Shares of ACV Auctions Inc. (ACVA) tumbled 10.11% in after-hours trading on Monday following the release of its second-quarter 2025 financial results. The online automotive marketplace reported mixed results and provided guidance that fell short of analyst expectations, triggering a sell-off among investors.
ACV Auctions reported a narrower loss for Q2, with earnings per share (EPS) of -$0.04, beating the analyst consensus estimate of -$0.06. However, the company's revenue of $193.7 million, while up from $160.6 million a year earlier, fell short of the $195.9 million expected by analysts. The company's adjusted EBITDA for the quarter came in at $19 million, slightly below the $19.4 million estimated by analysts.
Adding to investor concerns, ACV Auctions provided guidance that disappointed the market. For the third quarter, the company expects revenue between $198 million and $203 million, below the analyst consensus of $204.1 million. Furthermore, ACV revised its full-year 2025 revenue guidance to a range of $765 million to $775 million, which, while in line with the current analyst expectations of $774.8 million, may have been viewed as conservative by some investors. The combination of mixed Q2 results and cautious guidance likely contributed to the significant after-hours decline in ACV's stock price.