NYSE$CVNA
Carvana Co · Q3 2023 earnings
Q3 2023 earnings · · Investor relations
Briefing
Carvana's Q3 2023 earnings demonstrated significant progress towards profitability, driven by operational efficiencies and unit economic gains.
Carvana reported a decrease in revenue by 18% to $2.773 billion, but achieved a net income of $741 million due to a gain on debt extinguishment. The company also saw an increase in total gross profit by 34% to $482 million and made substantial improvements in total gross profit per unit.
- Achieved positive net income primarily due to a gain on debt extinguishment.
- Increased total gross profit by 34% year-over-year.
- Improved total gross profit per unit to $5,952, up by $2,452 year-over-year.
- Retail units sold totaled 80,987, a decrease of 21%.
Headline financials
Revenue & EPS history
Carvana · Revenue · Quarterly
$2.77B
Forward guidance
Carvana expects a sequential decline in retail units sold, non-GAAP total GPU above $5,000, and positive Adjusted EBITDA for Q4 2023, assuming a stable macroeconomic environment. They also anticipate driving significant Total GPU and Adjusted EBITDA in 2024.
Tailwinds
- Anticipates Non-GAAP Total GPU above $5,000 for the third consecutive quarter.
- Expects positive Adjusted EBITDA for the third consecutive quarter.
- Plans to drive significant Total GPU in 2024.
- Aims to achieve significant Adjusted EBITDA in 2024.
- Focuses on maintaining relatively stable levels of staffing, advertising, and inventory to bolster unit economics.
Headwinds
- Expects a sequential decline in retail units sold due to industry and seasonal patterns.
- Macroeconomic and industry environment continues to be uncertain.
- Unable to calculate one-time or restructuring expenses which could affect GAAP GPU and Net Income.
- The environment needs to remain stable for the expectations to hold.
- No assurance that financing alternatives will be available in the future.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q3 2023
+8.0%
Avg return
Earnings day
+6.8%
Avg return
5 days after
+12.7%
Avg return
30 days after
62%
23 / 37 earnings
Positive
+40.7%
Q1 2017
Best reaction
-35.0%
Q3 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +2.3% | -4.4% | -8.1% | |
| Q4 2025 | +16.3% | -10.1% | -22.2% | |
| Q3 2025 | -8.4% | -12.5% | +5.8% | |
| Q2 2025 | +17.0% | +5.1% | +11.5% | |
| Q1 2025 | +10.2% | +13.1% | +31.8% | |
| Q4 2024 | -12.1% | -21.3% | -32.2% | |
| Q3 2024 | +18.5% | +8.3% | +24.8% | |
| Q2 2024 | +15.6% | +6.8% | +18.8% | |
| Q1 2024 | +40.5% | +48.3% | +20.6% | |
| Q4 2023 | +40.1% | +62.8% | +74.0% | |
| Q3 2023 | +24.2% | +31.5% | +35.4% | |
| Q2 2023 | +17.4% | +16.2% | -1.5% | |
| Q1 2023 | +26.7% | +67.6% | +121.8% | |
| Q4 2022 | -20.5% | -6.5% | -18.7% | |
| Q3 2022 | -35.0% | -45.4% | -40.1% | |
| Q2 2022 | +34.6% | +18.7% | -9.5% | |
| Q1 2022 | -18.3% | -20.2% | -67.0% | |
| Q4 2021 | +34.2% | +27.6% | +13.1% | |
| Q3 2021 | -1.2% | -1.8% | -13.3% | |
| Q2 2021 | +4.5% | +11.8% | -0.7% | |
| Q1 2021 | -11.7% | -14.8% | -0.3% | |
| Q4 2020 | -0.5% | +10.5% | -9.1% | |
| Q3 2020 | -8.7% | -5.9% | +22.7% | |
| Q2 2020 | +33.8% | +14.1% | +12.2% | |
| Q1 2020 | +13.6% | +17.1% | +34.7% | |
| Q4 2019 | -14.7% | -20.8% | -52.9% | |
| Q3 2019 | -10.3% | -4.9% | +6.0% | |
| Q2 2019 | +21.2% | +31.1% | +39.9% | |
| Q1 2019 | +5.9% | -12.4% | -11.0% | |
| Q4 2018 | +10.8% | +3.9% | +43.4% | |
| Q3 2018 | +14.3% | -2.3% | -20.7% | |
| Q2 2018 | +8.4% | +13.8% | +30.4% | |
| Q1 2018 | +7.2% | +8.9% | +44.3% | |
| Q4 2017 | -6.3% | -3.2% | +25.2% | |
| Q3 2017 | -10.4% | -13.3% | +34.6% | |
| Q2 2017 | -2.6% | -12.1% | +1.0% | |
| Q1 2017 | +40.7% | +47.8% | +124.2% | |
| Q4 2016 | — | — | — | |
| Q3 2016 | — | — | — | |
| Q2 2016 | — | — | — | |
| Q1 2016 | — | — | — | |
| Q4 2015 | — | — | — |
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