Adjusted EPS was $5.46, up 37% year-over-year and 17% sequentially from Q1 2025.
Adjusted free cash flow for the first half of 2025 was $394 million, representing 100% of adjusted net income.
Adjusted operating income margin increased to 5.3%, with adjusted net income rising 29% to $209 million from $163 million a year ago.
After-Sales gross profit reached record levels, up 13% year-over-year with a 49% gross margin, up 100 basis points.
AutoNation Finance originated $464 million in loans in Q2, doubling originations from a year prior, with portfolio interest income up over 80%.
AutoNation reported total revenue of $7 billion for Q2 2025, an 8% increase year-over-year on both total and same-store basis.
Capital expenditures for the first half were $154 million, 15% lower than 2024, with leverage at 2.33x EBITDA, down from 2.56x at the end of Q1.
Customer Financial Services gross profit increased 13% with finance penetration stable at nearly 75% of vehicles sold.
New vehicle unit volumes increased 7% year-over-year on a total store basis and 8% on a same-store basis, led by Domestic segment growth of 17%.
Reported gross profit margin was 18.3%, up 40 basis points from a year ago, including a 100 basis point increase in After-Sales and 50 basis points for used vehicles.
Same-store gross profit increased 10% to $1.3 billion, with After-Sales, Customer Financial Services, and used vehicle gross profits up 13%, 13%, and 12% respectively.
Used vehicle retail unit sales increased 6% year-over-year with stable average retail prices and unit profitability at $1,622 per unit.
Adjusted EBITDA reached $601 million, a $246 million increase, with a margin of 12.4%, improving 200 basis points year-over-year.
Advertising expense increased by $29 million or $44 per retail unit sold, reflecting early-stage automotive e-commerce adoption.
Carvana achieved record financial results in Q2 2025, including 143,280 retail units sold, a 41% increase year-over-year, and $4.84 billion in revenue, up 42%.
GAAP operating income was $511 million, a $252 million increase, with a margin of 10.6%, also a new company record.
Net income was $308 million, up $260 million, with a net income margin of 6.4%, leading the industry.
Non-GAAP SG&A expense per retail unit sold decreased by $460, driven by operational efficiencies and overhead leverage.
Other GPU increased by $126 due to better cost of funds and higher vehicle service contract attachment rates.
Retail GPU increased by $195 driven by reductions in reconditioning and inbound transport costs and tariff-related benefits.
Wholesale GPU decreased by $85 due to faster retail growth relative to wholesale and lower vehicle depreciation rates.
Dafinchi