How Carvana's same-day car deliveries have become the company's secret weapon

By Claudia Assis

Carvana's revenue rises 55% year over year

A Carvana "vending machine" in Miami. The online used-car retailer has set its sights on same-day delivery.

Carvana Co. late Wednesday reported another quarterly revenue beat and vowed to top its own unit sales record in the holiday quarter, touting its convenience, selection and speed in getting people behind the wheel of a used car.

Carvana's stock (CVNA), however, discounted the good news and sank 9.3% in the after-hours session. The online used-car retailer's shares have nearly doubled this year as Wall Street compares the company favorably against more traditional used-car sellers.

Carvana said it sold nearly 156,000 retail vehicles in the third quarter, a 44% increase year-over-year. It set a goal to sell more than 150,000 in the fourth quarter, and said it expects adjusted Ebitda at or above the high end of a previously revealed range of $2 billion to $2.2 billion for the year.

Buying a car is a "complex process" that requires many hours spent in person at dealerships in most cases, Carvana said. Carvana made its name betting that its online model cuts down on that complexity, and now it is setting its sights on same-day delivery to cut down on vehicle wait times.

Carvana is using Phoenix as its "test market" to expand and refine same-day deliveries, it said. About 40% of customers in the Arizona city get same-day or next-day delivery, compared to about 10% in other places, the company said. The goal is to roll out those capabilities in other markets over time, Carvana said.

The company reported GAAP earnings of $1.03 a share in the quarter, compared with FactSet consensus for a GAAP profit of $1.30 a share. Revenue, however, rose 55% to $5.7 billion, ahead of Wall Street expectations for $5.1 billion.

Earlier this month, analysts at J.P. Morgan lauded Carvana for having a "competitive moat" over rival CarMax Inc. (KMX). While Carvana has reported a string of quarterly beats, CarMax had "regressed" into market-share loss, they said.

Shares of Carvana have gained more than 75% this year, compared with an advance of about 17% for the S&P 500 index SPX.

-Claudia Assis

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10-29-25 2026ET