Carvana (CVNA) earnings Q1 2024

• Earnings per share: 23 cents — it was not immediately clear if this compared to the expected loss of 74 cents
• Income: $3.06 billion versus $2.67 billion expected

Carvana reported record first-quarter net income of $49 million, compared with a loss of $286 million in the year-ago period. He also posted an all-time record adjusted earnings before interest, taxes, depreciation and amortization of $235 million, up from a loss of $24 million a year earlier.

The company’s gross profit per unit, or GPU, closely watched by investors, was $6,432. Carvana’s adjusted profit margin for the quarter was 7.7%.

“In the first quarter, we delivered our best results in the company’s history, confirming our long-held belief that Carvana’s online retail model can drive industry-leading profitability while delivering experiences first-class customer,” said Ernie Garcia III, CEO and president of Carvana. A liberation.

These results follow a major restructuring carried out by the company over the past two years to focus on profitability rather than growth, following bankruptcy problems when Carvana shares lost almost all of their value in 2022.

The company’s shares have since recovered. They had climbed about 67% so far this year before the company reported its first-quarter results. The stock closed Wednesday up about 5% at $87.09 per share.

In a joint letter to shareholders Wednesday, Garcia and Chief Financial Officer Mark Jenkins said the company is now once again focused on growth, but also profitability.

“We are now focused on our long-term phase of generating profitable growth and continuing our goal of becoming the largest and most profitable automotive retailer and buying and selling millions of cars,” it said. read in the letter to shareholders.

For the second quarter, the company said it expects a sequential increase in its year-over-year growth rate of its retail units, as well as a sequential increase in its profit adjusted before interest, taxes and depreciation.