Carvana Forecasts Growth in Online Used Vehicle Sales

Carvana recently reported its financials for the first quarter of 2018 and full-year 2017, and its performance shows that more buyers are opting for an online experience to purchase their used cars.

Through 2017, online used vehicle marketplace Carvana sold 44,252 vehicles, which represented a 136% increase over full-year 2016. The company saw similar the year before, when it also experienced triple digit growth in retail units sold.

Last year’s volume growth was, in part, driven by the company’s continued strategy of expanding its next-day delivery service to a growing list of markets. In 2017, Carvana brought the total number of markets it offers its services to 54.

The company expects to continue seeing triple-digit volume growth in 2018. In the first quarter of this year, the company expects to sell between 17,000 and 18,500 units, which would represent an increase of 104%-122% over the prior year period. For its full-year forecast, the company predicts sales of 89,000-93,000 vehicles, an increase of 101%-110%.