Cars.com(CARS)2024-08-08 11:45Revenue Performance - Revenue for Q2 2024 was $178.9 million, representing a 6.4% year-over-year increase[2] - Total revenue for Q2 2024 was $178.894 million, a 6.5% increase from $168.176 million in Q2 2023[21] - OEM and National revenue grew 28% year-over-year, driven by increased demand for media and advertising solutions[3] - Q3 2024 revenue is expected to be between $178.0 million and $181.0 million, reflecting year-over-year growth of 2% to 4%[8] - The fiscal year 2024 revenue growth outlook has been revised to a range of 4.5% to 5.5%[9] Profitability Metrics - Adjusted EBITDA for Q2 2024 was $50.4 million, or 28% of revenue, up 10% year-over-year[5] - Operating income for Q2 2024 was $9.517 million, down 22.9% from $12.334 million in Q2 2023[21] - Net income for Q2 2024 was $11.381 million, a significant decrease from $94.126 million in Q2 2023[21] - Net income for the six months ended June 30, 2024, was $12,165, a decrease of 88.5% compared to $105,605 for the same period in 2023[23] - Adjusted EBITDA for the six months ended June 30, 2024, was $103,098, up 14.1% from $89,986 in the same period of 2023[24] Cash Flow and Liquidity - Net cash provided by operating activities for the first half of 2024 was $68.7 million, compared to $56.2 million in the prior year[6] - Total liquidity as of June 30, 2024, was $304.1 million, consisting of cash and cash equivalents of $29.1 million and revolver capacity of $275.0 million[6] - The company plans to return 50% of second half free cash flow to shareholders through share repurchases[7] - Free cash flow for the six months ended June 30, 2024, was $28,992, compared to $35,254 for the same period in 2023, reflecting a decrease of 17.3%[26] Customer Metrics - Dealer Customers increased to 19,390 as of June 30, 2024, up from 19,381 at the end of Q1 2024[3] - Average Revenue Per Dealer (ARPD) was $2,474, showing slight growth year-over-year[3] Operating Expenses - Total operating expenses rose to $169.377 million in Q2 2024, compared to $155.842 million in Q2 2023, reflecting an increase of 8.7%[21] - Total operating expenses for the six months ended June 30, 2024, were reported at $336,809, with adjusted operating expenses at $310,907, reflecting a reduction of approximately 7.7%[31] - Total operating expenses for the three months ended June 30, 2024, were $169,377, a decrease of 7.9% from $155,842 in the same period of 2023[29] Balance Sheet Highlights - Cash and cash equivalents decreased to $29.071 million as of June 30, 2024, down from $39.198 million at the end of 2023[22] - Total assets decreased to $1,120.542 million as of June 30, 2024, from $1,172.449 million at the end of 2023[22] - Total liabilities decreased to $623.651 million as of June 30, 2024, from $680.341 million at the end of 2023[22] - The accumulated deficit as of June 30, 2024, was $(997.569) million, an improvement from $(1,009.734) million at the end of 2023[22] Earnings Per Share - The company reported a diluted earnings per share of $0.17 for Q2 2024, down from $1.37 in Q2 2023[21] Stock-Based Compensation - Stock-based compensation for the six months ended June 30, 2024, was $16,763, compared to $14,672 for the same period in 2023, indicating an increase of 14.3%[25] - The adjustments for stock-based compensation in 2024 amounted to $(558), while in 2023, it was $(750), indicating a reduction in stock-based compensation expenses[31][32]