Good day, and welcome to the CarGurus Second Quarter 2026 Earnings Conference Call. Please note, this event is being recorded. I would now like to turn the call over to Javier Zamora, General Counsel and Corporate Secretary. Please go ahead.

Good afternoon, and thank you for joining us. With me on the call today are Jason Treveson, Chief Executive Officer, and Sam Zales, President and Chief Operating Officer. We will be making forward-looking statements which are based on our current expectations and beliefs. These statements are subject to risks and uncertainties, and our actual results may differ materially. Information concerning those risks and uncertainties is discussed in our SEC filings. We undertake no obligation to update forward-looking statements, except as required by law. Please refer to our press release and our investor presentation on the investor relations section of our website for reconciliation of gap to non-gap measures. I'll now turn the call over to Jason.

Good afternoon. We delivered strong second quarter results with revenue growing 13% year-over-year to $251 million, above the midpoint of our guidance range, including another robust quarter in our international business, which grew 28% year-over-year. Adjusted EBITDA increased 7% year-over-year to $85 million at the high end of the guidance range, at a 34% margin, reflecting disciplined investment. We also generated strong cash flow, converting 103% of our adjusted EBITDA, or $88 million, to free cash flow in the quarter. In the first half of this year, dealers have taken a more deliberate approach to incremental spending decisions. We believe market trends like dealer margin pressure and fewer days on lot, coupled with one-time developments like recent FTC-mandated all-in price transparency requirements made dealers more cautious about spending. We view these factors as temporary, not structural. Despite these pressures, dealer engagement continued to grow on our platform. Average sessions per dealer on our platform were up 28% year-over-year in Q2, driven by increasing AI functionality in our products and expanded capabilities across more of the dealer workflow. We continue to grow wallet share, which we believe is driven by our strong ROI and new dealer product introductions. We believe we remain well positioned to continue capturing a disproportionate share of incremental spend as the environment improves. Our full year revenue growth guidance is unchanged, and we remain confident in our long-term opportunity. We've also begun to realize meaningful benefits from our investments in AI, which is helping us accelerate the pace of innovation, enabling our teams to bring new products to market faster while improving engineering efficiency and operating productivity across the business. Combined with our focus on operating discipline and organizational efficiencies, these productivity gains have generated greater leverage than we anticipated at the start of the year. As a result, we are raising our full-year profitability outlook and now expect full-year non-GAAP adjusted EBITDA margins to compress approximately 50 to 150 basis points in 2026 relative to 2025. We believe our ability to accelerate innovation thoughtfully and operate more efficiently positions us well for all market environments. More importantly, the investments we've made are reinforcing a virtuous cycle across our platform. As we have used AI to innovate faster and bring new products to market more quickly, we are seeing deeper engagement with our platform from both dealers and consumers. In addition, we continue to capture rich first-party shopper signals, nearly half a billion signals each day across demand, pricing, inventory, and shopper behavior that inform and continually improve our dealer software and analytics and consumer experience. This creates a differentiated data advantage that we believe helps dealers make better decisions while enabling a more personalized and trusted consumer experience. We believe faster innovation, leveraging our proprietary marketplace data, makes CarGurus increasingly valuable to both dealers and consumers and strengthens our competitive position by providing a better car shopping experience for both consumers and dealers. As we continue to expand beyond our leading marketplace business, our strategy is built around three value creation drivers. First, we're expanding CarGurus offerings into integral parts of the dealer workflow, connecting inventory, marketing, lead conversion, and data pillars through mutually reinforcing products. Second, we're focused on transforming car shopping into a trusted, AI-led journey from research through consideration and purchase, giving consumers greater confidence and increasing the value they get from CarGurus. And third, we are deploying capital with discipline with the aim of growing long-term earnings power and stockholder value. I will now walk through our second quarter progress across each of those drivers. Driver number one, expanding CarGuru's offerings into integral parts of the dealer workflow, connecting inventory, marketing, lead conversion, and data pillars through mutually reinforcing products. We have increased dealer engagement with our platform, reflecting our focus on embedding data and insights into more of the dealer's daily decision-making. We're leveraging our differentiated data on retail dynamics, pricing, and inventory trends, and deep consumer insights to inform smarter and more predictive dealer decisioning, which we believe results in an ultimately stronger ROI for our dealer customers. In fact, among subscribing independent dealers, those in the top quintile of engagement with our platform had a 78% higher leads per unit than those in the bottom quintile, suggesting that use of our expanding dealer product suite not only drives adoption among more people at the dealership, but also drives performance on our platform and ultimately dealer profitability. Within the inventory pillar, our focus remains on helping dealers source, stock, appraise, merchandise, and price inventory more effectively. In the second quarter, PriceVantage bookings grew more than 50% sequentially, with a higher AOS as the product has continued to prove its value. Dealers that adopted PriceVantage saw a median 15% lift in VDPs and 9% lift in leads per listing after adoption. In our marketing pillar, we recently introduced VinMax, our newest AI-powered product that helps dealers improve merchandising performance and achieve turn-time goals without dropping price and sacrificing margin. VinMax identifies high potential but underperforming VINs and dynamically boosts them across organic sort, highlight, and audience targeting. Since we began rolling out VinMax to early access dealers in February, promoted listings have sold 23% faster and received 34% more leads per day than comparable non-promoted listings. In the conversion pillar, we introduced a new competition filter to shopper signals that helps dealers understand how many other dealers the shopper has submitted leads to, allowing them to better assess urgency, allocate sales resources more effectively, and convert customers to sales at a better rate. Within the data pillar, we're building on our data advantage by equipping dealers with deeper competitive insights, helping them benchmark their performance to competitors on metrics like leads per vehicle or recently sold vehicles on competitor lots so they can make more informed pricing and inventory decisions we've seen a greater than 80% open rate on the weekly competitive digest email illustrating how our data has become a critical input into dealers daily operations collectively these new products have extended CarGurus beyond our marketplace and into daily dealer decision making which we believe will fuel growing dealer engagement, greater product adoption, stronger retention, and more dealer wallet share over time. Driver number two, transforming car shopping into a trusted AI-led journey from research through consideration and purchase, giving consumers greater confidence and increasing the value they get from car gurus. Buying a vehicle remains one of the highest consideration purchases a consumer makes, a process that often lasts several months as they research, explore, select, and negotiate their final deal. Consumers want confidence in their search, transparency in their results, and trusted guidance throughout that process. In July, we launched Guru, our end-to-end consumer-facing brand for all of our AI capabilities across the CarGurus platform. Guru currently exists in two forms, as an AI-native experience, formerly known as Discover, and as a seamless overlay to our existing site. Together, fueled by real-time dealer feeds and a robust methodology and ontology, they serve as a trusted guide that helps shoppers research better, understand and compare their options faster, make more informed shopping decisions, and complete their purchase in the dealership with greater confidence. Engagement with Guru continued to grow rapidly, with Guru-driven leads up 60% sequentially in the U.S. In addition to better shopper-to-lead conversion rates, Guru provides much richer signals about user preferences and intent that bolster the depth and quality of the lead we send to dealers. Given the strong usage in the U.S., we recently launched our conversational AI experience in the U.K. and Canada, allowing shoppers to shop by describing their needs and use cases, which is not solved easily with traditional one-size-fits-all filters rather than searching by vehicle specs. In the consideration step of car shopping, Sell My Car continued to gain traction, improving the selling experience for consumers as we made enhancements to the consumer experience that increased funnel conversion and drove significant incremental leads. These improvements also gave dealers more efficient access to sourced inventory at a time when acquiring used vehicles remains a top dealer challenge. At the point of purchase, Dealership Mode extends the CarGurus experience into participating U.S. dealer lots by putting pricing transparency, deal ratings, payment estimates, and guru-powered vehicle comparisons directly in shoppers' hands. Consumer engagement with dealership mode in our app more than doubled in the second quarter, further cementing us as a trusted tool for both consumers and dealers, which we believe will deepen engagement and facilitate more closed deals and cars sold on our expanding platform. Driver number three, deploying capital with discipline with the aim of growing long-term earnings power and stockholder value. We believe our subscription business model is resilient, and we expect it will continue to generate strong free cash flow that will fund our long-term growth initiatives while also allowing us to return capital to stockholders. In 2026, we have increased our investment in product technology and development to continue accelerating AI expansion on our platform and supporting a faster pace of product innovation. We've also increased our investment in sales and marketing to support the launch and adoption of new dealer products and create consumer awareness of our guru and other AI user experiences. In addition to organic investment, we plan to maintain the flexibility to pursue disciplined M&A for compelling strategic opportunities. Finally, we remain committed to returning capital to stockholders through share repurchases. In the second quarter, we bought back $29 million in shares, increasing our year-to-date repurchases to $204 million of the $250 million available under the 2026 Share Repurchase Program. Since 2022, we have repurchased approximately $925 million in shares, representing more than 30% of shares outstanding, reflecting confidence in our long-term strategy, strong financial position, and commitment to disciplined capital allocation. We are excited about our accelerated innovation velocity and how that has translated into progress across all three value creation drivers. By introducing new AI-driven products and features that help dealers operate more effectively and give consumers greater clarity and control throughout their shopping process, we believe we will continue to deepen our role in the car shopping journey. We have embedded our data and AI more deeply into dealer workflows, driving deeper engagement from more people at the dealerships. Our expansion into software and data, all unified by our underlying data layer, is demonstrably improving the marketplace performance of adopting dealers and growing our TAM and wallet share potential. And among consumers, we are creating more personalized, trusted, and transparent experiences across more steps of the shopping journey. Backed by strong free cash flow and disciplined capital allocation, we will continue investing in the product innovation and AI capabilities that we believe will generate the greatest long-term returns and create durable long-term value for our customers and our stockholders. Now, let me walk through our financial results, followed by our guidance for the third quarter and full year 2026. Second quarter revenue grew 13% year-over-year to $251 million, above the midpoint of our guidance range, driven by adoption of add-on products. Our OEM business outperformed our expectations, benefiting from consumer interest in certified pre-owned vehicles amid ongoing new car affordability challenges. In the second quarter, U.S. CAR SID grew 8% year-over-year, and we added 673 paying U.S. dealers year-over-year. We continued to increase our dealer base while taking greater wallet share. In the second quarter, adoption of add-on products was the largest driver of year-over-year CARSID growth, followed by listings upgrades, like-for-like price increases, and higher lead quantity and quality. For the third consecutive quarter, add-on product adoption was the largest driver of the sequential increase in CARSID. Our international business had another robust quarter with second quarter revenue up 28% year-over-year, driven by strength in listings and sell my car in Canada and OEM advertising in the UK. day. I'll now discuss our profitability and expenses on a non-GAAP basis. Second quarter non-GAAP gross profit grew 12% year-over-year to $231 million. Second quarter non-GAAP gross margin was 92%, down about 90 basis points year-over-year. Second quarter non-GAAP adjusted EBITDA grew 7% year-over-year to $85 million, toward the high end of our guidance range, An adjusted EBITDA margin was roughly 34%, down about 200 basis points year-over-year. Second quarter non-GAAP operating expenses totaled $154 million, up 16% year-over-year, reflecting higher sales and marketing expense and increased investment in product technology and development expense to continue the accelerated pace of AI product introductions. Second quarter non-GAAP net income per diluted share attributable to common stockholders was $0.66, up 16% year-over-year. We generated strong cash flow, converting 103% of our adjusted EBITDA, or $88 million, to pre-cash flow in the quarter. We ended the quarter with $122 million in cash and cash equivalents, an increase of $50 million from the end of the first quarter, as $29 million in share repurchases was more than offset by our cash generation. Since 2022, we've now repurchased approximately 30% of our shares outstanding while we continue to grow revenue and profitability. As of the end of Q2, we have $46 million remaining on our 2026 authorization, and we will continue to repurchase shares when we believe it is an attractive investment and consistent with our capital deployment priorities. I will now turn to our guidance for the third quarter and full year 2026. We expect third quarter revenue to be in the range of $253.5 million to $258.5 million, up between 9% and 12% year-over-year, respectively. Our guidance reflects a more measured pace of dealer decision-making, which we view as temporary, not structural. We believe dealer engagement and retention remain healthy, and we expect contracted new product revenue to layer in through the second half, supporting our full-year outlook. For the third quarter, we expect our non-GAAP adjusted EBITDA to be in the range of $82 million to $90 million. We expect third quarter non-GAAP earnings per share to be in the range of $0.63 to $0.69 and diluted weighted average common shares outstanding to be approximately $90 million. Turning to the full year, we are reiterating that we expect 2026 revenue to grow in the range of 10% to 13% year over year. We are raising our full-year profitability outlook. We now expect full-year non-GAAP adjusted EBITDA margins to compress approximately 50 to 150 basis points in 2026 relative to 2025. Our updated guidance reflects more efficient execution within our investment year plan while preserving our ability to invest in the most attractive growth opportunities. With that, let's open up the call for Q&A.

Thank you. We will now be conducting a question and answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 to remove yourself from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. First question, Andrew Boone with JMP Securities. Please go ahead.

Thanks so much for taking the question. I wanted to double-click in terms of the macro. Is there anything else that you can help us understand about what dealers are seeing and what those conversations are kind of looking like? And then secondly, how do we think about the duration in terms of kind of this downturn? Are you guys seeing any improvement of late or has it been more of the same? And then just a bigger picture question, as we think about users and the greater adoption of AI and your guys' kind of transition to more of a natural language search, Can you just provide us an update in terms of what that is doing to the consumer experience? Is that improving conversion? What else are you guys seeing as you guys unlock more of an AI experience for consumers?

Thanks, Andrew. Jason here. So on macro, what we saw in the first half was that the data would support all this. But at dealers, units tended to be up, prices tended to be up, and days on lot tended to be down. And so what inventory they did have, especially lower-priced inventory, tended to sell well. And when that happens, they tend to be a little less reliant on marketing. At the same time, there's been margin pressure at dealer groups and there's been GPU pressure at dealer groups. And so, they have been looking for opportunities to save on OPEX. And then you throw in, you know, some of the FTC activity, and that's what's led to them just being a little slower in decision-making. A lot of the trends that I just mentioned in terms of units and prices and days on lot, those, they fluctuate. They change, you know, by the month and by the quarter. we have started to I would say it some of those factors improved over the course of that first half of the year and so as as we look at you know how we're executing you know we still are introducing a lot of products we are still number one from a listings perspective still number one in leadership and ROI, lead quality, lead quantity, we're gaining market share, and then we're growing outside of listings, too. So, you heard us talk about some of the products that we're introducing in inventory and conversion, and so as a result, you may have heard the stat about engagement is up significantly on our platform because more people at the dealership are using us more frequently. you know how long will it last I mean like I said it improved over the course of the first half and so I don't know if there's a binary it's sort of happening and it's not but it did start to improve in the first half you know what is AI natural language search doing to our search you know we've given some stats that those that are engaging deeply with discover tend to convert a lot higher I think the bigger and more exciting thing is that we're gaining just so much more information on the users and we're able to leverage that that they're giving us in the course of the conversation we're leveraging that to a give them a better search result and experience on our site and then be past that information along to the dealers that the dealer can give them a better experience as well and we're seeing that the dealers that are engaging with that, like in shopper signals and things like that, are converting those leads much better. And so the beauty of that is that the dealers and our customers get a lot more value out of the platform, like the same platform and the same users as before, without having to pay more and without us having to invest more, because we invested in a better search experience.

Thank you.

Next question, Rajat Gupta with JPMorgan Chase. Please go ahead.

Hi, good evening. This is Josh Patwa on Farhad Kutta. Thanks for taking our questions. I was just curious about the profile of the dealer signing up for Price Vantage. Are these primarily dealers already on the higher price premium tiers, or is adoption more broad-based? Just trying to gauge whether the uptick suggests a potential standalone market for some of your other products that are currently being bundled. Thanks, and have a quick follow-up.

Thanks, Josh. It's Sam Zales. Appreciate the question. It is a mix, and that's really exciting for us on PriceVantage. You saw the 50-plus percent growth in bookings. The breadth of our opportunity there, remember what the value proposition here is. It's the first product in market that provides predictive analytics to dealers and has them look at the difference between wholesale and retail pricing. It uses consumer trends in demand to say to a dealer, where is there more demand for specific vehicles in your market, what should you be stocking up? And so the opportunity is broad-based. It's independent to franchise dealers across all segments. And those that are looking for a way to grow their profitability, Jason talked about the challenges in the economics in the market. So thinking that you're offering a product that combines with our listings package, we're now able to help you provide a profitability increase to your business is working phenomenally, and that's what is part of the engagement story that Jason shared. So it's really broad-based, and it says to us this is a product that gets us to a broader set of decision-makers within the dealership, and if it compels both sides of the marketplace, independents and franchises, we feel like that's a value proposition we're excited to take forward.

Awesome. That's very helpful. Thank you for that. And I appreciate the initial caller on AI leads. Jason provided to the prior question. But just as a follow up to that, with the traction you're seeing with Guru, are you at a point where you're starting to monetize AI search results or AI search placements?

Well, I mean, we've woven AI into many of the search paths right now and search features. And so it's not about monetizing an AI search result separately from how we monetize other user activity on our site. It's instead creating a better user experience on our site so that they are ultimately have a better chance of finding a car that's great for them and converting to connecting with a dealer. So unlike, say, Google traditional search results and Gemini being two different things, we've woven AI into our core user experience, which allows it to get leveraged by and exposed to a broader portion of our audience and just improve any search that's done. so the volume that you heard sequentially was up significantly so more users are using sort of what we call the deep AI search features but it's really affecting all searches now it's not separate great thank you good luck once again if you would like to ask a question please press star one on

your telephone keypad next question comes from John Babcock with Barclays please go ahead hey Good afternoon, and thanks for taking my questions.

Just first, I was wondering, you did talk about, you know, more efficient execution on the plan, and I was just wondering if you could elaborate more on that and what the drivers were. Sure. So we have, you know, I would say pretty aggressively looked at how we can infuse AI and agents into workflow across our business, and it's largely and it's it's working well I would say it's largely been focused on how we increase our product velocity and our productivity but we've also found it to help with efficiency in other parts of the org outside of product and engineering we've found that we're able to save and software versus where we expected we would and now some of that's offset by AI by you know token usage and other AI software but it's largely coming through productivity and efficiency there are some areas that including in you know go-to-market efficiency as well there's some areas like in customer support where it is this is a form of software replacement but where we're able to get a lot more efficient than what we were able to do with third-party software third-party partners or services with our own internally built agents so there's some concrete ones there and the thing that we're really excited about is we've been able to do that without in any way sacrificing on the product velocity and accelerated product introductions that we talked about at the beginning of the year in fact if you you know if you look at all the new products we've introduced in the last 12 months it's a it's a very long list and that has helped fuel on both the dealer and consumer side and that has helped fuel that add ons is our biggest driver of car sid and we have such great traction with things like price vantage where bookings were up 50% sequentially. Gotcha. Thank you. And then just a quick follow-on here. Just on the M&A side, you did talk about that very briefly, but I'm just kind of curious if you could remind us what sort of deals you might be looking at, what sort of skill sets and capabilities you might be looking at. So we always have our radar up for good opportunities that fit into our strategic plan, and our strategic plan is pretty ambitious on both the dealer and consumer side but I would say from a threat or like a richness of opportunities mingled with our strategic focus I would say the more likely opportunities are on the dealer side and so it would be technology solutions software that helps serve the dealer that likely tend to be smaller more point solutions but that would help us accelerate you know accelerate our expansion into our four dealer pillars faster we have a really exciting organic roadmap in all four of those and we have products in all four of our pillars already but we want to go faster and we also want to make sure that we're you know tying these four pillars together through our common data set and through integrations with other systems and so there's there is quite a bit of work to get to the robust platform that we see ourselves getting to and if we can get there faster with an acquisition we will you know this isn't anything too novel but the important things to us are great technology and a great team okay thank

you next question now that con would see Riley securities please proceed great Hi, thank you for taking the question.

This is Ryan Powell on for the vet. Wanted to kind of drill into the sales and marketing investments. You would frame them as both focused on product or focused on dealer and consumer reach. So, I guess first, any difference in traction from franchise versus independent dealers? And then also, it's good to see some growth in the unique users and sessions in the quarter. So, how much of that was driven by organic traffic versus paid? Thanks, Ryan. And no, I would not – on your first question, I would not say there was – there is a difference on our traction between franchise and indie. We've always served both of those segments and, you know, top to bottom, large to small within each of those segments really well. That's one of the benefits of our platform. And as Sam mentioned or answered earlier, Price Advantage has been broadly embraced. and so you know even a product like that that's in a new pillar for us is not is not all that segment specific at all so I would say it continues to be market wide the appeal of our products in terms of users and sessions you know just as a reminder we we don't focus on driving upper funnel traffic we focus on the value we deliver to dealers if we you know achieve that by having more traffic and more sessions that's fine but we can also achieve that without doing it because it's really a small percentage of our total traffic that converts to connecting with the dealer but we did we did grow our investment in marketing as well as in sales I would say more of that growth has been on brand and brand building our direct and owned and app and organic traffic can continue to be our fastest growth.

And, yeah, beyond that, I would say, you know, at the channel level, we don't get into that level of detail.

Understood. Thank you.

Again, please press star one if you would like to ask a question. Next question, Chris Pierce with Needham and Company. Please go ahead.

Oh, hey, good afternoon. I just wanted to get a sense, as you've been introducing some of these new products. Can you, you know, for a lot of us, maybe we don't specifically know how many products or the level of detail that dealers are really taking when you sort of get down to, except we hear that they take lots of different products and don't really talk to each other. Are you guys, like, I think I know the answer, but I just would love to hear you guys talk about this. Price advantage, is it a novel solution or is it the uniqueness is that you're able to leverage the data you have to offer a much more powerful solution versus what's on the market now? because if it's door number two, I guess, does that imply that there's a long tail of products you can sort of take share from, from, like, legacy, one-off, like, tougher products that dealers are taking? Like, what are some other areas you might be able to push into if that assumption is correct?

Sure. Hey, Chris, it's Jason. So, yeah, I mean, well, let me back up to just offer a reminder, which is the four pillars, the four categories of dealer products that we see huge opportunity in our inventory marketing lead conversion and then market and competitive data most of our products historically have been in marketing all of our products across and we have products in each of those pillars and I'll give some examples all of those products benefit from the data that we have in our marketplace and the specific data in the marketplace that is so helpful are the retail trends the inventory trends and the pricing trends and embedded in retail is demand and so the reason that that's so important to call out is because every decision a dealer could make in any of those pillars is going to be much smarter if they're able to say how much that car will sell for and how to best sell it so the example is if if a dealer is able to know that a particular car can sell in 10 days for $32,000 then they'll know that they're willing to spend $30,000 for it at wholesale because they're looking for a $2,000 GPU that's an oversimplified example but hopefully you get the point and so any products that we build related to inventory are informed by this like golden piece of data which is how much that car will sell for 30 days out when they're ready to retail it similarly in conversion if we're able to tell them how to convert interested parties to buy that car better than anyone else because we see the demand trends and we have the deep information on the consumer because they engage with our conversational AI then they're going to convert those much better and make much more money on their same investment in our marketplace so we're bringing this data set that's born out of the half a billion dollar data points a day that we garner in our marketplace to each of the pillars so if you look at inventory as an example we talk about five or six key things that need to be done in inventory which are sourcing stocking appraising pricing merchandising and syndicating price vantage is just the first step in that and we believe we have that same data advantage in all of those categories with an inventory and within an inventory is a north of a billion dollar business in the US alone in and so the you know when you look at the how is price vantage value prop today it uses real-time data and recommendations it's predictive not reactive and the results are proven in real time which is another benefit so you make a pricing decision you make a pricing change we tell you we think this will grow your leads by 30 percent and you see those leads grow by X percent the following day and so you know Vin max and other products that we introduced in marketing then max says we can see the retail demand trends and we know it's going to be hard for you to sell this then if you don't market it more aggressively so Vin max says we don't need you to make the decisions at the dealership anymore we will make the decisions for you and prioritize the toughest to sell VINs based on the demand data that we have so when you look at you know the new products we've introduced to dealers in the last 12 months price vantage new car exposure again new car exposures based on knowing the demand trends for new cars then max which I just mentioned shopper signals and performance insights those all are based on having a better sense of what's going to sell at what price and to whom than anyone else. And that's why dealers, more people at the dealers are tapping into our system, 28 percent more activity on our system versus a year ago, because it's giving them the intelligence to make these smarter decisions.

Okay. Yeah. Thank you for the detail. Can you just talk about then, you know, dealer's perception of data and dealer's trust in data versus three, five years ago and sort of how things have kind of come to where they are now and is there room for dealers to even become more data dependent? Like on a scale of 1 to 10, are dealers at like a 6 now or are they at a 2? Like where have they been and where are they going to? Where are they now?

I think it depends on the dealer, maybe to state the obvious. I think the dealers have always, dealers tend to be data driven. I think the challenge that many of them would say they face is they get disparate data from disparate systems and it doesn't always foot. It doesn't tie together. And so that's one of the key things that we think a platform like ours that has this singular data layer across all of it helps solve. So I think sophisticated dealers have been a 7, 8, 9 out of 10 user of data and but the challenge they would say is this source data says one thing and this source data says something else and so you know in our products when there's a recommendation made in price vantage it's the same recommendation that would be made in our marketing in our listings product or if it is making a suggestion to do something to a price on a particular VIN because that VIN is not moving well that is coordinated with the VIN max system which says actually you know what don't move price on this we it's it's more economical for you to market it more and so and again this is where the quick feedback loop loop comes back in because with a lot of other disconnected systems if something says you should do that you merchandise a car this way and they make a change they may not see the results whereas on our platform with our products any change they make is directly observable in their leads and listings before okay perfect thank you thanks thank you I would like to turn the floor over to Jason for closing remarks thank you thanks everyone for joining the call this evening thank you very much for the questions and as always we always want to thank our our customers for their trust in us and also our employees that work so hard to to build and deliver all these wonderful products and the great results thanks everyone have a great evening this concludes today's teleconference you may disconnect your lines at this time and we thank you for your participation.