Carvana sees significant core earnings for 2023

Carvana Co on Friday forecast significant core earnings for 2023, as the online used-car retailer spelled out plans to rein in spending on advertising, expansion and other areas to offset waning demand, reports Reuters.

Shares of the company, known for its car vending machines, were up 12.9 per cent after the bell.

The outlook comes days after Carvana said it would lay off about 2,500 employees, or 12 per cent of its workforce, as part of its efforts to return to profitability following poor quarterly performance.

Demand for used cars has waned on the back of sky-high prices and supply shortages, with Carvana saying it did not see the typical seasonal demand during the first quarter this year.