This week, Vroom Inc. released its first-quarter results, which showed the online used car retailer outdid expectations for total sales, profit, and revenue. It also named a new Chief Executive Officer as part of its “business realignment plan” and hopes the plan will cut costs and improve operations. 

Vroom said that in Q1, sales increased 26% year-over-year (YoY), totaling 19,473. Gross profit rose 60% YoY to $34.3 million, and revenue reached $675.4 million, 60% higher YoY.

Vrooms’s Chief Financial Officer, Robert Krakowiak, said the company is “pleased” with its Q1 results. He said “came in ahead of guidance as we delivered higher than anticipated eCommerce results, expense control, and immediate benefits from acquiring United Auto Credit Corporation.”

Krakowiak added that Vroom would be “focusing on prioritizing unit economics overgrowth throughout our business” throughout the year. According to its business realignment plan, Vroom reportedly “expects to achieve approximately $135.0 to $165.0 million of cost reductions and operating improvements across its operations for the remainder of 2022.”

Vroom also announced this week it has appointed Tom Shortt to serve as the company’s new Chief Executive Officer after Paul Hennessy resigned to “pursue other opportunities.” Shortt was formerly Vroom’s Chief Operating Officer and previously served as Vice President for Walmart and Home Depot retail chains. 

In an announcement this week, Shortt stated he is “excited about the future for Vroom” and is looking forward to the company’s investor event that is scheduled for May 26. 

Did you enjoy this article from Kimberly Hurley? Read other articles on CBT News here Please share your thoughts, comments, or questions regarding this topic by submitting a letter to the editor here, or connect with us at newsroom@cbtnews.com.

Be sure to follow us on Facebook and Twitter to stay up to date or catch up on all of our podcasts on demand.

While you’re here, don’t forget to subscribe to our email newsletter for all the latest auto industry news from CBT News.