OPENLANE Powers Through Fourth Quarter with 12% Revenue Growth and 18% EBITDA Expansion
OPENLANE, the leading digital wholesale marketplace, has announced its fourth quarter and year-end results for 2024. The company's stellar performance was highlighted by a 12% increase in consolidated revenue and an impressive 18% expansion of consolidated adjusted EBITDA.
The surge in revenue can be attributed to a 9% rise in marketplace volumes, marking the seventh consecutive quarter of year-over-year growth in this segment. This includes a notable 15% increase in dealer volumes, further solidifying OPENLANE's position as a preferred platform for wholesale transactions. The marketplace itself generated $31 million in adjusted EBITDA during the quarter, representing a substantial 30% uptick.
On a full-year basis, OPENLANE achieved an adjusted EBITDA of $293 million, driven by a 24% increase in marketplace adjusted EBITDA. The company's cash flow from operations also reached $293 million, with gross merchandise value growing 12% to $27 billion. This significant growth demonstrates the scalability and momentum behind OPENLANE's digital model.
Peter Kelly, CEO of OPENLANE, expressed his optimism for the company's long-term prospects, citing its ability to fuel volume, market share, and profitability growth. He emphasized that the company's strategy is anchored in making wholesale easy for customers, focusing on delivering the best marketplace, technology, and customer experience.
OPENLANE has demonstrated a clear commitment to innovation and execution. The company has acquired and integrated new digital assets, divested physical assets, and improved its balance sheet. It has also rebranded itself as a stronger brand in the industry and enhanced its team with new talent.
In terms of 2025's outlook, Kelly highlighted that it will mark the bottom of the cycle for off-lease supply. While this may present short-term challenges, OPENLANE is confident in its ability to execute and win. With a clear line of sight to the coming volumes, the company is well-positioned to capitalize on emerging opportunities.
OPENLANE's success story serves as a testament to the power of digital transformation in the wholesale industry. As the company continues to execute its strategy, it remains committed to making wholesale easy for its customers and delivering exceptional results.
