Strong Q4 performance caps fiscal 2025 with revenue growth, improved margins, and continued marketplace expansion.
ACV , a leading digital automotive marketplace and data services partner for dealers and commercial clients, reported strong financial results for the fourth quarter and full year ended December 31, 2025, highlighting continued revenue growth, expanding margins, and steady progress toward profitability.
Strong Fourth Quarter Performance
ACV delivered fourth-quarter revenue of $184 million, representing a 15% year-over-year increase and reaching the high end of its guidance range. Marketplace and service revenue totaled $160 million, up 11% year over year, reflecting healthy dealer engagement and ongoing adoption of the company’s expanding suite of digital solutions.
Marketplace Gross Merchandise Value (GMV) rose to $2.3 billion, up 2% year over year, while Marketplace Units increased 5% to 192,757 vehicles. These metrics underscore continued customer activity across ACV’s digital wholesale platform.
GAAP net loss improved to ($20 million) compared to ($26 million) in the fourth quarter of 2024. On a non-GAAP basis, net loss was ($1 million), unchanged from the prior-year period. Adjusted EBITDA rose to $8 million, up from $6 million a year earlier, reflecting ongoing margin expansion and operational discipline.
Chief Executive Officer George Chamoun noted that ACV’s leading market position contributed to additional market share gains during the quarter, supported by accelerating adoption of its dealer solutions and continued execution of its commercial wholesale strategy.
Full-Year 2025 Highlights
For the full year 2025, ACV reported:
- Revenue of $760 million, up 19% year over year
- Marketplace and Service Revenue of $678 million, up 18%
- Marketplace GMV of $10.4 billion, up 9%
- Marketplace Units of 829,276, up 12%
- Adjusted EBITDA of $59 million, compared to $28 million in 2024
The company’s full-year results reflect consistent scaling of its marketplace platform, expanding customer adoption, and improved operating leverage. Adjusted EBITDA more than doubled year over year, signaling significant progress toward sustained profitability.
2026 Outlook: Continued Growth and Margin Expansion
Looking ahead, ACV expects continued growth, market share gains, and further margin expansion in 2026.
First Quarter 2026 Guidance
- Revenue: $200 million to $204 million (9%–12% year-over-year growth)
- GAAP net loss: ($14 million) to ($12 million)
- Non-GAAP net income: $5 million to $7 million
- Adjusted EBITDA: $14 million to $16 million
Full-Year 2026 Guidance
- Revenue: $845 million to $855 million (11%–13% year-over-year growth)
- GAAP net loss: ($54 million) to ($50 million)
- Non-GAAP net income: $31 million to $35 million
- Adjusted EBITDA: $73 million to $77 million (24%–31% growth year over year)
The company expects revenue growth in 2026 to outpace non-GAAP operating expense growth (excluding cost of revenue) by approximately 300 basis points, demonstrating continued operating leverage as the business scales.
Guidance assumptions include normal seasonal patterns in conversion rates and wholesale vehicle price depreciation. First-quarter and full-year non-GAAP guidance exclude stock-based compensation expenses and amortization of acquired intangible assets.
Expanding Digital Automotive Ecosystem
ACV continues to transform the automotive wholesale industry through its comprehensive digital marketplace and data solutions platform. Its offerings include ACV Auctions, ACV Transportation, ACV Capital, ACV MAX, True360, and ClearCar — providing dealers and commercial clients with transparent, data-driven tools to source, sell, finance, inspect, and manage used vehicles more efficiently.
Marketplace GMV remains a key performance indicator, representing the total dollar value of vehicles transacted on the platform (excluding fees). Marketplace Units measure overall customer engagement and wholesale transaction volume, signaling the scale and health of ACV’s digital ecosystem.
Non-GAAP Measures and Financial Transparency
To supplement its GAAP results, ACV provides non-GAAP financial metrics, including Adjusted EBITDA and non-GAAP net income (loss). These measures exclude items such as stock-based compensation, amortization of acquired intangible assets, interest, taxes, and certain one-time expenses, enabling investors to better assess operating performance and period-to-period comparability.
Adjusted EBITDA serves as a key internal performance metric for management, supporting operational planning, forecasting, and incentive compensation decisions. However, the company emphasizes that non-GAAP measures should be considered alongside GAAP results due to inherent limitations, including the exclusion of recurring expenses and capital requirements.
Investor Conference Call
ACV will host a conference call and live webcast on February 23, 2026, at 5:00 p.m. ET to discuss its fourth-quarter and full-year results. A replay of the webcast will be available through the company’s investor relations website.
