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Carvana (CVNA) FY2025 results: revenue $20.3 billion, up 48.6% on the year

Carvana Co. (CVNA) reported revenue of $20.3 billion for fiscal 2025, the year ended 31 December 2025, up 48.6% on the year before. Net income was $1.4 billion, up 570.0%, and diluted earnings per share $1.69. The figures are the company's own, from the 10-K it filed with the SEC on 18 February 2026.

Revenue
$20.3 billion
+48.6% on the year
FY2018FY2025
Operating margin
9.3%
7.2% a year earlier
FY2018FY2025
Net income
$1.4 billion
+570.0% on the year
FY2018FY2025
Diluted EPS
$1.69
+431.4% on the year
FY2018FY2025

this yearthe year beforeHover a bar for its figure.

The year in brief

What management said about the year

Guidance figures: 1 lowered, 1 kept.

  • Retail units and revenue grew 43% and 49%: Full-year retail units were 596,641, up 43%, and revenue was $20.322 billion, up 49%. Q4 retail units were 163,522, up 43%, with revenue of $5.603 billion, up 58%.
  • Net income included a non-cash benefit: Full-year net income was $1.895 billion, a 9.3% margin, including a net non-cash benefit of $621 million. Management cited a ~$685 million benefit from the valuation allowance release and TRA liability recording.
  • Adjusted EBITDA margin rose to 11.0%: Full-year Adjusted EBITDA was $2.237 billion, a margin of 11.0% versus 10.1%. Q4 Adjusted EBITDA was $511 million, a margin of 9.1% versus 10.1%.
  • Total GPU fell in Q4: Q4 total gross profit per unit was $6,427, down $244 from $6,671. Non-GAAP total GPU was $6,562, down $354.
  • Reconditioning costs above expectations: Q4 reconditioning costs came in above management's expectations, most in locations with the lowest management tenure. Management estimated top-quartile per-unit costs would have been about $220 lower in Q4.
Read the Q4 FY2025 earnings call summary

From this 10-K

Carvana sells used cars online and buys them from consumers. A customer browses inventory on the website, arranges finance, and has the car delivered to their door or collects it from one of the company's vending machines, with a seven-day return. Carvana Co. is a holding company formed as a Delaware corporation in 2016 to operate Carvana Group, LLC. The business began in 2012 and has sold 2.8 million retail vehicles since then through 31 December 2025. Its logistics network spans 316 metropolitan statistical areas and its in-house distribution network serves over 80% of the U.S. population.

Carvana Co., the 10-K for 2025

Carvana sells used cars online and buys them from consumers. A customer browses inventory on the website, arranges finance, and has the car delivered to their door or collects it from one of the company's vending machines, with a seven-day return. Carvana Co. is a holding company formed as a Delaware corporation in 2016 to operate Carvana Group, LLC. The business began in 2012 and has sold 2.8 million retail vehicles since then through 31 December 2025. Its logistics network spans 316 metropolitan statistical areas and its in-house distribution network serves over 80% of the U.S. population.

Buying the cars

Inventory comes mainly from consumers directly, from used car auctions including the company's own digital auction platform, and from wholesale suppliers including retail marketplace partners. Buying from a customer who trades in or simply sells avoids auction fees and widens the mix of vehicles. An online tool asks a few questions about condition and features and returns an automated conditional offer that can be put toward a purchase or taken as cash, after which the seller books a home collection or drops the car at a Carvana location.

Inspection and reconditioning

Vehicles move on the company's own logistics network or a vendor to an inspection and reconditioning centre or to an auction location with reconditioning capability, collectively Reconditioning Sites. Each runs the same cosmetic standard and carries trained technicians, vehicle lifts, paintless dent repair and paint capability, with vendors integrated for parts. Inspection covers controls, features, brakes, tyres and cosmetics, after which the reconditioning cost and the date the car can be listed are estimated. Cars that do not meet the standard are sold wholesale, through the company's own marketplace or third-party auctions. At full utilisation the network can inspect and recondition approximately 1.5 million cars a year.

Shopping and financing

The website carried over 75,000 vehicles for sale at 31 December 2025, pooled nationally rather than held by location, each shown through patented automated photography giving a 360-degree annotated tour that displays imperfections. Financing runs on the company's own loan origination platform: a short prequalification form returns conditional terms for every car in inventory, generated by its own credit scoring and deal structuring algorithms, and the tool shows how deposit, monthly payment and term move against each other. Prequalification does not affect a customer's credit unless they go ahead. Customers may also pay cash or bring their own lender. Loans originated are sold on, through securitisation transactions or to financing partners.

Products alongside the car

Vehicle service contracts cover certain mechanical repairs after the manufacturer warranty expires. In most states, customers financing through Carvana are also offered guaranteed asset protection waiver coverage at checkout. Auto insurance is offered through a partnership with Root, Inc. and is available to customers in most states directly from the platform. The company groups these three as complementary products.

Delivery and vending machines

Logistics run on a hub and spoke model connecting Reconditioning Sites to vending machines and hubs through a fleet of multi-car and single-car haulers, managed by the company's own software. Home delivery is normally made by a Carvana employee on a branded hauler. In some markets customers instead collect from one of the 39 car vending machines, patented multi-storey glass towers that hold purchased cars. At 31 December 2025 the company estimates that 75% of the U.S. population is within 100 miles of a reconditioning centre or auction site. The 2022 acquisition of ADESA US Auction, LLC added 56 locations, of which 16 have been built out with reconditioning capability. Customers have rated the company an average of 4.7 out of 5.0 across over 245,000 surveys on its website since inception.

From Carvana's annual report on Form 10-K for the year ended 31 December 2025. The filing

Written from the 10-K filed 18 February 2026: read the full 10-K.

The four quarters: Q1 FY2025 · Q2 FY2025 · Q3 FY2025 · Q4 FY2025

Income statement (profit and loss)

$ millionFY2025FY2024FY2023On the yearLast 8 years
Revenue20,32213,67310,771+48.6%
Cost of revenue16,13010,7979,047+49.4%
Gross profit4,1922,8761,724+45.8%
Gross margin20.6%21.0%16.0%
Selling, general and administrative2,3081,8741,796+23.2%
Operating income1,881990-80.0+90.0%
Operating margin9.3%7.2%-0.7%
Interest expense505651632-22.4%
Income tax-2,785-4.025.0
Net income1,407210450+570.0%
Net margin6.9%1.5%4.2%
Diluted EPS$1.69$0.32$0.15+431.4%
$ million except per share.
Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ millionFY2025FY2024FY2023On the yearLast 8 years
Operating cash flow1,036918803+12.9%
Capital expenditure14791.087.0+61.5%
Free cash flow889827716+7.5%
Free cash flow margin4.4%6.0%6.6%
Cash from investing-230-13.031.0
Cash from financing-137261-868
Share-based compensation96.091.073.0+5.5%
Diluted shares, weighted1,121m661m1,003m+69.6%

Balance sheet

$ millionFY2025FY2024FY2023On the yearLast 8 years
Shareholders' equity3,4411,260243+173.1%
Non-controlling interest762115-627+562.6%
Debt5,1155,6326,273-9.2%
Operating lease liabilities406414433-1.9%
Other liabilities3,4771,063749+227.1%
Total liabilities and equity13,2018,4847,071+55.6%
Goodwill10.00.0n/a
Intangible assets47.034.052.0+38.2%
Securities held for sale or to maturity486464366+4.7%
Cash and equivalents2,3271,716530+35.6%
Receivables245303266-19.1%
Inventory2,4081,6081,150+49.8%
Other assets7,6784,3594,707+76.1%
Total assets13,2018,4847,071+55.6%

10-K for the year ended 31 December 2025, filed 18 February 2026: the filing.