Vroom Announces Third Quarter 2025 Results

Continued Investment in our Long-Term Strategic Plan November 10, 2025 16:10 ET | Source: Vroom, Inc. NEW YORK, Nov. 10, 2025 (GLOBE NEWSWIRE) -- Vroom, Inc. (Nasdaq:VRM) today announced financial results for the third quarter ended September 30, 2025. HIGHLIGHTS OF THIRD QUARTER 2025 $59.2 million consolidated total available liquidity(1) as of September 30, 2025, consisting of: $12.4 million cash and cash equivalents $11.8 million of liquidity available to UACC under the warehouse credit facilities$35.0 million of available liquidity from delayed draw facility, further strengthening our liquidity position to execute our long-term strategy $(27.1) million net loss from continuing operations for the three months ended September 30, 2025$(25.7) million adjusted net loss(2) for the three months ended September 30, 2025 $(15.3) million unfavorable mark-to-market for the three months ended September 30, 2025 on the fair value portfolio$4.5 million favorable mark-to-market year to date on the fair value portfolio $94.3 million improvement in net loss and $66.8 million improvement in adjusted net loss(2) for the trailing twelve months ended September 30, 2025 compared to trailing twelve months ended September 30, 2024Stockholders' equity was $126.6 million as of September 30, 2025 and tangible book value(3) was $113.8 million as of September 30, 2025Full year expectations are in line with our original beginning of the year adjusted net loss plan of approximately $(56) million, prior to favorable mark-to-market movement in Q1 2025, now substantially offset by unfavorable mark-to-market movement in Q3 2025 (1) Total available liquidity is a non-GAAP measure and represents $12.4 million of unrestricted cash and cash equivalents, as well as $11.8 million of availability from warehouse credit facilities and $35.0 million of availability from delayed draw facility(2)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.(3)Tangible book value is a non-GAAP measure and represents total stockholders' equity of $126.6 million, excluding intangible assets of $12.8 million as of September 30, 2025. Tom Shortt, Chief Executive Officer of Vroom, said, “In the third quarter of 2025, our net loss and adjusted net loss decreased year-over-year, driven by our continued focus on our Long-Term Strategic Plan. During the third quarter, our team significantly improved our business intelligence engine and modernized our credit decision engine.” 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 condensed consolidated financial statements after the Effective Date are not comparable with our condensed 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 nine months ended September 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 September 30, 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 nine months ended September 30, 2025, (prepared on a Non-GAAP basis) and nine months ended September 30, 2024, (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. THIRD QUARTER 2025 FINANCIAL DISCUSSION All financial comparisons are on a year-over-year basis unless otherwise noted. The following financial information is unaudited. Successor Predecessor Three Months Ended September 30, Three Months Ended September 30, 2025 2024 $ Change (in thousands) Interest income $44,829 $50,213 $(5,384) Interest expense: Warehouse credit facility 4,544 6,251 (1,707)Securitization debt 8,771 9,096 (325)Total interest expense 13,315 15,347 (2,032)Net interest income 31,514 34,866 (3,352) Realized and unrealized losses, net of recoveries 43,202 38,346 4,856 Net interest income after losses and recoveries (11,688) (3,480) (8,208) Noninterest income: Servicing income 1,088 1,495 (407)Warranties and GAP income (loss), net 3,152 3,917 (765)CarStory revenue 1,347 2,890 (1,543)Other income 3,924 2,419 1,505 Total noninterest income 9,511 10,721 (1,210) Expenses: Compensation and benefits 16,287 25,365 (9,078)Professional fees 1,538 1,587 (49)Software and IT costs 3,062 3,360 (298)Depreciation and amortization 998 7,105 (6,107)Interest expense on corporate debt 706 1,601 (895)Impairment charges — 2,407 (2,407)Other expenses 2,230 3,436 (1,206)Total expenses 24,821 44,861 (20,040) Loss from continuing operations before provision for income taxes (26,998) (37,620) 10,622 Provision (benefit) for income taxes from continuing operations 144 124 20 Net loss from continuing operations $(27,142) $(37,744) $10,602 Net income (loss) from discontinued operations $366 $(1,999) $2,365 Net loss $(26,776) $(39,743) $12,967 Successor Predecessor Non-GAAP Combined Predecessor Period from January 15 through September 30, Period from January 1 through January 14, Nine MonthsEndedSeptember 30, Nine MonthsEndedSeptember 30, Non-GAAP 2025 2025 2025 2024 $ Change (in thousands) Interest income $127,734 $7,183 $134,917 $153,152 $(18,235) Interest expense: Warehouse credit facility 12,421 1,017 13,438 22,708 (9,270) Securitization debt 25,202 1,178 26,380 21,960 4,420 Total interest expense 37,623 2,195 39,818 44,668 (4,850) Net interest income 90,111 4,988 95,099 108,484 (13,385) Realized and unrealized losses, net of recoveries 73,802 6,792 80,594 87,894 (7,300) Net interest income after losses and recoveries 16,309 (1,804) 14,505 20,590 (6,085) Noninterest income: Servicing income 3,601 192 3,793 5,101 (1,308) Warranties and GAP income (loss), net 10,876 307 11,183 (4,347) 15,530 CarStory revenue 5,585 432 6,017 8,782 (2,765) Other income 8,472 113 8,585 8,344 241 Total noninterest income 28,534 1,044 29,578 17,880 11,698 Expenses: Compensation and benefits 53,445 2,823 56,268 76,651 (20,383) Professional fees 8,898 297 9,195 6,418 2,777 Software and IT costs 8,884 457 9,341 12,018 (2,677) Depreciation and amortization 2,315 1,057 3,372 21,963 (18,591) Interest expense on corporate debt 1,884 176 2,060 4,541 (2,481) Impairment charges 4,156 — 4,156 5,159 (1,003) Other expenses 7,433 371 7,804 12,853 (5,049) Total expenses 87,015 5,181 92,196 139,603 (47,407) Loss from continuing operations before reorganization items and provision for income taxes (42,172) (5,941) (48,113) (101,133) 53,020 Reorganization items, net — 51,036 51,036 — 51,036 Income (loss) from continuing operations before provision for income taxes (42,172) 45,095 2,923 (101,133) 104,056 Provision for income taxes from continuing operations 353 5 358 393 (35) Net income (loss) from continuing operations $(42,525) $45,090 $2,565 $(101,526) $104,091 Net income (loss) from discontinued operations $878 $(4) $874 $(27,024) $27,898 Net income (loss) $(41,647) $45,086 $3,439 $(128,550) $131,989 Results by Segment UACC Successor Predecessor Three Months Ended September 30, Three Months EndedSeptember 30, 2025 2024 Change % Change (in thousands) Interest income$44,829 $50,801 $(5,972) (11.8)% Interest expense: Warehouse credit facility 4,544 6,251 (1,707) (27.3)%Securitization debt 8,771 9,096 (325) (3.6)%Total interest expense 13,315 15,347 (2,032) (13.2)%Net interest income 31,514 35,454 (3,940) (11.1)% Realized and unrealized losses, net of recoveries 43,550 30,117 13,433 44.6%Net interest income after losses and recoveries (12,036) 5,337 (17,373) (325.5)% Noninterest income: Servicing income 1,088 1,495 (407) (27.2)%Warranties and GAP income, net 2,855 2,074 781 37.7%Other income 1,883 1,698 185 10.9%Total noninterest income 5,826 5,267 559 10.6% Expenses: Compensation and benefits 14,072 19,819 (5,747) (29.0)%Professional fees 826 875 (49) (5.6)%Software and IT costs 2,502 2,346 156 6.6%Depreciation and amortization 887 5,505 (4,618) (83.9)%Interest expense on corporate debt 664 681 (17) (2.5)%Impairment charges — 2,407 (2,407) (100.0)%Other expenses 1,736 1,991 (255) (12.8)%Total expenses 20,687 33,624 (12,937) (38.5)% Benefit for income taxes from continuing operations — 99 (99) (100.0)% Adjusted net loss$(25,784) $(19,857) $(5,927) 29.8% Stock compensation expense$1,112 $834 $278 33.3%Severance$- $20 $(20) (100.0)% Successor Predecessor Non-GAAP Combined Predecessor Non-GAAP Non-GAAP Period from January 15through September 30, Period fromJanuary 1 through January 14, Nine Months EndedSeptember 30, Nine Months EndedSeptember 30, 2025 2025 2025 2024 Change % Change (in thousands) Interest income$127,734 $7,254 $134,988 $154,731 $(19,743) (12.8)% Interest expense: Warehouse credit facility 12,421 1,017 13,438 22,708 (9,270) (40.8)%Securitization debt 25,202 1,178 26,380 21,960 4,420 20.1%Total interest expense 37,623 2,195 39,818 44,668 (4,850) (10.9)%Net interest income 90,111 5,059 95,170 110,063 (14,893) (13.5)% Realized and unrealized losses, net of recoveries 75,123 7,647 82,770 77,460 5,310 6.9%Net interest income (loss) after losses and recoveries 14,988 (2,588) 12,400 32,603 (20,203) (62.0)% Noninterest income: Servicing income 3,601 192 3,793 5,101 (1,308) (25.6)%Warranties and GAP income, net 10,099 390 10,489 5,324 5,165 97.0%Other income 6,096 66 6,162 6,266 (104) (1.7)%Total noninterest income 19,796 648 20,444 16,691 3,753 22.5% Expenses: Compensation and benefits 45,209 2,398 47,607 59,146 (11,539) (19.5)%Professional fees 5,328 172 5,500 2,326 3,174 136.5%Software and IT costs 7,276 367 7,643 8,048 (405) (5.0)%Depreciation and amortization 1,994 817 2,811 17,156 (14,345) (83.6)%Interest expense on corporate debt 1,842 85 1,927 1,781 146 8.2%Impairment charges 3,479 — 3,479 5,159 (1,680) (32.6)%Other expenses 5,558 262 5,820 7,569 (1,749) (23.1)%Total expenses 70,686 4,101 74,787 101,185 (26,398) (26.1)% Provision for income taxes from continuing operations 39 — 39 301 (262) (87.0)% Adjusted net loss$(29,913) $(5,910) $(35,823) $(44,652) $8,829 19.8% Stock compensation expense$2,521 $127 $2,647 $1,867 $780 41.8%Severance$28 $4 $31 $513 $(482) (93.9)% CarStory Successor Predecessor Three Months Ended September 30, Three Months EndedSeptember 30, 2025 2024 Change % Change (in thousands) Noninterest income: CarStory revenue$1,347 $2,890 $(1,543) (53.4)%Other income 35 199 (164) (82.4)%Total noninterest income 1,382 3,089 (1,707) (55.3)% Expenses: Compensation and benefits 1,378 3,127 (1,749) (55.9)%Professional fees (108) (112) 4 3.6%Software and IT costs (4) 17 (21) (123.5)%Depreciation and amortization 111 1,600 (1,489) (93.1)%Other expenses 100 127 (27) (21.3)%Total expenses 1,477 4,759 (3,282) (69.0)% Provision for income taxes from continuing operations 24 25 (1) (4.0)% Adjusted net income (loss)$(72) $(1,636) $1,564 95.6% Stock compensation expense$47 $59 $(12) (20.6)% Successor Predecessor Non-GAAP Combined Predecessor Non-GAAP Non-GAAP Period from January 15 through September 30, Period from January 1through January 14, Nine Months EndedSeptember 30, Nine Months EndedSeptember 30, 2025 2025 2025 2024 Change % Change (in thousands) Noninterest income: CarStory revenue$5,585 $432 $6,017 $8,782 $(2,765) (31.5)%Other income 132 13 145 562 (417) (74.2)%Total noninterest income 5,717 445 6,162 9,344 (3,182) (34.1)% Expenses: Compensation and benefits 4,319 326 4,645 7,802 (3,157) (40.5)%Professional fees (175) 13 (162) 90 (252) (280.0)%Software and IT costs (1) 2 1 205 (204) (99.5)%Depreciation and amortization 321 240 561 4,807 (4,246) (88.3)%Other expenses 374 20 394 300 94 31.3%Total expenses 4,838 601 5,439 13,204 (7,765) (58.8)% Provision for income taxes from continuing operations 73 5 78 92 (14) (15.2)% Adjusted net income (loss)$890 $(153) $737 $(3,618) $4,355 120.4% Stock compensation expense$81 $8 $89 $334 $(246) (73.5)% Corporate Successor Predecessor Three MonthsEnded September 30, Three MonthsEnded September 30, 2025 2024 Change % Change (in thousands) Interest expense$— $(588) $588 100.0% Realized and unrealized losses, net of recoveries (348) 8,229 (8,577) (104.2)%Net interest loss after losses and recoveries 348 (8,817) 9,165 103.9% Noninterest income: Warranties and GAP income, net 297 1,843 (1,546) (83.9)%Other income 2,006 522 1,484 284.3%Total noninterest income 2,303 2,365 (62) (2.6)% Expenses: Compensation and benefits 837 2,419 (1,582) (65.4)%Professional fees 820 824 (4) (0.5)%Software and IT costs 564 997 (433) (43.4)%Interest expense on corporate debt 42 920 (878) (95.4)%Other expenses 394 1,318 (924) (70.1)%Total expenses 2,657 6,478 (3,821) (59.0)% Provision for income taxes from continuing operations 120 — 120 100.0% Successor Predecessor Non-GAAP Combined Predecessor Non-GAAP Non-GAAP Period from January 15throughSeptember 30, Period from January 1 through January 14, Nine Months EndedSeptember 30, Nine MonthsEndedSeptember 30, 2025 2025 2025 2024 Change % Change (in thousands) Interest income (expense)$— $(71) $(71) $(1,579) $1,508 95.5% Realized and unrealized losses (gains), net of recoveries (1,321) (855) (2,176) 10,434 (12,610) (120.9)%Net interest income after losses and recoveries 1,321 784 2,105 (12,013) 14,119 117.5% Noninterest (loss) income: Warranties and GAP income (loss), net 777 (83) 694 (9,671) 10,365 107.2%Other income 2,244 34 2,278 1,516 762 50.2%Total noninterest (loss) income 3,021 (49) 2,972 (8,155) 11,127 136.4% Expenses: Compensation and benefits 3,917 99 4,016 9,703 (5,687) (58.6)%Professional fees 3,745 112 3,857 4,002 (145) (3.6)%Software and IT costs 1,609 88 1,697 3,765 (2,068) (54.9)%Interest expense on corporate debt 42 91 133 2,760 (2,627) (95.2)%Impairment expense 677 — 677 — 677 100.0%Other expenses 1,501 89 1,590 4,984 (3,394) (68.1)%Total expenses 11,491 479 11,970 25,214 (13,244) (52.5)% Provision for income taxes from continuing operations 241 — 241 — 241 100.0% 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 and availability from line of credit secured by residual certificates. 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 are 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 Nine Months Ended September 30, 2025 Our financial results for the periods from January 1, 2025 through January 14, 2025 and the three and nine months ended September 30, 2024 are referred to as those of the “Predecessor” periods. Our financial results for the periods from January 15, 2025 through September 30, 2025 and the three months ended September 30, 2025 are referred to as those of the “Successor” periods. Our results of operations as reported in our Condensed 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 September 30, 2025, separately, management views our operating results for the nine months ended September 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 September 30, 2025 against any of the previous periods reported in our Condensed 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 Condensed Consolidated Financial Statements in accordance with GAAP, the tables and discussion below also present the combined results for the nine months ended September 30, 2025. The combined results for the nine months ended September 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 September 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 nine months ended September 30, 2025 (prepared on a Non-GAAP basis) and nine months ended September 30, 2024 (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. Adjusted net loss We calculate Adjusted net loss as net income (loss) from continuing operations 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): Successor Predecessor Three Months Ended September 30, Three Months Ended September 30, 2025 2024 Net loss from continuing operations $(27,142) $(37,744)Adjusted to exclude the following: Stock compensation expense 1,444 1,244 Severance expense — 763 Impairment charges — 2,407 Adjusted net loss $(25,698) $(33,330) Successor Predecessor Non-GAAP Combined Predecessor Period fromJanuary 15 through September 30, Period from January 1through January 14, Nine Months EndedSeptember 30, Nine MonthsEndedSeptember 30, 2025 2025 2025 2024 (in thousands) Net income (loss) from continuing operations $(42,525) $45,090 $2,565 $(101,526)Adjusted to exclude the following: Stock compensation expense 3,771 144 3,915 5,014 Severance expense 388 4 392 2,448 Bankruptcy costs (post-emergence) 913 — 913 — Reorganization items, net — (51,036) (51,036) — Impairment charges 4,156 — 4,156 5,159 Adjusted net loss $(33,297) $(5,798) $(39,095) $(88,905) Successor Successor Successor Predecessor Non-GAAP Combined Predecessor Predecessor Predecessor Predecessor Predecessor Period from July 1 through September 30, Period from April 1 through June 30, Period fromJanuary 15 through March31, Period from January 1 through January 14, Three Months EndedMarch 31, Three Months EndedDecember 31, Three Months EndedSeptember 30, Three Months EndedJune 30, Three Months EndedMarch 31, Three Months EndedDecember 31, 2025 2025 2025 2025 2025 2024 2024 2024 2024 2023 Net income (loss) from continuing operations (27,142) (8,932) (6,450) 45,090 38,640 (36,716) (37,744) (19,104) (44,676) (26,904)Stock compensation expense 1,444 1,836 491 144 635 935 1,244 2,446 1,324 1,767 Severance expense - 367 21 4 25 287 763 1,685 - - Bankruptcy costs (post-emergence) - - 913 - 913 3,582 - - - - Reorganization items, net - - - (51,036) (51,036) 5,564 - - - - Gain on extinguishment of debt - - - - - - - - - (18,238)Impairment charges - - 4,156 - 4,156 - 2,407 - 2,752 - Adjusted Net Loss (25,698) (6,729) (869) (5,798) (6,667) (26,348) (33,330) (14,973) (40,600) (43,375) 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 internal adjusted net income plan, the restructuring, including its impact and intended benefits, our strategic initiatives and long-term strategy, future results of operations and financial position, adjusted net income (loss) and our total available liquidity, 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, 2024, which is 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. Investor Relations: VroomJon Sandisoninvestors@vroom.com VROOM, INC.CONSOLIDATED BALANCE SHEETS(in thousands, except share and per share amounts)(unaudited) Successor Predecessor As of September 30, As of December 31, 2025 2024 ASSETS Cash and cash equivalents $12,412 $29,343 Restricted cash (including restricted cash of consolidated VIEs of $54.3 million and $48.1 million, respectively) 55,026 49,026 Finance receivables at fair value (including finance receivables of consolidated VIEs of $794.6 million and $467.3 million, respectively) 817,711 503,848 Finance receivables held for sale, net (including finance receivables of consolidated VIEs of $0.0 and $310.0 million, respectively) — 318,192 Interest receivable (including interest receivables of consolidated VIEs of $12.5 million and $13.3 million, respectively) 12,825 14,067 Property and equipment, net 5,636 4,064 Intangible assets, net 12,846 104,869 Operating lease right-of-use assets 6,065 6,872 Other assets (including other assets of consolidated VIEs of $11.6 million and $10.8 million, respectively) 26,667 35,472 Assets from discontinued operations — 943 Total assets $949,188 $1,066,696 LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) Warehouse credit facilities of consolidated VIEs $269,773 $359,912 Long-term debt (including securitization debt of consolidated VIEs of $458.9 million at fair value as of September 30, 2025 and $210.7 million at amortized cost and $142.6 million at fair value as of December 31, 2024) 492,144 381,366 Related party note (Note 11) 10,000 — Operating lease liabilities 9,455 11,065 Other liabilities (including other liabilities of consolidated VIEs of $16.5 million and $13.8 million, respectively) 41,016 49,699 Liabilities subject to compromise (Note 6) — 291,577 Liabilities from discontinued operations 188 4,022 Total liabilities 822,576 1,097,641 Commitments and contingencies (Note 12) Stockholders’ equity (deficit): Common stock, $0.001 par value; 250,000,000 shares authorized as of September 30, 2025 and 500,000,000 shares authorized as of December 31, 2024; 5,199,599 and 1,822,532 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively 5 2 Additional paid-in-capital 168,253 2,094,889 Accumulated deficit (41,646) (2,125,836)Total stockholders’ equity (deficit) 126,612 (30,945)Total liabilities and stockholders’ equity (deficit) $949,188 $1,066,696 VROOM, INC.CONSOLIDATED STATEMENTS OF OPERATIONS(in thousands, except share and per share amounts)(unaudited) Successor Predecessor Three Months Ended September 30, Three Months Ended September 30, 2025 2024 Interest income $44,829 $50,213 Interest expense: Warehouse credit facility 4,544 6,251 Securitization debt 8,771 9,096 Total interest expense 13,315 15,347 Net interest income 31,514 34,866 Realized and unrealized losses, net of recoveries 43,202 38,346 Net interest income after losses and recoveries (11,688) (3,480) Noninterest income: Servicing income 1,088 1,495 Warranties and GAP income, net 3,152 3,917 CarStory revenue 1,347 2,890 Other income 3,924 2,419 Total noninterest income 9,511 10,721 Expenses: Compensation and benefits 16,287 25,365 Professional fees 1,538 1,587 Software and IT costs 3,062 3,360 Depreciation and amortization 998 7,105 Interest expense on corporate debt 706 1,601 Impairment charges — 2,407 Other expenses 2,230 3,436 Total expenses 24,821 44,861 Loss from continuing operations before provision for income taxes (26,998) (37,620)Provision for income taxes from continuing operations 144 124 Net loss from continuing operations $(27,142) $(37,744)Net income (loss) from discontinued operations $366 $(1,999)Net loss $(26,776) $(39,743)Net loss per share attributable to common stockholders, continuing operations, basic and diluted $(5.22) $(20.88)Net income (loss) per share attributable to common stockholders, discontinued operations, basic and diluted $0.07 $(1.11)Total net loss per share attributable to common stockholders, basic and diluted $(5.15) $(21.99)Weighted-average number of shares outstanding used to compute net loss per share attributable to common stockholders, basic and diluted 5,199,581 1,807,398 VROOM, INC.CONSOLIDATED STATEMENTS OF OPERATIONS (continued)(in thousands, except share and per share amounts)(unaudited) Successor Predecessor Period from January 15 through September 30, Period from January 1 through January 14, Nine Months EndedSeptember 30, 2025 2025 2024 Interest income$127,734 $7,183 $153,152 Interest expense: Warehouse credit facility 12,421 1,017 22,708 Securitization debt 25,202 1,178 21,960 Total interest expense 37,623 2,195 44,668 Net interest income 90,111 4,988 108,484 Realized and unrealized losses, net of recoveries 73,802 6,792 87,894 Net interest income (loss) after losses and recoveries 16,309 (1,804) 20,590 Noninterest income: Servicing income 3,601 192 5,101 Warranties and GAP income (loss), net 10,876 307 (4,347)CarStory revenue 5,585 432 8,782 Other income 8,472 113 8,344 Total noninterest income 28,534 1,044 17,880 Expenses: Compensation and benefits 53,445 2,823 76,651 Professional fees 8,898 297 6,418 Software and IT costs 8,884 457 12,018 Depreciation and amortization 2,315 1,057 21,963 Interest expense on corporate debt 1,884 176 4,541 Impairment charges 4,156 — 5,159 Other expenses 7,433 371 12,853 Total expenses 87,015 5,181 139,603 Loss from continuing operations before reorganization items and provision for income taxes (42,172) (5,941) (101,133)Reorganization items, net — 51,036 — (Loss) income from continuing operations before provision for income taxes (42,172) 45,095 (101,133)Provision for income taxes from continuing operations 353 5 393 Net income (loss) from continuing operations$(42,525) $45,090 $(101,526)Net income (loss) from discontinued operations 878 (4) (27,024)Net (loss) income$(41,647) $45,086 $(128,550) Successor Predecessor Period from January 15 through September 30, Period from January 1 through January 14, Nine Months EndedSeptember 30, 2025 2025 2024 Net (loss) income per share attributable to common stockholders, basic: Continuing operations (8.21) 24.74 (56.38)Discontinued operations 0.17 (0.00) (15.01)Basic$(8.04) $24.74 $(71.39)Net (loss) income per share attributable to common stockholders, diluted: Continuing operations (8.21) 23.89 (56.38)Discontinued operations 0.17 (0.00) (15.01)Diluted$(8.04) $23.89 $(71.39)Weighted-average number of shares outstanding used to compute net (loss) income per share attributable to common stockholders: Basic 5,179,023 1,822,541 1,800,729 Diluted 5,179,023 1,887,371 1,800,729 VROOM, INC.CONSOLIDATED STATEMENTS OF CASH FLOWS(in thousands)(unaudited) Successor Predecessor Period from January 15 through September 30, Period from January 1 through January 14, Nine Months EndedSeptember 30, 2025 2025 2024 Operating activities Net (loss) income from continuing operations $(42,525) $45,090 $(101,526)Adjustments to reconcile net (loss) income to net cash used in operating activities: Impairment charges 4,156 — 5,159 Profit share receivable (260) — 10,899 Depreciation and amortization 2,315 1,057 21,963 Losses on finance receivables and securitization debt, net 85,752 4,762 96,556 Losses on Warranties and GAP 5,416 407 6,226 Stock-based compensation expense 3,771 144 4,949 Provision to record finance receivables held for sale at lower of cost or fair value — — (3,586)Amortization of unearned discounts on finance receivables at fair value — (416) (12,674)Non-cash reorganization items, net — (51,741) — Other, net (967) 193 (534)Changes in operating assets and liabilities: Finance receivables, held for sale Originations of finance receivables, held for sale — (14,337) (322,967)Principal payments received on finance receivables, held for sale — 6,481 133,920 Other — 169 1,243 Interest receivable 1,406 (164) 460 Other assets 1,336 5,178 13,955 Other liabilities (4,046) (2,627) (8,197)Net cash provided by (used in) operating activities from continuing operations 56,354 (5,804) (154,154)Net cash (used in) provided by operating activities from discontinued operations (2,446) (207) 79,257 Net cash provided by (used in) operating activities 53,908 (6,011) (74,897)Investing activities Finance receivables, held for investment at fair value Purchases of finance receivables, held for investment at fair value (319,736) — — Principal payments received on finance receivables, held for investment at fair value 239,198 2,985 92,217 Principal payments received on beneficial interests 1,135 147 1,953 Purchase of property and equipment (5,394) (151) (2,111)Net cash (used in) provided by investing activities from continuing operations (84,797) 2,981 92,059 Net cash provided by investing activities from discontinued operations 637 — 15,908 Net cash (used in) provided by investing activities (84,160) 2,981 107,967 Financing activities Proceeds from borrowings under secured financing agreements 307,780 — 296,145 Principal repayment under secured financing agreements (191,617) (16,676) (194,746)Proceeds from financing of beneficial interests in securitizations 16,223 — 15,821 Principal repayments of financing of beneficial interests in securitizations (10,335) (1,028) (9,958)Proceeds from warehouse credit facilities 256,000 11,900 257,200 Repayments of warehouse credit facilities (349,945) (8,094) (356,656)Proceeds from issuance of related party note 10,000 — — Other financing activities (1,857) — (356)Net cash provided by (used in) financing activities from continuing operations 36,249 (13,898) 7,450 Net cash used in financing activities from discontinued operations — — (151,178)Net cash provided by (used in) financing activities 36,249 (13,898) (143,728)Net increase (decrease) in cash, cash equivalents and restricted cash 5,997 (16,928) (110,658)Cash, cash equivalents and restricted cash at the beginning of period 61,441 78,369 208,819 Cash, cash equivalents and restricted cash at the end of period $67,438 $61,441 $98,161 VROOM, INC.CONSOLIDATED STATEMENTS OF CASH FLOWS (continued)(in thousands)(unaudited) Supplemental disclosure of cash flow information: Cash paid for interest $35,078 $4,534 $43,669 Cash paid for reorganization items, net $— $1,705 $— Cash paid for income taxes $— $— $351

Vroom Announces Third Quarter 2025 Results

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