ACV Auctions(ACVA) - 2024 Q4 - Annual Results

Financial Performance - Fourth quarter revenue reached $160 million, a 35% increase year over year, while full-year revenue totaled $637 million, up 32% year over year[6] - Fourth quarter Adjusted EBITDA was $6 million, compared to a loss of $5 million in the same quarter of 2023, with full-year Adjusted EBITDA at $28 million, improving from a loss of $18 million in 2023[7] - Marketplace and service revenue for the full year was $573 million, a 36% increase year over year, with marketplace units sold totaling 743,008, a 24% increase year over year[8] - Total revenue for the year ended December 31, 2024, was $637,156 thousand, a 32.5% increase from $481,234 thousand in 2023[32] - Marketplace and service revenue for Q4 2024 reached $143,123 thousand, up 37.8% from $103,767 thousand in Q4 2023[32] - Adjusted EBITDA for the year ended December 31, 2024, was $28,136 thousand, compared to a loss of $18,209 thousand in 2023[37] Future Projections - For 2025, the company expects revenue between $765 million and $785 million, representing a growth of 20% to 23% year over year, and Adjusted EBITDA is projected to be between $65 million and $75 million, indicating approximately 150% growth at the midpoint of guidance[6] - The first quarter of 2025 is expected to generate total revenue of $180 million to $185 million, an increase of 24% to 27% year over year, with Adjusted EBITDA projected to rise by 110% to 158% year over year[8] Market Insights - The marketplace GMV for the fourth quarter was $2.3 billion, reflecting a 22% year-over-year increase, with marketplace units sold reaching 183,497, a 27% increase year over year[7] - The dealer wholesale market is anticipated to remain flat year over year in 2025, but the company believes it is well-positioned for sustainable market share gains[4] Net Income and Loss - Non-GAAP net income for the full year 2025 is expected to be between $32 million and $42 million, while GAAP net loss is projected to be between $62 million and $52 million[8] - The company reported a fourth quarter GAAP net loss of $26 million, compared to a loss of $23 million in the fourth quarter of 2023[7] - Net loss for the year ended December 31, 2024, was $79,700 thousand, compared to a net loss of $75,261 thousand in 2023, reflecting a 5.1% increase in losses[32] Cash and Expenses - Cash and cash equivalents increased to $224,065 thousand as of December 31, 2024, from $182,571 thousand at the end of 2023, marking a 22.8% increase[34] - Total operating expenses for the year ended December 31, 2024, were $721,261 thousand, a 26.4% increase from $570,911 thousand in 2023[32] - The company reported a stock-based compensation expense of $68,010 thousand for the year ended December 31, 2024, up from $49,648 thousand in 2023[37] - Total liabilities increased to $544,145 thousand as of December 31, 2024, from $466,396 thousand in 2023, representing a 16.6% increase[34] Acquisitions and Shares - The company acquired businesses for a net cash outflow of $156,475 thousand in 2024, compared to $29,623 thousand in 2023[36] - The weighted-average shares outstanding for the year ended December 31, 2024, were 164,850,699, an increase from 159,952,813 in 2023[32] Upcoming Events - The company plans to host an analyst meeting on March 11, 2025, to discuss further insights and strategies[10]