Business
Vroom Announces Fourth Quarter and Full Year 2023 Results
Substantial Progress on Value Maximization Plan NEW YORK--(BUSINESS WIRE)-- Vroom, Inc. (Nasdaq:VRM) today announced financial results for the fourth quarter
About this update from Vroom, Inc.
[{"type":"text","content":"\nSubstantial Progress on Value Maximization Plan\n\n\n NEW YORK--(BUSINESS WIRE)--\nVroom, Inc. (Nasdaq:VRM) today announced financial results for the fourth quarter and fiscal year ended December 31, 2023.\n\n\nHIGHLIGHTS OF FOURTH QUARTER AND FULL YEAR 2023\n\n\n\n$135.6 million cash and cash equivalents as of December 31, 2023\n\n\n\n4,780 and 17,401 Ecommerce units sold for the fourth quarter and full year, respectively, representing third consecutive quarter of Ecommerce unit growth\n\n\n\n$4,742 and $3,403 Ecommerce gross profit per unit (GPPU) for the fourth quarter and full year, respectively\n\n\n\n$(141.3) million and $(365.5) million net loss for the fourth quarter and full year, respectively\n\n\n\n$(91.6) million and $(277.2) million Adjusted EBITDA for the fourth quarter and full year, respectively, including ~$27 million impact of aged inventory liquidations and inventory write-downs due to the discontinuance of ecommerce operations(1)\n\n\n\n$41.4 million and $74.2 million convertible note repurchases during the fourth quarter and full year, respectively, for $23.3 million and $36.5 million, respectively\n\n\n\nCURRENT PROGRESS ON VALUE MAXIMIZATION PLAN\n\n\n\nExpected to be substantially complete with the ecommerce wind down by the end of the first quarter 2024\n\n\n\n~$94.0 million cash and cash equivalents as of February 29, 2024\n\n\n\nSold substantially all of our used vehicle inventory\n\n\n\nRepaid outstanding balance on Ally Floorplan Facility\n\n\n\nReducing our outstanding commitments and executing a reduction-in-force commensurate with our reduced operations\n\n\n\nTom Shortt, the Company’s Chief Executive Officer, said “As we previously announced, in January 2024 Vroom’s Board of Directors approved a Value Maximization Plan pursuant to which the Company has discontinued its ecommerce operations and is winding down its used vehicle dealership business. I am incredibly proud of the commitment and professionalism demonstrated by our team as they execute an orderly wind down of our ecommerce operations with a focus on timeliness and cost effectiveness. We anticipate that the wind-down will be substantially complete by the end of the month and look forward to working to maximize stakeholder value through our remaining businesses, United Auto Credit and CarStory.”\n\n\n\n\n(1) While the Value Maximization...