KAR Auction Services

KAR Auction Services, Inc., through its subsidiaries, provides vehicle auction services in North America. It operates in three segments: ADESA Auctions, IAAI, and AFC. The ADESA Auctions encompasses wholesale auctions relates to used vehicle remarketing, including auction services, remarketing, or make ready services. It offers off-lease vehicles, repossessed vehicles, rental vehicles, and other program fleet vehicles. This segment also provides value-added ancillary services, such as inspections, storage, transportation, reconditioning and titling, and other administrative services. It serves commercial fleet operators, financial institutions, rental car companies, used vehicle dealers, vehicle manufacturers and their captive finance companies, and franchised and independent used vehicle dealers. 
The IAAI segment offers salvage vehicle auctions and related services. The salvage auctions facilitate the redistribution of damaged or low value vehicles designated as total losses by insurance companies and charity donation vehicles, as well as recovered stolen vehicles. This segment specializes in providing services, such as transportation, titling, salvage recovery, and claims settlement administrative services. 
The AFC segment offers short-term and inventory-secured financing, known as floorplan financing, to independent used vehicle dealers. 

Company Growth (employees)
Type
Public
HQ
Carmel, US
Founded
2006
Size (employees)
17,400 (est)
KAR Auction Services was founded in 2006 and is headquartered in Carmel, US

KAR Auction Services Office Locations

KAR Auction Services has an office in Carmel
Carmel, US (HQ)
13085 Hamilton Crossing Blvd

KAR Auction Services Data and Metrics

KAR Auction Services Financial Metrics

KAR Auction Services's revenue was reported to be $866.6 m in Q1, 2017
USD

Revenue (Q1, 2017)

866.6 m

Gross profit (Q1, 2017)

365.4 m

Gross profit margin (Q1, 2017), %

42%

Net income (Q1, 2017)

69.2 m

EBIT (Q1, 2017)

143.5 m

Market capitalization (18-Aug-2017)

6 b

Cash (31-Mar-2017)

188 m
KAR Auction Services's current market capitalization is $6 b.
USDFY, 2013FY, 2014FY, 2015FY, 2016

Revenue

2.2 b2.4 b2.6 b3.2 b

Revenue growth, %

9%12%19%

Cost of goods sold

400.8 m488.3 m

Gross profit

2.2 b2.7 b

Gross profit Margin, %

85%84%

General and administrative expense

148.8 m

Operating expense total

585.3 m701.8 m

EBIT

256.7 m377.7 m427.3 m111.9 m

EBIT margin, %

12%16%16%4%

Interest expense

24.2 m38 m

Pre tax profit

75.2 m72.2 m

Income tax expense

26.9 m26.7 m

Net Income

67.7 m169.3 m214.6 m222.4 m
USDQ2, 2014Q3, 2014Q1, 2015Q2, 2015Q3, 2015Q1, 2016Q2, 2016Q3, 2016Q1, 2017

Revenue

658.3 m666.7 m745 m771.8 m773.8 m866.6 m

Cost of goods sold

366.5 m378.1 m418.7 m430.9 m443.7 m501.2 m

Gross profit

291.8 m288.6 m326.3 m340.9 m330.1 m365.4 m

Gross profit Margin, %

44%43%44%44%43%42%

General and administrative expense

123.5 m128.5 m141.1 m146.9 m146.3 m157.4 m

Operating expense total

123.5 m128.5 m141.1 m146.9 m146.3 m157.4 m

EBIT

116.5 m106 m128.8 m135 m123.3 m143.5 m

EBIT margin, %

18%16%17%17%16%17%

Interest expense

21.8 m24.4 m28.7 m35.8 m36.3 m40.3 m

Pre tax profit

94.3 m81.9 m97.4 m99.5 m86.2 m103.3 m

Income tax expense

34.8 m29.6 m36.7 m37.7 m31.8 m34.1 m

Net Income

71.5 m119 m54.5 m114 m166.3 m60.7 m122.5 m176.9 m69.2 m
USDFY, 2013FY, 2014FY, 2015FY, 2016

Cash

191.6 m152.9 m155 m201.8 m

Current Assets

1.8 b2.1 b2.4 b2.8 b

Goodwill

1.7 b1.7 b1.8 b2.1 b

Total Assets

5.1 b5.4 b5.8 b6.6 b

Accounts Payable

435.5 m471.7 m608.4 m648.5 m

Dividends Payable

34.7 m38.2 m37.2 m43.7 m

Total Debt

2.4 b

Current Liabilities

1.4 b1.6 b2.2 b2.3 b

Non-Current Liabilities

2.2 b2.2 b2.2 b2.8 b

Total Liabilities

3.6 b3.8 b4.4 b5.2 b

Additional Paid-in Capital

1.5 b1.6 b1.4 b1.4 b

Retained Earnings

(72.3 m)(46.4 m)17.3 m74.1 m

Total Equity

1.5 b1.5 b1.4 b1.4 b

Debt to Equity Ratio

1.7 x

Debt to Assets Ratio

0.4 x

Financial Leverage

3.5 x3.5 x4.2 x4.7 x
USDQ2, 2014Q3, 2014Q1, 2015Q2, 2015Q3, 2015Q1, 2016Q2, 2016Q3, 2016Q1, 2017

Cash

285.3 m214.9 m178.4 m204.8 m125.3 m676.3 m314.7 m323.1 m188 m

Current Assets

2 b2.1 b2.2 b2.4 b2.4 b3.2 b2.9 b2.9 b2.9 b

Goodwill

1.7 b1.7 b1.7 b1.8 b1.8 b1.8 b2 b2 b2.1 b

Total Assets

5.3 b5.4 b5.5 b5.8 b5.7 b6.5 b6.6 b6.6 b6.6 b

Accounts Payable

519.7 m532.3 m638 m629.9 m627.6 m768.2 m749.2 m700.3 m786.5 m

Dividends Payable

35.1 m35.2 m38.3 m38.3 m37.1 m39.8 m40 m40.1 m43.9 m

Current Liabilities

1.5 b1.6 b1.7 b2 b2.1 b2.2 b2.3 b2.3 b2.3 b

Non-Current Liabilities

2.2 b2.2 b2.2 b2.2 b2.2 b2.8 b2.8 b2.8 b2.8 b

Additional Paid-in Capital

1.6 b1.6 b1.6 b1.6 b1.4 b1.4 b1.4 b1.4 b1.4 b

Retained Earnings

(70.8 m)(58.5 m)(30.2 m)(9 m)6.2 m38.1 m59.9 m74.2 m98.6 m

Total Equity

1.5 b1.5 b1.6 b1.6 b1.4 b1.4 b1.5 b1.5 b1.4 b

Financial Leverage

3.5 x3.5 x3.5 x3.7 x4.2 x4.6 x4.5 x4.5 x4.6 x
USDFY, 2013FY, 2014FY, 2015FY, 2016

Net Income

67.7 m169.3 m214.6 m222.4 m

Depreciation and Amortization

194.4 m196.6 m212.8 m64.7 m

Accounts Payable

36.4 m60.5 m136.1 m31.5 m

Cash From Operating Activities

434 m431.3 m475 m360.8 m

Cash From Investing Activities

(267.9 m)(412.8 m)(547.6 m)(765.3 m)

Long-term Borrowings

(52.7 m)(1.8 b)(21.5 m)(662.6 m)

Cash From Financing Activities

(76.6 m)(48.5 m)94.5 m453.2 m

Interest Paid

89.8 m75.9 m79.7 m124.5 m
USDQ2, 2014Q3, 2014Q1, 2015Q2, 2015Q3, 2015Q1, 2016Q2, 2016Q3, 2016Q1, 2017

Net Income

71.5 m119 m54.5 m114 m166.3 m60.7 m122.5 m176.9 m69.2 m

Depreciation and Amortization

96.4 m145.3 m50.9 m102.7 m156.8 m56.4 m115.4 m175.9 m64.5 m

Accounts Payable

67.1 m104.3 m105.7 m117.3 m146.4 m88.7 m106 m73.7 m83.2 m

Cash From Operating Activities

231.4 m327.7 m86.1 m200.5 m315.4 m69.5 m158.9 m283.8 m142 m

Cash From Investing Activities

(114.5 m)(290.1 m)(38.2 m)(296.8 m)(382.5 m)(100.3 m)(531.1 m)(630.9 m)(21.2 m)

Long-term Borrowings

(1.8 b)(1.8 b)(4.4 m)(8.8 m)(16.9 m)(637.6 m)(646.4 m)(654.4 m)(6.1 m)

Cash From Financing Activities

(23.1 m)(9.3 m)(14.5 m)155.4 m53.6 m546.6 m526.4 m512.5 m(136.4 m)

Interest Paid

38.5 m57.3 m18.8 m38 m58.2 m25.4 m58 m91 m37.1 m
USDY, 2017

Revenue/Employee

49.8 k

Financial Leverage

4.6 x

KAR Auction Services Acquisitions / Subsidiaries

Acquired CompanyDateDeal Size
DRIVINApril 19, 2017$43 m

KAR Auction Services Market Value History

Traffic Overview of KAR Auction Services

KAR Auction Services Company Life and Culture

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