TrueCar says not providing Q2 guidance ‘and beyond’

The company said, “Finally, lacking a clear outlook on the near- and medium-term market dynamics that impact our business, we believe it is prudent not to provide financial guidance for the second quarter and beyond. Despite solid performance in April, which saw strong YoY revenue growth driven by healthy consumer demand and OEM incentives, we cannot credibly extrapolate this performance throughout the remainder of the quarter until a majority of pre-tariff inventory has been sold and we start to observe trends in vehicle supply and pricing, which have near-term impacts on the revenue we earn from both dealers and OEM incentives. Nevertheless, despite it being inherently difficult for us to credibly predict our performance in Q2 and beyond, we firmly believe that the value we are delivering to our dealer and OEM partners combined with the flexibility we have in our cost structure will help mitigate the impact of a potential slowdown in growth and enable us to effectively manage our cash flow in any scenario that prevails.”