Carvana Co. (NYSE:) shares were trading around 6% lower after-hours following the company’s Q1 results, with EPS coming in at ($2.89), worse than the consensus estimate of ($1.42). The revenue grew by 56% to $3.5 Billion year-over-year, which is more than the $3.39 billion consensus estimate.

Ernie Garcia is the founder and CEO at Carvana. He said that the company sees macro factors such as Omicron and high vehicle prices as temporary and remains focused in delivering the best customer experience.

Through continued growth of retail units and revenues, the company plans to gain significant market share in 2022. It also intends to improve its logistic network efficiency, reduce rescheduling, cancellation and speed up delivery times. This will allow for greater inventory selection due increased inventory visibility.

As a result, the company anticipates meaningful sequential improvement in Q2 in retail units sold, revenue, total GPU, SG&A per retail unit sold, and EBITDA margin.

Carvana, in addition to its earnings announcements, announced plans to offer 1 billion shares of Class A common Stock.

Carvana’s shares have fallen 60% in the past year.

Davit Kirakosyan