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Jun 30, 2023

OPENLANE Q2 2023 Earnings Report

Reported solid financial results for the second quarter of 2023.

Key Takeaways

OPENLANE, Inc. reported a 9% year-over-year increase in total revenue, reaching $416.9 million. Adjusted EBITDA increased by 49% to $83.8 million, including a $20.0 million early termination payment, while the Marketplace segment led the performance.

Total revenue increased by 9% year-over-year, reaching $416.9 million.

Loss from continuing operations was $193.8 million, or $(1.87) per diluted share, driven by non-cash impairment charges.

Adjusted EBITDA increased by 49% to $83.8 million, including a $20.0 million early termination payment.

Marketplace Adjusted EBITDA increased by $38.5 million year-over-year to $43.5 million, including a $20.0 million early termination payment.

Total Revenue
$417M
Previous year: $384M
+8.5%
EPS
$0.25
Previous year: $0.04
+525.0%
Adjusted EBITDA
$83.8M
Previous year: $56.1M
+49.4%
Gross Profit
$194M
Previous year: $172M
+12.8%
Cash and Equivalents
$242M
Previous year: $804M
-69.9%
Total Assets
$4.9B
Previous year: $6.13B
-20.1%

OPENLANE

OPENLANE

Forward Guidance

The company’s previously stated annual guidance for Adjusted EBITDA remains unchanged, while the company's other guidance measures have been updated.

Positive Outlook

  • Adjusted EBITDA (in millions): $250 - $270
  • Operating adjusted net income from continuing operations per share - diluted: $0.60 - $0.70

Challenges Ahead

  • Income (loss) from continuing operations (in millions): ($166) - ($153)
  • Income (loss) from continuing operations per share - diluted: *($1.92) - ($1.80)