Slide 1: Q4 2024 Earnings Presentation
Q4 2024 Earnings Presentation February 20, 2025
Slide 2: Cautionary Note Regarding Forward-Looking Statements
Cautionary Note Regarding Forward-Looking Statements This presentation includes forward-looking statements. Other than statements of historical facts, all statements contained in this presentation, including statements regarding our transformation to a transaction-enabled platform; industry trends;
Slide 3: Financial Highlights: Q4 2024
Financial Highlights: Q4 2024 Revenue ($ millions) GAAP Gross Profit ($ millions) Non-GAAP Adjusted EBITDA1 ($ millions) % YoY (22%) (7%) (9%) 5% 2% % Margin 75% 81% 83% 79% 87% Non-GAAP Margin 27% 23% 25% 28% 33% 76.4 231.4 228.5 223.1 218.7 215.8 64.9 27.3 18.3 -55% 23.5 199.0 40.9 28.6 YoY 182.6
Slide 4: Drivers of Value Creation: Q4 2024 Progress
Drivers of Value Creation: Q4 2024 Progress More Value Better Consumer Transaction Rebuild & Integrate to Dealers Experience Enablement Digital Wholesale ● We recorded nearly 1M price ● Cross-platform syncing across ● Digital Deal adoption +105% ● Insights-driven functionality changes1 in Q4 to the
Slide 5: Double-digit YoY QARSD Growth; Strong Expansion of International Paying Dealer Base
Double-digit YoY QARSD Growth; Strong Expansion of International Paying Dealer Base QARSD1 Paying Dealers1 $6,144 +11.6% $5,848 $6,038 $5,664 YoY $5,503 +1,075 $2,057 $2,072 $1,882 $1,935 30,935 31,175 31,352 31,684 32,010 Dealers $1,773 YoY 6,617 6,756 6,906 7,123 7,318 $6,702 $6,942 $7,177 $7,337
Slide 6: Market-leading Consumer Experience
Market-leading Consumer Experience U.S. Average Monthly Visitors1 2 Average Monthly Unique Visits3 64% (millions) (millions) More average monthly visits than our closest competitor4 ~37% Of our average monthly unique visitors do not visit our competitors’ sites5 49% More minutes per unique visitor o
Slide 7: Marketplace (U.S. Segment & Other) Q4 2024 Results
Marketplace (U.S. Segment & Other) Q4 2024 Results Revenue Non-GAAP Gross Profit1 +16.8% ($ millions) ($ millions) $196 YoY $191 $182 $173 $210 +15.3% $168 YoY $204 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 $195 Non-GAAP Margin 92% 92% 93% 93% 93% $187 $182 Adjusted EBITDA1 ($ millions) $79 $70 +27.4% $62 $61 Y
Slide 8: Digital Wholesale Q4 2024 Results
Digital Wholesale Q4 2024 Results Revenue Non-GAAP Gross Profit1 ($ millions) ($ millions) $7 $41 $3 $3 $2 $1 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 $29 Non-GAAP Margin 17% 11% 3% 7% 15% $27 $24 $18 Adjusted EBITDA1 ($ millions) ($1) ($3) ($4) ($5) ($6) Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q4'23 Q1'24 Q2'24 Q3'24 Q
Slide 9: First Quarter 2025 Outlook
First Quarter 2025 Outlook Q1’25 Total Revenue $216 million - $236 million Marketplace Revenue $209 million - $214 million Non-GAAP Consolidated Adjusted EBITDA $60 million - $68 million Non-GAAP Earnings Per Share $0.41 - $0.47 The first quarter 2025 non-GAAP EPS calculation assumes 107.0 million d
Slide 10: Appendix
Appendix
Slide 11: Digital Wholesale Platform Transaction Volume
Digital Wholesale Platform Transaction Volume Gross Merchandise Sales (GMS)1 Total Transactions2 ($ millions) $450 16,500 13,558 $335 $300 11,000 10,302 $250 8,778 8,249 $215 $195 7,066 $155 $150 5,500 $0 0 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 1. We define Gross Merchandise Sa
Slide 12: Marketplace GAAP to Non-GAAP Gross Profit and Non-GAAP Gross Margin
Marketplace (U.S. Marketplace Segment & Other) GAAP to Non-GAAP Gross Profit and Non-GAAP Gross Margin Reconciliation ($ thousands) Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 GAAP U.S. Marketplace Segment Revenue $ 168,897 $ 172,988 $ 180,052 $ 187,253 $ 193,395 GAAP Other Revenue 13,353 14,231 15,115 16,766 16,
Slide 13: Digital Wholesale GAAP to Non-GAAP Gross Profit (Loss) and Gross Margin Reconciliation
Digital Wholesale GAAP to Non-GAAP Gross Profit (Loss) and Non-GAAP Gross Margin Reconciliation ($ thousands) Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 GAAP Wholesale Revenue $ 22,035 $ 16,125 $ 13,119 $ 12,107 $ 9,850 GAAP Product Revenue 18,838 12,452 10,406 15,232 8,494 GAAP Digital Wholesale Revenue $ 40,87
Slide 14: Non-GAAP Marketplace Adjusted EBITDA Reconciliation
Non-GAAP Marketplace (U.S. Marketplace Segment & Other) Adjusted EBITDA Reconciliation ($ thousands) Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 U.S. Marketplace Segment Income from Operations $ 43,281 $ 34,217 $ 42,043 $ 50,410 $ 56,068 Other Income from Operations 1,653 2,407 2,531 2,341 2,710 GAAP Marketplace
Slide 15: Non-GAAP Digital Wholesale Adjusted EBITDA Reconciliation
Non-GAAP Digital Wholesale Adjusted EBITDA Reconciliation ($ thousands) Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 GAAP Digital Wholesale Loss from Operations $ (67,199) $ (10,340) $ (138,158) $ (25,317) $ (5,500) Impact of Depreciation and Amortization 9,537 4,281 3,436 2,286 1,386 Impact of Impairment - - 127,
Slide 16: Non-GAAP Consolidated Adjusted EBITDA Reconciliation
Non-GAAP Consolidated Adjusted EBITDA Reconciliation ($ thousands) Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 GAAP Consolidated Net (Loss) Income $ (22,603) $ 21,301 $ (68,721) $ 22,511 $ 45,881 Impact of Depreciation and Amortization 12,761 7,481 5,663 5,178 7,038 Impact of Impairment - - 127,655 16,776 - Impac
Slide 17: Non-GAAP Consolidated Adjusted EBITDA Reconciliation
Non-GAAP Consolidated Adjusted EBITDA Reconciliation ($ thousands) FY2020 FY2021 FY2022 FY2023 FY2024 GAAP Consolidated Net Income $ 77,553 $ 110,373 $ 78,954 $ 22,053 $ 20,972 Impact of Depreciation and Amortization 10,191 40,476 45,334 48,474 25,360 Impact of Impairment 1,151 3,128 165 184 144,431