Cars.com, Inc. ( (CARS) ) has released its Q1 earnings. Here is a breakdown of the information Cars.com, Inc. presented to its investors.
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Cars.com Inc., operating as Cars Commerce Inc., is a technology company focused on the automotive industry, providing a range of solutions that facilitate car buying and selling processes through its digital platforms and services.
In its first quarter of 2025, Cars.com reported a revenue of $179 million, reflecting a slight decrease from the previous year. The company highlighted growth in OEM and National revenue by 6% year-over-year and a record of 29 million average monthly unique visitors, indicating strong market engagement.
Key financial metrics showed a net loss of $2 million, primarily due to severance costs, with adjusted net income at $24 million. The company also achieved an adjusted EBITDA of $50.7 million, maintaining a strong margin despite economic pressures. Strategic initiatives included the acquisition of DealerClub, which contributed to increased dealer engagement and auction activity.
Cars.com continues to focus on expanding its dealer revenue through new product offerings and cost management strategies. The company repurchased 1.6 million shares, demonstrating a commitment to returning capital to shareholders. Despite macroeconomic uncertainties, Cars.com maintains confidence in its strategic roadmap for 2025.
Looking ahead, Cars.com is poised to navigate the volatile automotive market with its asset-light model and robust balance sheet. The company remains focused on executing its growth initiatives while adapting to changing market conditions, with an emphasis on maintaining strong EBITDA margins.