Shares of TrueCar jump after posting smaller-than-expected loss

Employees of TrueCar celebrate while ringing the opening bell for the Nasdaq Exchange in Times Square on May 16, 2014 in New York City.

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Employees of TrueCar celebrate while ringing the opening bell for the Nasdaq Exchange in Times Square on May 16, 2014 in New York City.

TrueCar shares shot up after the company reported a smaller-than-expected loss.

Shares were up over 14 percent in premarket trading on Friday.

TrueCar posted a loss of 1 cent per share on revenue of $74.1 million, 17 percent from the year before. A consensus of analysts polled by Thomson Reuters expected a loss of 5 cents per share on revenue of $71.3 million.

“At this point, I am very confident that we now clearly understand and have our hands placed securely on the practical levers that we believe will enable us to continue to drive double-digit rates of unit and revenue growth for some time,” said Chip Perry, TrueCar’s president and CEO, in a press release on Thursday.

The California-based company’s average monthly unique visitors rose 19 percent to 7 million, up from 5.9 million in the fourth quarter of 2015. The car-buying website operator also saw its franchise dealer count rise 23 percent for the quarter, year-over-year.

TrueCar’s outlook for the current quarter also beat Street expectations. Analysts polled by Thomson Reuters expected the first quarter outlook for revenue to be $69.9 million, while TrueCar announced that it expected revenue between $71 and $73 million.

TrueCar shares 5-day performance

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