Shares of ACV Auctions Inc. (NASDAQ:ACVA) surged 9.68% in after-hours trading following the release of its impressive first-quarter 2025 financial results and optimistic future guidance. The online automotive marketplace for dealers and commercial partners demonstrated resilience and growth despite ongoing challenges in the used vehicle market.
ACV Auctions reported quarterly earnings of $(0.09) per share, outperforming analyst estimates of $(0.12) by 25%. This represents a significant improvement from the $(0.13) per share loss reported in the same period last year. The company's revenue for Q1 reached $183 million, slightly beating the consensus estimate of $182.07 million and marking a robust 25.61% increase year-over-year.
Adding to investor optimism, ACV Auctions provided strong guidance for both Q2 and full-year 2025. For the second quarter, the company projects total revenue between $193 million and $198 million, indicating a year-over-year growth of 20% to 23%. The full-year 2025 outlook is equally promising, with expected revenue ranging from $765 million to $785 million, representing a 20% to 23% increase from the previous year. The company's focus on scaling its business model and executing its commercial wholesale strategy appears to be paying off, as evidenced by the growing traction of its dealer solutions and continued market share gains.
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