Investors focus on weaker full-year outlook despite Carvana’s 10th straight quarter of profitability and revenue growth.
Carvana Co. (CVNA) reported record second-quarter net income of $513 million, up $205 million year-over-year, alongside adjusted EBITDA of $769 million. Operating income also hit a record $680 million, rising $169 million from the prior year.
Revenue surged 52% year-over-year, driven by higher used car prices and a shift toward pricier vehicles, though a one-time accounting benefit is expected to fade. Retail units grew 38%, marking the 10th consecutive quarter of upside to estimates.
Shares fell nearly 12% as markets weighed the strong quarter against a disappointing full-year earnings outlook.