Openlane Raises 2026 Outlook and Lifts Buyback Cap

The Tip Desk · November 11, 2026 · 3 min read

Adjusted EBITDA reached $106.8 million in the third quarter as the used-vehicle marketplace narrowed its full-year ranges and expanded its repurchase authorization.

OPENLANE, Inc. (OPLN), the digital marketplace for used vehicles, reported third-quarter revenue of $561.2 million, up 13% from a year earlier, as Adjusted EBITDA growth accelerated and the company lifted its 2026 outlook.

Revenue growth slowed from 15% in both the first and second quarters of 2026. Auction and related fees, the largest line, rose 18% to $253.2 million, down from 21% growth in the second quarter and 22% in the first. SaaS and other revenue was $73.9 million, purchased vehicle sales $119.4 million, and finance revenue $114.7 million.

Adjusted EBITDA was $106.8 million, up 23% from $87.1 million a year earlier, after 19% growth in the second quarter and 17% growth in the first. Marketplace Adjusted EBITDA was $57.8 million and Finance Adjusted EBITDA $49.0 million. Operating profit was $70.4 million. Cost of services was $309.3 million and selling, general and administrative expense $123.4 million.

Net income was $44.7 million, or $0.36 a share, compared with $47.9 million, or $0.25 a share, a year earlier. That reversed 33% year-over-year growth in both the first and second quarters. The company said the effective tax rate was 25.6%, versus 14.6% a year earlier when a valuation-allowance release tied to the One Big Beautiful Bill Act had lowered the rate. Interest expense rose $8.9 million to $10.0 million from $1.1 million, which the company attributed to new term loan borrowings in the fourth quarter of 2025. A $0.7 million pretax charge related to securitization issuance costs was recorded in September.

Gross merchandise value was approximately $10.0 billion, up 38% from a year earlier, after 41% growth in the second quarter. Marketplace commercial vehicles sold grew 46% year over year, after 39% growth in the second quarter and 25% in the first. Chief executive Peter Kelly said the commercial business accelerated from an upward inflection in off-lease volumes.

Marketplace dealer vehicles sold growth slowed to 10% year over year from 13% in both the first and second quarters. US dealer vehicles sold grew 22%, after 31% growth in the second quarter. Kelly said US dealer volumes still outpaced the industry.

Cash flow from operating activities was $97.1 million, up 34% from a year earlier. Free cash flow was $83.3 million and Adjusted Free Cash Flow $124.2 million. Cash and cash equivalents were $244.9 million at September 30, 2026.

The company narrowed 2026 guidance. Net income is now expected at $169 million to $177 million, Adjusted EBITDA at $390 million to $400 million, diluted net income per share at $1.27 to $1.34, and Operating Adjusted EPS at $1.45 to $1.52. Those ranges sit at the upper end of the prior outlook issued in August.

The board increased the share repurchase authorization by $150 million to $400 million and extended the program through December 31, 2027. About $250 million remained available at October 31, 2026. Kelly said recent changes in the competitive landscape provide an opportunity to gain additional market share, and chief financial officer Brad Herring said the company remains well positioned to close out 2026.