Third Quarter 2025 Earnings November 6, 2025 This presentation discusses Adjusted EBITDA, Adjusted EBITDA margin, Adjusted net income, Free Cash Flow and Adjusted Operating Expenses. These financial measures are not prepared in accordance with generally accepted accounting principles in the United States ("GAAP"). These financial measures are presented as supplemental measures of operating performance because the Company believes they provide meaningful information regarding the Company's performance and pr ...

Core Insights - Cars.com has launched Carson™, a multilingual AI-powered search tool designed to enhance the car shopping experience for its 25 million monthly users by converting conversational queries into targeted search results [1][2]. Group 1: AI Implementation and User Engagement - Carson aims to simplify the car shopping process by allowing users to input natural language queries, addressing the fact that over 70% of shoppers are undecided about make and model at the start of their search [2][5]. - The AI tool has shown strong performance, assisting approximately 15% of web and mobile searches on Cars.com, and users of Carson return to the site twice as often as other shoppers [5][6]. Group 2: User Behavior and Search Trends - Shoppers are utilizing Carson for various types of searches, including practical needs (e.g., "reliable"), emotional needs (e.g., "cool"), lifestyle needs (e.g., "good for a new teen driver"), and specific automotive terms (e.g., "c6 vette") [6]. - Carson users save three times more vehicles compared to other shoppers and exhibit a nearly 30% higher conversion rate from search results to vehicle detail pages [5][6]. Group 3: Future Developments - The company plans to evolve Carson further by providing AI summaries, search refinement prompts, and personalized options for users, reinforcing its commitment to innovation in the automotive industry [4][5].