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  "docSlug": "11e962264b36",
  "documentTitle": "Carvana Co. (CVNA)",
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  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2019-03-01 00:00:00",
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  "notes": "The slide uses two stacked bar charts to show the shift in GPU composition from 2017 to 2018, emphasizing the decline in retail contribution.",
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      "kind": "callout",
      "text": "This questionable and perhaps unsustainable source of income is now responsible for a greater share of profit than it ever has been since Carvana went public.",
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      "text": "CVNA: Historical GPU Breakdown (Inc. Gift) - Absolute Dollars",
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      "text": "CVNA: Historical GPU Breakdown (Inc. Gift) - Percentage",
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      "text": "Gross Profit per Unit (GPU): 58%",
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      "text": "Notably, Carvana’s gains on its refinancing maneuver ($2.4M), together with its new and questionable VSC “excess reserve reimbursement” paid by DriveTime ($1.9M), was responsible for 8% of GPU.",
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      "text": "Gross profit from retail used vehicle sales now contributes just ~40% of total GPU (on a common-weighted basis). This is as low as this metric has been since the Company went public. Retail sales have typically been responsible for closer to 50% of GPU.",
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      "text": "Meanwhile, loan sales and \"other\" was responsible for 58% of GPU, up from 48% in Q3. This is the highest this metric has been since the Company went public. Recall that this portion of Carvana’s gross profit represents its gain on the sale of what are largely subprime auto receivables. This questionable and perhaps unsustainable source of income is now responsible for a greater share of profit than it ever has been since Carvana went public.",
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      "text": "Low \"Quality\" GPU Concerns Intensify",
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