Carvana Reports Record Level 2024 Revenue, Becomes ‘Most Profitable’ Car Retailer in US

Car-buying disruptor Carvana released solid fourth-quarter earnings. Annual revenue for the company climbed to an all-time high.

According to Yahoo! Finance, the car retailer’s income during the period that ended Dec. 31 reached $3.55 billion, a 32% increase compared to Q4 2023. Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) was $359 million, and unit sales in the quarter rose from 108,339 to 114,379.

Carvana’s annual revenue hit a record $13.67 billion, with full-year adjusted EBITDA of $1.378 billion. Increasing 33% compared to 2023, the company sold over 416,000 vehicles in 2024.

“In 2024, Carvana became the most profitable public automotive retailer in U.S. history as measured by adjusted EBITDA margin while also resuming industry-leading growth,” said CEO Ernie Garcia in the earnings statement.

For 2025, the car company predicts a rise in vehicle sales as well as improved adjusted EBITDA. According to company leadership, the business is well positioned for a robust year provided current market conditions hold stable.

The Rise of Carvana

While founded in 2012 as a subsidiary of DriveTime, Carvana gained significant recognition during the COVID-19 pandemic as car buyers were discouraged from visiting public spaces and forced to shop from home. In 2019, the company’s revenues were nearly $4 billion. Yet, two years later, that figure ballooned to almost $13 billion.

Used car values began skyrocketing in 2022, leading the “Amazon of car sales” to shore up its inventory. However, customers weren’t interested in buying high-priced used vehicles, which prompted the retailer to discount its cars just to move them out.

Afterward, Carvana implemented some cost-cutting measures and made some improvements to its inventory buying policy. Additionally, it had to renegotiate some accumulated debt. The turnaround plan worked as the company earned a profit for the first time in 2023.

Customers seem to love the Carvana concept, which avoids the traditional high-pressure sales experience of visiting a dealership. The company has received rave reviews over the years for its streamlined process, and to celebrate its success, Carvana launched a nationwide ad campaign in 2023 emphasizing its unique take on buying and selling cars.