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CarGurus, Inc. CARG Impairment Of Capitalized Internal Use Software

Impairment Of Capitalized Internal Use Software at other companies

Health Catalyst logo
Health CatalystHCAT
$4.81M-11.4%
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Health CatalystHCAT
$4.81M-11.4%
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PaylocityPCTY
$143.59M+8.5%
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PaylocityPCTY
$143.59M+8.5%
Shift4 Payments logo
Shift4 PaymentsFOUR
$30M+57.9%
Shift4 Payments logo
Shift4 PaymentsFOUR
$30M+57.9%

Other financials

Income statement

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Revenue$251.0M+13.1%
Gross profit$231.1M+12.0%
Operating income$63.0M+4.0%
Net income$49.2M+120%
EPS (diluted)$0.54+145%

Balance sheet

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Cash & equivalents$122.1M-47.2%
Total debt$185.1M-5.2%
Total equity$264.4M-39.3%
Total assets$555.1M-23.5%

Cash flow

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Operating cash flow$94.6M+29.4%
CapEx$562.0K-64.5%
Free cash flow$94.0M+31.4%

Valuation

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Market cap$3.28B+4.4%
Enterprise value$3.35B+7.7%
P/E18.7×-5.6×
P/S3.4×-0.3×

Profitability

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Gross margin91.5%+2.4pp
Operating margin28.6%-10.9pp
Net margin18.2%+2.9pp
FCF margin32.6%+3.3pp

Returns & leverage

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Return on equity50.3%+21.0pp
Debt / equity0.7×+0.3×
Current ratio1.8×-1.3×

Where this comes from

Reported directly by CarGurus, Inc. in its filing.

Tagged under the XBRL concept carg:ImpairmentOfCapitalizedInternalUseSoftware.

The source filing: CarGurus, Inc.’s 10-K, filed February 19, 2026.

Filed
Feb 19, 2026, 4:16 PM EST
Fiscal year
FY2025
Accession
0001193125-26-059435

During the year ended December 31, 2025, the Company recognized impairments related to CarOffer of $0.3 million, $0.8 million, $4.8 million, $6.6 million, and $19.6 million for capitalized hosting arrangements, capitalized internal-use software, capitalized website development costs, intangible assets, and goodwill, respectively. During the year ended December 31, 2024, the Company recognized impairments related to CarOffer of $7.6 million and $115.2 million for intangible assets and goodwill, respectively.

Item 8. Financial Statements and Supplementary Data.

FAQ

What is CarGurus, Inc.'s impairment of capitalized internal use software?
CarGurus, Inc. (CARG) reported impairment of capitalized internal use software of $31K in Q4 2025.
What does impairment of capitalized internal use software mean?
The impairment charge recognized when the carrying amount of internally developed software exceeds its recoverable amount. This reflects a reduction in the expected utility or strategic value of proprietary software assets.

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