Cazoo reports FY22 net loss (GBP 704M) vs. (GBP 544M) last year

Reports FY22 revenue GBP 1.25B vs. GBP 655M last year. Reports FY22 vehicles sold 85.0K vs. 49.5K last year. CEO Alex Chesterman says: "We delivered 91% revenue growth in FY 22 to a record GBP 1.25bn with continued Retail GPU improvement in every quarter from Q1 22, despite the challenging macroeconomic environment. We further developed our in-house reconditioning capabilities to support record retail sales of 65,366 units and continued to grow our direct car buying channel, with around half of all cars we retail now coming from this channel, diversifying our buying mix and supporting our Retail GPU growth. During the year we made a number of important strategic decisions to change gear from fast-paced growth to focus on improving our unit economics in the near term. I am very encouraged by the pace of the team’s delivery in rightsizing our headcount and operational footprint which we have now completed in order to drive higher margins going forward. Our Retail GPU continues to accelerate with further material quarter-on-quarter improvement during the first quarter of this year and is expected to be at a record level of around GBP 950/unit for Q1 23. We are driving significant efficiency gains across buying, reconditioning and logistics and continue to invest in technology, which is the backbone of our platform and operations. The outcome of the strategic review of our European business was a decision to exit mainland Europe, which we have now largely completed, and to focus on the core UK opportunity with its approximately 7 million used car transactions worth around GBP 100bn per year. We have an immensely talented and ambitious team who are laser-focused on our three key priorities for 2023 which are to further improve our unit economics, optimize our fixed cost base and maximize our cash runway. We are reconfirming our 2023 guidance with an expectation to finish the year with cash reserves of GBP 110m-GBP 130m, stronger than we had previously indicated. The market opportunity for Cazoo is enormous and we are laying the foundations to achieve profitable growth in the future."