NEW YORK, Aug. 04, 2026 (GLOBE NEWSWIRE) — Vroom, Inc. (Nasdaq:VRM) today announced financial results for the second quarter ended June 30, 2026.
HIGHLIGHTS OF SECOND QUARTER 2026
- $99.8 million stockholders’ equity as of June 30, 2026 and $88.4 million tangible book value(1) as of June 30, 2026
- $63.9 million consolidated total available liquidity(2) as of June 30, 2026, consisting of:
- $16.4 million cash and cash equivalents
- $10.5 million of liquidity available to UACC under the warehouse credit facilities
- $27.0 million of available liquidity from delayed draw facility
- $10.0 million of available liquidity from 2032 Notes
- $0.6 million net income for the second quarter 2026
- $(0.1) million net loss attributable to controlling interest and common shareholders for the second quarter 2026
- $1.5 million adjusted net income(3) for the second quarter 2026
- $12.4 million increase in net loss and $20.6 million decrease in adjusted net loss(3) for the trailing twelve months ended June 30, 2026 compared to trailing twelve months ended June 30, 2025
- $28.5 million existing notes exchanged for $50.0 million new Senior Secured Delayed Draw Convertible Note due 2032
| (1) | Tangible book value is a non-GAAP measure and represents total stockholders’ equity of $99.8 million, excluding intangible assets of $11.4 million as of June 30, 2026. |
| (2) | Total available liquidity is a non-GAAP measure and represents $16.4 million of unrestricted cash and cash equivalents, as well as $10.5 million of availability from warehouse credit facilities, $27.0 million of availability from delayed draw facility and $10.0 million of availability from 2032 Notes. |
| (3) | 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. |
Tom Shortt, Chief Executive Officer of Vroom, said, “In the second quarter of 2026, we achieved positive net income and adjusted net income for the first time in Vroom’s history, while continuing to make significant investments in our Next-Generation Technology Platform, driven by improvement in realized and unrealized losses at UACC as we see the benefits of our refreshed internal customer scoring model, which was implemented in 2025. This significant milestone reflects the progress we’ve made executing our Long-Term Strategic Plan.”
Jon Sandison, Chief Financial Officer of Vroom, added, “During the second quarter, we further strengthened our balance sheet by exchanging $28.5 million of existing notes for $50.0 million of new Senior Secured Delayed Draw Convertible Notes due 2032, extending our runway to execute our long-term strategy. We ended the quarter with total available liquidity of $63.9 million, and remain focused on disciplined expense management.”
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 consolidated financial statements after the Effective Date are not comparable with our 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 U.S. generally accepted accounting principles (“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, 2026, (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.
SECOND QUARTER 2026 FINANCIAL DISCUSSION
All financial comparisons are on a year-over-year basis unless otherwise noted. The following financial information is unaudited.
| Three Months Ended June 30, | |||||||||||||||
| 2026 | 2025 | $ Change | % Change | ||||||||||||
| (in thousands) | |||||||||||||||
| Interest income | $ | 43,605 | $ | 45,748 | $ | (2,143 | ) | (4.7 | )% | ||||||
| Interest expense: | |||||||||||||||
| Warehouse credit facility | 3,396 | 3,259 | 137 | 4.2 | % | ||||||||||
| Securitization debt | 8,586 | 9,883 | (1,297 | ) | (13.1 | )% | |||||||||
| Total interest expense | 11,982 | 13,142 | (1,160 | ) | (8.8 | )% | |||||||||
| Net interest income | 31,623 | 32,606 | (983 | ) | (3.0 | )% | |||||||||
| Realized and unrealized losses, net of recoveries | 10,663 | 19,500 | (8,837 | ) | (45.3 | )% | |||||||||
| Net interest income after losses and recoveries | 20,960 | 13,106 | 7,854 | 59.9 | % | ||||||||||
| Noninterest income: | |||||||||||||||
| Servicing income | 925 | 1,259 | (334 | ) | (26.5 | )% | |||||||||
| Warranties and GAP income, net | 3,291 | 3,645 | (354 | ) | (9.7 | )% | |||||||||
| CarStory revenue | 1,297 | 1,846 | (549 | ) | (29.7 | )% | |||||||||
| Other income | 3,156 | 2,067 | 1,089 | 52.7 | % | ||||||||||
| Total noninterest income | 8,669 | 8,817 | (148 | ) | (1.7 | )% | |||||||||
| Expenses: | |||||||||||||||
| Compensation and benefits | 18,751 | 21,091 | (2,340 | ) | (11.1 | )% | |||||||||
| Professional fees | 1,984 | 2,013 | (29 | ) | (1.4 | )% | |||||||||
| Software and IT costs | 3,244 | 3,420 | (176 | ) | (5.1 | )% | |||||||||
| Depreciation and amortization | 1,482 | 742 | 740 | 99.7 | % | ||||||||||
| Interest expense on corporate debt | 1,063 | 698 | 365 | 52.3 | % | ||||||||||
| Other expenses | 2,574 | 2,832 | (258 | ) | (9.1 | )% | |||||||||
| Total expenses | 29,098 | 30,796 | (1,698 | ) | (5.5 | )% | |||||||||
| Income (loss) from continuing operations before provision for income taxes | 531 | (8,873 | ) | 9,404 | 106.0 | % | |||||||||
| (Benefit) provision for income taxes from continuing operations | (24 | ) | 59 | (83 | ) | (140.7 | )% | ||||||||
| Net income (loss) from continuing operations | $ | 555 | $ | (8,932 | ) | $ | 9,487 | 106.2 | % | ||||||
| Net income from discontinued operations | $ | 73 | $ | 413 | $ | (340 | ) | (82.3 | )% | ||||||
| Net income (loss) | $ | 628 | $ | (8,519 | ) | $ | 9,147 | 107.4 | % | ||||||
| Preferred stock dividends attributable to noncontrolling interests of subsidiary | $ | (691 | ) | $ | — | $ | (691 | ) | 100.0 | % | |||||
| Net loss attributable to controlling interest and common shareholders | $ | (63 | ) | $ | (8,519 | ) | $ | 8,456 | 99.3 | % | |||||
| Successor | Predecessor | Non-GAAP Combined | Non-GAAP | Non-GAAP | ||||||||||||||||||||
| Six months ended June 30, |
Period from January 15 through June 30, |
Period from January 1 through January 14, |
Six months ended June 30, |
|||||||||||||||||||||
| 2026 | 2025 | 2025 | 2025 | $ Change | % Change | |||||||||||||||||||
| (in thousands) | ||||||||||||||||||||||||
| Interest income | $ | 86,081 | $ | 82,905 | $ | 7,183 | $ | 90,088 | $ | (4,007 | ) | (4.4 | )% | |||||||||||
| Interest expense: | ||||||||||||||||||||||||
| Warehouse credit facility | 6,835 | 7,877 | 1,017 | 8,894 | (2,059 | ) | (23.2 | )% | ||||||||||||||||
| Securitization debt | 17,206 | 16,431 | 1,178 | 17,609 | (403 | ) | (2.3 | )% | ||||||||||||||||
| Total interest expense | 24,041 | 24,308 | 2,195 | 26,503 | (2,462 | ) | (9.3 | )% | ||||||||||||||||
| Net interest income | 62,040 | 58,597 | 4,988 | 63,585 | (1,545 | ) | (2.4 | )% | ||||||||||||||||
| Realized and unrealized losses, net of recoveries | 35,346 | 30,600 | 6,792 | 37,392 | (2,046 | ) | (5.5 | )% | ||||||||||||||||
| Net interest income (loss) after losses and recoveries | 26,694 | 27,997 | (1,804 | ) | 26,193 | 501 | 1.9 | % | ||||||||||||||||
| Noninterest income: | ||||||||||||||||||||||||
| Servicing income | 2,064 | 2,513 | 192 | 2,705 | (641 | ) | (23.7 | )% | ||||||||||||||||
| Warranties and GAP income, net | 5,977 | 7,724 | 307 | 8,031 | (2,054 | ) | (25.6 | )% | ||||||||||||||||
| CarStory revenue | 2,630 | 4,238 | 432 | 4,670 | (2,040 | ) | (43.7 | )% | ||||||||||||||||
| Other income | 5,197 | 4,548 | 113 | 4,661 | 536 | 11.5 | % | |||||||||||||||||
| Total noninterest income | 15,868 | 19,023 | 1,044 | 20,067 | (4,199 | ) | (20.9 | )% | ||||||||||||||||
| Expenses: | ||||||||||||||||||||||||
| Compensation and benefits | 37,897 | 37,158 | 2,823 | 39,981 | (2,084 | ) | (5.2 | )% | ||||||||||||||||
| Professional fees | 6,504 | 7,360 | 297 | 7,657 | (1,153 | ) | (15.1 | )% | ||||||||||||||||
| Software and IT costs | 6,405 | 5,822 | 457 | 6,279 | 126 | 2.0 | % | |||||||||||||||||
| Depreciation and amortization | 2,822 | 1,317 | 1,057 | 2,374 | 448 | 18.9 | % | |||||||||||||||||
| Interest expense on corporate debt | 2,275 | 1,178 | 176 | 1,354 | 921 | 68.0 | % | |||||||||||||||||
| Impairment charges | — | 4,156 | — | 4,156 | (4,156 | ) | (100.0 | )% | ||||||||||||||||
| Other expenses | 4,982 | 5,202 | 371 | 5,573 | (591 | ) | (10.6 | )% | ||||||||||||||||
| Total expenses | 60,885 | 62,193 | 5,181 | 67,374 | (6,489 | ) | (9.6 | )% | ||||||||||||||||
| Income (loss) from continuing operations before provision for income taxes | (18,323 | ) | (15,173 | ) | (5,941 | ) | (21,114 | ) | 2,791 | 13.2 | % | |||||||||||||
| Reorganization items, net | — | — | 51,036 | 51,036 | (51,036 | ) | (100.0 | )% | ||||||||||||||||
| (Loss) income from continuing operations before provision for income taxes | (18,323 | ) | (15,173 | ) | 45,095 | 29,922 | (48,245 | ) | (161.2 | )% | ||||||||||||||
| Provision for income taxes from continuing operations | 168 | 209 | 5 | 214 | (46 | ) | (21.5 | )% | ||||||||||||||||
| Net (loss) income from continuing operations | $ | (18,491 | ) | $ | (15,382 | ) | $ | 45,090 | $ | 29,708 | $ | (48,199 | ) | (162.2 | )% | |||||||||
| Net income (loss) from discontinued operations | $ | 61 | $ | 512 | $ | (4 | ) | $ | 508 | $ | (447 | ) | (88.0 | )% | ||||||||||
| Net (loss) income | $ | (18,430 | ) | $ | (14,870 | ) | $ | 45,086 | $ | 30,216 | $ | (48,646 | ) | (161.0 | )% | |||||||||
| Preferred stock dividends attributable to noncontrolling interests of subsidiary | $ | (1,262 | ) | $ | — | $ | — | $ | — | $ | (1,262 | ) | 100.0 | % | ||||||||||
| Net (loss) income attributable to controlling interest and common shareholders | $ | (19,692 | ) | $ | (14,870 | ) | $ | 45,086 | $ | 30,216 | $ | (49,908 | ) | (165.2 | )% | |||||||||
Results by Segment
UACC
| Three Months Ended June 30, | ||||||||||||||
| 2026 | 2025 | Change | % Change | |||||||||||
| (in thousands) | ||||||||||||||
| Interest income | $ | 43,605 | $ | 45,748 | $ | (2,143 | ) | (4.7 | )% | |||||
| Interest expense: | ||||||||||||||
| Warehouse credit facility | 3,396 | 3,259 | 137 | 4.2 | % | |||||||||
| Securitization debt | 8,586 | 9,883 | (1,297 | ) | (13.1 | )% | ||||||||
| Total interest expense | 11,982 | 13,142 | (1,160 | ) | (8.8 | )% | ||||||||
| Net interest income | 31,623 | 32,606 | (983 | ) | (3.0 | )% | ||||||||
| Realized and unrealized losses, net of recoveries | 10,757 | 20,922 | (10,165 | ) | (48.6 | )% | ||||||||
| Net interest income after losses and recoveries | 20,866 | 11,684 | 9,182 | 78.6 | % | |||||||||
| Noninterest income: | ||||||||||||||
| Servicing income | 925 | 1,259 | (334 | ) | (26.5 | )% | ||||||||
| Warranties and GAP income, net | 3,203 | 3,673 | (470 | ) | (12.8 | )% | ||||||||
| Other income | 3,119 | 1,978 | 1,141 | 57.7 | % | |||||||||
| Total noninterest income | 7,247 | 6,910 | 337 | 4.9 | % | |||||||||
| Expenses: | ||||||||||||||
| Compensation and benefits | 16,352 | 17,443 | (1,091 | ) | (6.3 | )% | ||||||||
| Professional fees | 989 | 1,433 | (444 | ) | (31.0 | )% | ||||||||
| Software and IT costs | 3,179 | 2,688 | 491 | 18.3 | % | |||||||||
| Depreciation and amortization | 1,381 | 628 | 753 | 119.9 | % | |||||||||
| Interest expense on corporate debt | 765 | 698 | 67 | 9.6 | % | |||||||||
| Other expenses | 2,053 | 2,152 | (99 | ) | (4.6 | )% | ||||||||
| Total expenses | 24,719 | 25,042 | (323 | ) | (1.3 | )% | ||||||||
| Preferred stock dividends attributable to noncontrolling interests of subsidiary | (691 | ) | — | (691 | ) | 100.0 | % | |||||||
| Adjusted net income (loss) | $ | 3,993 | $ | (5,334 | ) | $ | 9,327 | 174.9 | % | |||||
| Stock compensation expense | $ | 1,139 | $ | 1,106 | $ | 33 | 3.0 | % | ||||||
| Severance | $ | 151 | $ | 7 | $ | 144 | 2,057.1 | % | ||||||
| Successor | Predecessor | Non-GAAP Combined | Non-GAAP | Non-GAAP | |||||||||||||||||||
| Six months ended June 30, |
Period from January 15 through June 30, |
Period from January 1 through January 14, |
Six months ended June 30, |
||||||||||||||||||||
| 2026 | 2025 | 2025 | 2025 | Change | % Change | ||||||||||||||||||
| (in thousands) |
|||||||||||||||||||||||
| Interest income | $ | 86,081 | $ | 82,905 | $ | 7,254 | $ | 90,159 | $ | (4,078 | ) | (4.5 | )% | ||||||||||
| Interest expense: | |||||||||||||||||||||||
| Warehouse credit facility | 6,835 | 7,877 | 1,017 | 8,894 | (2,059 | ) | (23.2 | )% | |||||||||||||||
| Securitization debt | 17,206 | 16,431 | 1,178 | 17,609 | (403 | ) | (2.3 | )% | |||||||||||||||
| Total interest expense | 24,041 | 24,308 | 2,195 | 26,503 | (2,462 | ) | (9.3 | )% | |||||||||||||||
| Net interest income | 62,040 | 58,597 | 5,059 | 63,656 | (1,616 | ) | (2.5 | )% | |||||||||||||||
| Realized and unrealized losses, net of recoveries | 35,580 | 33,612 | 7,647 | 41,259 | (5,679 | ) | (13.8 | )% | |||||||||||||||
| Net interest income (loss) after losses and recoveries | 26,460 | 24,985 | (2,588 | ) | 22,397 | 4,063 | 18.1 | % | |||||||||||||||
| Noninterest income: | |||||||||||||||||||||||
| Servicing income | 2,064 | 2,513 | 192 | 2,705 | (641 | ) | (23.7 | )% | |||||||||||||||
| Warranties and GAP income, net | 5,968 | 7,244 | 390 | 7,634 | (1,666 | ) | (21.8 | )% | |||||||||||||||
| Other income | 5,126 | 4,213 | 66 | 4,279 | 847 | 19.8 | % | ||||||||||||||||
| Total noninterest income | 13,158 | 13,970 | 648 | 14,618 | (1,460 | ) | (10.0 | )% | |||||||||||||||
| Expenses: | |||||||||||||||||||||||
| Compensation and benefits | 33,089 | 31,137 | 2,398 | 33,535 | (446 | ) | (1.3 | )% | |||||||||||||||
| Professional fees | 4,353 | 4,502 | 172 | 4,674 | (321 | ) | (6.9 | )% | |||||||||||||||
| Software and IT costs | 6,144 | 4,774 | 367 | 5,141 | 1,003 | 19.5 | % | ||||||||||||||||
| Depreciation and amortization | 2,616 | 1,107 | 817 | 1,924 | 692 | 36.0 | % | ||||||||||||||||
| Interest expense on corporate debt | 1,526 | 1,178 | 85 | 1,263 | 263 | 20.8 | % | ||||||||||||||||
| Impairment charges | — | 3,479 | — | 3,479 | (3,479 | ) | (100.0 | )% | |||||||||||||||
| Other expenses | 4,020 | 3,822 | 262 | 4,084 | (64 | ) | (1.6 | )% | |||||||||||||||
| Total expenses | 51,748 | 49,999 | 4,101 | 54,100 | (2,352 | ) | (4.3 | )% | |||||||||||||||
| Provision for income taxes from continuing operations | — | 39 | — | 39 | (39 | ) | (100.0 | )% | |||||||||||||||
| Preferred stock dividends attributable to noncontrolling interests of subsidiary | (1,262 | ) | — | — | — | (1,262 | ) | 100.0 | % | ||||||||||||||
| Adjusted net loss | $ | (10,983 | ) | $ | (6,168 | ) | $ | (5,910 | ) | $ | (12,078 | ) | $ | 1,095 | 9.1 | % | |||||||
| Stock compensation expense | $ | 2,258 | $ | 1,408 | $ | 127 | $ | 1,535 | $ | 722 | 47.1 | % | |||||||||||
| Severance | $ | 151 | $ | 28 | $ | 4 | $ | 32 | $ | 119 | 370.7 | % | |||||||||||
CarStory
| Three Months Ended June 30, | ||||||||||||||
| 2026 | 2025 | Change | % Change | |||||||||||
| (in thousands) | ||||||||||||||
| Noninterest income: | ||||||||||||||
| CarStory revenue | $ | 1,297 | $ | 1,846 | $ | (549 | ) | (29.7 | )% | |||||
| Other income | 37 | 35 | 2 | 5.7 | % | |||||||||
| Total noninterest income | 1,334 | 1,881 | (547 | ) | (29.1 | )% | ||||||||
| Expenses: | ||||||||||||||
| Compensation and benefits | 1,266 | 1,581 | (315 | ) | (19.9 | )% | ||||||||
| Professional fees | 42 | (67 | ) | 109 | 162.7 | % | ||||||||
| Software and IT costs | 2 | 3 | (1 | ) | (33.3 | )% | ||||||||
| Depreciation and amortization | 101 | 114 | (13 | ) | (11.4 | )% | ||||||||
| Other expenses | 102 | 136 | (34 | ) | (25.0 | )% | ||||||||
| Total expenses | 1,513 | 1,767 | (254 | ) | (14.4 | )% | ||||||||
| Provision for income taxes from continuing operations | 31 | 33 | (2 | ) | (6.1 | )% | ||||||||
| Adjusted net (loss) income | $ | (156 | ) | $ | 124 | $ | (280 | ) | (225.8 | )% | ||||
| Stock compensation expense | $ | 23 | $ | 43 | $ | (20 | ) | (45.9 | )% | |||||
| Severance | $ | 31 | $ | — | $ | 31 | 100.0 | % | ||||||
| Successor | Predecessor | Non-GAAP Combined | Non-GAAP | Non-GAAP | |||||||||||||||||||
| Six months ended June 30, |
Period from January 15 through June 30, |
Period from January 1 through January 14, |
Six months ended June 30, |
||||||||||||||||||||
| 2026 | 2025 | 2025 | 2025 | Change | % Change | ||||||||||||||||||
| (in thousands) | |||||||||||||||||||||||
| Noninterest income: | |||||||||||||||||||||||
| CarStory revenue | $ | 2,630 | $ | 4,238 | $ | 432 | $ | 4,670 | $ | (2,040 | ) | (43.7 | )% | ||||||||||
| Other income | 71 | 97 | 13 | 110 | (39 | ) | (35.5 | )% | |||||||||||||||
| Total noninterest income | 2,701 | 4,335 | 445 | 4,780 | (2,079 | ) | (43.5 | )% | |||||||||||||||
| Expenses: | |||||||||||||||||||||||
| Compensation and benefits | 2,509 | 2,941 | 326 | 3,267 | (758 | ) | (23.2 | )% | |||||||||||||||
| Professional fees | 94 | (67 | ) | 13 | (54 | ) | 148 | 274.1 | % | ||||||||||||||
| Software and IT costs | 4 | 3 | 2 | 5 | (1 | ) | (20.0 | )% | |||||||||||||||
| Depreciation and amortization | 206 | 210 | 240 | 450 | (244 | ) | (54.2 | )% | |||||||||||||||
| Other expenses | 195 | 274 | 20 | 294 | (99 | ) | (33.7 | )% | |||||||||||||||
| Total expenses | 3,008 | 3,361 | 601 | 3,962 | (954 | ) | (24.1 | )% | |||||||||||||||
| Provision for income taxes from continuing operations | 57 | 49 | 5 | 54 | 3 | 5.6 | % | ||||||||||||||||
| Adjusted net (loss) income | $ | (286 | ) | $ | 963 | $ | (153 | ) | $ | 810 | $ | (1,096 | ) | (135.3 | )% | ||||||||
| Stock compensation expense | $ | 47 | $ | 38 | $ | 8 | $ | 46 | $ | 1 | 2.8 | % | |||||||||||
| Severance | $ | 31 | $ | — | $ | — | $ | — | $ | 31 | 100.0 | % | |||||||||||
Corporate
| Three Months Ended June 30, | ||||||||||||||
| 2026 | 2025 | Change | % Change | |||||||||||
| (in thousands) | ||||||||||||||
| Realized and unrealized losses, net of recoveries | $ | (94 | ) | $ | (1,422 | ) | $ | 1,327 | 93.4 | % | ||||
| Net interest loss after losses and recoveries | 94 | 1,422 | (1,327 | ) | (93.4 | )% | ||||||||
| Noninterest income: | ||||||||||||||
| Warranties and GAP income, net | 88 | (28 | ) | 116 | 414.3 | % | ||||||||
| Other income | — | 54 | (54 | ) | (100.0 | )% | ||||||||
| Total noninterest income | 88 | 26 | 62 | 238.5 | % | |||||||||
| Expenses: | ||||||||||||||
| Compensation and benefits | 1,133 | 2,067 | (934 | ) | (45.2 | )% | ||||||||
| Professional fees | 953 | 647 | 306 | 47.3 | % | |||||||||
| Software and IT costs | 63 | 729 | (666 | ) | (91.4 | )% | ||||||||
| Interest expense on corporate debt | 298 | — | 298 | 100.0 | % | |||||||||
| Other expenses | 419 | 544 | (125 | ) | (23.0 | )% | ||||||||
| Total expenses | 2,866 | 3,987 | (1,121 | ) | (28.1 | )% | ||||||||
| (Benefit) provision for income taxes from continuing operations | (55 | ) | 26 | (81 | ) | (311.5 | )% | |||||||
| Successor | Predecessor | Non-GAAP Combined | Non-GAAP | Non-GAAP | |||||||||||||||||||
| Six months ended June 30, |
Period from January 15 through June 30, |
Period from January 1 through January 14, |
Six months ended June 30, |
||||||||||||||||||||
| 2026 | 2025 | 2025 | 2025 | Change | % Change | ||||||||||||||||||
| (in thousands) | |||||||||||||||||||||||
| Interest income (expense) | $ | — | $ | — | $ | (71 | ) | $ | (71 | ) | $ | 71 | 100.0 | % | |||||||||
| Realized and unrealized losses (gains), net of recoveries | (233 | ) | (3,012 | ) | (855 | ) | (3,867 | ) | 3,633 | 94.0 | % | ||||||||||||
| Net interest income after losses and recoveries | 233 | 3,012 | 784 | 3,796 | (3,562 | ) | (93.8 | )% | |||||||||||||||
| Noninterest (loss) income: | |||||||||||||||||||||||
| Warranties and GAP income (loss), net | 9 | 480 | (83 | ) | 397 | (388 | ) | (97.7 | )% | ||||||||||||||
| Other income | — | 238 | 34 | 272 | (272 | ) | (100.0 | )% | |||||||||||||||
| Total noninterest (loss) income | 9 | 718 | (49 | ) | 669 | (660 | ) | (98.7 | )% | ||||||||||||||
| Expenses: | |||||||||||||||||||||||
| Compensation and benefits | 2,299 | 3,080 | 99 | 3,179 | (880 | ) | (27.7 | )% | |||||||||||||||
| Professional fees | 2,057 | 2,925 | 112 | 3,037 | (980 | ) | (32.3 | )% | |||||||||||||||
| Software and IT costs | 257 | 1,045 | 88 | 1,133 | (876 | ) | (77.3 | )% | |||||||||||||||
| Interest expense on corporate debt | 749 | — | 91 | 91 | 658 | 723.1 | % | ||||||||||||||||
| Impairment charges | — | 677 | — | 677 | (677 | ) | (100.0 | )% | |||||||||||||||
| Other expenses | 767 | 1,106 | 89 | 1,195 | (428 | ) | (35.8 | )% | |||||||||||||||
| Total expenses | 6,129 | 8,833 | 479 | 9,312 | (3,183 | ) | (34.2 | )% | |||||||||||||||
| Provision for income taxes from continuing operations | 111 | 121 | — | 121 | (10 | ) | (8.3 | )% | |||||||||||||||
Non-GAAP Financial Measures
In addition to our results determined in accordance with GAAP, we believe the following non-GAAP financial measures are useful in evaluating our operating performance: Adjusted net income (loss), total available liquidity, 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.
Tangible book value is calculated as stockholders’ equity in accordance with GAAP, after subtracting intangible assets. A reconciliation of stockholders’ equity to tangible book value is included above.
Total available liquidity represents unrestricted cash and cash equivalents, availability from warehouse credit facilities, available liquidity from the delayed draw facility, and availability from the 2032 Notes. A reconciliation of unrestricted cash and cash equivalents to total available liquidity is included above.
These non-GAAP measures have limitations as analytical tools because they do not reflect all of the amounts associated with our results of operations or liquidity as determined in accordance with GAAP. Additionally, they 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, these non-GAAP financial measures should be considered along with other operating and financial performance measures presented in accordance with GAAP. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. We have reconciled these non-GAAP financial measures with the most directly comparable GAAP financial measures elsewhere herein.
Non-GAAP Combined Six Months Ended June 30, 2025
Our financial results for the periods from January 1, 2025 through January 14, 2025 are referred to as those of the “Predecessor” periods. Our financial results for the periods from January 15, 2025 and thereafter are referred to as those of the “Successor” periods. Our results of operations as reported in our 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 June 30, 2025, separately, management views our operating results for the six months ended June 30, 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 June 30, 2025 against any of the previous or future periods reported in our Consolidated Financial Statements without combining it with the period from January 1, 2025 through January 14, 2025 and we do 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 Consolidated Financial Statements in accordance with GAAP, the tables and discussion below also present the combined results for the six months ended June 30, 2025. The combined results for the six months ended June 30, 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 June 30, 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 six months ended June 30, 2026 (prepared on a GAAP basis) and six months ended June 30, 2025 (prepared on a Non-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 less preferred stock dividends attributable to noncontrolling interests of subsidiary, 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 GAAP measure (in thousands):
| Three Months Ended June 30, | ||||||||
| 2026 | 2025 | |||||||
| Net income (loss) from continuing operations | $ | 555 | $ | (8,932 | ) | |||
| Preferred stock dividends attributable to noncontrolling interests of subsidiary | (691 | ) | — | |||||
| Adjusted to exclude the following: | ||||||||
| Stock compensation expense | 1,435 | 1,836 | ||||||
| Severance expense | 195 | 367 | ||||||
| Adjusted net income (loss) | $ | 1,494 | $ | (6,729 | ) | |||
| Successor | Predecessor | Non-GAAP Combined | |||||||||||||||
| Six months ended June 30, |
Period from January 15 through June 30, |
Period from January 1 through January 14, |
Six months ended June 30, |
||||||||||||||
| 2026 | 2025 | 2025 | 2025 | ||||||||||||||
| (in thousands) | |||||||||||||||||
| Net (loss) income from continuing operations | $ | (18,491 | ) | $ | (15,382 | ) | $ | 45,090 | $ | 29,708 | |||||||
| Preferred stock dividends attributable to noncontrolling interests of subsidiary | (1,262 | ) | — | — | — | ||||||||||||
| Adjusted to exclude the following: | |||||||||||||||||
| Stock compensation expense | 2,862 | 2,327 | 144 | 2,471 | |||||||||||||
| Severance expense | 195 | 388 | 4 | 392 | |||||||||||||
| Bankruptcy costs (prepetition filing and post-emergence) | — | 913 | — | 913 | |||||||||||||
| Reorganization items, net | — | — | (51,036 | ) | (51,036 | ) | |||||||||||
| Impairment charges | — | 4,156 | — | 4,156 | |||||||||||||
| Adjusted net loss | $ | (16,696 | ) | $ | (7,598 | ) | $ | (5,798 | ) | $ | (13,396 | ) | |||||
| Successor | Successor | Successor | Successor | Successor | Successor | Predecessor | Non-GAAP Combined | Predecessor | Predecessor | ||||||||||||||||||||||||
| Period from April 1 through June 30, |
Period from January 1 through March 31, | Period from October 1 through December 31, |
Period from July 1 through September 30, | Period from April 1 through June 30, | Period from January 15 through March 31, | Period from January 1 through January 14, | Three Months Ended March 31, |
Three Months Ended December 31, |
Three Months Ended September 30, |
||||||||||||||||||||||||
| 2026 | 2026 | 2025 | 2025 | 2025 | 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||||||||||
| Net income (loss) from continuing operations | $ | 555 | $ | (19,046 | ) | $ | (11,521 | ) | $ | (27,142 | ) | $ | (8,932 | ) | $ | (6,450 | ) | $ | 45,090 | $ | 38,640 | $ | (36,716 | ) | $ | (37,744 | ) | ||||||
| Preferred stock dividends attributable to noncontrolling interests of subsidiary | (691 | ) | (571 | ) | – | – | – | – | – | – | – | – | |||||||||||||||||||||
| Stock compensation expense | 1,435 | 1,427 | 1,410 | 1,444 | 1,836 | 491 | 144 | 635 | 935 | 1,244 | |||||||||||||||||||||||
| Severance expense | 195 | – | – | – | 367 | 21 | 4 | 25 | 287 | 763 | |||||||||||||||||||||||
| Bankruptcy costs (prepetition filing and post-emergence) | – | – | – | – | – | 913 | – | 913 | 3,582 | – | |||||||||||||||||||||||
| Reorganization items, net | – | – | – | – | – | – | (51,036 | ) | (51,036 | ) | 5,564 | – | |||||||||||||||||||||
| Gain on extinguishment of debt | – | – | – | – | – | – | – | – | – | – | |||||||||||||||||||||||
| Impairment charges | – | – | – | – | – | 4,156 | – | 4,156 | – | 2,407 | |||||||||||||||||||||||
| Adjusted net income (loss) | 1,494 | (18,190 | ) | (10,111 | ) | (25,698 | ) | (6,729 | ) | (869 | ) | (5,798 | ) | (6,667 | ) | (26,348 | ) | (33,330 | ) | ||||||||||||||
Financial Outlook
For the full year 2026 we expect the following updated guidance:
Indirect origination volume(5): $475 – $515 million
Adjusted net income (loss)(3)(4): ($25) – ($30) million
(4) A reconciliation of non-GAAP guidance measures to corresponding GAAP measures for the full year 2026 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.
(5) 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 August 4, 2026 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 financial outlook for the full year 2026, including expected indirect origination volume and adjusted net income (loss) guidance, expected continued improvement in credit performance and realized and unrealized losses, expected benefits of our refreshed internal customer scoring model, anticipated performance of recently underwritten loan vintages, the restructuring, including its impact and intended benefits, our strategic initiatives and long-term strategy, expected benefits of our recent debt exchange transactions, future expense management, planned technology investments, future results of operations and financial position, our total available liquidity, our liquidity position 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, 2025, as updated by our Quarterly Report on Form 10-Q for the quarter ended June 30, 2026, which are 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 except as required by applicable law.
Investor Relations:
Vroom
Jon Sandison
investors@vroom.com
| VROOM, INC. |
||||||||
| CONSOLIDATED BALANCE SHEETS |
||||||||
| (in thousands, except share and per share amounts) |
||||||||
| As of June 30, |
As of December 31, |
|||||||
| 2026 | 2025 | |||||||
| ASSETS | ||||||||
| Cash and cash equivalents | $ | 16,359 | $ | 10,384 | ||||
| Restricted cash (including restricted cash of consolidated VIEs of $58.8 million and $55.8 million, respectively) | 58,927 | 55,914 | ||||||
| Finance receivables at fair value (including finance receivables of consolidated VIEs of $785.6 million and $777.0 million, respectively) | 807,665 | 808,636 | ||||||
| Interest receivable (including interest receivables of consolidated VIEs of $11.7 million and $12.4 million, respectively) | 11,915 | 12,834 | ||||||
| Property and equipment, net | 7,708 | 6,744 | ||||||
| Intangible assets, net | 11,419 | 12,370 | ||||||
| Operating lease right-of-use assets | 5,252 | 5,792 | ||||||
| Other assets (including other assets of consolidated VIEs of $10.0 million and $9.8 million, respectively) | 22,100 | 24,665 | ||||||
| Assets from discontinued operations | — | 46 | ||||||
| Total assets | $ | 941,345 | $ | 937,385 | ||||
| LIABILITIES, MEZZANINE EQUITY AND STOCKHOLDERS’ EQUITY (DEFICIT) | ||||||||
| Warehouse credit facilities of consolidated VIEs | $ | 240,766 | $ | 318,655 | ||||
| Related party line of credit (Note 19) | — | 18,500 | ||||||
| Long-term debt (including securitization debt of consolidated VIEs of $465.2 million and $393.2 million, respectively) | 489,370 | 423,197 | ||||||
| Related party note (Note 19) | 40,000 | 10,000 | ||||||
| Operating lease liabilities | 8,486 | 9,142 | ||||||
| Other liabilities (including other liabilities of consolidated VIEs of $16.0 million and $15.7 million, respectively) | 41,543 | 41,149 | ||||||
| Liabilities from discontinued operations | 167 | 124 | ||||||
| Total liabilities | 820,332 | 820,767 | ||||||
| Commitments and contingencies (Note 12) | ||||||||
| Mezzanine equity: | ||||||||
| Preferred units, no par value, 15,000 series A units and 7,500 series B units authorized and issued to noncontrolling interests of subsidiary (Note 13) | 21,221 | — | ||||||
| Stockholders’ equity: | ||||||||
| Common stock, $0.001 par value; 250,000,000 shares authorized as of June 30, 2026 and December 31, 2025, respectively; 5,234,353 and 5,199,641 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively | 5 | 5 | ||||||
| Additional paid-in-capital | 172,529 | 169,663 | ||||||
| Accumulated deficit | (72,742 | ) | (53,050 | ) | ||||
| Total stockholders’ equity | 99,792 | 116,618 | ||||||
| Total liabilities, mezzanine equity and stockholders’ equity | $ | 941,345 | $ | 937,385 | ||||
| VROOM, INC. |
||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS |
||||||||
| (in thousands, except share and per share amounts) |
||||||||
| (unaudited) |
||||||||
| Three Months Ended June 30, | ||||||||
| 2026 | 2025 | |||||||
| Interest income | $ | 43,605 | $ | 45,748 | ||||
| Interest expense: | ||||||||
| Warehouse credit facility | 3,396 | 3,259 | ||||||
| Securitization debt | 8,586 | 9,883 | ||||||
| Total interest expense | 11,982 | 13,142 | ||||||
| Net interest income | 31,623 | 32,606 | ||||||
| Realized and unrealized losses, net of recoveries | 10,663 | 19,500 | ||||||
| Net interest income after losses and recoveries | 20,960 | 13,106 | ||||||
| Noninterest income: | ||||||||
| Servicing income | 925 | 1,259 | ||||||
| Warranties and GAP income, net | 3,291 | 3,645 | ||||||
| CarStory revenue | 1,297 | 1,846 | ||||||
| Other income | 3,156 | 2,067 | ||||||
| Total noninterest income | 8,669 | 8,817 | ||||||
| Expenses: | ||||||||
| Compensation and benefits | 18,751 | 21,091 | ||||||
| Professional fees | 1,984 | 2,013 | ||||||
| Software and IT costs | 3,244 | 3,420 | ||||||
| Depreciation and amortization | 1,482 | 742 | ||||||
| Interest expense on corporate debt | 1,063 | 698 | ||||||
| Other expenses | 2,574 | 2,832 | ||||||
| Total expenses | 29,098 | 30,796 | ||||||
| Income (loss) from continuing operations before provision for income taxes | 531 | (8,873 | ) | |||||
| (Benefit) provision for income taxes from continuing operations | (24 | ) | 59 | |||||
| Net income (loss) from continuing operations | $ | 555 | $ | (8,932 | ) | |||
| Net income from discontinued operations | $ | 73 | $ | 413 | ||||
| Net income (loss) | $ | 628 | $ | (8,519 | ) | |||
| Preferred stock dividends attributable to noncontrolling interests of subsidiary | $ | (691 | ) | $ | — | |||
| Net loss attributable to controlling interest and common shareholders | $ | (63 | ) | $ | (8,519 | ) | ||
| Net loss per share attributable to common stockholders, continuing operations, basic and diluted | $ | (0.02 | ) | $ | (1.73 | ) | ||
| Net income per share attributable to common stockholders, discontinued operations, basic and diluted | $ | 0.01 | $ | 0.08 | ||||
| Total net loss per share attributable to common stockholders, basic and diluted | $ | (0.01 | ) | $ | (1.65 | ) | ||
| Weighted-average number of shares outstanding used to compute net loss per share attributable to common stockholders, basic and diluted | 5,214,021 | 5,174,381 | ||||||
| Successor | Predecessor | |||||||||||
| Six months ended June 30, |
Period from January 15 through June 30, |
Period from January 1 through January 14, |
||||||||||
| 2026 | 2025 | 2025 | ||||||||||
| Interest income | $ | 86,081 | $ | 82,905 | $ | 7,183 | ||||||
| Interest expense: | ||||||||||||
| Warehouse credit facility | 6,835 | 7,877 | 1,017 | |||||||||
| Securitization debt | 17,206 | 16,431 | 1,178 | |||||||||
| Total interest expense | 24,041 | 24,308 | 2,195 | |||||||||
| Net interest income | 62,040 | 58,597 | 4,988 | |||||||||
| Realized and unrealized losses, net of recoveries | 35,346 | 30,600 | 6,792 | |||||||||
| Net interest income (loss) after losses and recoveries | 26,694 | 27,997 | (1,804 | ) | ||||||||
| Noninterest income: | ||||||||||||
| Servicing income | 2,064 | 2,513 | 192 | |||||||||
| Warranties and GAP income, net | 5,977 | 7,724 | 307 | |||||||||
| CarStory revenue | 2,630 | 4,238 | 432 | |||||||||
| Other income | 5,197 | 4,548 | 113 | |||||||||
| Total noninterest income | 15,868 | 19,023 | 1,044 | |||||||||
| Expenses: | ||||||||||||
| Compensation and benefits | 37,897 | 37,158 | 2,823 | |||||||||
| Professional fees | 6,504 | 7,360 | 297 | |||||||||
| Software and IT costs | 6,405 | 5,822 | 457 | |||||||||
| Depreciation and amortization | 2,822 | 1,317 | 1,057 | |||||||||
| Interest expense on corporate debt | 2,275 | 1,178 | 176 | |||||||||
| Impairment charges | — | 4,156 | — | |||||||||
| Other expenses | 4,982 | 5,202 | 371 | |||||||||
| Total expenses | 60,885 | 62,193 | 5,181 | |||||||||
| Loss from continuing operations before reorganization items and provision for income taxes | (18,323 | ) | (15,173 | ) | (5,941 | ) | ||||||
| Reorganization items, net | — | — | 51,036 | |||||||||
| (Loss) income from continuing operations before provision for income taxes | (18,323 | ) | (15,173 | ) | 45,095 | |||||||
| Provision for income taxes from continuing operations | 168 | 209 | 5 | |||||||||
| Net (loss) income from continuing operations | $ | (18,491 | ) | $ | (15,382 | ) | $ | 45,090 | ||||
| Net income (loss) from discontinued operations | 61 | 512 | (4 | ) | ||||||||
| Net (loss) income | $ | (18,430 | ) | $ | (14,870 | ) | $ | 45,086 | ||||
| Preferred stock dividends attributable to noncontrolling interests of subsidiary | $ | (1,262 | ) | $ | — | $ | — | |||||
| Net (loss) income attributable to controlling interest and common shareholders | $ | (19,692 | ) | $ | (14,870 | ) | $ | 45,086 | ||||
| VROOM, INC. | ||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS (continued) | ||||||||||||
| (in thousands, except share and per share amounts) | ||||||||||||
| (unaudited) | ||||||||||||
| Successor | Predecessor | |||||||||||
| Six months ended June 30, |
Period from January 15 through June 30, |
Period from January 1 through January 14, |
||||||||||
| 2026 | 2025 | 2025 | ||||||||||
| Net (loss) income per share attributable to common stockholders, basic: | ||||||||||||
| Continuing operations | (3.79 | ) | (2.98 | ) | 24.74 | |||||||
| Discontinued operations | 0.01 | 0.10 | (0.00 | ) | ||||||||
| Basic | $ | (3.78 | ) | $ | (2.88 | ) | $ | 24.74 | ||||
| Net (loss) income per share attributable to common stockholders, diluted: | ||||||||||||
| Continuing operations | (3.79 | ) | (2.98 | ) | 23.89 | |||||||
| Discontinued operations | 0.01 | 0.10 | (0.00 | ) | ||||||||
| Diluted | $ | (3.78 | ) | $ | (2.88 | ) | $ | 23.89 | ||||
| Weighted-average number of shares outstanding used to compute net (loss) income per share attributable to common stockholders: | ||||||||||||
| Basic | 5,207,963 | 5,169,251 | 1,822,541 | |||||||||
| Diluted | 5,207,963 | 5,169,251 | 1,887,370 | |||||||||
| VROOM, INC. |
|||||||||||||
| CONSOLIDATED STATEMENTS OF CASH FLOWS |
|||||||||||||
| (in thousands) |
|||||||||||||
| (unaudited) |
|||||||||||||
| Successor | Predecessor | ||||||||||||
| Six months ended June 30, |
Period from January 15 through June 30, |
Period from January 1 through January 14, |
|||||||||||
| 2026 | 2025 | 2025 | |||||||||||
| Operating activities | |||||||||||||
| Net (loss) income from continuing operations | $ | (18,491 | ) | $ | (15,382 | ) | $ | 45,090 | |||||
| Adjustments to reconcile net (loss) income to net cash used in operating activities: | |||||||||||||
| Impairment charges | — | 4,156 | — | ||||||||||
| Depreciation and amortization | 2,822 | 1,317 | 1,057 | ||||||||||
| Losses on finance receivables and securitization debt, net | 43,486 | 40,357 | 4,762 | ||||||||||
| Losses on Warranties and GAP | 3,474 | 3,709 | 407 | ||||||||||
| Stock-based compensation expense | 2,862 | 2,327 | 144 | ||||||||||
| Amortization of unearned discounts on finance receivables at fair value | — | — | (416 | ) | |||||||||
| Non-cash reorganization items, net | — | — | (51,741 | ) | |||||||||
| Other, net | 258 | (1,044 | ) | 193 | |||||||||
| Changes in operating assets and liabilities: | |||||||||||||
| Finance receivables, held for sale | |||||||||||||
| Originations of finance receivables, held for sale | — | — | (14,337 | ) | |||||||||
| Principal payments received on finance receivables, held for sale | — | — | 6,481 | ||||||||||
| Other | — | — | 169 | ||||||||||
| Interest receivable | 919 | 1,184 | (164 | ) | |||||||||
| Other assets | 1,159 | (1,836 | ) | 5,178 | |||||||||
| Other liabilities | 375 | 457 | (2,627 | ) | |||||||||
| Net cash provided by (used in) operating activities from continuing operations | 36,864 | 35,245 | (5,804 | ) | |||||||||
| Net cash provided by (used in) operating activities from discontinued operations | 150 | (729 | ) | (207 | ) | ||||||||
| Net cash provided by (used in) operating activities | 37,014 | 34,516 | (6,011 | ) | |||||||||
| Investing activities | |||||||||||||
| Finance receivables, held for investment at fair value | |||||||||||||
| Originations of finance receivables, held for investment at fair value | (225,065 | ) | (223,059 | ) | — | ||||||||
| Principal payments received on finance receivables, held for investment at fair value | 172,031 | 158,482 | 2,985 | ||||||||||
| Principal payments received on beneficial interests | 398 | 840 | 147 | ||||||||||
| Purchase of property and equipment | (2,835 | ) | (3,190 | ) | (151 | ) | |||||||
| Net cash (used in) provided by investing activities from continuing operations | (55,471 | ) | (66,927 | ) | 2,981 | ||||||||
| Net cash provided by investing activities from discontinued operations | — | 637 | — | ||||||||||
| Net cash (used in) provided by investing activities | (55,471 | ) | (66,290 | ) | 2,981 | ||||||||
| Financing activities | |||||||||||||
| Proceeds from borrowings under secured financing agreements | 225,000 | 307,780 | — | ||||||||||
| Principal repayment under secured financing agreements | (145,555 | ) | (120,548 | ) | (16,676 | ) | |||||||
| Proceeds from financing of beneficial interests in securitizations | — | 16,223 | — | ||||||||||
| Principal repayments of financing of beneficial interests in securitizations | (5,781 | ) | (6,589 | ) | (1,028 | ) | |||||||
| Proceeds from warehouse credit facilities | 182,400 | 182,300 | 11,900 | ||||||||||
| Repayments of warehouse credit facilities | (260,289 | ) | (340,196 | ) | (8,094 | ) | |||||||
| Proceeds from preferred units issued to noncontrolling interests of subsidiary, net of issuance costs | 21,221 | — | — | ||||||||||
| Cash paid for preferred stock dividends attributable to noncontrolling interests of subsidiary | (571 | ) | — | — | |||||||||
| Proceeds from issuance of related party note | 11,500 | — | — | ||||||||||
| Other financing activities | (480 | ) | (1,474 | ) | — | ||||||||
| Net cash provided by (used in) financing activities | 27,445 | 37,496 | (13,898 | ) | |||||||||
| Net increase (decrease) in cash, cash equivalents and restricted cash | 8,988 | 5,722 | (16,928 | ) | |||||||||
| Cash, cash equivalents and restricted cash at the beginning of period | 66,298 | 61,441 | 78,369 | ||||||||||
| Cash, cash equivalents and restricted cash at the end of period | $ | 75,286 | $ | 67,163 | $ | 61,441 | |||||||
| VROOM, INC. |
|||||||||||||
| CONSOLIDATED STATEMENTS OF CASH FLOWS (continued) |
|||||||||||||
| (in thousands) |
|||||||||||||
| (unaudited) |
|||||||||||||
| Supplemental disclosure of cash flow information: | |||||||||||||
| Cash paid for interest | $ | 25,137 | $ | 22,067 | $ | 4,534 | |||||||
| Cash paid for reorganization items, net | $ | — | $ | — | $ | 1,705 | |||||||
| Accrued and unpaid preferred stock dividends attributable to noncontrolling interests of subsidiary | $ | 691 | $ | — | $ | — | |||||||
| Exchange of outstanding debt for 2032 Notes | $ | 28,500 | $ | — | $ | — | |||||||
| Cash paid for income taxes, net of (refunds) | $ | (321 | ) | $ | 606 | $ | — | ||||||
