CarGurus Q2 Earnings and Revenue Surpass Estimates

CarGurus Q2 non-GAAP earnings and revenue rose, beating estimates. The digital auto platform reported adjusted core profit of $0.57 per share and revenue of $234.0M, exceeding FactSet estimates. For Q3, CarGurus expects adjusted EPS of $0.50-$0.58 and revenue of $228.0M-$233.0M. The company plans to wind down its CarOffer business.

CarGurus (CARG) reported strong second-quarter (Q2) earnings, exceeding analyst expectations and demonstrating robust growth. The digital auto platform reported adjusted earnings per share (EPS) of $0.57, surpassing the FactSet consensus estimate of $0.54 [3]. Revenue for the quarter came in at $234.0 million, beating the consensus estimate of $232.68 million [3].

The company's non-GAAP adjusted EBITDA was $77.3 million, up 39% year-over-year (YoY), reflecting the company's sustained momentum in its Marketplace business [4]. CarGurus also announced a board-approved share repurchase program, increasing the 2025 authorization to $350 million and extending it through July 2026 [4].

Looking ahead, CarGurus expects adjusted EPS of $0.50 to $0.58 and revenue of $228.0 million to $233.0 million for the third quarter (Q3) 2025 [3]. The company also plans to wind down its CarOffer business, which was previously announced [4].

The stock price of CarGurus closed at $31.41, up 1.06% in the last three months and up 40.22% in the last 12 months [3]. The company has seen 11 positive EPS revisions and 0 negative revisions in the last 90 days, indicating a positive outlook from analysts [3].

CarGurus' performance highlights the resilience of the online auto shopping platform in the face of market challenges. The company's focus on its core Marketplace business and strategic initiatives, such as share repurchases and operational improvements, position it well for future growth.

References:
[1] https://finance.yahoo.com/news/cargurus-carg-tops-q2-earnings-221002091.html
[2] https://www.ainvest.com/news/orthopediatrics-2025-q2-earnings-misses-targets-revenue-beat-2508/
[3] https://www.investing.com/news/earnings/cargurus-earnings-beat-by-003-revenue-topped-estimates-4178277
[4] https://investors.cargurus.com/news-releases/news-release-details/cargurus-announces-second-quarter-2025-results-shares-plans-wind