Carvana Co (CVNA) 2024 Q3 法說會逐字稿

Good day and welcome to the Carvana third quarter, 2024 earnings call. (Operator Instructions) Please note this event is being recorded. I would now like to turn the conference over to Meg Kehan, Investor Relations. Please go ahead.

美好的一天，歡迎參加 Carvana 2024 年第三季財報電話會議。 （操作員說明）請注意此事件正在被記錄。我現在想將會議交給投資者關係部門的梅格·科漢 (Meg Kehan)。請繼續。

Thank you, Dave. Good afternoon, ladies and gentlemen and thank you for joining us on Carvana's third quarter, 2024 earnings conference call. Please note that this call will be simultaneously webcast on the investor relations section of the company's corporate website at investors.carvana.com.

謝謝你，戴夫。女士們、先生們，下午好，感謝你們參加 Carvana 2024 年第三季財報電話會議。請注意，本次電話會議將在公司網站 Investors.carvana.com 的投資者關係部分同時進行網路直播。

The third quarter shareholder letter is also posted on the IR website. Additionally, we posted a set of supplemental financial tables for Q3 which can be found on the events and presentations page of our IR website. Joining me on the call today are Ernie Garcia, Chief Executive Officer; and Mark Jenkins, Chief Financial Officer.

第三季股東信函也發佈在IR網站上。此外，我們發布了一組第三季的補充財務表格，可以在我們的 IR 網站的活動和演示頁面上找到。今天和我一起參加電話會議的是執行長厄尼·加西亞 (Ernie Garcia)；和財務長馬克·詹金斯。

Before we start, I would like to remind you that the following discussion contains forward-looking statements within the meanings of the federal securities laws, including but not limited to Carvana's market opportunities and future financial results that involve risks and uncertainties that may cause actual results to differ materially from those discussed here at the detailed discussion of the material factors. The club's actual results to differ from forward-looking statements can be found in the risk factors section of Carvana's most recent form 10-K and forms 10-Q.

在我們開始之前，我想提醒您，以下討論包含聯邦證券法含義內的前瞻性陳述，包括但不限於 Carvana 的市場機會和未來財務業績，其中涉及可能導致實際結果的風險和不確定性與此處詳細討論物質因素時所討論的內容有重大差異。俱樂部的實際結果與前瞻性陳述不同，可以在 Carvana 最新的 10-K 表格和 10-Q 表格的風險因素部分中找到。

The forward-looking statements and risks in this conference call are based on current expectations as of today. And Carvana assumes no obligation to update or revise them whether as a result of new developments or otherwise, our commentary today will include Non-GAAP financial metrics unless otherwise specified. All references to GPU and SG&A will be to the Non-GAAP metrics and all references to EBITDA will be to adjust EBITDA to reconciliations between GAAP and Non-GAAP metrics for our reported results can be found in our shareholder letter issued today. A copy of which can be found on our IR website. And with that said, I'd like to turn the call over to Ernie Garcia. Ernie.

本次電話會議中的前瞻性陳述和風險是基於截至今天的當前預期。 Carvana 不承擔更新或修改這些指標的義務，無論是由於新的發展還是其他原因，除非另有說明，否則我們今天的評論將包括非 GAAP 財務指標。所有提及GPU 和SG&A 的內容都將指非GAAP 指標，所有提及EBITDA 的內容將是將EBITDA 調整為我們報告結果的GAAP 和非GAAP 指標之間的對賬，您可以在今天發布的股東信中找到。您可以在我們的 IR 網站上找到該文件的副本。話雖如此，我想把電話轉給厄尼·加西亞。厄尼。

Thanks Meg and thanks everyone for joining the call. The third quarter was another exceptional quarter for Carvana. We had record performance in virtually every key financial measure our net income in the third quarter was $148 million. Our operating income was $337 million and our adjusted EBITDA was $429 million for an adjusted EBITDA margin of 11.7%.

感謝梅格並感謝大家加入通話。第三季對 Carvana 來說又是一個特別的季度。我們幾乎在每個關鍵財務指標上都取得了創紀錄的業績，我們第三季的淨利潤為 1.48 億美元。我們的營業收入為 3.37 億美元，調整後 EBITDA 為 4.29 億美元，調整後 EBITDA 利潤率為 11.7%。

Excitingly, when putting those numbers in a broader context in the third quarter, we also broke last quarter's record for the most profitable quarter among automotive public retailers ever. And this is being achieved in what most are describing as a challenging environment in the industry.

令人興奮的是，當我們在第三季將這些數字放在更廣泛的背景下時，我們也打破了上季度汽車公共零售商有史以來利潤最高的季度的記錄。而這一目標是在大多數人所描述的充滿挑戰的產業環境中實現的。

Over the last 11 years and $10 billion we laid the foundations of a highly differentiated model that delivers highly differentiated customer experiences at scale. Over the last 2.5 years, we have learned hard fought lessons that led to rapidly driving operational and financial efficiencies across the business. And over the last nine months, we have paired our highly differentiated customer experiences and highly differentiated financial model to simultaneously become the fastest growing and most profitable automotive retailer.

在過去 11 年裡，我們投入了 100 億美元，為高度差異化的模型奠定了基礎，該模型可大規模提供高度差異化的客戶體驗。在過去 2.5 年裡，我們透過艱苦的鬥爭吸取了教訓，從而迅速提高了整個企業的營運和財務效率。在過去的九個月裡，我們將高度差異化的客戶體驗和高度差異化的財務模式結合起來，同時成為成長最快、利潤最高的汽車零售商。

A simple way to think about. This is the GAAP between Carvana and our competitors in growth and financial performance is equal to the GAAP between Carvan and our competitors in customer experience and business model quality. If you take a moment to reflect on that framework, what does it imply for our ultimate market share?

一個簡單的思考方式。這是 Carvan 與我們的競爭對手在成長和財務表現方面的 GAAP，與 Carvan 與我們的競爭對手在客戶體驗和商業模式品質方面的 GAAP 相同。如果您花點時間思考該框架，它對我們的最終市場份額意味著什麼？

We find our answer to that question to be very exciting, especially because we aren't done digging our moat. We continue to see significant opportunities for further improvement in every part of the business with the creativity and ambition of our team, we don't expect this to end anytime soon. In addition, we have already invested in and built the most difficult to obtain an expensive infrastructure required to enable scaling and that infrastructure unlocks efficient growth to a significant multiple of our current size.

我們發現這個問題的答案非常令人興奮，特別是因為我們還沒有完成護城河的挖掘。憑藉我們團隊的創造力和雄心，我們繼續看到業務各個部分進一步改進的重大機會，我們預計這種情況不會很快結束。此外，我們已經投資並建造了最難獲得的昂貴基礎設施，以實現擴展，並且該基礎設施可以實現我們當前規模的顯著倍數的高效增長。

We currently have built out reconditioning infrastructure to support over 1 million retail units per year. Beyond that, we have enough physical real estate to support over 3 million retail units per year. And our path to unlocking it is being illuminated as we have built and executed our integration playbook at five of the 56 ADESA sites already.

目前，我們已經建造了翻新基礎設施，每年可支援超過 100 萬個零售單位。除此之外，我們還有足夠的實體房地產來支援每年超過 300 萬個零售單位。隨著我們已經在 56 個 ADESA 站點中的 5 個站點構建並執行了我們的整合手冊，我們解鎖它的道路正在被照亮。

Underscoring the value of these investments as well as the efficiency of our operations. Completing each of these integrations required minimal CapEx and approximately 90 days of lead time. In the past building reconditioning centers was generally a 1 to 3 year process requiring significant CapEx.

強調這些投資的價值以及我們營運的效率。完成這些整合中的每一項都需要最少的資本支出和大約 90 天的交付時間。過去，建造翻新中心通常需要 1 到 3 年的時間，需要大量資本支出。

Continuing this rollout over time will drive positive feedback in our business by reconditioning more cars, by reconditioning more cars closer to our customers. This will improve unit economics through more efficient access to large pools of inventory as well as lower inbound and outbound shipping distances and costs and will provide customer experiences that are even better through greater selection and faster delivery.

隨著時間的推移，繼續這項推出將透過修復更多的汽車、透過修復更多靠近客戶的汽車來推動我們業務的正面回饋。這將透過更有效地存取大量庫存以及更低的進出運輸距離和成本來提高單位經濟效益，並將透過更多的選擇和更快的交付提供更好的客戶體驗。

All of this is happening in the context of an industry with 40 million used vehicle transactions per year. The opportunity is very big and largely untapped as a 1% market shareholder. The opportunity in front of us is still 99% as large as it was on day one accordingly. We are continuing to apply day one intensity to tackling our opportunity.

所有這一切都發生在每年 4000 萬筆二手車交易的行業背景下。作為 1% 的市場股東，這個機會非常大，基本上尚未開發。因此，擺在我們面前的機會仍然是第一天的 99%。我們將繼續在第一天就投入精力來抓住我們的機會。

Building Carvana was always going to be hard. Our business is complex demands many different functional capabilities and is capital intensive. Doing hard and valuable things is the ultimate competitive mode and we have done many hard things over the last 11 years. As a result, we're in a stronger competitive position than we have ever been from here. The degree of our success will be driven by our ability to maintain our intensity, our ambition and our focus and will be governed by the quality of our execution.

建造 Carvana 總是很困難。我們的業務很複雜，需要許多不同的功能，並且是資本密集的。做艱苦而有價值的事情是最終的競爭模式，過去11年我們做了很多艱苦的事情。因此，我們處於比以往任何時候都更強大的競爭地位。我們的成功程度將取決於我們保持強度、抱負和專注的能力，並取決於我們的執行品質。

These are all things we're in control of and that's an exciting place to be. We are energized and remain firmly on the path to buying and selling millions of cars to becoming the largest, most profitable automotive retailer and to fulfilling our mission of changing the way people buy and sell cars. The Mark continues.

這些都是我們可以控制的事情，這是一個令人興奮的地方。我們充滿活力，堅定不移地致力於購買和銷售數百萬輛汽車，成為最大、利潤最高的汽車零售商，並履行我們改變人們購買和銷售汽車方式的使命。馬克繼續。

Thank you, Ernie and thank you all for joining us today.

謝謝你，厄尼，也謝謝大家今天加入我們。

The third quarter was an extraordinary quarter for Carvana that was enabled by our team's continued focus on driving operational excellence by identifying further fundamental gains and operating efficiencies while also pursuing growth for the third consecutive quarter, we earned positive net income and we again, set new company records for adjusted EBITDA a adjusted EBITDA margin.

第三季度對於Carvana 來說是一個非凡的季度，我們的團隊持續專注於透過確定進一步的基本收益和營運效率來推動卓越運營，同時追求連續第三個季度的成長，我們獲得了正的淨利潤，並再次設定了新的目標公司記錄調整後的 EBITDA 和調整後的 EBITDA 利潤率。

GAAP, operating income and GAAP operating margin, our adjusted EBITDA margin of 11.7% surpassed the midpoint of our long term financial model, EBITDA margin range of 8% to 13.5%. And we continue to see meaningful opportunities for fundamental gains to continue driving toward the higher end of that range over time.

以 GAAP、營業收入和 GAAP 營業利潤率計算，我們的調整後 EBITDA 利潤率為 11.7%，超過了我們長期財務模型 EBITDA 利潤率範圍 8% 至 13.5% 的中點。我們繼續看到獲得基本收益的有意義的機會，隨著時間的推移，繼續朝著該範圍的高端邁進。

Moving to our third quarter results. Unless otherwise noted, all comparisons will be on a year over year basis. Q3 again demonstrated the strength of our differentiated business model and our ability to achieve both strong unit growth and profitability. The strong demand experienced in the first half of the year continued into the third quarter. Retail units sold totaled 108,651 in Q3, an increase of 34% revenue was $3.655 billion, an increase of 32%.

轉向我們的第三季業績。除非另有說明，所有比較均以同比為基礎。第三季再次證明了我們差異化業務模式的優勢以及我們實現強勁單位成長和獲利能力的能力。上半年的強勁需求延續至第三季。第三季零售單位銷售總計 108,651 套，成長 34% 營收為 36.55 億美元，成長 32%。

Our strong results in the third quarter and expectation of accelerating year over year growth in the fourth quarter is being driven by our three long-term growth drivers, one continuously improving our customer offering. While we continue to focus our people process and product efforts on driving fundamental gains in unit economics. These efforts are also leading to meaningful improvements in the customer experience through more seamless shopping transaction and delivery experiences.

我們第三季的強勁業績和第四季同比加速成長的預期是由我們的三個長期成長驅動力推動的，其中之一是不斷改善我們的客戶服務。同時，我們繼續將人員流程和產品工作的重點放在推動單位經濟效益的根本利益上。這些努力也透過更無縫的購物交易和交付體驗顯著改善了客戶體驗。

Two increasing awareness, understanding and trust our growth through the first three quarters of the year has benefited from increasing brand awareness and consumer shifts toward e-commerce on approximately flat advertising spend in Q4. Along with our accelerating growth, we expect to invest between five and $10 million more in advertising compared to Q3 to further raise awareness of our offering three.

兩個意識、理解和信任的不斷增強，我們今年前三個季度的成長得益於品牌知名度的提高和消費者轉向電子商務，而第四季度的廣告支出大致持平。隨著我們的加速成長，我們預計與第三季相比，在廣告方面的投資增加 5 至 1000 萬美元，以進一步提高我們的三項產品的知名度。

Increasing inventory selection and other benefits of scale inventory selection and more inventory pools in more locations are two key sources of positive feedback in our business model leading to better selection and faster delivery times throughout the year. Our inventory teams have been focused on increasing production output to better match demand and we made progress doing so in the third quarter. However, we still remain below our target available website inventory levels and returning to more optimal levels remains a key near term focus.

增加庫存選擇和規模庫存選擇的其他好處以及更多地點的更多庫存池是我們業務模式中積極反饋的兩個關鍵來源，從而導致全年更好的選擇和更快的交貨時間。我們的庫存團隊一直致力於增加產量，以更好地滿足需求，我們在第三季取得了進展。然而，我們仍然低於我們的目標可用網站庫存水平，恢復到更優化的水平仍然是近期的關鍵焦點。

Our strong profitability results in Q3 were again driven by sustained and fundamental improvements across all GPU components and operations expenses as well as levering our overhead expenses.

我們第三季強勁的獲利能力再次受到所有 GPU 組件和營運支出的持續和根本性改進以及我們管理費用的槓桿推動。

Non-GAAP retail GPU was $3,617 an increase of $740 marking our sixth quental quarter with a new company record. Strength in retail GPU continues to be driven by fundamental gains and consistent performance across several areas including nonvehicle costs of sales, customer sourcing inventory turn times and revenues from additional services.

非 GAAP 零售 GPU 價格為 3,617 美元，成長了 740 美元，標誌著我們第六季度創下了公司新紀錄。零售 GPU 的實力持續受到多個領域的基本收益和一致表現的推動，包括非車輛銷售成本、客戶採購庫存週轉時間和附加服務收入。

Year to year. Changes were also driven by higher spreads between wholesale and retail market prices and lower retail depreciation rates. Looking ahead to Q4, we expect seasonality in retail GPU to be more similar to our average seasonality in 2018 through 2021 than our seasonality in 2022 and 2023. With the latter two years both impacted by unique internal factors.

年復一年。批發和零售市場價格之間的價差擴大以及零售折舊率下降也推動了變化。展望第四季度，我們預計零售 GPU 的季節性將更接近 2018 年至 2021 年的平均季節性，而不是 2022 年和 2023 年的季節性。

Non-GAAP wholesale GPU was $1,123. An increase of $172 year over year changes were primarily driven by growth in both wholesale vehicle and wholesale marketplace, gross profit. Looking ahead to Q4, we expect seasonality in wholesale gross profit dollars to be similar to our average seasonality in 2018 through 2023 Non-GAAP. Other GPU was $2,945 an increase of $377.

非 GAAP GPU 批發價為 1,123 美元。年比變化 172 美元，主要是由汽車批發和批發市場毛利潤的成長所推動的。展望第四季度，我們預計批發毛利潤的季節性將與 2018 年至 2023 年非 GAAP 的平均季節性相似。其他 GPU 為 2,945 美元，增加了 377 美元。

The increase in other GPU was primarily driven by higher spreads between origination interest rates and benchmark rates partially offset by the impacts of hedging benchmark rate, interest rate changes and selling a smaller amount of loans relative to originations. In Q3, 2024. Compared to Q3, 2023 we estimate that selling a greater volume of loans than we originated generated approximately $150 per unit of incremental.

其他 GPU 的成長主要是由於原始利率和基準利率之間的利差較高，部分被對沖基準利率、利率變化和相對於原始貸款出售較少量貸款的影響所抵消。 2024 年第三季。

Other GPU in Q3 and that a decline in benchmark interest rates between loan origination and sale generated approximately $100 per unit of incremental. Other GPU in Q3, other things being equal, Non-GAAP, SG&A and a expense was $406 million an increase of 10%. Q3 was another strong quarter for demonstrating the power of our model to lever SG&A expenses. Our 34% growth in retail units sold led to an $832 reduction in Non-GAAP, SG&A expense per retail unit sold. The Carvana operations portion of SGA expense totaled $1,731 per retail unit sold a decrease of $220 primarily driven by our operational efficiency initiatives.

第三季的其他 GPU 以及貸款發放和銷售之間基準利率的下降產生了每單位約 100 美元的增量。第三季的其他 GPU，在其他條件相同的情況下，非 GAAP、SG&A 和費用為 4.06 億美元，成長 10%。第三季度是另一個強勁的季度，展示了我們的模型在槓桿 SG&A 費用方面的力量。我們銷售的零售單位數量增加了 34%，導致每個銷售零售單位的非 GAAP、SG&A 費用減少了 832 美元。 SGA 中 Carvana 營運部分的每個零售單位銷售費用總計 1,731 美元，減少了 220 美元，這主要是由於我們的營運效率舉措所致。

The overhead portion of SG&A expense totaled $147 million in Q3, an increase of $6 million primarily driven by $4 million of non-recurring benefits in Q3 last year, leading to a reduction of $388 per retail unit sold 2024 has been an incredible year for Carvana to say thank you to our team members that helped make this a reality. We have announced a thank you cash bonus to thousands of employees across Carvana that will impact adjusted EBITDA by approximately $10 million in Q4.

第三季SG&A 費用總計1.47 億美元，增加了600 萬美元，主要是由於去年第三季400 萬美元的非經常性福利推動的，導致每個銷售零售單位減少388 美元2024 年對Carvana 來說是令人難以置信的一年感謝我們的團隊成員，他們幫助我們實現了這一目標。我們宣布向 Carvana 的數千名員工提供感謝現金獎金，這將使第四季度調整後的 EBITDA 減少約 1000 萬美元。

We continue to see opportunities for significant expense leverage over time and as we scale driven by both continued improvements in operational expenses as well as leverage in the fixed components of our cost structure adjusted EBITDA was $429 million in Q3. An increase of $281 million and a new company record adjusted EBITDA margin was 11.7% in Q3, a 6.4% point increase and a new company record.

隨著時間的推移，我們繼續看到顯著費用槓桿的機會，並且隨著我們在營運費用持續改善以及成本結構固定部分槓桿的推動下擴大規模，第三季調整後的 EBITDA 為 4.29 億美元。第三季調整後 EBITDA 利潤率為 11.7%，成長 2.81 億美元，創公司新紀錄，成長 6.4 個百分點，創公司新紀錄。

It is worth noting that our just beta is very high quality compared to many rapidly growing companies due to relatively low non-cash expenses. Our GAAP operating income was $337 million in Q3 leading to GAAP operating margin of 9.2% leading the public auto retail industry. As previously noted, we are currently carrying many expenses for over 1 million retail unit sales capacity and expect our GAAP operating income to grow faster than adjusted EBITA over time.

值得注意的是，由於非現金費用相對較低，與許多快速成長的公司相比，我們的 just beta 品質非常高。第三季我們的 GAAP 營業收入為 3.37 億美元，GAAP 營業利潤率為 9.2%，在公車零售業中處於領先地位。如前所述，我們目前為超過 100 萬個零售單位的銷售能力承擔了許多費用，並預計隨著時間的推移，我們的 GAAP 營業收入的增長速度將快於調整後的 EBITA。

As discussed in prior quarters, we believe that pairing our strong financial results with the measured actions we have taken thus far position us well to continue delevering our balance sheet over time in the third quarter, we repurchased an additional $100 million of our 2028 senior secured notes which when coupled with our just EBITDA generation and our strong liquidity position further improves our leverage ratios.

正如前幾季所討論的，我們相信，將我們強勁的財務業績與我們迄今為止採取的謹慎行動相結合，使我們能夠在第三季度繼續去槓桿化我們的資產負債表，我們額外回購了1 億美元的2028 年優先擔保債券指出，再加上我們剛剛產生的 EBITDA 和強大的流動性狀況，進一步提高了我們的槓桿率。

Our results through Q3 position us well, for a strong finish to 2024 looking toward the fourth quarter, we expect the following as long as the environment remains stable first, a sequential increase in our year to year growth rate of retail units sold and second adjusted EBITA significantly above the high end of our previously communicated range of $1.0 billion to $1.2 billion for the full year 2024.

我們第三季的業績使我們處於有利地位，為了在2024 年第四季取得強勁的業績，只要環境保持穩定，我們預計會出現以下情況：首先，我們的零售單位銷量同比增長率將連續增長，其次是調整後的零售單位成長率息稅折舊攤提前利潤 (EBITA) 遠高於我們先前公佈的 2024 年全年 10 億至 12 億美元區間的上限。

Looking forward as we generate profit, we expect an effective cash tax rate including income tax and tax receivable agreement payments of approximately 22% in the near term and approximately 25% in the longer term on Carvana's income assuming current us corporate income tax rates.

展望未來，當我們產生利潤時，我們預計 Carvana 收入的有效現金稅率（包括所得稅和應收稅款協議付款）近期約為 22%，長期約為 25%（假設當前美國企業所得稅稅率）。

In conclusion, Q3 was an exceptional quarter for Carvana. We remain very excited about progressing in our long-term phase of driving profitable growth and pursuing our goal of becoming the largest and most profitable auto retailer and buying and selling millions of cars.

總之，第三季對 Carvana 來說是一個特別的季度。我們仍然對在推動獲利成長的長期階段取得進展感到非常興奮，並追求成為最大、最盈利的汽車零售商並買賣數百萬輛汽車的目標。

Thank you for your attention. We'll now take questions.

感謝您的關注。我們現在開始提問。

(Operator Instructions) Sharon Zackfia, William Blair.

（操作員說明）Sharon Zackfia、William Blair。

Hi, good afternoon. I wanted to talk about the ADESA integration because I remember, you know, when you bought ADESA, I think the CapEx for integrating IRC was like roughly a little under $20 million per site. It sounds like maybe that's coming in less than that.

嗨，下午好。我想談談 ADESA 集成，因為我記得，當您購買 ADESA 時，我認為集成 IRC 的資本支出大約每個站點不到 2000 萬美元。聽起來可能比這個少。

And then as a corollary, I know you, you guys have been excited about same day delivery kind of growing to address a greater part of the, of the population. What percent of your sales right now are same day delivery? And could you kind of contrast that maybe relevant to a year ago? Thanks.

作為一個推論，我知道你們，你們對當日送達服務的成長感到興奮，以滿足更大一部分人口的需求。您目前的銷售額中有百分之多少是當天送達的？您能否與一年前的情況進行對比？謝謝。

Yeah, perfect. So I think we're extremely excited about these integrations. They've been going very well. The integrations basically means that we unlock reconditioning Carvana reconditioning capabilities at ADESA sites. It means that we use our systems and our processes to recondition cars. And that's been going exceptionally well. We've seen gains kind of across the board by making those conversions.

是的，完美。所以我認為我們對這些整合感到非常興奮。他們進展順利。這些整合基本上意味著我們解鎖了 ADESA 網站的 Carvana 修復能力。這意味著我們使用我們的系統和流程來修復汽車。進展非常順利。透過這些轉換，我們看到了全面的收益。

And then I think, you know what we're generally doing today is we're doing kind of a lighter CapEx version of it to unlock a portion of the ultimate capacity that can be unlocked at each of those sites that allows us to get many of the benefits in a very capital light and quick way we can have inventory closer to customers. We can get delivery times down, we can you get more routes, we can have inbound costs drop.

然後我想，你知道我們今天通常做的是我們正在做一種更輕的資本支出版本，以解鎖可以在每個站點上解鎖的最終容量的一部分，這使我們能夠獲得許多我們可以以一種非常簡單和快速的方式讓庫存更接近客戶。我們可以縮短交貨時間，我們可以為您提供更多路線，我們可以降低入境成本。

So there's a lot of benefits that we can get up to a certain scale. And then over time, we'll probably circle back around on these sites and do a little more CapEx to unlock additional lines. So that's how that will unfold right now. We're trying to make sure that we fill in our footprint and we maximize our capabilities. And importantly, I think you make sure that we have the joint capability of reconditioning and auction at these sites.

因此，達到一定規模我們可以獲得很多好處。然後隨著時間的推移，我們可能會回到這些網站並進行更多的資本支出來解鎖更多的線路。這就是現在的情況。我們正在努力確保填補我們的足跡並最大限度地發揮我們的能力。重要的是，我認為您要確保我們擁有在這些地點進行修復和拍賣的聯合能力。

We think that that unlocks a number of important capabilities for us that we think are pretty exciting and a number of important capabilities for ADESA that we think are exciting for that business as well as it relates to same day delivery. It's still a small fraction of our sites. We're now up to 35% of the population of the US has access to or in a market where they could get same day delivery. But there are all kinds of limitations inside our system based on, you know, which cars can be same day delivered, which customer credits can be same day delivered, etc.

我們認為這為我們釋放了許多令人興奮的重要功能，也為 ADESA 釋放了許多我們認為對該業務令人興奮的重要功能以及與當天送達相關的功能。它仍然只是我們網站的一小部分。現在，多達 35% 的美國人口可以進入或進入可以享受當日送達服務的市場。但我們的系統內部有各種限制，例如哪些汽車可以當天交付、哪些客戶積分可以當天交付等等。

So it's still a relatively small fraction. I think Phase 1, is about rolling out the capability across all of our geographies. And then Phase 1, will be or sorry, Phase 2, we'll be diving into that and unlocking more cars and more customers and then ultimately more car customer combinations to have more same day delivery available.

所以它仍然是一個相對較小的部分。我認為第一階段是在我們所有地區推廣該功能。然後第一階段，或抱歉，第二階段，我們將深入研究並解鎖更多汽車和更多客戶，最終解鎖更多汽車客戶組合，以提供更多當天送貨服務。

So I think we're very early in unlocking that. That's obviously a very exciting consumer facing capability that we think is incredibly hard to replicate. And we think reflects the value of vertical integration as much as any of our other capabilities. So we're extremely excited about unlocking that over time.

所以我認為我們還處於解鎖階段。這顯然是一個非常令人興奮的面向消費者的功能，我們認為很難複製。我們認為，垂直整合的價值與我們的其他能力一樣重要。因此，我們對隨著時間的推移解鎖這一點感到非常興奮。

And then Sharon to reiterate the CapEx point, all of the integrations that we're discussing utilize ADESA land and buildings. So it's a very limited amount of CapEx that's required for these integrations. We are using the existing infrastructure and structures at the ADESA sites.

然後 Sharon 重申了資本支出點，我們正在討論的所有整合都利用了 ADESA 土地和建築物。因此，這些整合所需的資本支出非常有限。我們正在使用 ADESA 站點的現有基礎設施和結構。

Okay, perfect. Thank you.

好的，完美。謝謝。

Adam Jonas, Morgan Stanley.

亞當‧喬納斯，摩根士丹利。

Well, I am going to break my rule and congrats, it's outstanding execution so well done to the team. So other than the reasons that you, you mentioned, including the employee bonuses and others, is there any other reason why EBITDA margin doesn't hold or grow from 3Q to 4Q. Because just calculating the contribution from, from 2Q to 3Q, it was, it looked like, you know, over a 60% contribution of EBITDA margin. And I know that can vary quarter by quarter, but just want to give you a chance to point anything out because your guidance of above 1.2 is kind of obvious. Thanks.

好吧，我要打破我的規則，恭喜你，團隊的執行力非常出色，做得很好。因此，除了您提到的原因（包括員工獎金等）之外，還有其他原因導致 EBITDA 利潤率從第三季到第四季沒有維持或成長嗎？因為僅計算從第二季到第三季的貢獻，看起來，您知道，EBITDA 利潤率的貢獻超過 60%。我知道每個季度可能會有所不同，但只是想讓您有機會指出任何事情，因為您對 1.2 以上的指導是顯而易見的。謝謝。

Sure, I can hit that one. So I do think there's seasonality in our business and the industry as a whole. I think you're well aware with some of the dynamics there, but I think some of the fundamental drivers of seasonality are, you know, used car demand is typically lowest in Q4. Now, you know, we did point to accelerating year to year growth. So I think that, you know, that's a positive trend but in general used car, you know, volume seasonality.

當然，我可以打那個。所以我確實認為我們的業務和整個行業都存在季節性。我認為您很清楚那裡的一些動態，但我認為季節性的一些基本驅動因素是，您知道，二手車需求通常在第四季度最低。現在，你知道，我們確實指出了逐年加速成長。所以我認為，這是一個積極的趨勢，但就一般二手車而言，銷售是季節性。

It's lowest in Q4 when, when consumer demand for used cars is lowest. In addition, we typically see the highest depreciation rates in Q4. And so that has an impact on both retail and wholesale GPU. So I think there's some seasonal factors we called out or I called out in my prepared remarks. You know, some of the ways that we're thinking about seasonality this year. I think in retail 2022 and 2023 were a bit unusual. So, you know, at a high level, we're thinking seasonality. That's more along the lines of what we saw in 2018 through 2021 on average.

第四季是最低的，當時消費者對二手車的需求最低。此外，我們通常會在第四季度看到最高的折舊率。這對零售和批發 GPU 都有影響。因此，我認為我們指出了一些季節性因素，或者我在準備好的演講中指出了一些季節性因素。你知道，我們今年考慮季節性的一些方式。我認為 2022 年和 2023 年的零售業有點不尋常。所以，你知道，在較高的層面上，我們正​​在考慮季節性。這更符合我們在 2018 年至 2021 年所看到的平均值。

And then in wholesale gross profit. And there, you know, in terms of what we're seeing, you know, we're seeing wholesale gross profit, dollar seasonality. That's more similar to the average of 2018 to 2023. So really pretty typical wholesale, gross profit dollar seasonality. So those are a couple of things that I'd call out. In addition, you know, I think we talked a little bit in the letter and in my prepared remarks, I think there were a couple of things that benefited other GPU In the third quarter.

然後是批發毛利潤。就我們所看到的而言，我們看到的是批發毛利潤和美元季節性。這與 2018 年至 2023 年的平均值更相似。這是我要指出的幾件事。此外，我認為我們在信中和我準備好的發言中談了一些，我認為第三季有幾件事使其他 GPU 受益。

We did sell more loans than we originated. We sized that at approximately $150 other GPU impact in the third quarter. And in addition, we had a pretty rapid rate move in the third quarter where we did, you know, receive what we estimated about $100 per unit benefit from rates moving down, you know, between the time when we originated the loans and when we sold them and we hedged a lot of that.

我們出售的貸款確實比我們所發放的貸款還要多。我們預計第三季其他 GPU 影響約為 150 美元。此外，我們在第三季的利率變動相當迅速，從我們發放貸款到我們發放貸款的時間之間，我們估計從利率下降中獲得了每單位約 100 美元的收益。 。

And so we didn't get sort of a full benefit from that, but the net benefit that we estimated was about $100. So those are some things to keep in mind, you know, this is a seasonal industry. And so those are some of the seasonal patterns that we're pointing to in Q4. But then obviously we're very pleased with the progress and you expect a strong Q4.

因此，我們並沒有從中獲得全部收益，但我們估計的淨收益約為 100 美元。所以這些是需要記住的事情，你知道，這是一個季節性行業。這些是我們在第四季度指出的一些季節性模式。但顯然我們對進展非常滿意，並且您期望第四季度表現強勁。

Thanks Mark. Just as a follow up on the integration of the ADESSA assets into the IRCS you mentioned in the letter, you're able to reduce the shipping distances by about 300 miles in the markets, you know, versus you know, from before you had the IRC, how much does it save? And what other savings would you call out? You know, like for like in the same market from pre to post IRCs converted center, would you highlight just to kind of gauge the pace of your productive capacity going forward?

謝謝馬克。正如您在信中提到的將 ADESSA 資產整合到 IRCS 的後續行動一樣，您可以將市場上的運輸距離減少約 300 英里，您知道，與您之前相比，您知道IRC，它可以節省多少錢？您還認為可以節省哪些其他費用？您知道，就像在 IRC 轉換中心前後的同一個市場中一樣，您是否會強調只是為了衡量您未來的生產能力的步伐？

Sure. So, I think those stats were in there to try to, you know, give very tangible examples of the benefits of getting inventory pools closer to customers. And I think that that's one of many, I think, like, you know, maybe to put some higher level, like full company staff on it, I think year over year our average time to delivery is down about 25%.

當然。因此，我認為這些統計數據試圖給出非常具體的例子，說明讓庫存池更接近客戶的好處。我認為這只是其中之一，我想，你知道，也許要提高一些水平，例如公司全體員工，我認為我們的平均交付時間逐年下降了約 25%。

And, you know, we're simultaneously driving down costs while we do that, that's done partially by getting cars closer to customers and partially by just running our system materially more efficiently. And I think, you know, as we continue to unlock more of these ADESA sites and get cars closer to customers, I think that there's a lot of room for continued improvement in both time and cost. So I think we're excited about that. It requires a lot of work. We've got to keep turning the wheel but the foundations are laid and we'll continue to work hard to unlock it quickly.

而且，你知道，我們在這樣做的同時也在降低成本，這部分是透過讓汽車更接近客戶來實現的，部分是透過更有效地運行我們的系統來實現的。我認為，隨著我們繼續解鎖更多 ADESA 網站並使汽車更接近客戶，我認為在時間和成本方面還有很大的持續改進空間。所以我認為我們對此感到興奮。這需要做很多工作。我們必須繼續轉動方向盤，但基礎已經奠定，我們將繼續努力快速解鎖它。

Thanks Ernie.

謝謝厄尼。

Thank you.

謝謝。

Jeff Lick, Stephens Inc.

傑夫·利克，史蒂芬斯公司

Good evening guys. Congrats on a fantastic quarter.

晚上好，夥計們。恭喜您度過了一個精彩的季度。

Thanks Jeff.

謝謝傑夫。

I was wondering, you know, you, as we track the site, we can see that you've gone over the 40,000 units on the site. And I was just curious if you could come in as you, we start to get that marginal customer. Maybe, you know, beyond say the 30,000 a month units per month customer. Is there any difference in the behavior of this incremental customer in terms of the, you know, the offers, the pricing and whatnot that you have to offer them to entice a sailor. Is it still are we still the part of the demand curve where things are similar?

我想知道，當我們追蹤網站時，我們可以看到您已經瀏覽了網站上的 40,000 個單位。我只是好奇你是否能以你的身分加入，我們開始吸引邊緣客戶。也許，你知道，除了每月 30,000 個單位的客戶之外。你知道，這個增量客戶的行為在報價、定價以及你必須向他們提供的吸引水手的其他方面有什麼不同嗎？我們仍然是需求曲線中情況相似的部分嗎？

Let me start with this. I think we are beginning to grow inventory a little bit right now, which is driven by our reconditioning teams doing a great job scaling up their capabilities and doing it in a very cost effective way, which is, it's hard to do both those things at the same time, but they're doing a great job. So I think we're extremely excited about that. We, we remain below our target inventory levels.

讓我從這個開始。我認為我們現在開始稍微增加庫存，這是由我們的修復團隊出色地擴大了他們的能力並以非常具有成本效益的方式完成的，也就是說，很難同時做到這兩件事同時，但他們做得很好。所以我認為我們對此感到非常興奮。我們，我們仍然低於我們的目標庫存水準。

We would like to be higher, but we think that that's exciting as well. We're working hard to get our inventory levels up. So our customers have more selection and that obviously bodes well for ultimate sales. And then I think as we continually grow to higher and higher scales, I think there will probably always be a little difference in the customers that we're seeing. But I don't think we see those differences expressed meaningfully in any demographics.

我們希望更高，但我們認為這也令人興奮。我們正在努力提高庫存水準。因此，我們的客戶有更多的選擇，這顯然對最終銷售來說是個好兆頭。然後我認為，隨著我們不斷發展到越來越高的規模，我認為我們所看到的客戶可能總是會有一些差異。但我認為我們沒有看到這些差異在任何人口統計中有意義地表達出來。

I mean, I think we generally see very similar customers coming to us. And I think, you know, we put out a press release a couple of weeks back that we've now sold 2 million cars in some total. We've now bought 2 million plus cars from customers. These are starting to be pretty big numbers and I think that we are, you know, moving away from just kind of like, you know, what people may have perceived as early adopters to, you know, what is kind of necessarily a big part of the consuming public.

我的意思是，我認為我們通常會看到非常相似的客戶來找我們。我想，你知道，幾週前我們發布了一份新聞稿，說我們現在總共售出了 200 萬輛汽車。我們現在已經從客戶那裡購買了超過 200 萬輛汽車。這些已經開始成為相當大的數字，我認為我們正在從人們可能認為是早期採用者的東西轉向必然是重要部分的東西的消費大眾。

And I think as we can tell to deliver great customer experiences, we continue to make it more efficient, simpler, faster with more selection and more customers continue to hear from friends and family that they had a great experience and that this is a new way to buy a car. We think that we'll be able to continually penetrate deeper into different customer segments. So we think it's extremely early, you know, this market is huge. We made the point, you know that we're a 1% market shareholder today.

我認為，正如我們所知道的，為了提供出色的客戶體驗，我們將繼續透過更多的選擇來使其更有效率、更簡單、更快，並且有更多的客戶繼續從朋友和家人那裡聽到他們獲得了很棒的體驗，這是一種新的方式買一輛車。我們認為我們將能夠持續深入滲透到不同的客戶群。所以我們認為現在還為時過早，你知道，這個市場是巨大的。我們指出了這一點，你知道我們今天是 1% 的市場股東。

We think that's extremely unique. It's, you know, it's unique to be lucky enough to be in an industry of this scale where there's $40 million used car transactions per year. It's approximately a trillion dollar industry to build a business of the scale that we've been able to build over the last 11 years, but still just be at 1%. So we think our headroom is very, very large.

我們認為這是非常獨特的。您知道，能夠有幸進入每年二手車交易額達 4000 萬美元的如此規模的行業，是獨一無二的。我們在過去 11 年裡建立了這樣規模的業務，但這個規模仍然只有 1%，這需要大約一兆美元的產業。所以我們認為我們的空間非常非常大。

We think the fundamentals that enable us to unlock that headroom are very, very clear. Those fundamentals are the growth. It is basically customers demonstrating that they have a preference for our customer experiences. And, I think the financial performance demonstrating that our business model is able to create real separation from the pack. We think that that just means the opportunity is big and we're excited to go get it as fast as we can, but also as responsibly as we can and we'll be, we'll work hard to try to manage that balance as best we're able.

我們認為，使我們能夠釋放這一空間的基本原理非常非常明確。這些基本面就是成長。基本上是客戶表明他們對我們的客戶體驗有偏好。而且，我認為財務表現顯示我們的商業模式能夠真正脫穎而出。我們認為這只是意味著機會很大，我們很高興能盡快獲得它，但也盡可能負責任地，我們將努力管理這種平衡我們盡力而為。

And just a quick follow up. On operations per unit was $1,730 which was a little sequential uptick from Q2. I was just curious, any read into that and you know how you feel about sequential or year over year movements down in any way in that metric?

只需快速跟進即可。每單位營業額為 1,730 美元，較第二季略有上升。我只是很好奇，任何讀過這一點，你知道你對該指標的連續或逐年下降有何感受？

Sure, I can take that one. So I think, you know, operations expense per unit, which is the more variable component of our cost structure was down, you know, just over $200 year by year. And that's a reflection of all the efficiency initiatives that we've taken on it picked up, you know, as you said, by $30 or so, sequentially quarter to quarter, nothing really to call out there.

當然，我可以接受那個。所以我認為，單位營運費用（我們成本結構中變化較大的部分）逐年下降了 200 多美元。這反映了我們採取的所有效率舉措，你知道，正如你所說，每個季度提高了 30 美元左右，沒有什麼值得稱讚的。

Just a number of small items. I think most importantly, we still see opportunity to drive that number down over time. I think the, you know, all the teams that are focused on that operational metric, they've made great gains over the past couple of years, but we also see opportunities to continue to move that down over time.

只是一些小物品。我認為最重要的是，我們仍然看到隨著時間的推移降低這一數字的機會。我認為，你知道，所有專注於該營運指標的團隊在過去幾年中都取得了巨大的進步，但我們也看到了隨著時間的推移繼續降低這一指標的機會。

Awesome. Well, congrats and congrats to the team on the cash bonus as well. That's pretty fantastic.

驚人的。好吧，恭喜並恭喜團隊獲得現金獎金。那真是太棒了。

Thank you.

謝謝。

Chris Bottiglieri, B&P Paraba.

Chris Bottiglieri，B&P 帕拉巴。

Hey, everybody take up the question, of course, been a couple of years since I asked this topic. 3Q marketplace seems like you're really turning the corner there. So just kind of like two questions relates to it. I guess one of the accounting are the, is the fee income showing in used revenue in GP or other with the first clerical question? And then second, can you just kind of elaborate? I think you're probably doing maybe single digits today.

嘿，每個人都提出這個問題，當然，自從我問這個主題以來已經有幾年了。 3Q 市場看起來你真的正在渡過難關。所以就像有兩個問題與之相關。我想其中一個會計是，費用收入是否顯示在全科醫生或其他第一個文書問題的使用收入中？其次，可以詳細說明一下嗎？我想你今天的成績可能只有個位數。

Penetration of units. It sounds like you expected to step up in Q4. Just curious kind of is this just expanding with her or other partners? Like are you expanding to other large partners or is it combination of smaller partners? Like what can you tell us about this growing three P marketplace?

單位滲透率。聽起來您預計在第四季有所進步。只是好奇這是否只是與她或其他合作夥伴一起擴張？就像您正在擴展到其他大型合作夥伴還是較小合作夥伴的組合？關於這個不斷發展的 3P 市場，您能告訴我們什麼嗎？

Yeah, sure, I can take that one.

是的，當然，我可以接受。

So the, you know, the retail marketplace offering is an offering where, you know, we sell cars on behalf of commercial sellers on the site.

因此，您知道，零售市場產品是我們代表網站上的商業賣家銷售汽車的產品。

And then I think there's, you know, first and foremost, the way we view it as another acquisition source, it's very similar to acquiring car at auction or via another wholesale channel, but there are some, you know, revenue recognition differences. And in particular, when we have a retail marketplace transaction, we don't record the gross sales price of the car as revenue.

然後我認為，首先也是最重要的是，我們將其視為另一個收購來源的方式，它與透過拍賣或透過其他批發管道購買汽車非常相似，但存在一些收入確認差異。特別是，當我們進行零售市場交易時，我們不會將汽車的總銷售價格記錄為收入。

And so I think that's the most notable thing about that acquisition channel that does you know, have an impact on you know, revenue because we don't record the gross sales price in terms of your other sort of reporting question. The most of the fee revenue, you know, to the extent we are in fee revenue from commercial sellers, there shows up in retail revenue, there's a small portion in other, but most of it's in retail revenue.

因此，我認為這是收購管道中最值得注意的事情，它對收入產生影響，因為我們不會根據您的其他類型的報告問題記錄總銷售價格。你知道，大部分費用收入來自商業賣家的費用收入，其中包括零售收入，還有一小部分是其他收入，但大部分是零售收入。

And then I think in terms of, you know, the scaling of that program, you know, it's been a relatively small share of sales historically, you know, it's something we've had, you know, active for at least three years now. And it's tended to be a pretty small overall share of sales. We do expect it to increase in Q4 as we call that in the shareholder letter. And I think, you know, some of the, the genesis of that is we are making really great progress, you know, incorporating Carvana reconditioning into ADESA centers.

然後我認為，就該計劃的規模而言，您知道，歷史上它所佔的銷售份額相對較小，您知道，這是我們已經活躍了至少三年的東西。而且它在總銷售額中所佔的份額往往很小。我們確實預計第四季度這一數字將會增加，正如我們在股東信中所說的那樣。我認為，其中一些原因是我們正在取得巨大進展，將 Carvana 修復納入 ADESA 中心。

We're also making really great progress, you know, making our inspection and reconditioning centers highly efficient at reconditioning. And I think that, you know, has opened up opportunities to make, you know, more opportunities available to commercial sellers to have access to both a wholesale platform and a retail platform simultaneously. So I think that's something that we expect to grow in Q4.

您知道，我們也取得了巨大的進步，使我們的檢查和翻新中心在翻新方面變得非常有效率。我認為，這為商業賣家提供了更多機會，讓他們可以同時存取批發平台和零售平台。所以我認為我們預計第四季會出現成長。

I think some of the gains that come from that and the reason that we're doing it. We think there's opportunities for fundamental gains by deepening our connections with commercial sales of cars. We think there's opportunities to cut a lot of speed or improve speed significantly in the process as well as lower, you know, intermediation and other costs associated with auctions and vehicle transport and things like that. So those are some of the mechanics like I said, it's historically been a pretty small percentage of total units, but we expect it to increase in Q4.

我認為其中的一些收穫以及我們這樣做的原因。我們認為，透過加深與汽車商業銷售的聯繫，有機會獲得根本性收益。我們認為，在此過程中有機會大幅降低速度或顯著提高速度，以及降低與拍賣、車輛運輸等相關的中介成本和其他成本。正如我所說，這些是一些機制，從歷史上看，它只佔總單位的一小部分，但我們預計它將在第四季度增加。

That's okay. Thanks Mark very helpful.

沒關係。謝謝馬克非常有幫助。

Michael McGovern, Bank of America.

麥可·麥戈文，美國銀行。

Hey guys. Thanks for taking my question. Congrats on the quarter. I was just wondering if we could get your thoughts on kind of where inventory selection stands today in your view and what impact does that have on your marketing strategy or willingness to spend marketing dollars if inventory is where you want it to be, or it isn't? Thank you.

嘿夥計們。感謝您提出我的問題。恭喜本季。我只是想知道我們是否可以了解您對當前庫存選擇的看法，以及如果庫存達到您想要的水平，這會對您的行銷策略或花費行銷資金的意願產生什麼影響不是嗎？謝謝。

Sure. So we are starting to grow inventory just a bit. We would like for it to be higher. You, we think that marketing or inventory growth is you can think of as similar to marketing and it's a very efficient channel for marketing because it basically has the effect of making your marketing dollars more efficient by driving additional conversion as customers are more likely to see the car, they're looking for. So we think that that's a great place for investment.

當然。因此，我們開始稍微增加庫存。我們希望它更高。您，我們認為行銷或庫存成長您可以將其視為與行銷類似，並且它是一種非常有效的行銷管道，因為它基本上具有透過推動客戶更有可能看到的額外轉換來提高您的行銷資金效率的效果車，他們正在尋找。所以我們認為這是一個投資的好地方。

It's an investment that requires scaling the entire operational chain. So it's an investment that takes a little bit of time. But the team has been doing a great job keeping up with our growth in sales. You know, we've obviously begun growing sales starting in Q1 of this year and that's accelerated a bit and we expect it to accelerate a bit in Q4. But despite that, the recognition team has been able to also get us to a spot where we're building inventory a little bit right now. So we think that that's exciting and we would like to be carrying a bigger inventory than we are today. We're working hard to get there fast.

這是一項需要擴展整個營運鏈的投資。所以這是一項需要一點時間的投資。但該團隊一直做得很好，跟上了我們銷售額的成長。您知道，我們顯然從今年第一季開始就開始成長銷售額，而且有所加快，我們預計第四季也會有所加快。但儘管如此，認可團隊也讓我們現在建立一些庫存。因此，我們認為這令人興奮，我們希望擁有比現在更多的庫存。我們正在努力快速到達那裡。

Thank you.

謝謝。

Thank you.

謝謝。

Chris Pierce, Needham.

克里斯皮爾斯，李約瑟。

Hey, good afternoon, everyone. On other GPU it's $2,945 and then you call it $250 in tail wins this quarter $2700. That's on a regular, I guess. I just want to get a sense of how to model this line going forward because that would be well above kind of where you kind of guys were multiple years ago. I just want to get a sense of has something changed here or what's happening besides the onetime benefit you guys call out.

嘿，大家下午好。在其他 GPU 上，它是 2,945 美元，然後您稱其為 250 美元，本季尾勝為 2700 美元。我猜這是常規的。我只是想了解如何對這條線進行建模，因為這將遠高於你們幾年前的水平。我只是想了解除了你們所說的一次性好處之外，這裡是否發生了一些變化或正在發生什麼。

Sure, I can take a swing at that one. So, you know, I do think that's one of the areas of the business, not unlike the other areas of the business like retail, you know, GPU or the wholesale GPU line items or anything else where we are constantly working to make fundamental gains. And I think, you know, those fundamental gains in the finance platform take the form of, you know, just more streamlined customer experiences, better data, better scoring, you know, all kinds of, you know, whether it's data algorithms, technology for customer experience.

當然，我可以嘗試一下。所以，你知道，我確實認為這是業務領域之一，與其他業務領域（例如零售、GPU 或批發 GPU 產品線或其他我們不斷努力獲得基本收益的領域）。我認為，金融平台的這些基本收益表現為更簡化的客戶體驗、更好的數據、更好的評分，你知道，無論是數據演算法、技術為了客戶體驗。

All sorts of places to make gains in driving, you know, other GPU which includes financing and ancillary products. And so I think that's an area where we've made good progress. We'll continue to look to make progress over time and do see opportunities for more fundamental gains over time from here. But that would be my high level commentary on it.

你知道，其他 GPU 可以透過各種方式獲得收益，其中包括融資和輔助產品。所以我認為這是我們取得良好進展的領域。我們將繼續尋求隨著時間的推移取得進展，隨著時間的推移，我們確實看到了獲得更根本性收益的機會。但這將是我對此的高水準評論。

Okay, perfect. And then on the marketplace in the past, I believe you guys had other dealers in the marketplace, selling cars as well or listing inventory. Can you remind me, was that a thing that an avenue you went down or is that an avenue you would go down again in the future?

好的，完美。然後在過去的市場上，我相信你們在市場上還有其他經銷商，也銷售汽車或列出庫存。你能提醒我一下，那是你走過的一條大道，還是你以後還會走的一條大道？

That was an avenue that we went down briefly. That is not our focus today. Our focus is on large commercial sellers where we think it's easier to scale and where it benefits more from the combination of Carvana and ADESA capabilities together and where both Carvana and ADESA can benefit from those relationships.

那是我們短暫走過的一條大道。這不是我們今天的重點。我們的重點是大型商業賣家，我們認為這些賣家更容易擴展規模，並且可以從 Carvana 和 ADESA 功能的組合中獲益更多， Carvana 和 ADESA 都可以從這些關係中受益。

So we think that that's more efficient, it's simpler. Every partnership requires some special specific integrations and capabilities. And so the more we can have kind of larger relationships and fewer of them, the more quickly we can move. And then very importantly, I believe Mark said this earlier, but we are reconditioning. You know, the majority of these cars that are flowing through wet marketplace as well and that's also different than it was in the past, especially with dealers.

所以我們認為這更有效、更簡單。每個合作關係都需要一些特殊的整合和功能。因此，我們建立的關係越廣泛、關係越少，我們的行動就越快。然後非常重要的是，我相信馬克早些時候說過這一點，但我們正在修復。你知道，這些汽車中的大多數也流經濕市場，這也與過去不同，尤其是經銷商。

Okay, perfect. Thank you.

好的，完美。謝謝。

Thank you.

謝謝。

Seth Basham, Wedbush Securities.

塞思‧巴沙姆 (Seth Basham)，韋德布希證券公司。

Thanks a lot. Good afternoon and my congrats as well. My first question is just on your advertising, comment planning on increasing advertising in the fourth quarter despite the fact that demand is still exceeding supply, just help us think through why it's time at the right time to lean into advertising despite that fact.

多謝。下午好，我也祝賀你。我的第一個問題是關於你們的廣告，評論計劃在第四季度增加廣告，儘管事實上需求仍然超過供應，只是幫助我們思考為什麼現在是時候在正確的時間投入廣告，儘管事實如此。

Sure. I think first of all, the business is performing incredibly well. And I think it's time that we start to get a nice practical understanding of the various levers that we've got to drive growth. You know, the investments that we plan to make an advertising are relatively small, especially on a per unit basis. And it's at a time when traditionally, there's a little bit less demand overall in the fourth quarter. And so we think it's also a natural time to do it and start to flex that and kind of understand what the sensitivity is to those different channels.

當然。我認為首先，該業務的表現非常好。我認為現在是我們開始對推動成長的各種槓桿有一個很好的實際了解的時候了。您知道，我們計劃進行廣告的投資相對較小，尤其是按單位計算。傳統上，第四季的整體需求會略有減少。因此，我們認為現在也是這樣做的自然時機，並開始調整這一點，並了解這些不同管道的敏感度。

We've also got some fun and interesting and potentially powerful advertising investments that we've made. We're bringing back Dax and Kristen again this year, which we're excited about. So we'll be playing that out and we'll see how that does. But we think it's a good time for us to start to understand exactly how powerful those levers are. And we think the fourth core is a uniquely time for us to make some of those investments because of the fact that it is traditionally a time when, when sale is slow.

我們也進行了一些有趣且具有潛在影響力的廣告投資。今年我們將再次帶回 Dax 和 Kristen，對此我們感到非常興奮。所以我們將對此進行研究，看看效果如何。但我們認為現在是我們開始準確地了解這些槓桿有多強大的好時機。我們認為第四核心是我們進行一些投資的獨特時機，因為傳統上這是銷售緩慢的時期。

And so it's operationally simpler to understand the power of those levers in a time like this. So, we'll be doing a little testing around the edges. I think we're optimistic about what we're going to see. I think there's no doubt that given where the contribution margins are of incremental sales, you know, relative to customer acquisition cost through, through various customer acquisition channels, whether it's things like inventory growth that we discussed earlier in marketing, there's likely meaningful gaps there.

因此，在這樣的時刻，了解這些槓桿的力量在操作上更容易。因此，我們將在邊緣進行一些測試。我認為我們對將要看到的情況感到樂觀。我認為毫無疑問，考慮到增量銷售的貢獻邊際，相對於透過各種客戶獲取管道獲得客戶的成本，無論是我們之前在行銷中討論的庫存成長之類的事情，那裡都可能有意義的差距。

And the thing that's standing between us and unlocking that benefit is just expanding the operational chain and continue to execute. And as we've said over and over in this call, I think we've got a good plan and we just got to keep marching.

阻礙我們釋放這項利益的只是擴大營運鏈並繼續執行。正如我們在這次電話會議中反覆說過的那樣，我認為我們已經有了一個很好的計劃，我們只需要繼續前進。

That's helpful color. And then as it relates to inventory sourcing, can you remind us where you are from self sufficiency standpoint? And it's one of your key objectives with the retail marketplace to be able to source more vehicles and support growth in the business when it's getting more difficult to do that by sourcing directly from retail customers.

這是有用的顏色。然後，說到庫存採購，您能否提醒我們，從自給自足的角度來看，您處於什麼位置？當直接從零售客戶購買變得越來越困難時，您在零售市場的主要目標之一是能夠購買更多車輛並支援業務成長。

Yeah. So I think we're still at a place where the significant majority of our acquisitions are coming from customers, which we think is great. We think that's a deep fundamental capability. It's very hard to replicate that just kind of reverses our entire retail capability. And so basically to do that and all the same customer experience that we do, you'd have to build out everything we've built for the retail side of the business. So it's something that benefits from very large moats.

是的。因此，我認為我們仍然處於這樣的情況：我們的大部分收購都來自客戶，我們認為這很好。我們認為這是一種深層的基本能力。很難複製這種情況，這會扭轉我們整個零售能力。因此，基本上要做到這一點並獲得與我們相同的客戶體驗，您必須建立我們為零售業務方面構建的所有內容。所以它受益於非常大的護城河。

So that's definitely an area of focus. I think undoubtedly that is probably a relatively stronger channel in times when vehicles are appreciating. It's probably a relatively weaker channel in times when cars are depreciating. I think the great news on that is, you know, we've been in a on average depreciating environment for the last year and a half, two years, give or take. And also cars are probably now at a spot where they're very, very similar kind of vehicle CPI is at a very similar place to other good CPI.

所以這絕對是一個重點領域。我認為毫無疑問，在車輛升值的時期，這可能是一個相對較強的管道。在汽車貶值的時期，這可能是相對較弱的管道。我認為這方面的好消息是，你知道，過去一年半、兩年，我們一直處於平均貶值的環境。而且汽車現在可能處於一個非常非常相似的位置，汽車消費者物價指數與其他良好的消費物價指數非常相似。

So I think it's less obvious which direction, you know, depreciation will go versus just normal seasonal depreciation from here. But we think it's important to have access to all the various channels. And then I think, you know, Mark, you made the point that retail marketplace can be thought of as a substitute for auction purchases. I think that is the right way to think about it. And then I think that, you know, he also made the point that the place where we are most focused is benefiting from the joint capabilities of us plus ADESA.

因此，我認為與正常的季節性貶值相比，貶值將走向哪個方向不太明顯。但我們認為訪問所有不同管道非常重要。然後我想，馬克，你指出零售市場可以被視為拍賣購買的替代品。我認為這是正確的思考方式。然後我認為，你知道，他也指出，我們最關注的地方是受益於我們與 ADESA 的聯合能力。

I think in much the same way that in years past, we talked about the reason that or one of the reasons why we think that we're a differentiated buyer for consumers is that we've got a great retail disposition channel and we've got a great wholesale disposition channel and consumers don't really know if their car is, you know, retail or wholesale by our standards. And it's important that we're able to put a great bid in front of them regardless.

我認為，與過去幾年的情況大致相同，我們談到的原因或我們認為我們是消費者的差異化買家的原因之一是我們擁有良好的零售處置管道，並且我們已經有一個很好的批發處置管道，消費者並不真正知道他們的汽車是，你知道，按照我們的標準是零售還是批發。無論如何，我們能夠在他們面前提出一個很好的出價，這一點很重要。

I think in similar ways, I think big commercial sellers have a mix of cars that we will deem wholesale and that we will deem retail. And when we're able to absorb more of those cars in a very seamless way that minimizes the movement of those cars and the costs associated with getting those cars to a place where they can be disposed of and does it more quickly, we generate fundamental gains that can be split up between us and our partners.

我認為以類似的方式，我認為大型商業賣家混合了我們將視為批發和零售的汽車。當我們能夠以一種非常無縫的方式吸收更多的汽車，最大限度地減少這些汽車的移動以及將這些汽車運送到可以處置的地方並更快地處理相關的成本時，我們就產生了基本的我們和我們的合作夥伴可以分享收益。

And we think that's exciting. And we think that's going forward in order to unlock the kinds of market share that we want to unlock. In the long run, we need to continue to deliver great differentiated customer experiences and drive demand and we need to continue to have highly differentiated sources of supply so we can get a lot of supply to satisfy that demand. And I think, you know, these, these programs are ways that we're looking to leverage the advantages inherent in the machine that we've built to be even better on the supply side.

我們認為這很令人興奮。我們認為，這一切都是為了解鎖我們想要解鎖的市​​場份額。從長遠來看，我們需要繼續提供差異化的客戶體驗並推動需求，我們需要繼續擁有高度差異化的供應來源，以便我們可以獲得大量供應來滿足需求。我認為，你知道，這些程序是我們尋求利用我們建造的機器固有優勢的方式，以便在供應方面做得更好。

Thank you very much, Ernie.

非常感謝你，厄尼。

Thank you.

謝謝。

Brian Nagel, Oppenheimer.

布萊恩·內格爾，奧本海默。

Hi, good evening. Great quarter. Congratulations.

嗨，晚上好。很棒的季度。恭喜。

Thank you.

謝謝。

So, I've got a couple of questions first. You know, as we look at the business and, you know, it's clearly revamping nicely here. You talked in the prepared comments about the, you know, the still the under the significantly underutilized capacity you have as far as recommissioning centers, but as the business continues to ramp, are there other expenses, you know, from a labor standpoint or elsewhere? They're, they're going to come in to support that growth.

所以，我先有幾個問題。你知道，當我們審視這個業務時，你知道，它顯然正在很好地改造。您在準備好的評論中談到，您知道，就重新調試中心而言，您的產能仍然未得到充分利用，但隨著業務的不斷發展，從勞工的角度或其他方面來看，是否還有其他費用？他們將參與支持這種增長。

Yeah, I can take that. So, you know, I think the easiest way to think about you know, labor expenses, there's some in, you know, cost of sales associated with reconditioning, there's some in that operations, expense line item and then there's some of that are overhead expense line item as well. Those are sort of the, you know, the big categories. And I think, what we've seen is, you know, even if, you know today's growth rates, we're seeing those come down, you know, we continue to make progress in reconditioning and transport costs.

是的，我可以接受。所以，你知道，我認為最簡單的方式來考慮你知道的，人工費用，有一些，你知道，與翻新相關的銷售成本，有一些運營、費用項目，還有一些是間接費用費用行項目也是如此。你知道，這些都是大類別。我認為，我們所看到的是，即使你知道今天的成長率，我們也看到成長率下降，你知道，我們繼續在整修和運輸成本方面取得進展。

You know, we continue to make progress in operation expenses. We had a very small tick up this quarter sequentially, but overall, that's on a meaningful downward trend and then our overhead expenses have been, you know, very steady with very little movement over the past many quarters despite, you know, very significant growth.

你知道，我們在營運費用方面不斷取得進展。本季我們的支出較上季略有上升，但總體而言，這是一個有意義的下降趨勢，然後我們的管理費用一直非常穩定，在過去的許多季度中幾乎沒有變化，儘管成長非常顯著。

So I think the simple answer there is, you know, we've actually been improving across some of our labor efficiency metrics, you know, while growing and as I alluded to in a previous answer, you know, we still see opportunities to continue to improve efficiency. Obviously, operational expenses grow in dollar terms, but our goal is to continue to drive them down in terms.

所以我認為簡單的答案是，你知道，我們實際上一直在改進一些勞動效率指標，你知道，在成長的同時，正如我在之前的答案中提到的，你知道，我們仍然看到繼續發展的機會以提高效率。顯然，營運費用以美元計算是成長的，但我們的目標是繼續降低營運費用。

Well, thanks mark, that's very helpful. And then I guess the second question I have just with regard to the kind of the retail GPU again, you know, continues to climb nicely. But what are the, if you look at it, what are the sort of say the building blocks from here to drive it higher.

嗯，謝謝馬克，這非常有幫助。然後我想我的第二個問題又與零售 GPU 的類型有關，你知道，繼續良好地攀升。但是，如果你看看它，你會發現，推動它走得更高的基石是什麼。

I think. There are many, but I think, you know, the, the goal of our entire machine in many ways, you know, used car transaction is basically some consumer that has a car somewhere that's going to trade with some consumer somewhere else. And it's about building a system that kind of minimizes the costs associated with moving that car from one customer to another reconditioning that car. So it's ready for the new customer and then providing an experience to a customer that they love that, that that is very efficient. I think that that's like the goal of the entire system.

我認為。有很多，但我認為，你知道，我們整個機器的目標在很多方面，你知道，二手車交易基本上是一些在某個地方擁有汽車的消費者將與其他地方的一些消費者進行交易。它是關於建立一個系統，最大限度地減少與將汽車從一個客戶轉移到另一個客戶翻新該汽車相關的成本。因此，它已經為新客戶做好了準備，然後為客戶提供他們喜歡的體驗，這是非常有效率的。我認為這就是整個系統的目標。

And so I think getting smarter about which cars we bid on at which point in time from which location is important. I think, you know, minimizing the costs associated with moving those cars around is important, building out additional reconditioning centers so that we have more efficient access to more consumer and commercial facing cars with lower cost to get them to our reconditioning centers is important being intelligent about merchandizing our cars really well.

因此，我認為更明智地了解我們在哪個時間點、哪個地點競標哪些汽車很重要。我認為，你知道，最大限度地減少與移動這些汽車相關的成本很重要，建立額外的翻新中心，以便我們能夠更有效地以更低的成本獲得更多面向消費者和商業的汽車，並將它們運送到我們的翻新中心，這一點很重要地非常聰明地推銷我們的汽車。

So we get credit for the interesting features that various cars have is important, being intelligent about pricing different cars differently. So it reflects customers understanding and willingness to pay on those various cars is important.

因此，我們因各種汽車所具有的有趣功能而受到讚譽，這一點很重要，明智地對不同汽車進行不同的定價。因此，反映客戶對各種汽車的理解和支付意願非常重要。

I think it can feel like it's simpler. You're just buying a car for a price and then you're selling it for a price. But, you know, there are tens of thousands of SKUs and those tens of thousands of SKUs you know, distributed across, you know, enormous geography, enormous distance I think creates a lot of opportunities to get better. So we've got various teams that touches multiple teams that touches our fulfillment teams and touches our inventory teams that have very specific projects with ambitious goals that are very credible in our opinion, that suggest that there's additional room for improvement.

我覺得這樣可以感覺更簡單。你只是以一定的價格購買一輛車，然後以一定的價格出售它。但是，你知道，有數以萬計的 SKU，而你知道的數以萬計的 SKU 分佈在廣闊的地理區域和遙遠的距離，我認為這創造了很多改進的機會。因此，我們有不同的團隊，涉及多個團隊，涉及我們的履行團隊和我們的庫存團隊，這些團隊有非常具體的項目，目標雄心勃勃，我們認為這些目標非常可信，這表明還有額外的改進空間。

But like anything, I think, you know, sizing and opportunity is one exercise and then going and collapsing the distance between what you're doing today and what you want to do tomorrow is another activity. And so, you know, been executing very well for the last seven quarters.

但就像任何事情一樣，我認為，確定規模和機會是一項練習，然後縮小今天正在做的事情和明天想做的事情之間的距離是另一項活動。所以，你知道，過去七個季度的執行情況非常好。

And I think it would have been very hard to foresee where retail GPU is today while still giving our customers a great deal. I think it would have been hard to see that from seven quarters ago, but it's been unlocked by the same sorts of projects that we still have in the hopper. And so I think we got to keep executing at that same level and we think that there's still opportunity.

我認為很難預測零售 GPU 的現狀，同時仍為我們的客戶提供大量優惠。我認為從七個季度前就很難看到這一點，但它已經被我們仍然在料斗中的同類項目所解鎖。因此，我認為我們必須繼續保持同一水平，而且我們認為仍然有機會。

I appreciate the color. Thank you.

我很欣賞它的顏色。謝謝。

Thank you.

謝謝。

Rajat Gupta, JP Morgan.

拉賈古普塔，摩根大通。

Great. Thanks, for taking the question. I have a follow up question on the marketplace economics. You understand the accounting around the revenue reporting but just curious to, you know, is there, is the GPU, you know, the other GPU you know, like G&A unit, like how should we think about the different buckets of the economics for a marketplace sale versus the traditional retail sale.

偉大的。謝謝你提出問題。我有一個關於市場經濟學的後續問題。你了解圍繞收入報告的會計處理，但只是好奇，你知道，GPU 是否存在，你知道，你知道的其他 GPU，例如 G&A 部門，就像我們應該如何考慮一個經濟體的不同部分。零售銷售。

I know you mentioned like these are similar to auction source units. So in the past, I think you've said those are lower GPU than consumer source units. I'm just curious like how those trickle through, through the different line items. And you know, would you be like calling that out, you know, going forward?

我知道您提到這些與拍賣源單位類似。所以在過去，我認為您說過這些 GPU 的效能低於消費源設備。我只是好奇這些是如何透過不同的訂單項目滲透進來的。你知道，你會想大聲疾呼嗎？

I have a follow up then.

那我有一個後續行動。

Yes, sure. I think thinking about it as a substitute for auction purchases is probably the best way to think about it and then it obviously has different accounting. But I think the way that we're thinking about it is we're still aiming for the same per vehicle dollar economics across the sum of all transactions as we would have been without this. We think that fundamentally what is occurring, you know, the operations are the same.

是的，當然。我認為將其視為拍賣購買的替代品可能是最好的思考方式，而且它顯然有不同的會計方法。但我認為我們考慮的方式是，我們的目標仍然是在所有交易的總和中實現相同的每輛車美元經濟效益，就像沒有這一點一樣。我們認為從根本上講，正在發生的事情，操作是相同的。

Let me start with the seller. The seller is the same, the cars are the same, the operations to get the cars between us and the seller are the same. The operations to get cars to customers are the same. They're merchandise in the same way everything the customer sees is the same. The difference is the transaction that we wrap around that on a subset of cars.

讓我從賣家開始。賣家是相同的，汽車是相同的，我們和賣家之間取車的操作是相同的。將汽車交付給客戶的操作是相同的。它們是商品，就像顧客看到的所有東西都是一樣的。不同之處在於我們將交易包裝在一部分汽車上。

And the reason that these different structures are interesting is because if we do them in bulk and take advantage of the combination of capabilities we have at the ADESA sites, in particular as we roll out reconditioning capabilities there, we think that we can move cars more quickly with fewer moves and kind of just in general be more efficient between us and those sellers. And so I think, you know, this structure is a structure that is one of many possible structures that you could kind of wrap around those fundamentals.

這些不同的結構之所以有趣，是因為如果我們批量生產並利用我們在 ADESA 站點擁有的能力組合，特別是當我們在那裡推出翻新能力時，我們認為我們可以更多地移動汽車速度更快，動作更少，而且我們和那些賣家之間的效率總體上更高。所以我認為，你知道，這個結構是許多可能的結構之一，你可以圍繞這些基本原理進行包裝。

We think various structures don't really change the underlying economics of the transaction. And so we think that probably the best way to think about it, we've put out this long term financial model. We think the best way to think about it is still think about our goals as being the same as they were through long term financial model, if all units were accounted for as if they were normal core retail units. And then the major change here is for whatever portion of units we have that are marketplace units, we will have less revenue because that's how the accounting kind of works.

我們認為各種結構並不會真正改變交易的基本經濟原理。因此，我們認為這可能是考慮這個問題的最佳方式，我們推出了這個長期財務模型。我們認為，考慮這個問題的最佳方式仍然是將我們的目標視為與長期財務模型相同的目標，如果所有單位都被視為正常的核心零售單位。這裡的主要變化是，對於我們擁有的市場單位的任何部分，我們的收入都會減少，因為這就是會計的運作方式。

Got it, that's helpful. And just, you know, in terms of the impact this has on the standalone ADESA business. Is it essentially like using like just sourcing from those customers directly or the new customers. I know you've talked about parts in the past. I'm trying to understand like what this means for just the ADESA standalone EBITDA. I don't know, it's like pretty small in context of the overall EBITDA today but just curious like how that interplay would work, you know, between the supply base at ADESA which is what you're using for your marketplace business.

明白了，很有幫助。您知道，就這對獨立 ADESA 業務的影響而言。它本質上就像直接從這些客戶或新客戶那裡採購一樣。我知道你過去曾談論過零件。我試圖理解這對 ADESA 獨立 EBITDA 意味著什麼。我不知道，在今天的整體 EBITDA 背景下，這相當小，但只是好奇，你知道，ADESA 的供應基地之間的相互作用如何運作，這就是你用於市場業務的地方。

I think a bit of an abstract, but I think hopefully a helpful conceptual way to think about it. A lot of the costs that exist in the market between commercial sellers and ultimate dealers that are going to sell those to consumers exists because the dealers have a subset of cars that they're interested in. And the sellers want to maximize proceeds across a varied group of cars that they're trying to sell.

我認為有點抽象，但我認為希望這是一種有用的概念方式來思考它。市場上存在的商業賣家和將這些汽車出售給消費者的最終經銷商之間存在的許多成本，是因為經銷商擁有他們感興趣的一部分汽車。出售的一組汽車。

The goals of these structures is to make that simpler because we are a scaled retailer and a scaled wholesaler. And so we can kind of fundamentally reduce costs that exist in discovering which car is which because it's less important to our scaled system, we need to make sure that we get the average right and then at our locations, we sort them properly, but we need to get the average right, not every individual car, right. And that unlocks speed and cost reductions. And so that's fundamentally what we're seeking to do with some of these new structures.

這些結構的目標是讓事情變得更簡單，因為我們是一家規模化的零售商和規模化的批發商。因此，我們可以從根本上降低發現哪輛車是哪輛車的成本，因為這對我們的規模化系統不太重要，我們需要確保我們得到正確的平均值，然後在我們的位置，我們對它們進行正確的分類，但我們需要讓平均數正確，而不是每輛車都正確。這可以提高速度並降低成本。因此，從根本上來說，這就是我們尋求對其中一些新結構的處理。

Got it. It makes complete sense. Thanks.

知道了。這是完全有道理的。謝謝。

Thank you.

謝謝。

John Healy, North Coast Research.

約翰希利，北海岸研究中心。

Thank you. Ernie, I wanted to get your kind of thoughts, big picture. You know, obviously the growth this year has been amazing. The turnaround is, has been, you know, just even more amazing than the growth. But if you look at the growth rate of the business, like, what do you want to allow this business to grow? Because I feel like there's an interplay here, obviously, with the value you offer the consumer, how you source inventory, how much inventory you have.

謝謝。厄尼，我想了解你的想法，大局觀。你知道，今年的成長顯然是驚人的。你知道，轉變一直比成長更令人驚奇。但如果你看看業務的成長率，例如，你想讓這個業務成長什麼？因為我覺得這裡顯然與你為消費者提供的價值、你如何採購庫存、你擁有多少庫存之間存在相互作用。

So like as you look at the model, you know, it is the growth rate like we saw this year, you know, can you replicate that in, you know, another year or two or do you look at it in terms of the amount of units you want to add kind of on a year over year basis? So I was just really hoping you could help us thinking about, you know, how you're going to govern growth in the business.

就像你看這個模型一樣，你知道，這是我們今年看到的增長率，你知道，你能在再過一兩年複製這一點嗎？所以我真的希望你能幫助我們思考，你知道，你將如何管理業務的成長。

And then ultimately, next year too, you know, just put your economist hat on and you know, let's just say interest rates are 100 basis points or, you know, lower year over year, next year. How much does that actually help the business? And a and your performance next year. Thanks.

最終，明年也是如此，只要戴上經濟學家的帽子，我們就可以說利率為 100 個基點，或者，你知道，明年利率會逐年降低。這對企業實際上有多大幫助？還有你明年的表現。謝謝。

Sure. I think those are big questions. I think, you know, importantly, we think that we're very small compared to the scale that we will ultimately be capable of reaching. I think that we would like to get to much bigger scales quickly. We think the entire business gets better. There's positive feedback as we've discussed at [nauseam] and I think it helps every part of the business and helps customer experiences as well.

當然。我認為這些都是大問題。我認為，重要的是，我們認為與我們最終能夠達到的規模相比，我們非常小。我認為我們希望盡快達到更大的規模。我們認為整個業務都會變得更好。正如我們在 [nauseam] 中討論的那樣，我們得到了積極的回饋，我認為這對業務的各個部分都有幫助，也有助於客戶體驗。

So it just makes us a better, stronger business. And then I think that, you know, the ability of any group of people to do work is limited. You can only focus on so many things. And I think what, you know, this last year has been about has been about kind of exploring different rates of growth, understanding how much focus that requires and then understanding how much focus is left to make sure that we go take advantage of the big fundamental gains that still exist in the business.

所以它只會讓我們的業務變得更好、更強大。然後我認為，你知道，任何一群人的工作能力都是有限的。你只能專注於這麼多事情。我認為，你知道，去年的主題是探索不同的成長率，了解需要多少關注，然後了解還剩下多少關注以確保我們能夠利用大的優勢企業中仍然存在的基本收益。

And I think that we're continuing to try to find that balance today because we do think that we're very small compared to what we can be. And we do think that there are very significant fundamental gains. And then I think, you know what we're seeing right now in many different forms is I think the fundamental gains that we've unlocked over the last couple of years, they're showing up clearly in our financials.

我認為我們今天仍在繼續努力尋找這種平衡，因為我們確實認為與我們所能達到的目標相比，我們還很小。我們確實認為存在非常顯著的基本收益。然後我想，你知道我們現在看到的許多不同形式是我認為我們在過去幾年中釋放的基本收益，它們清楚地體現在我們的財務中。

You see them in, you know, our EBITDA margin and, you know, our operating income and net income and everywhere else. But they're also showing up in terms of the ease with which we're, we've been able to scale. And so that makes fundamental gains sort of doubly valuable, right? They, they show up in the bottom line and they make it easier to go get more top line.

你可以在我們的 EBITDA 利潤率、營業收入和淨利潤以及其他任何地方看到它們。但它們也體現在我們能夠輕鬆擴展的方面。因此，這使得基本收益具有雙重價值，對嗎？他們，他們出現在底線上，他們讓獲得更多的頂線變得更容易。

And so I think we've got to find balance between those things. You know, we're a very ambitious group. I think the struggle that we have internally is trying to narrow our focus, trying to keep it at the right level to where we don't have too many things on our plate and we don't get as much done as we should. And so I think, you know, we're trying to find that balance today that's inactive discovery as we speak.

所以我認為我們必須在這些事情之間找到平衡。你知道，我們是一個非常雄心勃勃的團隊。我認為我們內部的鬥爭是試圖縮小我們的焦點，試圖將其保持在正確的水平，使我們的盤子上沒有太多的事情，並且我們沒有完成我們應該做的事情。所以我認為，你知道，我們今天正試圖找到平衡，這就是我們所說的不活躍的發現。

And then you asked about our economists, we think our economist hats are broken. So we would suggest you to go check other people's. I think rates being lower, all else constant is helpful. I think it's helpful in kind of a second order way. First order, what matters is our offering relative to the offering of others that we compete with and we both benefit from rates.

然後你問到我們的經濟學家，我們認為我們的經濟學家帽子已經壞了。所以我們建議你去看看其他人的。我認為利率較低，其他一切不變是有幫助的。我認為這在某種程度上是有幫助的。首先，重要的是我們的產品相對於我們競爭的其他產品的產品，我們都從費率中受益。

So I think first order, it's not really a huge change. Second order, it means that cars are more affordable and that can bring more people into the market. And so we think that's beneficial, but we wouldn't call it like a central driver of our performance.

所以我認為首先，這並不是一個巨大的改變。第二，這意味著汽車更便宜，可以吸引更多人進入市場。因此，我們認為這是有益的，但我們不會將其稱為我們績效的核心驅動力。

Thank you guys.

謝謝你們。

Thank you.

謝謝。

Nick Jones, Citizens JMP.

尼克瓊斯，公民 JMP。

Great. Thanks for taking the questions. I guess I'd like to ask a bit more about the growth algorithm maybe a little bit differently. I mean, the average age of cars on the road is higher, the industry still isn't quite normalized. Carvana's gaining share, outperforming large competitors. I guess the question becomes if things do start normalizing and potentially the rapid pay, maybe as rates come down, is the business prepared to kind of handle the volume that could come?

偉大的。感謝您提出問題。我想我想多問一些關於成長演算法的問題，也許有點不同。我的意思是，道路上汽車的平均年齡更高，這個行業仍然沒有完全正常化。 Carvana 的市佔率不斷增加，表現優於大型競爭對手。我想問題是，如果事情確實開始正常化，並且可能會快速支付，也許隨著利率的下降，企業是否準備好應對可能出現的數量？

And then, you know, I guess that's the first question and the second question is, you know, you're going to do some advertising testing and seeing how you can, maybe drive growth further. I guess how, how much is the business potentially a coiled spring over the next few years to the extent that things normalize. And you've been able to perform quite well in a tough backdrop. Thanks.

然後，你知道，我想這是第一個問題，第二個問題是，你知道，你將進行一些廣告測試，看看如何進一步推動成長。我猜想，在未來幾年內，業務可能會在多大程度上成為螺旋彈簧，以達到正常化的程度。而且你在艱難的背景下也能表現得很好。謝謝。

Love the coiled spring analogy. That carries a lot of deep meaning for a lot of people inside Carvana that we're here for catapult. But I think that's, it seems that is likely the case. We certainly hope it's the case and we're going to work hard to demonstrate the results that prove out that's the case. I think, you know, we're more efficient than we've ever been. That means growth is easier than it's ever been. I think, you know, the, the sum of the way the customers are responding to our offering and the quality of our financial performance means that we've got a big spread versus the competition.

喜歡螺旋彈簧的比喻。對於 Carvana 內部的許多人來說，我們來這裡是為了彈射器，這具有深遠的意義。但我認為，情況似乎很可能是這樣。我們當然希望情況確實如此，我們將努力證明結果，證明情況確實如此。我認為，你知道，我們比以往任何時候都更有效率。這意味著成長比以往任何時候都更容易。我認為，您知道，客戶對我們產品的反應方式以及我們的財務表現品質的總和意味著我們與競爭對手相比有很大的差距。

And I think that creates one that just suggests that I think very large market shares are attainable. And I think it creates a lot of flexibility. We think that there's significant fundamental gains yet to be had. We feel like we have visibility to better financial performance than we've been able to deliver. So far. We have, you know, this enormous latent opportunity of, you know, unlocking additional capacity at these ADESA sites and ramping up reconditioning centers that we already have that we think the sum of that can get us up to 3 million units per year, which is approximately 8 times our current run rate.

我認為這表明我認為可以獲得非常大的市場份額。我認為這創造了很大的靈活性。我們認為，還有重大的根本成果尚未實現。我們覺得我們可以看到比我們能夠提供的更好的財務表現。迄今為止。你知道，我們擁有巨大的潛在機會，你知道，釋放這些 ADESA 工廠的額外產能並擴大我們已有的翻新中心，我們認為這些總和可以使我們每年生產 300 萬台，這大約是我們當前運行率的8 倍。

So, I mean, I think it's all very exciting and you know, what's missing from that is just that it's an enormous market, right? I mean, that 8 times our current scale can sound daunting. And then it's worth remembering that that would be 7.5% market share, which feels very achievable for a leader in a space. And so I think we're excited, I think our team is executing unbelievably.

所以，我的意思是，我認為這一切都非常令人興奮，你知道，其中缺少的是這是一個巨大的市場，對嗎？我的意思是，8 倍於我們目前的規模聽起來令人畏懼。值得記住的是，這將是 7.5% 的市場份額，這對該領域的領導者來說是非常容易實現的。所以我認為我們很興奮，我認為我們的團隊執行得令人難以置信。

Well, I think our team learned a completely new gear of execution and a new set of tricks and a new level of discipline that we're going to work hard to maintain. And I think that the results of the last year and a half, two years are a result of us learning those new lessons. And so I think we just got to keep the pedal down and stay focused because the opportunity is big and we're excited and I think we don't want to be too specific on our promises along the way, but I promise you, our eyes are big.

嗯，我認為我們的團隊學習了全新的執行裝備、一套新的技巧和新的紀律水平，我們將努力維持這些。我認為過去一年半、兩年的結果是我們學習這些新教訓的結果。因此，我認為我們必須踩下踏板並保持專注，因為機會很大，我們很興奮，我認為我們不想在過程中對我們的承諾過於具體，但我向你保證，我們的眼睛很大。

Thank you.

謝謝。

Thank you.

謝謝。

This concludes our question and answer session. I would like to turn the conference back over to Ernie Garcia for any closing remarks.

我們的問答環節到此結束。我想將會議轉回厄尼·加西亞（Ernie Garcia）發表閉幕詞。

Great. Well, thanks everyone. We really appreciate you joining the call. Team Carvana, another just incredible job. This is now the people on this call that are listening to it outside of you are very smart people whose entire job it is to figure out how we're going to perform. And for seven quarters in a row, you've outperformed what they could have reasonably expected.

偉大的。嗯，謝謝大家。我們非常感謝您加入此通話。 Carvana 團隊，又是一項令人難以置信的工作。現在，在你們之外收聽電話會議的人都是非常聰明的人，他們的全部工作就是弄清楚我們將如何執行。連續七個季度，您的表現超出了他們的合理預期。

And that's just because you've absolutely been crushing it. Thank you so much for all that work. Please be forever proud of it but never let it go to your head and let's keep going because we still got a lot of work to do and a lot of fun to have. Thanks everyone.

那隻是因為你已經徹底粉碎了它。非常感謝您所做的一切工作。請永遠為此感到自豪，但永遠不要讓它沖昏頭腦，讓我們繼續前進，因為我們還有很多工作要做，還有很多樂趣要享受。謝謝大家。

The conference is now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。