Carvana Co. (NYSE:CVNA) Q3 2019 Earnings Conference Call - Final Transcript

Nov 06, 2019 • 05:30 pm ET


Carvana Co. (NYSE:CVNA) Q3 2019 Earnings Conference Call - Final Transcript


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Mark Jenkins

identified five IRC sites that we expect to become four-line facilities over time. We continue to view IRCs as a long-term competitive advantage as we further expand our as-soon-as-next-day delivery infrastructure.

Q3 also marked another successful quarter for our finance platform. On September 27, we closed our third auto loan securitization, selling $600 million of principal balances and further diversifying our investor base. Finance GPU was $1,078 in Q3, an increase of $373. We are excited about what this progress means for our finance platform and expect to recognize additional gains over time on our way toward our long-term financial model.

In terms of outlook, we are raising our full-year guidance for retail units sold to 174,000 to 176,000 and total revenue to $3.85 billion to $3.95 billion based on another strong quarter of results. We are also raising our guidance for total GPU and fine-tuning our guidance for EBITDA margin, reflecting incremental investments in our business of buying cars from customers and scaling retail unit volume both this year and in 2020. As we look toward the end of 2019, we are excited about our progress toward our long-term financial goals.

Thank you for your attention. We will now take questions.