SAN DIEGO – Carvana Co. CEO Ernie Garcia reflected Thursday on the online used-car retailer’s tough year.
“Right around this time last year, I think a number of things started to break against us, and it’s definitely been much tougher sledding since then,” Garcia acknowledged in a video teleconference Thursday at Used Car Week in San Diego.
Carvana’s tumultuous journey in 2022 highlighted by mounting financial losses and a more challenging used-car market is being closely watched. The online giant has been pressed in recent months by waning used-car demand, cash burn, a crashing stock price and regulatory challenges in several states.
One year ago, it felt like Carvana could do no wrong, Garcia said on the teleconference, but it's a different story these days.
The used market was in a good spot a year ago, and people seemed focused on Carvana’s positives, Garcia said. Today, it's the opposite — market conditions have worsened, and people are looking at the negatives about Carvana, he said.
“Both things are fine,” Garcia said. “We're not a perfect company.”
But work is underway to get the retailer back on track, he indicated.