Cars.com Inc. has named Tobias Hartmann as its next chief executive officer, effective January 15, 2026. Hartmann brings more than 25 years of experience scaling digital marketplaces, having led Scout24 SE Group and HelloFresh SE. His appointment follows the departure of Alex Vetter, who will remain on the board as an advisor until March 31, 2026. The transition is intended to accelerate the company’s shift from a legacy listings platform to a vertically integrated automotive commerce ecosystem that includes dealer‑centric services, wholesale auctions, and AI‑powered tools.
In its most recent quarterly earnings, Cars.com reported revenue of $181.57 million for the third quarter of 2025, a 1.1% year‑over‑year increase that beat analyst estimates of $181.37 million by $0.20 million. Adjusted earnings per share were $0.48, falling short of the consensus estimate of $0.50 by $0.02. The modest revenue gain was driven by a 5% decline in OEM and National revenue, offset by growth in the Dealer segment, which benefited from higher demand for dealer‑centric solutions. The adjusted EBITDA margin expanded to 30.1% from 28.5% in the same period a year earlier, reflecting a favorable mix shift toward higher‑margin dealer services and disciplined cost management.
For the fourth quarter of 2024, Cars.com posted revenue of $180.4 million, slightly above the prior year’s $180.4 million but below the consensus estimate of $183.9 million by $3.5 million. Adjusted earnings per share were $0.49, missing the consensus estimate of $0.56 by $0.07. The revenue miss was largely attributable to a 5% year‑over‑year decline in OEM and National revenue, while the Dealer segment continued to grow. The adjusted EBITDA margin for the quarter was 30.8%, a modest improvement over the 30.5% margin reported in the same quarter a year earlier, driven by higher dealer‑segment revenue and cost efficiencies.
In a statement, incoming CEO Tobias Hartmann said, “I am truly grateful to the Board of Directors for the opportunity to build on the strong foundation and work to accelerate the growth profile of Cars Commerce.” Chairman Scott Forbes added, “Tobi brings strong sector experience and a proven track of growing businesses to deliver meaningful customer, consumer and shareholder value.” Outgoing CEO Alex Vetter noted, “I am immensely grateful to the team and proud of what we've built together. I am confident that Tobi will continue our momentum for the next chapter of firsts.” Senior Director of Product Management Matt McDonald highlighted the company’s AI focus, stating, “AI has the opportunity to speed and enhance car shopping and selling. Cars.com is seeing record traffic on our marketplace this year and we aim to deliver the best online experience that helps car buyers connect with dealerships and brands and find what they're looking for quickly.”
The launch of the AI‑powered Carson search assistant earlier this year has been a key catalyst for investor enthusiasm. Carson converts conversational queries into targeted results and has already handled approximately 15% of web searches, generating twice as many leads as standard searches. The company’s DealerClub wholesale auction platform has also expanded, providing dealers with a new channel to buy and sell inventory. Together, these initiatives reinforce Cars.com’s strategy to deepen its ecosystem and capture a larger share of the dealer‑to‑dealer market.
With Hartmann at the helm, Cars.com is positioned to accelerate its platform strategy and capitalize on the growing demand for integrated automotive commerce solutions. The company’s focus on AI, dealer services, and wholesale auctions aligns with broader industry trends toward digital transformation and data‑driven buying experiences. Management’s emphasis on cost discipline, strategic investments, and a favorable mix shift suggests confidence in sustaining profitability while pursuing growth opportunities.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.