Finance segment propels KAR Global’s Q4 net income gains

KAR in 2022 finished integrating its digital auction platforms BacklotCars and Carwave into one business. The company retired the Carwave platform and the new auction format within BacklotCars will be rolled out across the U.S. throughout 2023, Kelly said. KAR’s finance segment, AFC, generated $100.7 million in revenue in the fourth quarter, up 27 percent from the year-earlier period. Revenue per loan transaction rose to $257, up 11 percent, and loan transactions increased 15 percent to 392,000.

KAR Global shares rose 8.2 percent to $15.28 in trading around 12:40 p.m. Wednesday.

Q4 revenue from continuing operations: $372.8 million, up 4.2 percent from the year-earlier period.

Q4 net income: $37.1 million, compared with $5.1 million in the year-earlier period.

Q4 net income from continuing operations: $41.9 million, compared with $15.2 million in the year-earlier period.

Q4 vehicle sales: 289,000 total vehicles, down 15.5 percent.

2022 revenue from continuing operations: $1.52 billion, up 4.7 percent from the year-earlier period.

2022 net income: $241.2 million, compared with $66.5 million in the year-earlier period.

2022 net income from continuing operations: $28.6 million, compared with a net loss of $800,000 in the year-earlier period.

2022 vehicle sales: 1.3 million total vehicles, down 19 percent.