- Carvana press release ( NYSE: CVNA ): Q4 GAAP EPS of -$7.61 misses by $5.21 .
- Revenue of $2.84B (-24.3% Y/Y) misses by $210M .
- Retail Units Sold of 86,977, a decrease of 23% Y/Y.
- Net loss margin was -50.8%, a decrease from -4.8%.
- Adjusted EBITDA margin was -10.3%, a decrease from -1.4%.
- Looking toward Q1 2023: "On retail units, we currently expect a sequential reduction in retail units sold in Q1 2023 compared to Q4 2022, as we continue to normalize our inventory size, optimize marketing spend, and make progress on our profitability initiatives.
- Through the first seven weeks of Q1, we have averaged ~5,600 retail units sold per week. Historically, we have seen an increase in retail unit sold volume in March during tax refund season; however, unlike in past years, we have been decreasing, rather than increasing advertising, inventory, and staffing levels. As a result, we expect the increase in sales we have historically seen in tax season to be muted this year relative to past years.
- On GPU, we currently expect a sequential increase in Total GPU in Q1 2023 compared to Q4 2022.
- On SG&A, we are currently targeting an aggregate ~$100 million reduction in quarterly Non-GAAP SG&A expense by Q2 2023, compared to Q4 2022."
For further details see:
Carvana reports Q4 earnings miss; initiates Q1 outlook