How does CARG's earnings trend compare year-over-year?
4/11/2025 02:24pm
**CarGurus' earnings trend shows a positive year-over-year comparison**, with several key metrics indicating growth and robust performance:
1. **Earnings Per Share (EPS)**:
- CarGurus reported an EPS of $0.55 for Q4 2024, which surpassed analysts' expectations.
- This compares to an EPS of $0.34 for Q4 2023, reflecting a significant year-over-year increase.
2. **Revenue Growth**:
- The company's consolidated revenue increased by 2% year-over-year, reaching $229 million.
- Marketplace revenue, a critical segment, grew by 15% year-over-year, reaching $210 million.
3. **Marketplace Revenue Segments**:
- CarGurus' marketplace revenue, which includes revenue from new and used car listings, grew by 15% year-over-year.
- This indicates strong demand and engagement from dealers and consumers, contributing to the company's overall revenue growth.
4. **Wholesale Segment Performance**:
- The Digital Wholesale segment faced challenges, with an $18 million adjusted EBITDA loss.
- However, this segment's revenue was not provided, making it difficult to assess the full scope of its impact on the company's overall revenue.
5. **International Expansion and AI Integration**:
- CarGurus plans continued investment in international markets and AI integration.
- These strategic initiatives are likely to support future growth and reinforce the company's competitive position in the automotive retail sector.
In conclusion, CarGurus has demonstrated strong year-over-year earnings growth, driven by robust marketplace revenue and strategic initiatives. While challenges exist in specific segments, the company's overall trajectory indicates a positive outlook.