New Code Boost IQ Exploits Data Moat to Empower US Dealers with Smarter, Faster Purchase Decisions CARMEL, Ind., Aug. 15, 2024 /PRNewswire/ -- OPENLANE, Inc. (NYSE: KAR), a leading operator of digital marketplaces for wholesale used vehicles, announces the launch of Code Boost IQ, a first-of-its-kind vehicle inspection enhancement that enables faster, better informed decision-making for dealers. Industry-standard "OnBoard Diagnostics II" (OBD2) scans detect thousands of alphanumeric diagnostic codes that in ...

OPENLANE (KAR) came out with quarterly earnings of $0.19 per share, missing the Zacks Consensus Estimate of $0.20 per share. This compares to earnings of $0.25 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -5%. A quarter ago, it was expected that this used and salvaged vehicle auctioneer would post earnings of $0.21 per share when it actually produced earnings of $0.19, delivering a surprise of -9.52%. Over the last four qu ...

CARMEL, Ind., Aug. 7, 2024 /PRNewswire/ -- OPENLANE, Inc. (NYSE: KAR), today reported its second quarter financial results for the period ended June 30, 2024. "OPENLANE's second quarter and year-to-date results clearly demonstrate the power of our differentiated platform and the strong scalability characteristics of our company," said Peter Kelly, CEO of OPENLANE. "During the quarter, we grew marketplace and finance volumes, increased revenue and delivered strong adjusted EBITDA and operating cash flows. I ...

New Automated Absolute Sale Empowers Dealers to "Set and Forget", Capture Optimal Buyer Demand in Real Time CARMEL, Ind., Aug. 6, 2024 /PRNewswire/ -- OPENLANE, Inc. (NYSE: KAR), a leading operator of digital marketplaces for wholesale used vehicles, announces the launch of Automated Absolute Sale, a new tool that empowers US sellers to set a price threshold at the time of listing that, when achieved, immediately moves the vehicle into Absolute Sale mode. The feature increases convenience and velocity for s ...

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on August 7. On the other hand, if they miss, the stock may move lower. Estimate Revisions Trend The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings relea ...

CARMEL, Ind., July 18, 2024 /PRNewswire/ -- OPENLANE, Inc. (NYSE: KAR), a leading operator of digital marketplaces for wholesale used vehicles, will release its second quarter 2024 financial results after the market closes on Wednesday, August 7, 2024. OPENLANE will also host an earnings conference call and webcast following the release on Wednesday, August 7, 2024, at 5:00 p.m. ET. The call will be hosted by OPENLANE Chief Executive Officer Peter Kelly and Chief Financial Officer Brad Lakhia. The conferenc ...

Promotion Fortifies Leadership Bench with Broad Financial Experience CARMEL, Ind., July 17, 2024 /PRNewswire/ -- OPENLANE, Inc. (NYSE: KAR), a leading operator of digital marketplaces for wholesale used vehicles, announces the promotion of Itunu Orelaru to Head of Investor Relations. Orelaru will report to Brad Lakhia, EVP and Chief Financial Officer, and be responsible for communicating OPENLANE's vision, transformation and growth to stockholders and the financial community. Itunu OrelaruItunu Orelaru "Wit ...

New Director Brings C-Suite Track Record Driving Growth and Success CARMEL, Ind., June 20, 2024 /PRNewswire/ -- OPENLANE, Inc. (NYSE: KAR), a leading operator of digital marketplaces for wholesale used vehicles, announces the appointment of Randy Altschuler to its board of directors. A seasoned entrepreneur and executive, Altschuler brings more than 20 years of experience leveraging technology, digital marketplaces and artificial intelligence (AI) to transform the manufacturing landscape. "We are delighted ...

"Absolute Sale" Delivers Increased Velocity, Higher Engagement, Better Results "With just the click of a button, sellers can indicate they are committed to selling a vehicle that same day, and buyers looking to stock their lots can quickly discern who's ready to deal," said James Coyle, EVP and president, North American marketplaces at OPENLANE. "Buyers also save time, knowing that if they submit the highest bid, the seller will honor the win and sell the car — it's easier than ever for buyers to feel confi ...

Financial Data and Key Metrics Changes - OPENLANE's consolidated net revenue increased by 4% year-over-year, driven by a 13% unit volume growth in the marketplace segment [33][94] - Adjusted EBITDA reached $75 million, a $16 million increase from the previous year, with a 40% growth in marketplace adjusted EBITDA [27][31][94] - Cash flow from operating activities was $100 million, with consolidated net leverage approximately 1 times adjusted EBITDA [29][41] Business Line Data and Key Metrics Changes - The marketplace segment saw a 13% increase in total volumes, primarily driven by the U.S. business, while dealer volumes declined, particularly in Canada [12][35] - Commercial off-lease volumes were significantly up, outperforming the U.S. commercial market, indicating strong growth potential [16][21] - The absolute sale feature has led to increased buyer engagement, with participating sellers seeing an average sale price increase of nearly $500 [43][104] Market Data and Key Metrics Changes - The U.S. market experienced increased supply from selling dealers, leading to a growth in open marketplace transactions [13][52] - Canadian dealer volumes faced headwinds, with a shift towards commercial vehicles as supply improved [12][35] - The overall market share in digital transactions is believed to have increased, with OPENLANE outperforming physical auctions [78][93] Company Strategy and Development Direction - OPENLANE aims to build the world's greatest digital marketplace for used vehicles, focusing on growth in volume, market share, and financial results [15][96] - The company is investing in technology and innovation to enhance customer experience and operational efficiency [24][96] - There is a strong emphasis on expanding relationships with large dealer groups and transitioning them from physical auctions to digital platforms [22][96] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future off-lease volumes as lease originations are rising, which is expected to positively impact the business [21][63] - The company remains committed to managing risk in its finance business while focusing on responsible growth [23][39] - The expectation for adjusted EBITDA for 2024 remains unchanged, projected between $285 million and $305 million [48] Other Important Information - The company is cash flow positive with a strong balance sheet, allowing for continued investment in innovation without sacrificing financial results [24][41] - The implementation of a new customer NPS framework aims to enhance customer experience and inform product development [30] Q&A Session Summary Question: Can you provide insights on dealer-to-dealer volumes and profitability? - Management noted a significant improvement in U.S. dealer-to-dealer profitability, which has transitioned to a positive contributor to overall earnings [53][56] Question: What is the expected cadence for profitability in the U.S. D2D business? - The D2D business has been a positive contributor for several quarters, and management expects this trend to continue despite seasonal dynamics [58][59] Question: How do you see the off-lease dynamic playing out in the second half of the year? - Management anticipates an increase in vehicles entering remarketing due to a drop in consumer buyout percentages, which should positively impact volumes [60][62] Question: What is the market share in closed auctions? - Management confirmed that a significant portion of off-lease vehicles sells in closed auctions, which are crucial for OEMs and franchise dealer networks [84] Question: How is the absolute sale feature performing? - The absolute sale feature has gained popularity, leading to increased seller confidence and higher sale prices [104][108]