By Dean Seal

Cars.com is suspending its full-year revenue guidance to await clarity on how the swirling global tariff war will shake out.

The online car-seller, which does business as Cars Commerce, said Thursday that while automakers and dealer partners are committed to their investments in the company, the magnitude and timing of spending will be in flux until the volatility around tariff subsides.

For the first three months of the year, the Chicago-based company posted a loss of $2 million, or 3 cents a share, compared with a profit of $784,000, or 1 cent a share, in the same quarter a year earlier.

The swing to a loss was driven by severance costs from job cuts in the first quarter.

Stripping out one-time items, adjusted earnings were 37 cents a share. Analysts polled by FactSet had been expecting 49 cents a share.

Revenue slipped 1% to $179 million, just under analyst estimates for $179.7 million, according to FactSet.

Subscription-based dealer revenue, its largest segment, was down 2% due to economic pressures on dealers' marketing and advertising spending. Revenue from automakers and its national business, a smaller top line contributor, was up 6% as competition among automakers intensified.

Write to Dean Seal at dean.seal@wsj.com

(END) Dow Jones Newswires

May 08, 2025 07:53 ET (11:53 GMT)

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