How CAR Group (ASX:CAR) Is Growing Across Four Regions While the Market Weighs AI Disruption

Sonal Goyal

11 November 2026 06:45 PM AEDT

How CAR Group (ASX:CAR) Is Growing Across Four Regions While the Market Weighs AI Disruption

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Key Highlights

Revenue rose 6% to A$1,253 million, or 12% at constant currency.
EBITDA rose 8% to A$667 million, and net profit after tax rose 14% to A$314 million.
The full-year Dividend was 86.0 cents per share, up 8%.
Operating cash flow conversion from EBITDA was 100%, and the company guided to double-digit growth in FY27.

How is the owner of carsales.com.au continuing to grow when investors are worried that artificial intelligence could erode online marketplaces? CAR Group (ASX:CAR)'s FY26 result, released on 10 August 2026, answers part of that question: revenue, EBITDA and profit all rose, audience leads over competitors widened in two key markets, and the company guided to double-digit growth in FY27. The remaining question is whether that lead holds as AI assistants reshape how people search for vehicles.

What CAR Group does

CAR Group operates online vehicle marketplaces and related services in four regions. Australia is anchored by carsales.com.au, with a newer dealer platform called Nexgate. North America is largely the US business, which serves dealers in specialist vehicle categories. Latin America is led by Webmotors in Brazil, and Asia includes the South Korean marketplace. Revenue comes mainly from dealer subscriptions and listing fees, private seller fees, Advertising and data and financial services products. Because a large share of income is recurring, the Business can grow through price, product and audience even when vehicle volumes are flat.

FY26 results

Revenue: A$1,253 million, up 6% as reported and 12% in constant currency.

EBITDA: A$667 million, up 8% as reported.

Net profit after tax: A$314 million, up 14%.

Dividend: 86.0 cents for the year, up 8%, with a final dividend of 43.5 cents, 30% franked.

The difference between reported and adjusted measures reflects items the company excludes, and the adjustments are not fully itemised here, so The company's disclosures cover the definitions in the filing.

Regional performance

On a constant-currency basis, revenue rose 7% in Australia, 12% in North America (with EBITDA up the same amount), 19% in Latin America and 15% in Asia. Australian growth came from carsales, product innovation and the Nexgate launch. North America benefited from premium dealer products and acquisitions. Latin America was driven by audience growth and service improvements at Webmotors.

Guidance for FY27

CAR Group guided to FY27 constant-currency revenue growth of 11% to 14%, adjusted EBITDA growth of 10% to 13% and adjusted NPAT growth of 9% to 12%, with high single-digit revenue growth in Australia and double-digit growth in the other three regions. This is company guidance, not a forecast from us, and currency swings and economic conditions can change the outcome.

The AI question

The company says it is investing in AI-led product development and connected-vehicle solutions, and it launched a global AI hub in Brazil. Its AI engine is reportedly interchangeable across models rather than tied to one provider.

The more concrete evidence is audience. That is a useful indicator, but it is one investor's view, and the effect of AI on marketplace Economics remains genuinely uncertain: assistants could send traffic to listings, or they could intermediate the relationship and reduce marketplace pricing power.

Competitive position

The company's strength is the size of its buyer audience, which attracts sellers and dealers, which in turn attracts buyers.

Risks and what to monitor

AI and search changes that shift traffic away from direct visits.

Currency, since a large share of Earnings is generated outside Australia, as the gap between reported and constant-currency growth shows.

Weak vehicle markets in Australia, South Korea and the US.

Execution on acquisitions and the integration of international assets.

Dealer pricing pressure and competitive responses.

The gap between adjusted and statutory measures.

Upcoming developments

The first-half FY27 result, expected in early 2027, will show whether growth is tracking the guided ranges. Investors may also watch audience data, Nexgate adoption in Australia and any updates on the AI hub in Brazil.

The takeaway

CAR Group delivered encouraging growth and gave confident guidance, and audience data support the case that its marketplaces remain the leaders in their markets. The AI debate is unlikely to be settled quickly.

FAQs

Q: What does CAR Group (ASX:CAR) own?

A: The company runs online vehicle marketplaces across four regions, anchored by carsales.com.au in Australia and Webmotors in Brazil.

Q: How did CAR Group perform in FY26?

A: Revenue rose 6% to A$1,253 million and EBITDA rose 8% to A$667 million, while net profit after tax rose 14% to A$314 million.

Q: What are the main concerns for the business?

A: Investors worry that artificial intelligence could erode online marketplaces, and the company's audience lead over competitors will need to hold as AI assistants change how people search for vehicles.

Q: What is the final dividend?

A: The final dividend was 43.5 cents, with total FY26 dividends of 86.0 cents, up 8%.

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