Cargurus Financials
This page shows Cargurus (CARG) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 11 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Gross profit, not revenue, now drives the story in an asset-light cash machine funding aggressive buybacks.
Between FY2022 and FY2025, reported revenue became less informative as sales fell from$1.7B to$907M . Yet gross margin moved from39.7% to92.8% , implying a much smaller pass-through cost base and that each later revenue dollar carried far more economic weight, making top-line comparisons across those years misleading on their own.
In FY2025, cash conversion was strong: operating cash flow of
Operating expenses changed much less than gross profit over the last three years, so margin expansion looks driven by a cleaner revenue mix and fixed-cost absorption rather than broad spending cuts. The jump in ROE to
Financial Health Signals
Based on FY2025 annual data, averaged across the last 3 years for performance metrics (most-recent year weighted highest). How this score is calculated →
Health score ≠ stock price. This rates the quality of Cargurus's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Cargurus has an operating margin of 27.0%, meaning the company retains $27 of operating profit per $100 of revenue. This strong profitability earns a score of 73/100, reflecting efficient cost management and pricing power. This is up from 19.7% the prior year.
Cargurus's revenue grew 13.7% year-over-year to $907.0M, a solid pace of expansion. This earns a growth score of 57/100.
Cargurus carries a low D/E ratio of 0.00, meaning only $0.00 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 100/100, indicating a strong balance sheet with room for future borrowing.
Cargurus's current ratio of 2.81 indicates adequate short-term liquidity, earning a score of 53/100. The company can meet its near-term obligations, though with limited headroom.
Cargurus converts 31.9% of revenue into free cash flow ($288.9M). This strong cash generation earns a score of 89/100.
Cargurus's ROE of 41.7% shows moderate profitability relative to equity, earning a score of 62/100. This is up from 3.9% the prior year.
Cargurus scores 9.34, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($2.7B) relative to total liabilities ($287.7M). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Cargurus passes 6 of 9 financial strength tests. All 4 profitability signals pass (positive income, cash flow, and earnings quality), no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), both operating efficiency signals pass.
For every $1 of reported earnings, Cargurus generates $1.89 in operating cash flow ($295.3M OCF vs $155.9M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Key Financial Metrics
Earnings & Revenue
Cargurus generated $907.0M in revenue in fiscal year 2025. This represents an increase of 13.7% from the prior year.
Cargurus's EBITDA was $272.8M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 49.5% from the prior year.
Cargurus reported $155.9M in net income in fiscal year 2025. This represents an increase of 643.4% from the prior year.
Cargurus earned $1.55 per diluted share (EPS) in fiscal year 2025. This represents an increase of 675.0% from the prior year.
Cash & Balance Sheet
Cargurus generated $288.9M in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 60.2% from the prior year.
Cargurus held $190.5M in cash against $0 in long-term debt as of fiscal year 2025.
Margins & Returns
Cargurus's gross margin was 92.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 1.6 percentage points from the prior year.
Cargurus's operating margin was 27.0% in fiscal year 2025, reflecting core business profitability. This is up 7.3 percentage points from the prior year.
Cargurus's net profit margin was 17.2% in fiscal year 2025, showing the share of revenue converted to profit. This is up 14.6 percentage points from the prior year.
Cargurus's ROE was 41.7% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is up 37.8 percentage points from the prior year.
Capital Allocation
Cargurus invested $138.3M in research and development in fiscal year 2025. This represents a decrease of 0.5% from the prior year.
Cargurus spent $351.9M on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding. This represents an increase of 140.8% from the prior year.
Cargurus invested $6.4M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents a decrease of 91.5% from the prior year.
CARG Income Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $243.6M+1.0% | $241.1M+4.1% | $231.7M+4.3% | $222.0M+4.6% | $212.2M+0.9% | $210.2M+2.8% | $204.6M+4.4% | $195.9M |
| Cost of Revenue | $18.9M+2.3% | $18.5M-26.5% | $25.2M-15.1% | $29.7M+106.7% | $14.3M+1.3% | $14.2M-71.0% | $48.8M+34.6% | $36.2M |
| Gross Profit | $224.6M+0.9% | $222.6M+3.7% | $214.7M+4.1% | $206.3M+4.3% | $197.9M+0.9% | $196.1M+9.3% | $179.5M-0.6% | $180.6M |
| R&D Expenses | $37.7M | N/A | $36.3M+5.7% | $34.4M-1.9% | $35.0M | N/A | $36.4M-0.6% | $36.6M |
| SG&A Expenses | $26.5M | N/A | $28.5M+5.2% | $27.1M+9.2% | $24.8M | N/A | $28.2M+2.8% | $27.4M |
| Operating Income | $40.1M | N/A | $54.7M+120.1% | $24.8M-51.0% | $50.7M | N/A | $27.4M+129.3% | -$93.6M |
| Interest Expense | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Income Tax | $8.9M | N/A | $11.8M+134.0% | $5.1M-55.5% | $11.4M | N/A | $7.5M+134.8% | -$21.7M |
| Net Income | $32.2M-35.3% | $49.8M+11.4% | $44.7M+100.1% | $22.3M-42.8% | $39.0M-14.9% | $45.9M+103.8% | $22.5M+132.8% | -$68.7M |
| EPS (Diluted) | $0.34-33.3% | $0.51+13.3% | $0.45+104.5% | $0.22-40.5% | $0.37-14.0% | $0.43+104.8% | $0.21+132.3% | $-0.65 |
CARG Balance Sheet
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $519.6M-21.5% | $661.9M+0.2% | $660.5M-9.0% | $726.1M+5.4% | $689.1M-16.4% | $824.5M+6.0% | $778.2M+3.3% | $753.3M |
| Current Assets | $161.9M-42.8% | $282.9M+5.0% | $269.4M-12.8% | $309.0M+22.6% | $252.0M-35.6% | $391.2M+19.8% | $326.6M+13.3% | $288.3M |
| Cash & Equivalents | $72.0M-62.2% | $190.5M+6.5% | $178.8M-22.7% | $231.2M+33.8% | $172.9M-43.2% | $304.2M+23.3% | $246.7M+14.1% | $216.2M |
| Inventory | N/A | N/A | $0-100.0% | $963K+18.9% | $810K+139.6% | $338K-2.0% | $345K-24.8% | $459K |
| Accounts Receivable | $44.6M+6.3% | $41.9M+5.9% | $39.6M-3.5% | $41.0M+0.8% | $40.7M+6.3% | $38.3M-14.0% | $44.5M+12.0% | $39.8M |
| Goodwill | $28.0M-1.3% | $28.4M0.0% | $28.4M+0.1% | $28.4M-39.3% | $46.7M+75.6% | $26.6M-43.7% | $47.2M+1.4% | $46.6M |
| Total Liabilities | $282.5M-1.8% | $287.7M+0.9% | $285.0M-1.9% | $290.6M+1.2% | $287.1M+1.5% | $282.8M-4.0% | $294.7M-2.2% | $301.3M |
| Current Liabilities | $98.0M-2.6% | $100.5M+7.1% | $93.9M-3.4% | $97.2M+2.8% | $94.5M+1.6% | $93.1M-15.9% | $110.6M-1.3% | $112.0M |
| Long-Term Debt | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Equity | $237.1M-36.6% | $374.2M-0.3% | $375.4M-13.8% | $435.5M+8.3% | $402.1M-25.8% | $541.7M+12.0% | $483.5M+6.9% | $452.1M |
| Retained Earnings | $229.8M-36.6% | $362.4M-1.3% | $367.2M-12.3% | $418.6M+5.6% | $396.5M+5.7% | $375.1M+13.9% | $329.2M+7.3% | $306.7M |
CARG Cash Flow Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $69.8M-16.0% | $83.1M+16.8% | $71.2M-2.7% | $73.1M+7.7% | $67.9M-10.4% | $75.7M+34.8% | $56.2M-21.5% | $71.6M |
| Capital Expenditures | $391K-67.4% | $1.2M-12.0% | $1.4M-14.0% | $1.6M-29.3% | $2.2M-78.1% | $10.2M-0.5% | $10.3M-60.4% | $26.0M |
| Free Cash Flow | $69.5M-15.2% | $81.9M+17.4% | $69.8M-2.4% | $71.5M+9.0% | $65.6M+0.2% | $65.5M+42.7% | $45.9M+0.6% | $45.6M |
| Investing Cash Flow | -$6.7M-0.1% | -$6.7M+6.6% | -$7.2M+8.8% | -$7.8M-2.8% | -$7.6M+44.3% | -$13.7M+8.0% | -$14.9M+52.3% | -$31.2M |
| Financing Cash Flow | -$181.0M-179.4% | -$64.8M+45.3% | -$118.5M-1207.4% | -$9.1M+95.3% | -$191.5M-4278.6% | -$4.4M+57.5% | -$10.3M+85.5% | -$70.9M |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | $174.4M+205.8% | $57.0M-48.3% | $110.3M+6095.4% | $1.8M-99.0% | $182.8M | $0-100.0% | $3.7M-94.3% | $65.0M |
CARG Financial Ratios
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 92.2%-0.1pp | 92.3%-0.3pp | 92.7%-0.3pp | 92.9%-0.3pp | 93.2%-0.0pp | 93.3%+5.5pp | 87.7%-4.5pp | 92.2% |
| Operating Margin | 16.5% | N/A | 23.6%+12.4pp | 11.2%-12.7pp | 23.9% | N/A | 13.4%+61.2pp | -47.8% |
| Net Margin | 13.2%-7.4pp | 20.7%+1.4pp | 19.3%+9.2pp | 10.1%-8.3pp | 18.4%-3.4pp | 21.8%+10.8pp | 11.0%+46.1pp | -35.1% |
| Return on Equity | 13.6%+0.3pp | 13.3%+1.4pp | 11.9%+6.8pp | 5.1%-4.6pp | 9.7%+1.2pp | 8.5%+3.8pp | 4.7%+19.9pp | -15.2% |
| Return on Assets | 6.2%-1.3pp | 7.5%+0.8pp | 6.8%+3.7pp | 3.1%-2.6pp | 5.7%+0.1pp | 5.6%+2.7pp | 2.9%+12.0pp | -9.1% |
| Current Ratio | 1.65-1.2 | 2.81-0.1 | 2.87-0.3 | 3.18+0.5 | 2.67-1.5 | 4.20+1.3 | 2.95+0.4 | 2.57 |
| Debt-to-Equity | 0.000.0 | 0.000.0 | 0.000.0 | 0.000.0 | 0.000.0 | 0.000.0 | 0.000.0 | 0.00 |
| FCF Margin | 28.5%-5.5pp | 34.0%+3.8pp | 30.1%-2.1pp | 32.2%+1.3pp | 30.9%-0.2pp | 31.1%+8.7pp | 22.4%-0.9pp | 23.3% |
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Frequently Asked Questions
What is Cargurus's annual revenue?
Cargurus (CARG) reported $907.0M in total revenue for fiscal year 2025. This represents a 13.7% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Cargurus's revenue growing?
Cargurus (CARG) revenue grew by 13.7% year-over-year, from $798.0M to $907.0M in fiscal year 2025.
Is Cargurus profitable?
Yes, Cargurus (CARG) reported a net income of $155.9M in fiscal year 2025, with a net profit margin of 17.2%.
What is Cargurus's EBITDA?
Cargurus (CARG) had EBITDA of $272.8M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Cargurus have?
As of fiscal year 2025, Cargurus (CARG) had $190.5M in cash and equivalents against $0 in long-term debt.
What is Cargurus's gross margin?
Cargurus (CARG) had a gross margin of 92.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Cargurus's operating margin?
Cargurus (CARG) had an operating margin of 27.0% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Cargurus's net profit margin?
Cargurus (CARG) had a net profit margin of 17.2% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Cargurus's return on equity (ROE)?
Cargurus (CARG) has a return on equity of 41.7% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Cargurus's free cash flow?
Cargurus (CARG) generated $288.9M in free cash flow during fiscal year 2025. This represents a 60.2% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Cargurus's operating cash flow?
Cargurus (CARG) generated $295.3M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Cargurus's total assets?
Cargurus (CARG) had $661.9M in total assets as of fiscal year 2025, including both current and long-term assets.
What are Cargurus's capital expenditures?
Cargurus (CARG) invested $6.4M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Cargurus spend on research and development?
Cargurus (CARG) invested $138.3M in research and development during fiscal year 2025.
What is Cargurus's current ratio?
Cargurus (CARG) had a current ratio of 2.81 as of fiscal year 2025, which is generally considered healthy.
What is Cargurus's debt-to-equity ratio?
Cargurus (CARG) had a debt-to-equity ratio of 0.00 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Cargurus's return on assets (ROA)?
Cargurus (CARG) had a return on assets of 23.5% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Cargurus's Altman Z-Score?
Cargurus (CARG) has an Altman Z-Score of 9.34, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Cargurus's Piotroski F-Score?
Cargurus (CARG) has a Piotroski F-Score of 6 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Cargurus's earnings high quality?
Cargurus (CARG) has an earnings quality ratio of 1.89x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
How financially healthy is Cargurus?
Cargurus (CARG) scores 72 out of 100 on our Financial Profile, indicating strong overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.