Filing Flows › CarGurus (CARG) › How it makes money
How CarGurus (CARG) makes money
CarGurus (CARG) made $258M of revenue in the third quarter 2026 (Q3 2026), +12% from a year earlier. Of every dollar of revenue, 92¢ was left as gross profit, 26¢ was left as operating profit, 20¢ was left as net earnings.
Drawing the Sankey…
Where each dollar of revenue goes
| Line | Q3 2026 | % of revenue |
|---|---|---|
| Revenue | $258M | 100.0% |
| Cost of revenue | $21.3M | 8.2% |
| Gross profit | $237M | 91.8% |
| Operating expenses | $169M | 65.5% |
| Operating profit | $67.9M | 26.3% |
| Income tax | $15.8M | 6.1% |
| Net earnings | $52.8M | 20.4% |
| Operating cash flow | $80.8M | 31.3% |
| Free cash flow | $79.8M | 30.9% |
Revenue, quarter by quarter
| Quarter | Revenue | Y/Y |
|---|---|---|
| Q3 2026 | $258M | +12% |
| Q2 2026 | $251M | +13% |
| Q1 2026 | $244M | +15% |
| Q4 2025 | $241M | +15% |
| Q3 2025 | $232M | +0.1% |
| Q2 2025 | $234M | +7% |
| Q1 2025 | $225M | +4% |
From CarGurus' 10-Q filed Nov 5, 2026 (on EDGAR).
Questions
How does CarGurus make money?
CarGurus (CARG) made $258M of revenue in the third quarter 2026 (Q3 2026), +12% from a year earlier. Of every dollar of revenue, 92¢ was left as gross profit, 26¢ was left as operating profit, 20¢ was left as net earnings.
What is CarGurus' profit margin?
Net earnings were $52.8M, 20.4% of revenue, in the third quarter 2026; the operating margin was 26.3%.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.