Business
Vroom Reports Third Quarter 2020 Results
Vroom Delivers Record Ecommerce Units and Gross Profit Ecommerce Unit Sales Up 59% YoY Ecommerce Gross Profit Up 120% YoY NEW YORK--(BUSINESS WIRE)-- Vroom,
About this update from Vroom, Inc.
[{"type":"text","content":"\nVroom Delivers Record Ecommerce Units and Gross Profit\n\nEcommerce Unit Sales Up 59% YoY \n\nEcommerce Gross Profit Up 120% YoY\n\n NEW YORK--(BUSINESS WIRE)--\nVroom, Inc. (NASDAQ:VRM), a leading e-commerce platform for buying and selling used vehicles, today announced financial results for the third quarter ended September 30, 2020 (“Q3 2020”).\n\nHIGHLIGHTS OF THIRD QUARTER 2020\n\n\n8,823 ecommerce units sold, up 59% YoY\n\n\nEcommerce revenue of $221.8 million, up 25% YoY\n\n\nEcommerce gross profit of $19.3 million, up 120% YoY\n\n\nPaul Hennessy, Chief Executive Officer of Vroom, commented:\n\n“I am very pleased with our results for the third quarter, in which we successfully managed the challenges presented by the COVID-19 pandemic, outperformed our plan, demonstrated the strength of our business model, and hit the accelerator on significantly scaling our business. By doing the things we said we would do -- adding vehicle inventory, increasing marketing, relying on data to drive decision making, and enhancing our customer experience -- we increased the velocity of the Vroom flywheel, drove conversion and increased GPPU. We will continue to execute our plan and invest in the growth of our business as we transform the market for buying and selling used vehicles.”\n\nCOVID-19 Update\n\nNote: All sequential comparisons are on a current quarter over prior quarter basis. \n\nAfter the initial disruption in our ecommerce operations due to the COVID-19 pandemic, consumer demand for used vehicles has returned to pre-COVID-19 levels and, in the three months ended September 30, 2020, we experienced continued strong consumer demand for our ecommerce solutions and contact-free delivery. Ecommerce units sold increased sequentially 31.4% to 8,823 units driven by increased consumer demand, higher inventory levels and increased marketing spend, and ecommerce revenue increased sequentially 26.3% to $221.8 million.\n\nEcommerce gross profit and gross profit per unit experienced strong sequential growth of 167.4% to $19.3 million and 103.5% to $2,188 per unit, respectively.\n\nTHIRD QUARTER 2020 FINANCIAL DISCUSSION\n\nAll financial comparisons are on a year-over-year basis unless otherwise noted.\n\nEcommerce Results\n\n\n\n \n\n\n\n \n\n\n\nThree Months Ended\n\n\nSeptember 30,\n\n\n\n \n\n\n\n \n\n\n\n \n\n\n\n \n\n\n\n \n\n\n\n \n\n\...