What does gross profit mean?

Revenue minus cost of revenue — the profit available to cover operating expenses, representing the company's pricing power and production efficiency.

Cars.com Inc. CARS Gross Profit

Discontinued — last reported Q2 '19

Gross Profit at other companies

CarGurus, Inc.CARG

$224.62M+13.5%

Penske Automotive GroupPAG

$1.3B-1.7%

CarvanaCVNA

$1.27B+36.8%

OPENLANE, IncOPLN

$256.2M+17.3%

eBayEBAY

$2.29B+21.1%

Alphabet Inc.GOOGL

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Other financials

Income statement

See full

Revenue$180.2M+0.7%

Operating income$16.6M+157%

Net income$5.0M+347%

EPS (diluted)$0.08+367%

Balance sheet

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Cash & equivalents$64.6M+105%

Total debt$451.8M-0.8%

Total equity$460.7M-6.0%

Total assets$1.1B-2.8%

Cash flow

See full

Operating cash flow$39.8M+35.1%

CapEx$262.0K-67.7%

Free cash flow$39.5M+38.1%

Valuation

See full

Market cap$567.97M-19.3%

Enterprise value$955.2M-15.3%

P/E21×+5.5×

P/S0.8×-0.2×

Profitability

See full

Gross margin84.2%—

Operating margin9.7%+3.1pp

Net margin3.7%-2.6pp

FCF margin21.8%+1.6pp

Returns & leverage

See full

Return on equity5.7%-3.7pp

Debt / equity1×+0.1×

Current ratio1.9×+0.2×

Where this comes from

Calculated from Cars.com Inc.’s reported figures.

$148.2Mtotal revenue−$24.3Mtotal cost of revenue=$123.89M

The official record: Cars.com Inc.’s 10-K, filed February 25, 2021, on SEC EDGAR. View the filing →

Questions, answered.

What does gross profit mean?: Revenue minus cost of revenue — the profit available to cover operating expenses, representing the company's pricing power and production efficiency.