OPENLANE Reports Strong Third Quarter 2024 Results

Kar Auction Services ( (KAR) ) has released its Q3 earnings. Here is a breakdown of the information Kar Auction Services presented to its investors.

OPENLANE, Inc. (NYSE: KAR) is a provider of innovative, technology-driven remarketing solutions for the global wholesale used vehicle industry, offering an end-to-end platform that includes whole car, financing, logistics, and related services. The company, headquartered in Carmel, Indiana, operates in the United States, Canada, Europe, Uruguay, and the Philippines.

In its third quarter of 2024 financial results, OPENLANE, Inc. reported robust performance with significant growth across various metrics. The company achieved a total revenue of $448 million, marking an 8% increase year-over-year. The marketplace segment was particularly strong, contributing $354 million to the revenue and showcasing a 12% growth compared to the previous year.

Key financial highlights include a consolidated adjusted EBITDA of $75 million, representing a 10% year-over-year growth. The marketplace segment demonstrated resilience and profitability, reporting a 34% growth in adjusted EBITDA. Additionally, the company’s Gross Merchandise Value reached approximately $7 billion, a 12% increase from the prior year, driven by a 6% increase in marketplace volumes.

OPENLANE’s management remains optimistic about the future, updating its annual guidance with an expectation of income from continuing operations to range between $73 million and $81 million, and adjusted EBITDA to be between $285 million and $295 million. This outlook reflects the company’s strategic focus on innovation and investment in enhancing customer experience.

Overall, OPENLANE, Inc.’s strong quarterly performance and updated guidance suggest a positive trajectory for the company, underpinned by its commitment to advancing technology-driven solutions in the used vehicle marketplace.