AUTO1 GROUP (AG1) Q2 2024 earnings summary

Executive summary

• Achieved record profits and double-digit growth in Q2 2024, driven by strong demand and margin improvements across all products and segments.

• Units sold increased 17.4% year-over-year in Q2 to 166,292 and 10.5% in H1 to 330,058, outpacing the used car market.

• Adjusted EBITDA turned positive, reaching €20.7m in Q2 and €37.7m in H1, reflecting higher gross profit and cost discipline.

• Net loss narrowed sharply to €1.6m in H1 2024 from €76.9m in H1 2023; adjusted consolidated result positive at €7.1m.

Financial highlights

• Revenue reached €1,518.2m in Q2 (up 13.3% year-over-year) and €2,972.6m in H1 (up 4.4%).

• Gross profit increased 35.7% year-over-year to €173.3m in Q2 and 29% to €336.3m in H1.

• Adjusted EBITDA margin improved to 1.4% in Q2 and 1.3% in H1.

• Cash and liquidity at €905m in Q2; cash and cash equivalents at €544.7m at H1 end.

• Cash flow from operating activities was negative €57.2m in H1, mainly due to increased receivables and inventories.

Outlook and guidance

• Upgraded FY 2024 guidance: gross profit €610–680m (previously up to €650m), adjusted EBITDA €45–65m (previously up to €40m).

• Full-year unit sales expected at 620,000–665,000, with Merchant at 550,000–595,000 and Retail at ~70,000.

• Cautious on Q4 due to seasonal fluctuations and macroeconomic risks.