Carvana Q3 2026: Record Revenue but EPS Misses as Margins Slip
As seen on the 24/7 Wall St. homepage on October 28, 2026.
Total gross profit per unit fell $365 to $6,997 as Carvana handed customers loan rates below benchmarks, and GAAP EPS missed expectations. Management still guided full-year adjusted EBITDA to the higher end of its range.
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Carvana posted $8.04 billion in Q3 2026 revenue, up 42% from a year ago, while GAAP earnings per share of $0.39 came in missing expectations. Top-line momentum is not reaching the bottom line yet.
Total gross profit per unit fell to $6,997 as Carvana offered customers loan rates below benchmarks, trading near-term unit economics for market share.
A $53 million loss on the early redemption of Senior Secured Notes due 2030 weighed on net income. That one-time charge flatters future comparisons once it drops out.
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Carvana sold a record 217,385 retail units in a used-car market that was roughly flat, passing 200,000 quarterly retail units for the first time.
Management guided for sequential retail unit growth in Q4 and sees full-year 2026 adjusted EBITDA at the higher end of its range. Beginning with the Q4 2026 call, Carvana stops issuing quarterly and annual outlooks entirely.
Mentioned: CVNA