Vroom Announces First Quarter 2025 Results

Business Wire

Wed, May 14, 2025, 2:05 PM 7 min read

$66.9 million consolidated total available liquidity⁽¹⁾ as of March 31, 2025
- $14.6 million cash and cash equivalents as of March 31, 2025
- $27.3 million of liquidity available to UACC under the warehouse credit facilities
- $25.0 million of available liquidity from line of credit secured in March 2025 by residual certificates, further strengthening our liquidity position to execute our long-term strategy
$(6.5) million net income (loss) from continuing operations for the period from January 15, 2025, to March 31, 2025, and net income (loss) from continuing operations of $45.1 million for the period January 1, 2025 to January 15, 2025
$(6.7) million Adjusted net income (loss)⁽²⁾ for the Combined⁽⁴⁾ three months ended March 31, 2025
Completed recapitalization of unsecured convertible senior notes on January 14, 2025, resulting in no long-term debt at Vroom, Inc, and strengthening our balance sheet
Stockholders' equity was $158.6 million as of March 31, 2025 and tangible book value⁽³⁾ was $144.8 million as of March 31, 2025
Extended $400.0 million of warehouse agreements with two lenders, in negotiations to extend additional capacity in second quarter 2025
Closed UACC’s 17th securitization transaction on March 12, 2025; issuing $324.0 million of fixed-rate asset-backed notes

⁽¹⁾		Total available liquidity is a non-GAAP measure and represents $14.6 unrestricted cash and cash equivalents, as well as $27.3 availability from warehouse credit facilities and $25.0 availability from line of credit secured by residual certificates.
⁽²⁾		Adjusted net income (loss) is a non-GAAP measure. For definitions and a reconciliation to the most comparable GAAP measure, please see Non-GAAP Financial Measures section below.
⁽³⁾		Tangible book value is a non-GAAP measure and represents total stockholders' equity of $158.6 million, excluding intangible assets of $13.8 million as of March 31, 2025.
⁽⁴⁾		The combined results (referenced as "Non-GAAP Combined" or "Combined") for the three months ended March 31, 2025 represent the sum of the reported amounts for the Predecessor period from January 1, 2025 through January 14, 2025, and the Successor period from January 15, 2025, through March 31, 2025, as described below.

Tom Shortt, Chief Executive Officer of Vroom, said, "In the first quarter of 2025, our net loss and Adjusted net loss decreased sequentially, as well as year over year, driven by continued progress in loan portfolio performance at UACC."

Jon Sandison, UACC’s Chief Financial Officer, commented, "We succeeded in executing UACC's 17th securitization transaction, and we've extended $400 million of warehouse capacity since year end 2024. We further strengthened our liquidity position by establishing a $25 million line of credit backed by residual interests, and ended the quarter with total available liquidity⁽¹⁾ of approximately $67 million."

Fresh Start Accounting

As a result of emerging from a voluntary proceeding (the "Prepackaged Chapter 11 Case") under Chapter 11 of the United States Code, 11 U.S.C. §§ 101-1532, as amended from time to time, on January 14, 2025, (the "Effective Date") and qualifying for the application of fresh-start accounting, at the Effective Date, Vroom’s assets and liabilities were recorded at their estimated fair values which, in some cases, are significantly different than amounts included in our financial statements prior to the Effective Date. Accordingly, our condensed consolidated financial statements after the Effective Date are not comparable with our condensed consolidated financial statements on or before that date. References to "Successor" relate to our financial position and results of operations after the Effective Date. References to "Predecessor" refer to our financial position and results of operations on or before the Effective Date.

The combined results (referenced as "Non-GAAP Combined" or "Combined") for the three months ended March 31, 2025, represent the sum of the reported amounts for the Predecessor period from January 1, 2025, through January 14, 2025, and the Successor period from January 15, 2025, through March 31, 2025. These combined results are not considered to be prepared in accordance with GAAP and have not been prepared as pro forma results per applicable regulations. The combined operating results do not reflect the actual results we would have achieved absent our emergence from the Prepackaged Chapter 11 Case and are not necessarily indicative of future results. Accordingly, the results for the combined three months ended March 31, 2025, (prepared on a Non-GAAP basis) and three months ended March 31, 2024, (prepared on a GAAP basis) may not be comparable, particularly for statement of operations line items significantly impacted by the reorganization transactions and the impact of fresh start accounting.

FIRST QUARTER 2025 FINANCIAL DISCUSSION

All financial comparisons are on a year-over-year basis unless otherwise noted. The following financial information is unaudited.

	Successor			Predecessor				Non-GAAP Combined			Predecessor			Non-GAAP
	Period from January 15 through March 31,			Period from January 1 through January 14,				Three Months Ended March 31,			Three Months Ended March 31,
		2025			2025				2025			2024		$ Change
							(in thousands)
Interest income	$	37,157		$	7,183			$	44,340		$	51,077		$	(6,737	)

Interest expense:
Warehouse credit facility		4,618			1,017				5,635			9,471			(3,836	)
Securitization debt		6,548			1,178				7,726			4,869			2,857
Total interest expense		11,166			2,195				13,361			14,340			(979	)
Net interest income		25,991			4,988				30,979			36,737			(5,758	)

Realized and unrealized losses, net of recoveries		11,100			6,792				17,892			30,819			(12,927	)
Net interest income (loss) after losses and recoveries		14,891			(1,804	)			13,087			5,918			7,169

Noninterest income:
Servicing income		1,254			192				1,446			2,019			(573	)
Warranties and GAP income (loss), net		4,079			307				4,386			(9,642	)		14,028
CarStory revenue		2,392			432				2,824			2,979			(155	)
Other income		2,481			113				2,594			2,784			(190	)
Total noninterest income (loss)		10,206			1,044				11,250			(1,860	)		13,110

Expenses:
Compensation and benefits		16,067			2,823				18,890			24,110			(5,220	)
Professional fees		5,347			297				5,644			3,343			2,301
Software and IT costs		2,402			457				2,859			4,622			(1,763	)
Depreciation and amortization		575			1,057				1,632			7,626			(5,994	)
Interest expense on corporate debt		480			176				656			1,391			(735	)
Impairment charges		4,156			—				4,156			2,752			1,404
Other expenses		2,370			371				2,741			4,454			(1,713	)
Total expenses		31,397			5,181				36,578			48,298			(11,720	)

Loss from continuing operations before reorganization items and provision for income taxes		(6,300	)		(5,941	)			(12,241	)		(44,240	)		31,999
Reorganization items, net		—			51,036				51,036			—			51,036
Income (loss) from continuing operations before provision for income taxes		(6,300	)		45,095				38,795			(44,240	)		83,035
Provision for income taxes from continuing operations		150			5				155			436			(281	)
Net income (loss) from continuing operations	$	(6,450	)	$	45,090			$	38,640		$	(44,676	)	$	83,316
Net income (loss) from discontinued operations	$	99		$	(4	)		$	95		$	(22,941	)	$	23,036
Net income (loss)	$	(6,351	)	$	45,086			$	38,735		$	(67,617	)	$	106,352

Results by Segment

UACC

	Successor			Predecessor			Non-GAAP Combined			Predecessor			Non-GAAP			Non-GAAP
	Period from January 15 through March 31,			Period from January 1 through January 14,			Three Months Ended March 31,			Three Months Ended March 31,
		2025			2025			2025			2024		Change			% Change
							(in thousands)
Interest income	$	37,157		$	7,254		$	44,411		$	51,541		$	(7,130	)	(13.8)%

Interest expense:
Warehouse credit facility		4,618			1,017			5,635			9,471			(3,836	)	(40.5)%
Securitization debt		6,548			1,178			7,726			4,869			2,857		58.7%
Total interest expense		11,166			2,195			13,361			14,340			(979	)	(6.8)%
Net interest income		25,991			5,059			31,050			37,201			(6,151	)	(16.5)%

Realized and unrealized losses, net of recoveries		12,691			7,647			20,338			27,761			(7,423	)	(26.7)%
Net interest income (loss) after losses and recoveries		13,300			(2,588	)		10,712			9,439			1,273		13.5%

Noninterest incom...e:
Servicing income		1,254			192			1,446			2,019			(573	)	(28.4)%
Warranties and GAP income, net		3,571			390			3,961			1,610			2,351		146.0%
Other income		2,235			66			2,301			2,470			(169	)	(6.8)%
Total noninterest income		7,060			648			7,708			6,099			1,609		26.4%

Expenses:
Compensation and benefits		13,694			2,398			16,092			18,788			(2,696	)	(14.3)%
Professional fees		3,069			172			3,241			876			2,365		270.0%
Software and IT costs		2,086			367			2,453			3,097			(644	)	(20.8)%
Depreciation and amortization		479			817			1,296			6,021			(4,725	)	(78.5)%
Interest expense on corporate debt		480			85			565			471			94		20.0%
Impairment charges		3,479			—			3,479			2,752			727		26.4%
Other expenses		1,670			262			1,932			2,523			(591	)	(23.4)%
Total expenses		24,957			4,101			29,058			34,529			(5,471	)	(15.8)%

Provision for income taxes from continuing operations		39			—			39			436			(397	)	(91.1)%

Adjusted net income (loss)	$	(834	)	$	(5,910	)	$	(6,744	)	$	(16,506	)	$	9,762		59.1%

Stock compensation expense	$	302		$	127		$	429		$	168			261		155.8%
Severance	$	21		$	4		$	25		$	—			25		100.0%

CarStory

	Successor			Predecessor			Non-GAAP Combined		Predecessor			Non-GAAP			Non-GAAP
	Period from January 15 through March 31,			Period from January 1 through January 14,			Three Months Ended March 31,		Three Months Ended March 31,
		2025			2025			2025		2024		Change			% Change
							(in thousands)
Noninterest income:
CarStory revenue	$	2,392		$	432		$	2,824	$	2,979		$	(155	)	(5.2)%
Other income		62			13			75		173			(98	)	(56.6)%
Total noninterest income		2,454			445			2,899		3,152			(253	)	(8.0)%

Expenses:
Compensation and benefits		1,360			326			1,686		2,214			(528	)	(23.8)%
Professional fees		—			13			13		122			(109	)	(89.3)%
Software and IT costs		—			2			2		167			(165	)	(98.8)%
Depreciation and amortization		96			240			336		1,605			(1,269	)	(79.1)%
Other expenses		138			20			158		118			40		33.9%
Total expenses		1,594			601			2,195		4,226			(2,031	)	(48.1)%

Provision for income taxes from continuing operations		16			5			21		39			(18	)	(46.2)%

Adjusted net income (loss)	$	839		$	(153	)	$	686	$	(913	)	$	1,599		175.1%

Stock compensation expense	$	(5	)	$	8		$	3	$	200			(197	)	(98.5)%

Corporate

	Successor			Predecessor			Non-GAAP Combined			Predecessor			Non-GAAP			Non-GAAP
	Period from January 15 through March 31,			Period from January 1 through January 14,			Three Months Ended March 31,			Three Months Ended March 31,
		2025			2025			2025			2024		Change			% Change
							(in thousands)
Interest income	$	—		$	(71	)	$	(71	)	$	(464	)	$	393		84.7%

Realized and unrealized losses, net of recoveries		(1,591	)		(855	)		(2,446	)		3,058			(5,504	)	(180.0)%
Net interest income (loss) after losses and recoveries		1,591			784			2,375			(3,521	)		5,896		170.0%

Noninterest income:
Warranties and GAP income (loss), net		508			(83	)		425			(11,252	)		11,677		103.8%
Other income		184			34			218			141			77		54.3%
Total noninterest income		692			(49	)		643			(11,111	)		11,754		105.8%

Expenses:
Compensation and benefits		1,013			99			1,112			3,109			(1,997	)	(64.2)%
Professional fees		2,278			112			2,390			2,345			45		1.9%
Software and IT costs		316			88			404			1,358			(954	)	(70.3)%
Interest expense on corporate debt		—			91			91			920			(829	)	(90.1)%
Impairment charges		677			—			677			—			677		100.0%
Other expenses		562			89			651			1,813			(1,162	)	(64.1)%
Total expenses		4,846			479			5,325			9,544			(4,219	)	(44.2)%

Provision for income taxes from continuing operations		95			—			95			(38	)		133		350.0%

Non-GAAP Financial Measures

In addition to our results determined in accordance with U.S. GAAP, we believe the following non-GAAP financial measures are useful in evaluating our operating performance: Adjusted net income (loss) and tangible book value. Adjusted net income (loss) is a supplemental performance measure that our management uses to assess our operating performance and the operating leverage in our business. Because Adjusted net income (loss) facilitates internal comparisons of our historical operating performance on a more consistent basis, we use this measure for business planning purposes.

Adjusted net income (loss) has limitations as an analytical tool because it does not reflect all of the amounts associated with our results of operations as determined in accordance with U.S. GAAP. Additionally, it may not be comparable to similarly titled measures of other companies. Other companies, including companies in our industry, may calculate non-GAAP financial measures differently than we do, limiting the usefulness of those measures for those comparative purposes. Because of these limitations, this non-GAAP financial measure should be considered along with other operating and financial performance measures presented in accordance with U.S. GAAP. The presentation of this non-GAAP financial measure is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with U.S. GAAP. We have reconciled this non-GAAP financial measure with the most directly comparable U.S. GAAP financial measure below.

Tangible book value is calculated as stockholders' equity in accordance with U.S. GAAP, after subtracting intangible assets. A reconciliation of stockholders' equity to tangible book value is included above.

Non-GAAP Combined Three Months Ended March 31, 2025

Our financial results for the periods from January 1, 2025 through January 14, 2025 and the three months ended March 31, 2024 are referred to as those of the "Predecessor" period. Our financial results for the period from January 15, 2025 through March 31, 2025 are referred to as those of the "Successor" period. Our results of operations as reported in our Condensed Consolidated Financial Statements for these periods are prepared in accordance with GAAP. Although GAAP requires that we report our results for the period from January 1, 2025 through January 14, 2025 and the period from January 15, 2025 through March 31, 2025 separately, management views our operating results for the three months ended March 31, 2025 by combining the results of the applicable Predecessor and Successor periods because such presentation provides the most meaningful comparison of our results to prior periods. We believe we cannot adequately benchmark the operating results of the period from January 15, 2025 through March 31, 2025 against any of the previous periods reported in our Condensed Consolidated Financial Statements without combining it with the period from January 1, 2025 through January 14, 2025 and does not believe that reviewing the results of this period in isolation would be useful in identifying trends in or reaching conclusions regarding our overall operating performance. Management believes that the key performance metrics for the Successor period when combined with the Predecessor period provide more meaningful comparisons to other periods and are useful in identifying current business trends. Accordingly, in addition to presenting our results of operations as reported in our Condensed Consolidated Financial Statements in accordance with GAAP, the tables and discussion below also present the combined results for the three months ended March 31, 2025. The combined results for the three months ended March 31, 2025 represent the sum of the reported amounts for the Predecessor period from January 1, 2025 through January 14, 2025 and the Successor period from January 15, 2025 through March 31, 2025. These combined results are not considered to be prepared in accordance with GAAP and have not been prepared as pro forma results per applicable regulations. The combined operating results do not reflect the actual results we would have achieved absent our emergence from Prepackaged Chapter 11 Case and are not necessarily indicative of future results. Accordingly, the results for the combined three months ended March 31, 2025 (prepared on a Non-GAAP basis) and three months ended March 31, 2024 (prepared on a GAAP basis) may not be comparable, particularly for statement of operations line items significantly impacted by the Reorganization transactions and the impact of fresh start accounting.

Adjusted net income (loss)

We calculate Adjusted net income (loss) as net income (loss) from continuing operations adjusted for stock compensation expense, severance expense, bankruptcy costs (which represent professional fees incurred related to the bankruptcy prior to filing of the petition and post-emergence), reorganization items, net (which relate to certain charges incurred during the bankruptcy proceedings, such as legal and professional fees incurred directly as a result of the bankruptcy proceeding, the write-off of deferred financing costs and discount on debt subject to compromise and other related charges), operating lease right-of-use assets impairment and long-lived asset impairment charges.

The following table presents a reconciliation of Adjusted net income (loss) to net income (loss) from continuing operations, which is the most directly comparable U.S. GAAP measure (in thousands):

	Successor			Predecessor			Non-GAAP Combined			Predecessor
	Period from January 15 through March 31,			Period from January 1 through January 14,			Three Months Ended March 31,			Three Months Ended March 31,
		2025			2025			2025			2024
Net income (loss) from continuing operations	$	(6,450	)	$	45,090		$	38,640		$	(44,676	)
Adjusted to exclude the following:
Stock compensation expense		491			144			635			1,324
Severance expense		21			4			25			—
Bankruptcy costs (post-emergence)		913			—			913			—
Reorganization items, net		—			(51,036	)		(51,036	)		—
Impairment charges		4,156			—			4,156			2,752
Adjusted net loss	$	(869	)	$	(5,798	)	$	(6,667	)	$	(40,600	)

Financial Outlook

For the full year 2025 we expect the following results:

Adjusted net income (loss)^(2)(5)(6): ($30) - ($45) million
Year end total available liquidity⁽¹⁾⁽⁶⁾: $35 - $50 million
Indirect origination volume⁽⁶⁾⁽⁷⁾: $460 - $490 million

⁽⁵⁾		Adjusted net income (loss) for the full year 2025 includes Non-GAAP Combined adjusted net loss for the three months ended March 31, 2025. See footnote (4) above.
⁽⁶⁾		A reconciliation of non-GAAP guidance measures to corresponding GAAP measures for the full year 2025 Financial Outlook is not available on a forward-looking basis without unreasonable effort due to the uncertainty regarding, and the potential variability of, the costs and expenses that may be incurred in the future. We have provided a reconciliation of GAAP to non-GAAP financial measures for historical periods in the reconciliation table in the Non-GAAP Financial Measures above.
⁽⁷⁾		Represents retail installment sale contracts originated through third-party dealers.

The foregoing estimates are forward-looking statements that reflect the Company’s expectations as of May 14, 2025 and are subject to substantial uncertainty. See "Forward-Looking Statements" below.

About Vroom (Nasdaq: VRM)

Vroom owns and operates United Auto Credit Corporation (UACC), a leading indirect automotive lender serving the independent and franchise dealer market nationwide, and CarStory, a leader in AI-powered analytics and digital services for automotive retail. Prior to January 2024, Vroom also operated an end-to-end ecommerce platform to buy and sell used vehicles. Pursuant to its previously announced Value Maximization Plan, Vroom discontinued its ecommerce operations and used vehicle dealership business.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including without limitation statements regarding our full year 2025 guidance, the restructuring, including its impact and intended benefits, our strategic initiatives and long-term strategy, cost-savings and their expected benefits, our expectations regarding UACC's business our available liquidity under the warehouse credit facilities and extensions of these facilities, future results of operations and financial position, including origination income, adjusted net income (loss) and our total available liquidity, and the timing of any of the foregoing. These statements are based on management’s current assumptions and are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. For factors that could cause actual results to differ materially from the forward-looking statements in this press release, please see the risks and uncertainties identified under the heading "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2024, which is available on our Investor Relations website at ir.vroom.com and on the SEC website at www.sec.gov. All forward-looking statements reflect our beliefs and assumptions only as of the date of this press release. We undertake no obligation to update forward-looking statements to reflect future events or circumstances.


VROOM, INC. CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share amounts) (unaudited)


	Successor			Predecessor
	As of March 31,			As of December 31,
		2025			2024
ASSETS
Cash and cash equivalents	$	14,565		$	29,343
Restricted cash (including restricted cash of consolidated VIEs of $52.1 million and $48.1 million, respectively)		53,003			49,026
Finance receivables at fair value (including finance receivables of consolidated VIEs of $810.4 million and $467.3 million, respectively)		858,200			503,848
Finance receivables held for sale, net (including finance receivables of consolidated VIEs of $0.0 and $310.0 million, respectively)		—			318,192
Interest receivable (including interest receivables of consolidated VIEs of $11.7 million and $13.3 million, respectively)		12,788			14,067
Property and equipment, net		2,501			4,064
Intangible assets, net		13,796			104,869
Operating lease right-of-use assets		6,605			6,872
Other assets (including other assets of consolidated VIEs of $9.4 million and $10.8 million, respectively)		28,490			35,472
Assets from discontinued operations		8			943
Total assets	$	989,956		$	1,066,696
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Warehouse credit facilities of consolidated VIEs	$	114,187		$	359,912
Long-term debt (including securitization debt of consolidated VIEs of $613.9 million at fair value as of March 31, 2025 and $210.7 million at amortized cost and $142.6 million at fair value as of December 31, 2024)		655,430			381,366
Operating lease liabilities		10,198			11,065
Other liabilities (including other liabilities of consolidated VIEs of $16.4 million and $13.8 million, respectively)		48,544			49,699
Liabilities subject to compromise (Note 6)		—			291,577
Liabilities from discontinued operations		2,970			4,022
Total liabilities		831,329			1,097,641
Commitments and contingencies (Note 12)
Stockholders’ equity (deficit) :
Common stock, $0.001 par value; 250,000,000 shares authorized as of March 31, 2025 and 500,000,000 shares authorized as of December 31, 2024; 5,163,109 and 1,822,532 shares issued and outstanding as of March 31, 2025 and December 31, 2024, respectively		5			2
Additional paid-in-capital		164,973			2,094,889
Accumulated deficit		(6,351	)		(2,125,836	)
Total stockholders’ equity (deficit)		158,627			(30,945	)
Total liabilities and stockholders’ equity (deficit)	$	989,956		$	1,066,696


VROOM, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except share and per share amounts) (unaudited)


	Successor			Predecessor
	Period from January 15 through March 31,			Period from January 1 through January 14,			Three Months Ended March 31,
		2025			2025			2024
Interest income	$	37,157		$	7,183		$	51,077

Interest expense:
Warehouse credit facility		4,618			1,017			9,471
Securitization debt		6,548			1,178			4,869
Total interest expense		11,166			2,195			14,340
Net interest income		25,991			4,988			36,737

Realized and unrealized losses, net of recoveries		11,100			6,792			30,819
Net interest income (loss) after losses and recoveries		14,891			(1,804	)		5,918

Noninterest income:
Servicing income		1,254			192			2,019
Warranties and GAP income (loss), net		4,079			307			(9,642	)
CarStory revenue		2,392			432			2,979
Other income		2,481			113			2,784
Total noninterest income (loss)		10,206			1,044			(1,860	)

Expenses:
Compensation and benefits		16,067			2,823			24,110
Professional fees		5,347			297			3,343
Software and IT costs		2,402			457			4,622
Depreciation and amortization		575			1,057			7,626
Interest expense on corporate debt		480			176			1,391
Impairment charges		4,156			—			2,752
Other expenses		2,370			371			4,454
Total expenses		31,397			5,181			48,298

Loss from continuing operations before reorganization items and provision for income taxes		(6,300	)		(5,941	)		(44,240	)
Reorganization items, net		—			51,036			—
Income (loss) from continuing operations before provision for income taxes		(6,300	)		45,095			(44,240	)
Provision for income taxes from continuing operations		150			5			436
Net income (loss) from continuing operations	$	(6,450	)	$	45,090		$	(44,676	)
Net income (loss) from discontinued operations	$	99		$	(4	)	$	(22,941	)
Net income (loss)	$	(6,351	)	$	45,086		$	(67,617	)


VROOM, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (continued) (in thousands, except share and per share amounts) (unaudited)


Net income (loss) per share attributable to common stockholders, basic:
Continuing operations		(1.25	)		24.74			(24.90	)
Discontinued operations		0.02			(0.00	)		(12.79	)
Basic	$	(1.23	)	$	24.74		$	(37.68	)
Net income (loss) per share attributable to common stockholders, diluted:
Continuing operations		(1.25	)		23.89			(24.90	)
Discontinued operations		0.02			(0.00	)		(12.79	)
Diluted	$	(1.23	)	$	23.89		$	(37.68	)
Weighted-average number of shares outstanding used to compute net income (loss) per share attributable to common stockholders:
Basic		5,163,109			1,822,541			1,794,303
Diluted		5,163,109			1,887,371			1,794,303


VROOM, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) (unaudited)


	Successor			Predecessor
	Period from January 15 through 31,			Period from January 1 through January 14,			Three Months Ended March 31,
		2025			2025			2024
Operating activities
Net (loss) income from continuing operations	$	(6,450	)	$	45,090		$	(44,676	)
Adjustments to reconcile net (loss) income to net cash used in operating activities:
Impairment charges		4,156			—			2,752
Profit share receivable		(274	)		—			9,642
Depreciation and amortization		575			1,057			7,626
Losses on finance receivables and securitization debt, net		17,575			4,762			35,323
Losses on Warranties and GAP		1,780			407			2,175
Stock-based compensation expense		491			144			1,324
Provision to record finance receivables held for sale at lower of cost or fair value		—			—			306
Amortization of unearned discounts on finance receivables at fair value		—			(416	)		(4,792	)
Non-cash reorganization items, net		—			(51,741	)		—
Other, net		(652	)		193			(1,078	)
Changes in operating assets and liabilities:
Finance receivables, held for sale
Originations of finance receivables, held for sale		—			(14,337	)		(130,404	)
Principal payments received on finance receivables, held for sale		—			6,481			40,387
Other		—			169			404
Interest receivable		1,443			(164	)		342
Other assets		(3,301	)		5,178			4,991
Other liabilities		1,946			(2,627	)		635
Net cash provided by (used in) operating activities from continuing operations		17,289			(5,804	)		(75,043	)
Net cash (used in) provided by operating activities from discontinued operations		(452	)		(207	)		98,167
Net cash provided by (used in) operating activities		16,837			(6,011	)		23,124
Investing activities
Finance receivables, held for investment at fair value
Purchases of finance receivables, held for investment at fair value		(120,528	)		—			—
Principal payments received on finance receivables, held for investment at fair value		73,217			2,985			35,195
Principal payments received on beneficial interests		446			147			773
Purchase of property and equipment		(1,469	)		(151	)		(644	)
Net cash (used in) provided by investing activities from continuing operations		(48,334	)		2,981			35,324
Net cash provided by investing activities from discontinued operations		637			—			5,747
Net cash (used in) provided by investing activities		(47,697	)		2,981			41,071
Financing activities
Proceeds from borrowings under secured financing agreements		307,780			—			—
Principal repayment under secured financing agreements		(34,281	)		(16,676	)		(73,647	)
Proceeds from financing of beneficial interests in securitizations		16,223			—			—
Principal repayments of financing of beneficial interests in securitizations		(2,045	)		(1,028	)		(2,651	)
Proceeds from warehouse credit facilities		88,500			11,900			125,100
Repayments of warehouse credit facilities		(338,031	)		(8,094	)		(30,092	)
Other financing activities		(1,159	)		—			(40	)
Net cash provided by (used in) financing activities from continuing operations		36,987			(13,898	)		18,670
Net cash used in financing activities from discontinued operations		—			—			(151,178	)
Net cash provided by (used in) financing activities		36,987			(13,898	)		(132,508	)
Net increase (decrease) in cash, cash equivalents and restricted cash		6,127			(16,928	)		(68,313	)
Cash, cash equivalents and restricted cash at the beginning of period		61,441			78,369			208,819
Cash, cash equivalents and restricted cash at the end of period	$	67,568		$	61,441		$	140,506


VROOM, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (continued) (in thousands) (unaudited)


Supplemental disclosure of cash flow information:
Cash paid for interest	$	9,221	$	4,534	$	13,497
Cash paid for reorganization items, net	$	—	$	1,705	$	—
Cash paid for income taxes	$	137	$	—	$	—

View source version on businesswire.com: https://www.businesswire.com/news/home/20250514915323/en/

Contacts

Investor Relations:

Vroom
Jon Sandison
investors@vroom.com

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