Welcome to our dedicated page for OPENLANE news (Ticker: KAR), a resource for investors and traders seeking the latest updates and insights on OPENLANE stock.
OPENLANE, Inc. (NYSE: KAR), headquartered in Carmel, Indiana, operates as a leading digital marketplace for wholesale used vehicles. The company caters to a global customer base, offering sellers and buyers technology-driven remarketing solutions that streamline the entire process of buying and selling used cars, trucks, and other vehicles.
OPENLANE is comprised of several key businesses, including ADESA, Inc. (wholesale used vehicle auctions), Insurance Auto Auctions, Inc. (salvage vehicle auctions), and Automotive Finance Corporation, Inc. (inventory financing and business services). Overall, OPENLANE operates 65 wholesale auction sites and 165 salvage vehicle auction locations. The company's innovative online platforms ensure greater access and convenience for customers worldwide.
In addition to auctions, OPENLANE provides a wide range of services, such as financing, repossessions, repairs, transportation, warranties, and inventory management. The company's operations are divided into two main segments: Marketplace and Finance, with the majority of revenue generated from the Marketplace segment.
OPENLANE's commitment to innovation is evident in its recent developments. The launch of Visual Boost AI™, an AI-powered technology for damage detection overlays, has enhanced the accuracy and transparency of vehicle inspections. This new tool allows buyers to visualize potential exterior damage, making it easier to make informed purchasing decisions.
Financially, OPENLANE has shown strong performance, exceeding guidance for the year 2023. The company continues to make strategic investments in technology and innovation, contributing to volume growth, revenue growth, and margin expansion. The first quarter of 2024 showed a promising start, with the marketplace segment growing volumes by 13% and contributing 47% of total adjusted EBITDA.
OPENLANE's leadership has also seen significant changes, with the upcoming retirement of AFC President Jim Money and Treasurer and Vice President of Investor Relations Mike Eliason. The company has initiated national searches for their successors to ensure a smooth transition and continued leadership excellence.
For more information and the latest news, visit corporate.openlane.com.
KAR Global and Black Book have initiated an expanded partnership to enhance the digital car retail experience for franchise and independent dealers. This collaboration will integrate Black Book's VIN decoding and pricing algorithms with KAR's digital capabilities, enabling dealers to offer instant, guaranteed trade-in values through their platforms. Additionally, KAR's BacklotCars marketplace will assist dealers in selling unwanted trade-in inventory. The partnership aims to create a more efficient transaction process while minimizing risks associated with trade-ins.
KAR Global (NYSE: KAR) has acquired CARWAVE Holdings LLC for $450 million in cash, enhancing its dealer-to-dealer segment. The acquisition strengthens KAR's market position and profitability while integrating CARWAVE's digital platform, which serves dealers across California, Arizona, Nevada, Oregon, and Texas. This strategic move aims to leverage synergies with existing platforms like ADESA and BacklotCars, providing dealers with improved access to inventory and services. Key CARWAVE leaders will remain post-acquisition, ensuring continuity in product offerings.
KAR Global, a leader in wholesale used vehicle auctions, has announced that its ADESA Simulcast+ technology received the prestigious 2021 Automotive News PACE Award for exceptional innovation. This award recognizes the tech's role in enhancing auction processes through fully digital and automated live streaming, offering expanded access and flexibility for buyers and sellers. Since its launch in April 2020, Simulcast+ has received positive customer feedback and has already won multiple awards, including the TechPoint Mira Award earlier this year.
KAR Global (NYSE: KAR) announced the withdrawal of its financial outlook for 2021 due to the ongoing chip shortage impacting used vehicle volumes. The company anticipates an Adjusted EBITDA of $95 million to $100 million for Q3 2021, with about 2.6 million vehicles sold this year. While fourth-quarter expectations remain uncertain, KAR plans to discuss its strategic direction and long-term targets during an Analyst Day on September 21, 2021, aiming for 4.25 million vehicles sold by 2025, with revenues between $3.4 billion and $3.5 billion.
KAR Auction Services, operating as KAR Global (NYSE: KAR), will hold a virtual Analyst Day on September 21, 2021, from 11:00 a.m. to 2:00 p.m. ET. Key executives, including CEO Peter Kelly and CFO Eric Loughmiller, will discuss the company's market outlook, strategy, and financial performance. The event targets financial analysts and institutional investors, featuring an interactive Q&A session. A live webcast will be accessible via karglobal.com, with a replay available afterward.
KAR Global (NYSE: KAR) has announced a definitive agreement to acquire CARWAVE Holdings for $450 million. This acquisition aims to enhance KAR's position in the dealer-to-dealer market, leveraging CARWAVE's technology-driven online platform. With approximately 100,000 vehicles sold in the past year, CARWAVE serves a dealer network across key states including California, Arizona, and Texas. The transaction is set to close by year-end, pending regulatory approvals. CEO Peter Kelly emphasized that this move supports KAR's growth strategy and strengthens its digital marketplace transformation.
KAR Global (NYSE: KAR), a leader in vehicle remarketing and technology solutions, will participate in the J.P. Morgan Auto Conference on August 11, 2021, at 2:50 PM Eastern. The session will feature CEO Peter Kelly, CFO Eric Loughmiller, and VP Mike Eliason. Investors can access the live webcast via the KAR Global website. The company is known for its innovative remarketing solutions, having sold nearly 3.1 million vehicles valued at over $40 billion in 2020.
KAR Auction Services (NYSE: KAR) reported robust second quarter 2021 results, achieving total revenue of $585.4 million, a 40% increase from $419.0 million in Q2 2020. Net income surged to $11.5 million or $0.01 per diluted share, reversing a loss of $32.3 million in the previous year. Adjusted EBITDA rose by 46% to $116.5 million. Digital dealer-to-dealer marketplace volume grew by 65% year-over-year, while ADESA's gross profit per vehicle sold increased by 24%. The company's guidance for 2021 remains unchanged, with net income from continuing operations projected at $90 million.
KAR Auction Services, Inc. (NYSE: KAR) will announce its second quarter 2021 financial results on August 3, 2021, after market closure. Following the earnings report, KAR will host a conference call on August 4, 2021, at 8:30 a.m. Eastern. The call will be led by CEO Peter Kelly and CFO Eric Loughmiller, accessible via phone or live webcast on the company's investor relations page. The earnings report is anticipated to include vital financial metrics that can influence investor sentiment towards KAR.
KAR Global has launched a new feature called "% to Retail" on its ADESA digital marketplace. This functionality provides real-time vehicle bidding information compared to estimated national retail prices. Powered by autoniq®, it assists dealers in making informed pricing decisions and identifying profitable inventory quickly. Early users reported a 20% higher success rate in purchasing vehicles. This new tool aims to address the dynamic market challenges faced by dealers across North America.
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