Carsales.Com Ltd
ASX:CAR
Carsales.Com Ltd
Carsales.Com Ltd. has carved out a prominent position in the digital automotive marketplace, beginning its journey in Australia and expanding its reach across several international markets. The company operates as a comprehensive platform that connects buyers and sellers of new and used vehicles, providing a seamless and efficient service that simplifies the car buying process. Utilizing sophisticated data analytics, Carsales delivers personalized vehicle recommendations and market insights to users, enhancing their decision-making experience. The platform serves as a multifaceted hub, offering services beyond mere listings, including finance, insurance, and other value-added offerings which further enrich the customer engagement.
Revenue generation for Carsales is primarily driven by its diverse array of services. The core of its business model hinges on selling advertising space to dealers, manufacturers, and private sellers looking to maximize exposure to potential buyers. Additionally, the platform capitalizes on premium listing options, which help sellers stand out in a crowded marketplace. Complementing these revenue streams, Carsales also garners income from ancillary services such as vehicle inspections, valuation products, and data services. With its strategic investments and partnerships, Carsales continues to expand its technological capabilities, positioning itself as not just a marketplace but a digital ecosystem that's integral to the automotive industry's future.
Carsales.Com Ltd. has carved out a prominent position in the digital automotive marketplace, beginning its journey in Australia and expanding its reach across several international markets. The company operates as a comprehensive platform that connects buyers and sellers of new and used vehicles, providing a seamless and efficient service that simplifies the car buying process. Utilizing sophisticated data analytics, Carsales delivers personalized vehicle recommendations and market insights to users, enhancing their decision-making experience. The platform serves as a multifaceted hub, offering services beyond mere listings, including finance, insurance, and other value-added offerings which further enrich the customer engagement.
Revenue generation for Carsales is primarily driven by its diverse array of services. The core of its business model hinges on selling advertising space to dealers, manufacturers, and private sellers looking to maximize exposure to potential buyers. Additionally, the platform capitalizes on premium listing options, which help sellers stand out in a crowded marketplace. Complementing these revenue streams, Carsales also garners income from ancillary services such as vehicle inspections, valuation products, and data services. With its strategic investments and partnerships, Carsales continues to expand its technological capabilities, positioning itself as not just a marketplace but a digital ecosystem that's integral to the automotive industry's future.
Revenue Growth: Car Group delivered 13% constant currency revenue growth in H1 FY26, with broad-based strength across all regions and segments.
Profitability: EBITDA grew 12% with strong margins of 54%, and adjusted NPAT increased 12%, demonstrating high-quality earnings and operational discipline.
AI-Driven Efficiency: Significant investment in AI is driving both product innovation and operational efficiency without requiring incremental spending, supporting margin strength.
Global Portfolio: All major regions posted revenue and earnings growth—Latin America led with 23% revenue growth, North America and Asia posted double-digit growth, and Australia grew 8%.
Guidance Reaffirmed: Full-year FY26 guidance was reaffirmed: 12–14% revenue growth, 10–13% EBITDA growth, and 9–13% NPAT growth (all in constant currency).
Operational Highlights: User engagement, inventory, dealer base, and leads are all up strongly, with particularly notable momentum in the U.S. business.
Dividend: Interim dividend of $0.425/share declared, up 10%, with an 82% payout ratio.
