CAR Group Poised for Accelerated Growth in the Americas

CAR Group (ASX: CAR), a dominant player in online motor vehicle classified advertising in Australia, is projected to see accelerated growth in revenue from the Americas in the forecast period. The Americas accounted for 28% of the company’s total revenue in 2023. By 2024, this share is projected to climb to 41%, with revenue from the Americas estimated to surpass that of Australia, the company’s home region.

CAR, formerly known as Carsales, made two key acquisitions in the U.S. and Latin America in the past two years. In 2023, the company acquired an additional 40% of Brazil-based car-selling platform WebMotors, thus raising its ownership of the company to 70%. Additionally, in 2022, the company exercised call options to acquire the remaining 51% interest in U.S.-based Trader Interactive, a year after acquiring 49% of the online advertising company.

According to Visible Alpha consensus, CAR is expected to see a significant increase in revenue from the Americas, reaching A$448 million in 2024, exceeding the estimated A$446 million from Australia in the same year. Analysts expect robust growth momentum in the region, with revenue expected to grow at a CAGR of 13% between 2024 and 2030. In comparison, revenue in Asia is expected to grow at a CAGR of 8%, and Australia at 7%.