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Sep 30, 2021

OPENLANE Q3 2021 Earnings Report

Reported third quarter financial results, impacted by lower volumes but showing growth in digital dealer-to-dealer segment.

Key Takeaways

KAR Auction Services, Inc. reported a decrease in total revenue by 10% compared to the same quarter last year, alongside a net loss, primarily due to lower volumes throughout the wholesale remarketing industry and a reduction in unrealized gains on investments. However, the company experienced solid growth in its digital dealer-to-dealer segment and an increase in ADESA gross profit per vehicle sold.

Total revenue decreased by 10% year-over-year to $535.2 million.

Net loss was $1.0 million, compared to a net income of $47.1 million in the third quarter of 2020.

Adjusted EBITDA was $96.6 million, down from $139.2 million in the same period last year.

North American digital dealer-to-dealer volumes increased by 105%.

Total Revenue
$535M
Previous year: $594M
-9.8%
EPS
$0.08
Previous year: $0.45
-82.2%
Adjusted EBITDA
$96.6M
Previous year: $139M
-30.6%
Gross Profit
$222M
Previous year: $264M
-15.8%
Cash and Equivalents
$632M
Previous year: $1.28B
-50.5%
Total Assets
$7.17B
Previous year: $6.91B
+3.8%

OPENLANE

OPENLANE

Forward Guidance

No specific forward guidance was provided in the release.