Carvana (CVNA) Q3 2026 earnings summary

Executive summary

• Record Q3 retail sales of 217,385 units (+39.4% YoY) and revenue of $8.040B (+42% YoY), with $483M net income and record $800M Adjusted EBITDA.

• Eight consecutive quarters of ~40% growth in a flat industry; market share remained just over 2% of used vehicles and 1.5% overall.

• Long-term targets remain 3M annual units and a 13.5% Adjusted EBITDA margin, corresponding to a 12.5% operating income margin.

• Customer volume doubled over two years, alongside twice the selection, faster deliveries and lower loan interest rates.

Financial highlights

• Revenue was $8.040B vs. $5.647B YoY; GAAP gross profit was $1.521B vs. $1.148B and operating income was $714M vs. $552M.

• Net income was $483M vs. $263M YoY; diluted EPS was $0.39 vs. $0.21.

• Adjusted EBITDA reached a record $800M vs. $637M; margin was 10.0% vs. 11.3%.

• GAAP SG&A expense was $805M vs. $595M; non-GAAP SG&A was $742M vs. $533M.

• Nine-month operating cash flow was $900M vs. $606M; cash, cash equivalents and restricted cash totaled $3.17B at September quarter-end.

Outlook and guidance

• FY 2026 outlook assumes a stable environment, with sequential increases in retail units and Adjusted EBITDA at the higher end of the $2.7B–$3.0B range.

• Q4 outlook calls for sequential growth in retail units sold, assuming conditions remain stable.

• Investments in advertising, inventory selection, delivery speed, reconditioning capacity, technology and operating efficiency are intended to support growth.

• Operating expenses are expected to increase with retail and wholesale volumes; no assurance was given that growth investments will earn desired returns.