Carvana’s 2021 second quarter revenue grew nearly 200% from the same period last year.
The online used-car retailer also showed a huge increase in the number of units sold, compared to its units sold a year earlier. Carvana sold over 100,000 vehicles for the first time, which is a 96% increase from last year.
“Our growth in retail units combined with our even faster growth in cars bought from customers materially outpaced any sequential growth we’ve previously seen as a company,” Carvana said in a company announcement, according to PYMNTS.com.
The global semiconductor chip shortage that is deterring new-vehicle production is a huge factor in Carvana’s revenue growth, which has exceeded analysts’ projections, according to PYMNTS.com. The low inventory of new vehicles is causing used-car prices to rise higher.
The firm anticipates seeing “exceptional demand” and revenue growth in the near future.
Apart from investing $500 million in its employees and facilities, it also spent $360 million on capital projects, with half of that going toward four new reconditioning centers. Carvana intends to open eight more inspection and reconditioning centers by the end of 2022, bringing its total capacity to 1.25 million units. It looks forward to adding about 5,000 additional employees to its existing 10,400 part-time and full-time workforce members.
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