KAR Auction Services Inc., parent company of ADESA, reported that third-quarter net income increased 10 percent from a year earlier to $52.3 million on revenue that rose 13 percent to $666.7 million.
Fluctuations in the Canadian exchange rate negatively impacted revenue by $15.2 million, the company said. Fifteen of ADESA's 66 auction sites are in Canada, according to a map on KAR Auction's website.
ADESA's revenue grew 14 percent to $351.4 million in the quarter; its gross profit increased 14 percent to $152.2 million.
The increase was mainly attributable to a 15 percent rise in the number of vehicles sold by companies such as captive finance companies. The increase was partially offset by a 1 percent decrease in revenue per vehicle sold, which included the impact of a decrease in revenues of $11.3 million as a result of fluctuations in the Canadian exchange rate.
The increase in ADESA's vehicle volume also included a 10 percent rise in the number of vehicles owned by dealers.
Online sales volume at ADESA totaled approximately 38 percent of all vehicles sold in the quarter, up from approximately 36 percent in the same quarter last year.
Vehicles sold at ADESA's brick-and-mortar sites increased 13 percent in the quarter compared with the same quarter last year.
Total revenue per vehicle sold at ADESA during the quarter decreased $4 to $561 and included the impact of a decrease of $18 per vehicle sold because of fluctuations in the Canadian exchange rate.