Carvana Co. (CVNA) Earnings

metirFinance

Sep 2026upcoming

Next quarter

Expected to report Oct 28, 2026 — estimated from last year’s reporting date.

Consensus is $0.48 EPS for Sep 2026 across 7 estimates, ranging $0.39 to $0.62.

CVNA Jun 2026

Reported Jul 29, 2026

: 0.00%
: -7.36%

: $0.42
: $0.42
: —
: $7.38B

Reported results

: $7.38B; from $4.84B
: 18.76%; from 21.98%
: $680.00M; from $511.00M
: 9.22%; from 10.56%
: $310.00M; from $183.00M

Highlights

Volume: Retail units sold rose 37.7% year over year to a record 197,325, with wholesale units up 44.4% to 105,052.
Revenue: Net sales increased 52.4% to $7.376 billion, versus $6.43 billion in Q1 2026 and $4.84 billion in Q2 2025.
Profitability: GAAP operating income rose 33.1% year over year to $680 million, while consolidated net income reached $513 million, or a 7.0% margin.
Adjusted EBITDA: Adjusted EBITDA increased 28.0% to $769 million, although its margin fell to 10.4% from 12.4% as gross profit per unit declined.
Per-unit economics: Total gross profit per retail unit was $7,014, down $412 year over year but up $231 sequentially; non-GAAP GPU was $7,125.
EPS: Diluted EPS was $0.42, exactly matching the $0.42 consensus estimate; EPS was $0.26 in Q2 2025.
Outlook: Carvana expects Q3 retail units to increase sequentially and maintained full-year 2026 Adjusted EBITDA guidance of $2.7 billion to $3.0 billion.
Capacity: Three additional ADESA sites gained retail production capabilities, bringing integrated sites to 19; current fully built-out capacity is approximately 1.5 million annual retail units.
Liquidity: Cash and cash equivalents rose to $2.630 billion, while total liquidity resources reached $7.024 billion at June 30, 2026.

Analysis

Carvana’s Q2 2026 was another high-growth quarter, with EPS of $0.42 exactly in line with consensus. Revenue of $7.376 billion increased 52.4% from $4.84 billion a year ago and 14.7% from $6.43 billion in Q1. GAAP operating income rose to $680 million from $511 million year over year and $581 million sequentially. Consolidated net income was $513 million, compared with $308 million a year ago; net income attributable to Carvana was $310 million, versus $183 million a year ago and $250 million in the supplied Q1 comparison.

The defining feature was continued scale: retail volume grew 37.7% to 197,325 vehicles, nearly doubling over two years, while revenue growth outpaced unit growth because retail revenue per vehicle increased to $27,908. The trade-off was lower per-unit profitability, with total GPU down 5.5% year over year, although it improved sequentially as retail pricing benefited from higher industry prices. Adjusted EBITDA rose to $769 million, but margin compressed to 10.4% from 12.4%, reflecting the mix and continued investment in advertising, logistics, infrastructure and operations. Management expects sequential unit growth in Q3 and retained its $2.7 billion-$3.0 billion full-year Adjusted EBITDA outlook.

Retail volume and monetisation

Retail scale: Retail units sold reached a company record of 197,325, up 37.7% year over year and 5.3% from 187,393 in Q1. Average monthly unique visitors rose to 21.766 million from 18.129 million a year earlier, while website inventory increased to 77,971 units from 56,394.
Revenue mix: Retail vehicle sales grew 61.7% to $5.507 billion, wholesale sales and revenues rose 31.2% to $1.343 billion, and other sales and revenues increased 28.0% to $526 million. Other revenue included $349 million of gains on loan sales during the quarter.
Financing capacity: Carvana sold $2.1 billion of finance receivables under the Ally agreement, $1.5 billion through fixed-pool sales and $1.1 billion through securitizations. On July 27, Ally increased its purchase commitment to up to $8.0 billion through July 2027.

Margins and unit economics

Gross profit: Total gross profit increased 30.1% to $1.384 billion, slower than revenue growth. Retail gross profit rose 34.4% to $700 million, wholesale gross profit rose 19.7% to $158 million, and other gross profit rose 28.0% to $526 million.
GPU pressure: Total gross profit per retail unit declined to $7,014 from $7,426 a year ago, while non-GAAP GPU fell to $7,125 from $7,580. Retail GPU declined $89 year over year to $3,547, and wholesale GPU fell $120 to $801.
Sequential recovery: Total GAAP GPU increased $231 from Q1 and non-GAAP GPU rose $214. Management attributed the quarter’s allocation shift to higher retail prices following FTC guidance on advertised dealer fees, partly offset by lower other GPU as benchmark rates increased.
Operating leverage: SG&A increased 27.8% to $704 million, slower than revenue, and GAAP SG&A per retail unit declined to $3,568 from $3,846. Adjusted EBITDA rose 28.0% to $769 million, but margin fell to 10.4% from 12.4%.

Reconditioning capacity

ADESA integration: Carvana added retail production capabilities at three ADESA locations in Q2, taking the integrated total to 19 sites. Construction also began on the first full ADESA buildout, which is expected to begin producing vehicles in early 2027.
Long-term footprint: Existing facilities provide fully built-out annual capacity for approximately 1.5 million retail units, with real estate capable of supporting 3 million units annually. Management continues to target 3 million annual vehicles and a 13.5% Adjusted EBITDA margin by 2030-2035.
Efficiency focus: Labor hours per unit remained near historical best levels, with management-focused CARLI tools deployed at five production locations in June. Management views additional rollout and improved selection as the main enablers of continued geographic sales growth.

Cash flow and balance sheet

Liquidity: Cash and cash equivalents were $2.630 billion at June 30, up from $2.327 billion at December 31, 2025. Committed liquidity resources were $4.669 billion and total liquidity resources were $7.024 billion.
Cash generation: Operating cash flow for the first six months was $345 million, compared with $261 million in the prior-year period. Vehicle inventory consumed $833 million of cash as Carvana expanded its unit base and selection.
Capital structure: Outstanding principal debt was $5.1 billion at quarter-end, versus $5.0 billion at year-end. Net interest expense nevertheless declined to $101 million from $143 million a year earlier, helped by lower interest on senior secured notes.

Near-term outlook

Q3 direction: Management expects retail units sold to increase sequentially from Q2, despite typical used-vehicle seasonality that generally causes demand to moderate after the first quarter.
2026 guidance: Full-year Adjusted EBITDA guidance remains $2.7 billion to $3.0 billion, compared with $2.24 billion in 2025.
Execution risk: Management’s plan depends on scaling reconditioning and logistics capacity while preserving unit economics. The company also identified used-vehicle prices, benchmark rates, tariffs, fuel costs, consumer demand and access to finance-receivable markets as material variables.

Carvana Co.

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