Carvana on Wednesday raised its 2024 earnings guidance after the online used-car retailer significantly topped Wall Street’s third-quarter expectations.

Here’s how the company performed in the third quarter, compared with average estimates compiled by LSEG:

• Earnings per share: 64 cents vs. 25 cents expected
• Revenue: $3.65 billion vs. $3.45 billion expected

The company’s stock rose roughly 20% in after-hours trading Wednesday.

For 2024 guidance, Carvana said its adjusted earnings before interest, taxes, depreciation and amortization would be “significantly above the high end” of its previous target of $1 billion to $1.2 billion. The company reported $339 million in adjusted EBITDA last year.

Carvana’s new guidance signals expectations for a strong end of the year. The company said it expects a sequential increase in retail vehicle sales during the fourth quarter compared with the prior three months, which totaled 108,651 vehicles.

For the third quarter, the company’s net income was $148 million, down from $741 million a year earlier that was inflated by a gain on debt reduction. Adjusted EBITDA was $429 million and adjusted EBITDA margin was 11.7%, both topping company records achieved during the second quarter.

The company’s third-quarter 2023 results included adjusted EBITDA of $148 million and revenue of $2.77 billion.

Shares of Carvana are up roughly 300% this year as the company restructured operations and cut costs following Wall Street concerns of bankruptcy for the company in late 2022.

Carvana stock closed Wednesday at $207.31 per share, down less than 1%. Shares hit a new 52-week high earlier in the day of $213.98 per share.