CarGurus, Inc. (CARG) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good day and welcome to the CarGurus fourth quarter and full year 2025 earnings conference call. Please note this event is being recorded. I would now like to turn the call over to Kern Deep Singh, Vice President and Head of Investor Relations. Please go ahead. Good afternoon and thank you for joining us. With me on the call today are Jason Trevison, Chief Executive Officer, and Sam Zales, President and Chief Operating Officer. We will be making forward-looking statements, which are based on our current expectations and beliefs. These statements are subject to risks and uncertainties, and their actual results may differ materially. Information concerning those risks and uncertainties is discussed in our SEC filings. We undertake no obligation to update forward-looking statements except as required by law. Please refer to our press release and our investor presentation on the investor relations section of our website for a reconciliation of GAAP to non-GAAP measures. I'll now turn the call over to Jason. Good afternoon, and thank you for joining us. 2025 was a pivotal year for CarGurus. We accelerated product innovation, expanding how we serve dealers and consumers as a marketplace, software, and data company, drove significant growth and profitability, and returned capital through disciplined share repurchases. Revenue from continuing operations grew 14% for the full year, our second consecutive year of mid-teens growth. and adjusted EBITDA from continuing operations grew 25% year-over-year. Wallet share expanded, retention reached its highest level in three years, new dealer additions accelerated, and consumer traffic growth translated into increased lead volume. Internationally, we delivered 27% year-over-year revenue growth, driven by accelerated dealer acquisitio...