AUTO1 GROUP (AG1) Q1 2025 earnings summary

Executive summary

• Achieved record Q1 2025 results with double-digit unit growth, record gross profit, and Adjusted EBITDA, driven by strong demand and operational leverage in Europe's used car market.

• Sold 204,046 vehicles in Q1, a 24.6% year-on-year increase, with revenue up 33.6% to €1,942.9m.

• Gross profit reached €236.4m, up 45.1% year-over-year, and Adjusted EBITDA surged 241.9% to €58.1m, with margin improving to 3.0% from 1.2% in Q1 2024.

• Net income for Q1 2025 was €29.9m, compared to a loss of €3.5m in Q1 2024.

• Upgraded FY 2025 guidance for gross profit and Adjusted EBITDA.

Financial highlights

• Group gross profit margin improved, with GPU up 16.8% year-over-year to €1,160.

• Adjusted EBITDA margin reached 3.0%, up 1.8 percentage points year-over-year.

• Cash and cash equivalents at quarter-end were €601.3m, with no corporate debt.

• Inventories increased 3.4% sequentially to €720.7m; total assets rose to €2,322.9m.

• Opex increased 22.1% year-over-year, mainly from higher employee and marketing costs.

Outlook and guidance

• Full-year 2025 guidance: 650,000–700,000 merchant units, 85,000–95,000 retail units, totaling 735,000–795,000 group units.

• Gross profit guidance raised to €845–€905m for 2025.

• Adjusted EBITDA guidance increased to €150–€180m.

• Q2 expected to be seasonally weaker, with sequential declines in units and profitability, but double-digit year-on-year growth in merchant units anticipated.