ACV Auctions (ACVA) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue reached $160 million, up 35% year-over-year, with full-year revenue at $637 million, up 32% year-over-year, and Adjusted EBITDA profitability achieved for the first full year.

• Marketplace GMV reached $9.5 billion in 2024, with units sold increasing to 743,000, reflecting 24% year-over-year growth.

• Growth was driven by market share gains, record performance in transport and capital services, and expansion of AI-powered and value-added dealer solutions.

• Over half of U.S. dealers transacted on the marketplace, and partnerships such as powering Amazon's automotive trade-in experience were established.

Financial highlights

• Adjusted EBITDA for Q4 was $6 million (4% margin), with full-year Adjusted EBITDA at $28 million (4% margin), both exceeding guidance.

• Q4 non-GAAP net loss was $(1) million; full-year non-GAAP net income was $11 million.

• Auction and assurance revenue grew 40% year-over-year, representing 58% of total revenue; marketplace services revenue grew 31%.

• SaaS and data services grew 10% year-over-year, comprising 5% of total revenue.

• Operating cash flow for the year was $65 million, with cash and equivalents at year-end ranging from $224 million to $270 million, and $123 million in debt.

Outlook and guidance

• 2025 revenue guidance is $765–$785 million (20%–23% growth); Adjusted EBITDA expected at $65–$75 million (approx. 150% growth); Q1 2025 revenue guidance is $180–$185 million (24%–27% growth).

• 2025 non-GAAP net income projected at $32–$42 million; GAAP net loss expected at $(52)–$(62) million.

• Revenue growth is expected to outpace non-GAAP OpEx growth by 500 basis points.

• Midterm targets updated to $1.4 billion revenue and $350 million Adjusted EBITDA, with 1.5 million total units.

• Guidance assumes flat dealer wholesale volumes and normal seasonal patterns in conversion rates and price depreciation.