolidated financial statements[404](index=404&type=chunk)[405](index=405&type=chunk) Consolidated Balance Sheet Highlights (in thousands) | Account | Dec 31, 2021 (in thousands) | Dec 31, 2020 (in thousands) | | :--- | :--- | :--- | | Cash and cash equivalents | $231,944 | $190,299 | | Goodwill | $158,287 | $29,129 | | **Total Assets** | **$931,574** | **$502,298** | | Total Liabilities | $251,925 | $128,712 | | **Total Stockholders' Equity** | **$516,841** | **$373,586** | Consolidated Statement of Cash Flows Highlights (in thousands) | Activity | Year Ended Dec 31, 2021 (in thousands) | Year Ended Dec 31, 2020 (in thousands) | | :--- | :--- | :--- | | Net cash provided by operating activities | $98,292 | $156,743 | | Net cash used in investing activities | ($68,149) | ($16,895) | | Net cash provided by (used in) financing activities | $17,808 | ($10,085) | [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=113&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants on accounting and financial disclosure - None[702](index=702&type=chunk) [Controls and Procedures](index=113&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded disclosure controls and internal control over financial reporting were effective, excluding CarOffer's internal controls from the assessment - Management concluded that disclosure controls and procedures were effective as of **December 31, 2021**[703](index=703&type=chunk) - Management's assessment of internal control over financial reporting concluded that it was effective as of **December 31, 2021**[708](index=708&type=chunk) - The assessment of internal control over financial reporting did not include the internal controls of **CarOffer, LLC**, which was acquired on **January 14, 2021**[707](index=707&type=chunk) [Other Information](index=115&type=section&id=Item%209B.%20Other%20Information) The company reports no other information - None[717](index=717&type=chunk) [Disclosure Regarding Foreign Jurisdictions That Prevent Inspections](index=115&type=section&id=Item%209C.%20Disclosure%20Regarding%20Foreign%20Jurisdictions%20That%20Prevent%20Inspections) This item is not applicable to the company - Not Applicable[719](index=719&type=chunk) PART III [Directors, Executive Officers and Corporate Governance](index=116&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information for this item is incorporated by reference from the company's 2022 Proxy Statement - Information is incorporated by reference from the registrant's definitive Proxy Statement for its 2022 Annual Meeting of Stockholders[722](index=722&type=chunk) [Executive Compensation](index=116&type=section&id=Item%2011.%20Executive%20Compensation) Information for this item is incorporated by reference from the company's 2022 Proxy Statement - Information is incorporated by reference from the registrant's definitive Proxy Statement for its 2022 Annual Meeting of Stockholders[723](index=723&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=116&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information for this item is incorporated by reference from the company's 2022 Proxy Statement - Information is incorporated by reference from the registrant's definitive Proxy Statement for its 2022 Annual Meeting of Stockholders[724](index=724&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=116&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Information for this item is incorporated by reference from the company's 2022 Proxy Statement - Information is incorporated by reference from the registrant's definitive Proxy Statement for its 2022 Annual Meeting of Stockholders[725](index=725&type=chunk) [Principal Accountant Fees and Services](index=116&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information for this item is incorporated by reference from the company's 2022 Proxy Statement - Information is incorporated by reference from the registrant's definitive Proxy Statement for its 2022 Annual Meeting of Stockholders[726](index=726&type=chunk) PART IV [Exhibits, Financial Statement Schedules](index=117&type=section&id=Item%2015.%20Exhibits%2C%20Financial%20Statement%20Schedules) This section lists financial statements and an index of all exhibits filed with the Annual Report on Form 10-K - This item contains the list of financial statements and an index to all exhibits filed with the Annual Report on Form 10-K[730](index=730&type=chunk)[732](index=732&type=chunk) [Form 10-K Summary](index=117&type=section&id=Item%2016.%20Form%2010-K%20Summary) This item is not applicable - Not applicable[734](index=734&type=chunk)

CarGurus, Inc. (NASDAQ:CARG) Q3 2021 Earnings Conference Call November 9, 2021 5:00 PM ET Company Participants Kirndeep Singh – Vice President-Investor Relations Jason Trevisan – Chief Executive Officer Scot Fredo – Chief Financial Officer Sam Zales – President and Chief Operating Officer Bruce Thompson – Founder and Chief Executive Officer, CarOffer Conference Call Participants Dan Kurnos – Benchmark Company Tevis Robinson – D.A. Davidson Naved Khan – Truist Securities Chris Pierce – Needham and Company Ma ...

PART I. FINANCIAL INFORMATION This section provides a comprehensive overview of the company's financial performance, position, and management's analysis [Item 1. Financial Statements](index=6&type=section&id=Item%201.%20Financial%20Statements) This section presents unaudited condensed consolidated financial statements, including balance sheets, income, comprehensive income, equity, cash flows, and detailed notes [Unaudited Condensed Consolidated Balance Sheets](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) This section provides a snapshot of the company's financial position, detailing assets, liabilities, and equity at specific points in time Condensed Consolidated Balance Sheet Highlights (in thousands) | Metric | Sep 30, 2021 | Dec 31, 2020 | Change | % Change | | :------------------------------------- | :----------- | :----------- | :----- | :------- | | Total Assets | $819,917 | $502,298 | $317,619 | 63.23% | | Current Assets | $441,509 | $331,976 | $109,533 | 33.00% | | Goodwill | $155,707 | $29,129 | $126,578 | 434.57% | | Intangible Assets, net | $92,421 | $10,862 | $81,559 | 750.87% | | Total Liabilities | $176,028 | $128,712 | $47,316 | 36.76% | | Total Stockholders' Equity | $589,256 | $373,586 | $215,670 | 57.73% | - The significant increase in **total assets**, particularly **goodwill** and **intangible assets**, is largely attributable to the acquisition of a **51% interest in CarOffer, LLC**[11](index=11&type=chunk)[86](index=86&type=chunk)[92](index=92&type=chunk) [Unaudited Condensed Consolidated Income Statements](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Income%20Statements) This section details the company's financial performance over specific periods, presenting revenues, expenses, and net income Condensed Consolidated Income Statement Highlights (in thousands) | Metric | Three Months Ended Sep 30, 2021 | Three Months Ended Sep 30, 2020 | Nine Months Ended Sep 30, 2021 | Nine Months Ended Sep 30, 2020 | | :------------------------------------- | :------------------------------ | :------------------------------ | :----------------------------- | :----------------------------- | | Revenue | $222,915 | $147,472 | $612,031 | $399,898 | | Gross Profit | $162,882 | $137,710 | $477,623 | $368,646 | | Income from Operations | $40,076 | $43,567 | $104,344 | $64,295 | | Consolidated Net Income | $29,267 | $32,563 | $76,214 | $52,390 | | Net Income Attributable to Common Stockholders | $29,199 | $32,563 | $79,612 | $52,390 | | Basic EPS | $0.25 | $0.29 | $0.68 | $0.46 | | Diluted EPS | $0.24 | $0.29 | $0.66 | $0.46 | - Revenue increased significantly by **51%** for the three months and **53%** for the nine months ended September 30, 2021, compared to the prior year, while consolidated net income for the three-month period decreased by **10.12%** year-over-year, and for the nine-month period, it increased by **45.47%**[14](index=14&type=chunk) [Unaudited Condensed Consolidated Statements of Comprehensive Income](index=8&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) This section presents the company's comprehensive income, including net income and other comprehensive income items Condensed Consolidated Statements of Comprehensive Income (in thousands) | Metric | Three Months Ended Sep 30, 2021 | Three Months Ended Sep 30, 2020 | Nine Months Ended Sep 30, 2021 | Nine Months Ended Sep 30, 2020 | | :------------------------------------- | :------------------------------ | :------------------------------ | :----------------------------- | :----------------------------- | | Consolidated Net Income | $29,267 | $32,563 | $76,214 | $52,390 | | Foreign Currency Translation Adjustment | $(738) | $1,013 | $(1,573) | $1,001 | | Consolidated Comprehensive Income | $28,529 | $33,576 | $74,641 | $53,391 | | Comprehensive Income Attributable to Common Stockholders | $28,461 | $33,576 | $78,039 | $53,391 | - Consolidated comprehensive income decreased by **15.03%** for the three months ended September 30, 2021, primarily due to a negative foreign currency translation adjustment, while for the nine-month period, it increased by **39.80%**[19](index=19&type=chunk) [Unaudited Condensed Consolidated Statements of Redeemable Noncontrolling Interest and Stockholders' Equity](index=9&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Redeemable%20Noncontrolling%20Interest%20and%20Stockholders%27%20Equity) This section details changes in equity, including redeemable noncontrolling interest and stockholders' equity components Key Changes in Equity and Noncontrolling Interest (in thousands) | Metric | Dec 31, 2020 | Sep 30, 2021 | Change | | :------------------------------------- | :----------- | :----------- | :----- | | Redeemable Noncontrolling Interest | $0 | $54,633 | $54,633 | | Additional Paid-in Capital | $242,181 | $379,808 | $137,627 | | Retained Earnings | $129,412 | $209,024 | $79,612 | | Total Stockholders' Equity | $373,586 | $589,256 | $215,670 | - The **Redeemable Noncontrolling Interest of $54.6 million** at September 30, 2021, is a new item resulting from the acquisition of a **51% interest in CarOffer, LLC**[23](index=23&type=chunk)[52](index=52&type=chunk) - **Additional paid-in capital** increased significantly, partly due to the issuance of common stock for the CarOffer acquisition (**$103.6 million**)[23](index=23&type=chunk)[87](index=87&type=chunk) [Unaudited Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This section outlines the company's cash inflows and outflows from operating, investing, and financing activities Condensed Consolidated Statements of Cash Flows (in thousands) – Nine Months Ended Sep 30 | Activity | 2021 | 2020 | Change | % Change | | :------------------------------------- | :----------- | :----------- | :----- | :------- | | Net Cash Provided by Operating Activities | $135,063 | $108,806 | $26,257 | 24.13% | | Net Cash (Used in) Provided by Investing Activities | $(63,353) | $84,859 | $(148,212) | -174.66% | | Net Cash Used in Financing Activities | $(25,056) | $(7,741) | $(17,315) | 223.68% | | **Net Increase in Cash, Cash Equivalents, and Restricted Cash** | **$46,295** | **$186,095** | **$(139,800)** | **-75.12%** | - Investing activities shifted from providing cash in 2020 to using cash in 2021, primarily due to **$64.3 million cash paid for acquisitions** (net of cash acquired) in 2021[27](index=27&type=chunk)[259](index=259&type=chunk) - Financing activities used significantly more cash in 2021, driven by a **$14.3 million repayment of CarOffer's line of credit** and **$11.3 million in withholding taxes for stock settlements**[27](index=27&type=chunk)[262](index=262&type=chunk) [Notes to Unaudited Condensed Consolidated Financial Statements](index=12&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed explanations and disclosures supporting the unaudited condensed consolidated financial statements [Note 1. Organization and Business Description](index=12&type=section&id=Note%201.%20Organization%20and%20Business%20Description) This note describes the company's operational structure, key brands, and business activities - **CarGurus, Inc.** operates as a multinational online automotive platform, enhancing its listings marketplace with digital retail solutions and the **CarOffer online wholesale platform**[31](index=31&type=chunk) - Key brands include **CarGurus marketplace**, **Autolist** (wholly owned), and **CarOffer** (**51% interest**) in the United States, and **CarGurus** and **PistonHeads** (wholly owned) in Canada and the United Kingdom[33](index=33&type=chunk) - The company ceased online

CarGurus, Inc. (NASDAQ:CARG) Q2 2021 Earnings Conference Call August 5, 2021 5:00 PM ET Company Participants Kirndeep Singh – Vice President and Head-Investor Relations Jason Trevisan – Chief Executive Officer Scot Fredo – Chief Financial Officer Sam Zales – President and Chief Operating Officer Conference Call Participants Dan Kurnos – The Benchmark Company Ralph Schackart – William Blair Jed Kelly – Oppenheimer Nick Bacchus – Raymond James Doug Arthur – Huber Research Partners Operator Good day, and welco ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________________ to _________________ Commission File Number: 001-38233 CARGURUS, INC. (Exact Name of Registrant as Specified in its Charter) Delaware 04-384347 ...

CarGurus, Inc. (NASDAQ:CARG) Q1 2021 Earnings Conference Call May 6, 2021 5:00 PM ET Company Participants Josh Goldstein - Corporate Counsel Jason Trevisan - Chief Executive Officer Scot Fredo - Chief Financial Officer Sam Zales - President & Chief Operating Officer Conference Call Participants Dan Kurnos - Benchmark Company Ralph Schackart - William Blair Jed Kelly - Oppenheimer Doug Arthur - Huber Research Operator Greetings and welcome to CarGurus, Inc.'s First Quarter 2021 Earnings Results Conference C ...