Core Insights - Broad Arrow Auctions achieved a total sales figure of $57.4 million during its 2025 Monterey Jet Center auction, with 80% of all lots sold, marking a significant increase in bidder registration by over 20% compared to 2024 [1][3][4] Auction Highlights - The auction set at least eight new record prices, led by the sale of a 2005 Maserati MC12 Stradale for $5,202,500, surpassing the previous record of $3,800,000 for the model [2][4][7] - Other notable sales included a 2008 Koenigsegg CCXR at $3,222,500, a 1980 BMW M1 Procar at $1,600,000, and a 2009 Mercedes-Benz SLR McLaren Prototype "Stealth" at $1,022,500, all setting new records for their respective models [7][9] Market Trends - The auction results reflect a strong demand for modern collectibles, indicating a generational shift in the collector car market, with a notable interest in Japanese collector cars, including a 1999 Nissan Skyline CRS GT-R V-Spec sold for $692,500 [3][4][9] - The top 10 sales at the auction included iconic models such as a 1967 Ferrari 275 GTB/4 at $2,562,500 and a 1955 Mercedes-Benz 300 SL Gullwing Coupe at $1,902,500, demonstrating robust interest in both modern and classic vehicles [9][10] Future Events - Broad Arrow Auctions plans to expand its auction schedule with three new events in 2025, including the inaugural Zoute Concours Auction in Belgium and the debut Las Vegas Auction, indicating a strategic growth in its global footprint [15][18]

Core Viewpoint - Broad Arrow Auctions, a Hagerty company, is set to feature a rare 1956 Jaguar D-Type at its inaugural Zürich Auction on November 1, 2025, which is expected to attract significant interest from collectors due to its pristine condition and unique history [1][3][8]. Auction Details - The auction will take place at the Dolder Grand hotel in Zürich, in partnership with Auto Zürich [3]. - The Jaguar D-Type, chassis XKD 551, is one of only 71 produced and has never been used in competitive motorsport, enhancing its desirability among collectors [2][8]. Vehicle History - Chassis XKD 551 was sold to its first owner in October 1957 and was converted to semi-XKSS specification, later returning to its original configuration in the 1970s [4][5]. - The car has been meticulously cared for by its current Swiss owner since 1994, with significant investments made in its preservation, including a rebuild of the original engine [5][6]. Collectibility and Value - The Jaguar D-Type is accompanied by various historical documents, including FIA Historical Identity Form and FIVA Identity Card, making it eligible for prestigious historic racing events [6]. - The estimated auction price for the D-Type is between CHF 5,250,000 and CHF 6,250,000 [8]. Company Background - Broad Arrow Auctions is a leading global collector car auction house, founded in 2021, and has rapidly expanded its presence in the auction market [9]. - The company has launched several auctions in Europe and is known for its high-quality offerings to collectors and enthusiasts [9].

Financial Data and Key Metrics Changes - Q2 revenue was $194 million, representing a 21% year-over-year growth, and the company sold 210,000 vehicles, which is a 13% increase year-over-year despite market deceleration [6][19][20] - Adjusted EBITDA was $19 million, at the midpoint of guidance, with a margin improvement of 520 basis points year-over-year [20][25] - Non-GAAP net income was also at the midpoint of guidance, with a margin increase of 430 basis points year-over-year [20] Business Line Data and Key Metrics Changes - Auction and assurance revenue accounted for 57% of total revenue, growing 20% year-over-year, driven by 13% unit growth and an average revenue per unit (ARPU) of $523, which increased by 6% [20] - Marketplace services revenue made up 39% of total revenue, growing 25% year-over-year, reflecting record revenue for ACV Transport and ACV Capital [20] - SaaS and data services products comprised 4% of total revenue, with revenue approximately flat year-over-year [21] Market Data and Key Metrics Changes - The company observed a 300 basis point increase in trade retention rates year-over-year, indicating dealers are keeping more vehicles for retail purposes [90] - Conversion rates decreased during the quarter but showed improvement in July, aligning with normal seasonal patterns [24][38] Company Strategy and Development Direction - The company focuses on three pillars for long-term shareholder value: growth, innovation, and scale, leveraging AI across its suite of solutions to enhance dealer experiences [5][7] - The company is expanding its total addressable market (TAM) and competitive moat through innovative product offerings and partnerships, including a new commercial platform [17][28] - The company is committed to maintaining adjusted EBITDA guidance while investing in long-term growth objectives, expecting a revenue growth of at least 20% year-over-year [5][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in executing a profitable growth strategy despite challenging market conditions, with expectations for strong top-line growth [4][6] - The company trimmed its 2025 revenue guidance by $5 million to reflect ongoing macroeconomic challenges, now expecting revenue in the range of $765 million to $775 million [25][106] - Management noted that while the market may be flat to slightly down, they anticipate returning to mid-teens market share gains in the future [64][90] Other Important Information - The company is excited about the upcoming launch of its first greenfield location in Houston, Texas, which will enhance its commercial platform capabilities [17][120] - The company is actively working on integrating new technology and data products to improve pricing accuracy and auction liquidity [42][46] Q&A Session Summary Question: Clarification on unit growth headwind - Management clarified that the 500 basis point unit growth headwind was due to lower conversion rates than anticipated, while dealers are retaining more vehicles [31][34][36] Question: Competitive dynamics in the marketplace - Management indicated that the slight dip in conversion rates was consistent across the industry, with improvements noted at the start of the current quarter [38][39] Question: Progress on pricing engine and auction liquidity - Management reported significant progress in their pricing engine, achieving a close estimate of vehicle sale prices, which enhances auction liquidity [42][45] Question: Amazon partnership and geographic expansion of AI tools - Management stated that while they are investing in partnerships and new capabilities, they do not expect material contributions from these initiatives in the current year [52][56] Question: Drivers of deceleration relative to the broader industry - Management emphasized that while growth has slowed, they remain confident in their ability to gain market share and expect a return to mid-teens growth [62][64] Question: Update on ClearCar and market success - Management highlighted strong performance from ClearCar, particularly in supply-constrained markets, and noted plans to integrate new features with their offerings [96][101]

Core Insights - Motorlux will return on August 13, 2025, to kick off Monterey Car Week, blending car culture, luxury aviation, and elevated hospitality [1] - The event will feature three Michelin-starred chefs and tastings from over 40 acclaimed regional wines, enhancing the culinary experience [1] Event Highlights - The opening night will include a fashion-show-inspired event at the Broad Arrow Monterey Jet Center Auction, providing early access to a premier collector car sale [2] - Motorlux will showcase immersive automotive exhibits with curated food and drink pairings [2] - The auction will feature approximately 150 collector cars, with highlights including a 1962 Shelby 260 Cobra estimated at $1.5M to $2.0M and a 1991 Ferrari F40 estimated at $3.4M to $3.7M [3] Charitable Contributions - Motorlux supports the CHP 11-99 Foundation, aiding California Highway Patrol families in crisis, and benefits the Navy Postgraduate School Foundation [4] Company Background - Motorlux is organized by Hagerty, an automotive enthusiast brand focused on preserving car culture and providing specialty vehicle insurance, car valuation data, and auction services [5][6] - Hagerty operates in the U.S., Canada, and the U.K., serving a community of nearly 890,000 car enthusiasts [6][8] Special Exhibitions - The event will feature displays celebrating Porsche, Ford Mustang's 60th anniversary, a showcase of cars capable of reaching 200 mph, and a tribute to Mercedes-Benz designer Bruno Sacco [7]

Core Insights - Broad Arrow Auctions, a subsidiary of Hagerty, successfully held its first European auction at the Concorso d'Eleganza Villa d'Este, achieving total sales of €31,172,625 with 78% of lots sold [2][3][11] Auction Highlights - The standout sale was a 1948 Ferrari 166 Spyder Corsa, which set a new auction record by selling for €7,543,750 [4][11] - Other notable sales included a 1989 Ferrari F40 Competizione for €2,312,500 and a 2003 Honda NSX-R for €934,375, which also set a world auction record [6][12] - The auction featured a dedicated BMW-only sale, with a 1980 BMW M1 selling for €602,500 [8][11] Sales Performance - The auction took place over two days, May 24 and 25, with over 8,000 viewers watching live on YouTube [3][11] - The auction included over 70 vehicles, showcasing a mix of classic and modern cars, attracting bidders from various countries [6][12] Future Plans - Broad Arrow Auctions plans to expand its European sale calendar throughout 2025, following the success of this inaugural event [9][12]