CVNA Q1 Earnings Beat on Solid Revenues, Adjusted EBITDA Doubles

Core Insights - Carvana reported first-quarter earnings of $1.51 per share, significantly exceeding the Zacks Consensus Estimate of 75 cents and improving from a loss of 41 cents per share in the same quarter last year. This outperformance was driven by better-than-expected revenues across all segments [1] - Total revenues reached$4.23 billion, surpassing the Zacks Consensus Estimate by 4.7% and reflecting a 38% year-over-year increase [1] Financial Performance - Total gross profit for the quarter was $929 million, marking a 57.2$6,938 from 6,432 in the prior year [2] - Selling, General and Administrative (SG&A) expenses were 535 million, up 17.3% year over year [2] - Adjusted EBITDA for the first quarter was $488 million, with an adjusted EBITDA margin of 11.5$2.98 billion, a 37% increase year over year, exceeding the estimate of $2.87 billion. The number of vehicles sold to retail customers rose 45.7$863 million, up 31.4% year over year, surpassing the estimate of $702 million. The number of vehicles sold to wholesale customers increased 43.7$389 million, exceeding the forecast of $310.3 million [5] Financial Position - As of March 31, 2025, Carvana had cash and cash equivalents of$1.85 billion, up from $1.71 million as of December 31, 2024. Long-term debt was$5.27 billion, slightly up from $5.25 billion [5] Outlook - Carvana anticipates significant growth in both retail units sold and adjusted EBITDA for the full year 2025, including sequential increases in the second quarter [6]