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Mar 31, 2025
Cars.com Q1 2025 Earnings Report
Cars.com reported a slight decrease in revenue and net loss for the first quarter of 2025, while achieving record average monthly unique visitors and growth in dealer customers.
Key Takeaways
Cars.com reported first-quarter revenue of $179.0 million, a slight decrease from the prior year. The company experienced a net loss of $2.0 million, or ($0.03) per diluted share, compared to net income in the prior year. Despite this, Cars.com achieved a new record of 29.0 million average monthly unique visitors and saw an increase in dealer customers to 19,250, reflecting strong solutions adoption.
Total revenue for Q1 2025 was $179.0 million, a 1% decrease year-over-year.
Net loss for Q1 2025 was $2.0 million, compared to net income of $0.8 million in Q1 2024.
Average Monthly Unique Visitors reached a new record of 29.0 million, up 3% year-over-year.
Dealer Customers grew to 19,250, an increase of over 40 dealers quarter-over-quarter.
Revenue by Segment
Forward Guidance
Cars.com is suspending its full-year 2025 revenue guidance due to macroeconomic volatility and tariff impacts, but reaffirms its full-year Adjusted EBITDA margin guidance of 29% to 31%. The company's growth initiatives remain intact.
Positive Outlook
- Reaffirming Full Year Adjusted EBITDA margin guidance of 29% to 31%.
- Expects Adjusted EBITDA margins in Q2 2025 to be between 27% and 29%.
- Growth initiatives, including product adoption, broad-based repackaging efforts, and continued product innovation, remain intact.
- Confidence in managing operating levers across a range of macroeconomic scenarios.
- Asset-light model and robust balance sheet and free cash flow generation support strategy execution.
Challenges Ahead
- Suspending full year 2025 revenue guidance due to macroeconomic volatility.
- Uncertainty related to the automotive industry outlook and tariff impacts.
- Magnitude and timing of some spending by OEM and dealer partners may shift.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
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Avg. Return Before/After Earnings
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