Cars.com (CARS) 10-Q 6 May 22 2022 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2022	Apr. 28, 2022
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2022
Document Fiscal Year Focus	2022
Trading Symbol	CARS
Document Fiscal Period Focus	Q1
Entity Registrant Name	Cars.com Inc.
Entity Central Index Key	0001683606
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity File Number	001-37869
Entity Tax Identification Number	81-3693660
Entity Address, Address Line One	300 S. Riverside Plaza
Entity Address, Address Line Two	Suite 1000
Entity Address, City or Town	Chicago
Entity Address, State or Province	IL
Entity Address, Postal Zip Code	60606
City Area Code	312
Local Phone Number	601-5000
Entity Interactive Data Current	Yes
Title of 12(b) Security	Common Stock
Security Exchange Name	NYSE
Entity Incorporation, State or Country Code	DE
Document Quarterly Report	true
Document Transition Report	false
Entity Common Stock Shares Outstanding		69,492,015

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 30,453	$ 39,069
Accounts receivable, net	96,013	98,893
Prepaid expenses	8,509	7,810
Other current assets	3,428	1,665
Total current assets	138,403	147,437
Property and equipment, net	42,949	43,005
Goodwill	101,763	26,227
Intangible assets, net	764,564	769,424
Investments and other assets, net	21,538	21,112
Total assets	1,069,217	1,007,205
Current liabilities:
Accounts payable	16,810	15,420
Accrued compensation	10,124	23,612
Current portion of long-term debt	10,226	8,941
Other accrued liabilities	58,642	46,317
Total current liabilities	95,802	94,290
Noncurrent liabilities:
Long-term debt	499,182	457,383
Other noncurrent liabilities	78,146	57,512
Total noncurrent liabilities	577,328	514,895
Total liabilities	673,130	609,185
Commitments and contingencies
Stockholders' equity:
Preferred Stock at par, $0.01 par value; 5,000 shares authorized; no shares issued and outstanding as of March 31, 2022 and December 31, 2021, respectively	0	0
Common Stock at par, $0.01 par value; 300,000 shares authorized; 69,803 and 69,170 shares issued and outstanding as of March 31, 2022 and December 31, 2021, respectively	698	692
Additional paid-in capital	1,537,231	1,544,712
Accumulated deficit	(1,141,042)	(1,145,382)
Accumulated other comprehensive loss	(800)	(2,002)
Total stockholders' equity	396,087	398,020
Total liabilities and stockholders' equity	$ 1,069,217	$ 1,007,205

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	69,803,000	69,170,000
Common stock, shares outstanding	69,803,000	69,170,000

Consolidated Statements of Inco

Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Revenue:
Total revenue	$ 158,207	$ 153,295
Operating expenses:
Cost of revenue and operations	27,752	27,831
Product and technology	21,307	16,760
Marketing and sales	57,094	53,211
General and administrative	16,560	13,266
Depreciation and amortization	24,553	25,680
Total operating expenses	147,266	136,748
Operating income	10,941	16,547
Nonoperating expense:
Interest expense, net	(9,330)	(10,001)
Other income, net	208	38
Total nonoperating expense, net	(9,122)	(9,963)
Income before income taxes	1,819	6,584
Income tax (benefit) expense	(2,521)	1,306
Net income	$ 4,340	$ 5,278
Weighted-average common shares outstanding:
Basic	69,463	67,787
Diluted	70,899	70,254
Earnings (loss) per share:
Basic	$ 0.06	$ 0.08
Diluted	$ 0.06	$ 0.08
Dealer
Revenue:
Total revenue	$ 140,416	$ 132,958
OEM and National
Revenue:
Total revenue	15,174	18,069
Other
Revenue:
Total revenue	$ 2,617	$ 2,268

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Statement of Comprehensive Income [Abstract]
Net income	$ 4,340	$ 5,278
Other comprehensive income, net of tax:
Reclassification of accumulated other comprehensive loss on interest rate swap into Net income	1,202	1,200
Total other comprehensive income	1,202	1,200
Comprehensive income	$ 5,542	$ 6,478

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Deficit	Accumulated Other Comprehensive Loss
Balance at Dec. 31, 2020	$ 368,190	$ 674	$ 1,530,493	$ (1,156,173)	$ (6,804)
Balance, Shares at Dec. 31, 2020		67,387
Net income	5,278			5,278
Other comprehensive income (loss), net of tax	1,200				1,200
Shares issued in connection with stock-based compensation plans, net	(5,630)	$ 11	(5,641)
Shares issued in connection with stock-based compensation plans, net, Shares		1,144
Stock-based compensation	4,978		4,978
Balance at Mar. 31, 2021	374,016	$ 685	1,529,830	(1,150,895)	(5,604)
Balance, Shares at Mar. 31, 2021		68,531
Balance at Dec. 31, 2021	398,020	$ 692	1,544,712	(1,145,382)	(2,002)
Balance, Shares at Dec. 31, 2021		69,170
Net income	4,340			4,340
Other comprehensive income (loss), net of tax	1,202				1,202
Repurchases of common stock(shares)		(338)
Repurchases of common stock (value)	(5,000)	$ (3)	(4,997)
Shares issued in connection with stock-based compensation plans, net	(7,696)	$ 9	(7,705)
Shares issued in connection with stock-based compensation plans, net, Shares		971
Stock-based compensation	5,221		5,221
Balance at Mar. 31, 2022	$ 396,087	$ 698	$ 1,537,231	$ (1,141,042)	$ (800)
Balance, Shares at Mar. 31, 2022		69,803

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Cash flows from operating activities:
Net income	$ 4,340	$ 5,278
Adjustments to reconcile Net income to Net cash provided by operating activities:
Depreciation	4,014	4,021
Amortization of intangible assets	20,539	21,659
Amortization of accumulated other comprehensive loss on interest rate swap	1,417	1,417
Stock-based compensation	5,221	4,978
Deferred income taxes	(374)	(226)
Provision for doubtful accounts	27	129
Amortization of debt issuance costs	816	834
Amortization of deferred revenue related to Accu-Trade Acquisition	(442)	0
Other, net	87	(34)
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable	4,442	282
Prepaid expenses and other assets	3,073	(5,782)
Accounts payable	1,081	6,438
Accrued compensation	(13,488)	(9,141)
Other liabilities	5,751	8,945
Net cash provided by operating activities	30,358	50,362
Cash flows from investing activities:
Payments for acquisitions, net of cash acquired	(64,770)	0
Purchase of property and equipment	(4,008)	(6,219)
Net cash used in investing activities	(68,778)	(6,219)
Cash flows from financing activities:
Proceeds from revolving loan borrowings	45,000	0
Payments of long-term debt	(2,500)	(52,500)
Payments for stock-based compensation plans, net	(7,696)	(5,630)
Repurchases of common stock	(5,000)	0
Payments of debt issuance costs and other fees	0	(8)
Net cash provided by (used in) financing activities	29,804	(58,138)
Net decrease in cash and cash equivalents	(8,616)	(13,995)
Cash and cash equivalents at beginning of period	39,069	67,719
Cash and cash equivalents at end of period	30,453	53,724
Supplemental cash flow information:
Cash paid (received) for income taxes	17	(9,045)
Cash paid for interest and interest rate swap	$ 2,743	$ 3,503

Description of Business and Sum

Description of Business and Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2022
Accounting Policies [Abstract]
Description of Business and Summary of Significant Accounting Policies	NOTE 1. Description of Business and Summary of Significant Accounting Policies Description of Business. Cars.com Inc. (the “Company” or “CARS”) is a leading automotive marketplace platform that provides a robust set of industry specific digital solutions. Through the marketplace, dealer websites and other digital products, the Company showcases dealer inventory, elevates and amplifies dealers’ and automotive manufacturers’ (“OEMs”) brands, connects sellers with the Company’s ready-to-buy audience and empowers shoppers with the resources and information needed to make confident car buying decisions. The Company’s digital solutions strategy builds on the rich data and audience of its digital marketplace to offer media and solutions that drive growth and efficiency for the automotive industry. The Company's portfolio of brands now includes Cars.com™, Dealer Inspire®, DealerRater®, FUEL™, Auto.com™, PickupTrucks.com™, CreditIQ™, Accu-Trade™ and NewCars.com® . Basis of Presentation . These accompanying unaudited interim Consolidated Financial Statements (“Consolidated Financial Statements”) have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial statements. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the rules and regulations of the SEC. These Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and the notes thereto for the year ended December 31, 2021, which are included in the Company's Annual Report on Form 10-K dated February 25, 2022 (the “December 31, 2021 Financial Statements”). The significant accounting policies used in preparing these Consolidated Financial Statements were applied on a basis consistent with those reflected in the December 31, 2021 Financial Statements. In the opinion of management, the Consolidated Financial Statements contain all adjustments (consisting of a normal, recurring nature) necessary to present fairly the Company's financial position, results of operations, cash flows and changes in stockholders' equity as of the dates and for the periods indicated. The unaudited results of operations for the three months ended March 31, 2022 are not necessarily indicative of results that may be expected for the year ending December 31, 2022. Use of Estimates. The preparation of the accompanying Consolidated Financial Statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect amounts reported in the Consolidated Financial Statements and accompanying disclosures. Although these estimates are based on management’s best knowledge of current events and actions that the Company may undertake in the future, actual results may differ from those estimates. Principles of Consolidation . The accompanying Consolidated Financial Statements include the accounts of Cars.com Inc. and its 100 % owned subsidiaries. All intercompany transactions and accounts are eliminated in consolidation. Correction of Certain Amounts Relating to Previously Issued Financial Statements. During the three months ended March 31, 2022, the Company identified a $ 30.8 million overstatement of the valuation allowance recorded against deferred tax assets that originated in 2020. In addition, t he Company adjusted 2020 to reflect an immaterial income tax adjustment related to this prior period. The Company has concluded that these items are not material to the previously issued Consolidated Financial Statements and has therefore corrected these prior period amounts as presented in the current period Consolidated Financial Statements. The impact of correcting the items on the related financial statement line items is as follows (in thousands): Consolidated Balance Sheet As of December 31, 2021 Financial statement line item As reported Adjustment As adjusted Deferred tax liability $ 31,086 $ ( 31,086 ) $ — Total noncurrent liabilities 545,981 ( 31,086 ) 514,895 Total liabilities 640,271 ( 31,086 ) 609,185 Consolidated Balance Sheet and Statement of Stockholders' Equity As of December 31, 2021 Financial statement line item As reported Adjustment As adjusted Accumulated deficit $ ( 1,176,468 ) $ 31,086 $ ( 1,145,382 ) Total stockholders' equity 366,934 31,086 398,020 Consolidated Statement of Stockholders' Equity Three Months Ended March 31, 2021 Financial statement line item As reported Adjustment As adjusted Accumulated deficit balance at December 31, 2020 $ ( 1,184,187 ) $ 28,014 $ ( 1,156,173 ) Total stockholders' equity balance at December 31, 2020 340,176 28,014 368,190 Accumulated deficit balance at March 31, 2021 ( 1,178,909 ) 28,014 ( 1,150,895 ) Total stockholders' equity balance at March 31, 2021 346,002 28,014 374,016 These adjustments had no impact to Net cash provided by operating activities, Net cash used in investing activities or Net cash provided by (used in) financing activities on the Consolidated Statements of Cash Flows . In addition, these adjustments had no impact to the Consolidated Statements of Income and Earnings per share for the three months ended March 31, 2021.

Revenue

Revenue	3 Months Ended
	Mar. 31, 2022
Revenue from Contract with Customer [Abstract]
Revenue	NOTE 2. Revenue Revenue Summary . In the table below (in thousands), revenue is disaggregated by major products and services. The Company only has one reportable segment; therefore, further disaggregation is not applicable at this time. Three Months Ended March 31, Major products and services 2022 2021 Subscription advertising and digital solutions $ 132,247 $ 125,446 Display advertising 21,049 21,957 Pay per lead 2,417 3,760 Other 2,494 2,132 Total revenue $ 158,207 $ 153,295

Goodwill, Indefinite-lived Inta

Goodwill, Indefinite-lived Intangible Asset and Business Combination	3 Months Ended
	Mar. 31, 2022
Business Combinations [Abstract]
Goodwill, Indefinite-lived Intangible Asset and Business Combination	NOTE 3. Goodwill, Indefinite-lived Intangible Asset and Business Combination The changes in the carrying amount of goodwill and indefinite-lived intangible asset are as follows (in thousands): December 31, 2021 Additions Impairment March 31, 2022 Goodwill $ 26,227 $ 75,536 $ — $ 101,763 Indefinite-lived intangible asset 390,020 — — 390,020 Business Combinations. The below transactions were accounted for as business combinations. Accu-Trade Acquisition. On March 1, 2022, the Company acquired certain of the assets and assumed certain liabilities of Accu-Trade, LLC; Accu-Trade Canada, LLC; Galves Market Data; and Headstart Logistics, LLC d/b/a/ MADE Logistics (collectively, “Accu-Trade”), which provides dealers with vehicle VIN-specific valuation and appraisal data, instant guaranteed offer capabilities and logistics technology (the “Accu-Trade Acquisition”). The Company expensed as incurred total acquisition costs of $ 1.9 million, of which $ 0.9 million were recorded during the three months ended March 31, 2022. These costs were recorded in General and administrative in the Consolidated Statements of Income. Preliminary Purchase Price Allocation. The preliminary fair values assigned to the tangible and intangible assets acquired and liabilities assumed were determined based on management’s estimates and assumptions, as well as other information compiled by management, including third-party valuations that utilize customary valuation procedures and techniques, such as the multi-period excess earnings and the relief of royalty methods. These preliminary fair values are subject to change within the one-year measurement period. The Accu-Trade Acquisition purchase price allocation is as follows (in thousands): Preliminary Cash consideration $ 64,770 Other consideration (1) 5,300 Contingent consideration (2) 22,505 Total purchase consideration $ 92,575 Assets acquired (3) $ 1,595 Identified intangible assets (4) 15,679 Total assets acquired 17,274 Total liabilities assumed (5) ( 235 ) Net identifiable assets 17,039 Goodwill 75,536 Total purchase consideration $ 92,575 (1) In connection with the Accu-Trade Acquisition, the Company entered into an agreement to provide one of the former owners with a one-year license to a certain product. The preliminary fair value of the license was determined to be $ 6.5 million, of which the Company received $ 1.2 million in cash upon the close of the Accu-Trade Acquisition. The $ 5.3 million difference between the fair value of $ 6.5 million and the $ 1.2 million in cash was recorded as non-cash consideration and the $ 6.5 million license fee was recorded in Other accrued liabilities as a contract liability on the Consolidated Balance Sheets and will be amortized into Other revenue on the Consolidated Statements of Income over the one-year contract term. The current period revenue related to the non-cash consideration of $ 5.3 million is a non-cash reconciling item titled Amortization of deferred revenue related to Accu-Trade Acquisition on the Consolidated Statements of Cash Flows. (2) As part of the Accu-Trade Acquisition, the Company may be required to pay additional cash and stock consideration to the former owners based on achievement of certain financial targets, which would result in a variable number of shares being issued. The Company has the option to pay consideration in cash or stock. The actual amount to be paid will be based on the acquired business’ future performance to be attained over a three-year performance period. The contingent consideration is classified as Level 3 in the fair value hierarchy. The fair value is measured based on a Monte Carlo simulation based on the following significant inputs: volatility, discount rate and projected financial information. (3) Assets acquired primarily consists of accounts receivable. (4) Preliminary information regarding the identifiable intangible assets acquired is as follows: Acquisition-Date Weighted-Average Acquired software $ 12,926 5 Trade name 1,446 10 Customer relationships 1,307 7 Total $ 15,679 (5) Total liabilities assumed primarily consists of accounts payable. Goodwill. In connection with the Accu-Trade Acquisition, the Company recorded goodwill in the amount of $ 75.5 million, which is primarily attributable to sales growth from existing and future technology, product offerings, customers and the value of the acquired assembled workforce. All of the goodwill is considered deductible for income tax purposes. CreditIQ Acquisition. On November 5, 2021, the Company acquired all of the outstanding stock of CreditIQ, Inc. (the “CIQ Acquisition”) a cutting-edge automotive fintech platform that provides instant online loan screening and approvals to facilitate online car buying. Through the CIQ Acquisition, the Company now provides dealers with access to advanced digital financing technology across the CARS platform. The Company expensed as incurred total acquisition costs of $ 1.4 million, of which $ 0.1 million were recorded during the three months ended March 31, 2022. These costs were recorded in General and administrative in the Consolidated Statements of Income. In connection with the CIQ Acquisition, CreditIQ’s unvested equity awards were cash-settled for a total of $ 9.6 million. The fair value of these awards was based on the price paid per common share to the owners of the acquired business and recognized immediately after the CIQ Acquisition in November 2021 as compensation expense in the Company’s Consolidated Statements of Income. Preliminary Purchase Price Allocation. The fair values assigned to the tangible and intangible assets acquired and liabilities assumed were determined based on management’s estimates and assumptions, as well as other information compiled by management, including third-party valuations that utilize customary valuation procedures and techniques, such as the multi-period excess earnings and the relief of royalty methods. The preliminary fair values of all assets acquired and liabilities assumed are subject to change within the one-year measurement period. The CIQ Acquisition purchase price allocation is as follows (in thousands): Preliminary Cash consideration (1) $ 29,965 Contingent consideration (2) 23,805 Cash settlement of CIQ Acquisition's unvested equity awards (3) ( 9,626 ) Total purchase consideration $ 44,144 Assets acquired (4) $ 193 Identified intangible assets (5) 19,900 Total assets acquired 20,093 Total liabilities assumed (6) ( 2,176 ) Net identifiable assets 17,917 Goodwill 26,227 Total purchase consideration $ 44,144 (1) A reconciliation of cash consideration to Payments for the CIQ Acquisition, net of cash acquired is as follows (in thousands): Cash consideration $ 29,965 Less: Cash settlement of CIQ Acquisition's unvested equity awards (3) ( 9,626 ) Less: Cash acquired ( 81 ) Payments for CIQ Acquisition, net of cash acquired $ 20,258 (2) As part of the CIQ Acquisition, the Company may be required to pay up to an additional $ 50.0 million in cash consideration to the former owners based on two earn-out achievement objectives, including an earnings-related metric and lender market share. The actual amount to be paid will be based on the acquired business’ future performance to be attained over a three-year performance period with a mutually agreed-upon option for a fourth year. The contingent consideration is classified as Level 3 in the fair value hierarchy. The fair value is measured based on a Monte Carlo simulation or a scenario-based method based on the following significant inputs: volatility, discount rate and projected financial i nformation. No significant changes in fair value of the contingent consideration have occurred since the CIQ Acquisition. (3) In connection with the CIQ Acquisition, CreditIQ’s unvested equity awards were cash-settled. The fair value of these awards was $ 9.6 million and was based on the price paid per common share to the owners of the acquired business and recognized immediately after the CIQ Acquisition in November 2021 as compensation expense in General and administrative expense on the Company’s Consolidated Statements of Income. (4) Assets acquired primarily consists of cash and cash equivalents and accounts receivable. (5) Preliminary information regarding the identifiable intangible assets acquired is as follows: Acquisition-Date Weighted-Average Trade name $ 900 10 Acquired software 19,000 5 Total $ 19,900 (6) Total liabilities assumed includes accounts payable, deferred income tax liabilities, net and other liabilities. Goodwill. In connection with the CIQ Acquisition, the Company recorded goodwill in the amount of $ 26.2 million, which is primarily attributable to sales growth from existing and future technology, product offerings, customers and the value of the acquired assembled workforce. None of the goodwill is considered deductible for income tax purposes.

Debt

Debt	3 Months Ended
	Mar. 31, 2022
Debt Disclosure [Abstract]
Debt	NOTE 4. Debt As of March 31, 2022, the Company was in compliance with the covenants under its debt agreements. Term Loan. As of March 31, 2022, the outstanding principal amount under the Term Loan was $ 75.0 million and the interest rate in effect was 2.5 %, not including the impact of the interest rate swap. During the three months ended March 31, 2022, the Company made $ 2.5 million in Term Loan payments. Revolving Loan. As of March 31, 2022, the outstanding borrowings under the Revolving Loan were $ 45.0 million and the interest rate in effect was 2.5 %. As of March 31, 2022, $ 185.0 million was available to borrow under the Revolving Loan. The Company’s borrowings are limited by its Senior Secured Leverage Ratio and Consolidated Interest Coverage Ratio, which are calculated in accordance with our Credit Agreement, and were 0.7x and 5.0x as of March 31, 2022, respectively. Senior Unsecured Notes. In October 2020, the Company issued $ 400.0 million aggregate principal amount of 6.375 % senior unsecured notes due 2028. Interest on the notes is due semi-annually on May 1 and November 1. Fair Value. The Company's debt is classified as Level 2 in the fair value hierarchy and the fair value is measured based on comparable trading prices, ratings, sectors, coupons and maturities of similar instruments. As of March 31, 2022, the fair value of the outstanding indebtedness was approximately $ 513.3 million, compared to the carrying value $ 520.0 million. As of December 31, 2021, the fair value of the outstanding indebtedness was approximately $ 502.7 million, compared to the carrying value of $ 477.5 million .

Interest Rate Swap

Interest Rate Swap	3 Months Ended
	Mar. 31, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Interest Rate Swap	NOTE 5. Interest Rate Swap The interest rate on borrowings under the Company’s Term Loan is floating and, therefore, subject to fluctuations. In order to manage the risk associated with changes in interest rates on its borrowing under the Term Loan prior to the October 2020 refinancing, the Company entered into an interest rate swap (the “Swap”) effective December 31, 2018. Under the terms of the Swap, the Company is locked into a fixed rate of interest of 2.96 % plus an applicable margin, as defined in the Company’s Credit Agreement, on a notional amount of $ 300 million until May 31, 2022. Although the Swap was initially designated as a cash flow hedge of interest rate risk, hedge accounting was discontinued in June 2020. The loss on the hedge that was in Accumulated other comprehensive income at that time would be amortized into the Consolidated Statements of Income over the remaining term of the Swap. As of March 31, 2022, the fair value of the Swap was an unrealized loss of $ 1.2 million, which is recorded in Other accrued liabilities on the Consolidated Balance Sheets. As of December 31, 2021, the fair value of the Swap was an unrealized loss of $ 3.5 million, which was recorded in Other accrued liabilities on the Consolidated Balance Sheets. During the three months ended March 31, 2022 and 2021, $ 1.4 million was reclassified from Accumulated other comprehensive loss and recorded in Interest expense, net. During the three months ended March 31, 2022, the Company made payments of $ 2.1 million related to the Swap and $ 0.2 million was reclassified as a tax benefit from Accumulated other comprehensive loss into Income tax (benefit) expense on the Consolidated Statements of Income.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 6. Commitments and Contingencies The Company and its subsidiaries are parties from time to time in legal and administrative proceedings involving matters incidental to its business. These matters, whether pending, threatened or unasserted, if decided adversely to the Company or settled, may result in liabilities material to its financial position, results of operations or cash flows. The Company records a liability when it believes that it is both probable that a loss will be incurred and the amount of loss can be reasonably estimated. The Company evaluates, at least quarterly, developments in its legal matters that could affect the amount of liability that has been previously accrued and makes adjustments as appropriate. Significant judgment is required to determine both the probability and the estimated amount.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2022
Equity [Abstract]
Stockholders' Equity	NOTE 7. Stockholders' Equity In February 2022, the Company's Board of Directors authorized a three-year share repurchase program to acquire up to $ 200 million of the Company's common stock. The Company may repurchase shares from time to time in open market transactions or through privately negotiated transactions in accordance with applicable federal securities laws and other applicable legal requirements, and subject to the Company's blackout periods. The timing and amounts of any purchases under the share repurchase program will be based on market conditions and other factors including price. The repurchase program may be suspended or discontinued at any time and does not obligate the Company to repurchase any dollar amount or particular amount of shares. The Company funds the share repurchase program principally with cash from operations. During the three months ended March 31, 2022, the Company repurchased and subsequently retired 0.3 million shares for $ 5.0 million at an average price per share of $ 14.78 .

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2022
Share-based Payment Arrangement [Abstract]
Stock-Based Compensation	NOTE 8. Stock-Based Compensation Restricted Share Units (“RSUs”). RSUs represent the right to receive unrestricted shares of the Company’s common stock at the time of vesting, subject to any restrictions a s specified in the individual holder’s award agreement. RSUs are subject to graded vesting, generally ranging between one and four years and the fair value of the RSUs is equal to the Company ’s common stock price on the date of grant. RSU activity for the three months ended March 31, 2022 is as follows (in thousands, except for weighted-average grant date fair value): Number Weighted-Average Outstanding as of December 31, 2021 3,683 $ 10.95 Granted 1,814 15.07 Vested and delivered ( 1,433 ) 10.28 Forfeited ( 61 ) 12.69 Outstanding as of March 31, 2022 (1) 4,003 13.03 (1) Included in “Outstanding as of March 31, 2022” are 63 RSUs that were vested, but not yet delivered. Performance Share Units (“PSUs”). PSUs represent the right to receive unrestricted shares of the Company’s common stock at the time of vesting. The fair value of the PSUs is equal to the Company’s common stock price on the date of grant. Expense related to PSUs is recognized when the performance conditions are probable of being achieved. The percentage of PSUs that shall vest will range from 0 % to 200 % of the number of PSUs granted based on the Company’s future performance related to certain revenue and adjusted earnings before interest, income taxes, depreciation and amortization targets over a three-year performance period. These PSUs are subject to cliff vesting at the end of the respective performance period. PSU activity for the three months ended March 31, 2022 is as follows (in thousands, except for weighted-average grant date fair value): Number Weighted-Average Outstanding as of December 31, 2021 142 $ 23.98 Granted 275 15.07 Vested and delivered ( 142 ) 23.98 Forfeited — — Outstanding as of March 31, 2022 275 15.07 Stock Options. Stock optio ns represent the right to purchase shares of the Company’s common stock at the time of vesting, subject to any restrictions as specified in the individual holder’s award agreement. Stock options are subject to three-year cliff vesting and expire 10 years from the grant date. Stock option activity for the three months ended March 31, 2022 is as follows (in thousands, except for weighted-average grant date fair value and weighted-average remaining contractual term): Number of Options Weighted-Average Weighted-Average Remaining Contractual Term (in years) Aggregate Outstanding as of December 31, 2021 804 $ 5.27 8.58 $ 5,754 Granted 263 9.39 — — Vested and delivered — — — — Forfeited — — — — Outstanding as of March 31, 2022 1,067 6.28 8.73 4,634 Exercisable as of March 31, 2022 — — — — The fair value of the stock options granted during the three months ended March 31, 2022 and March 31, 2021 are estimated on the grant date using the Black-Scholes option pricing model, using the following assumptions: 2022 2021 Risk-free interest rate 2.21 % 1.15 % Weighted-average volatility 65.22 % 69.00 % Dividend yield 0 % 0 % Expected years until exercise 6.5 6.5

Earnings Per Share

Earnings Per Share	3 Months Ended
	Mar. 31, 2022
Earnings Per Share [Abstract]
Earnings (Loss) Per Share	NOTE 9. Earnings Per Share Basic earnings per share is calculated by dividing Net income by the weighted-average number of shares of common stock outstanding. Diluted earnings per share is similarly calculated, except that the calculation includes the dilutive effect of the assumed issuance of shares under stock-based compensation plans, unless the inclusion of such shares would have an anti-dilutive effect. The computation of Earnings per share is as follows (in thousands, except per share data): Three Months Ended March 31, 2022 2021 Net income $ 4,340 $ 5,278 Basic weighted-average common shares outstanding 69,463 67,787 Effect of dilutive stock-based compensation awards (1) 1,436 2,467 Diluted weighted-average common shares outstanding 70,899 70,254 Earnings per share, basic $ 0.06 $ 0.08 Earnings per share, diluted 0.06 0.08 (1) There were 1,738 and 1,815 potential common shares excluded from diluted weighted-average common shares outstanding for the three months ended March 31, 2022 and March 31, 2021, respectively, as their inclusion would have had an anti-dilutive effect.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Income Taxes	NOTE 10. Income Taxes Deferred Tax Asset and Valuation Allowance. The Company has concluded a valuation allowance is required against its deferred tax assets as of March 31, 2022. In reaching this conclusion, in accordance with U.S. GAAP, the Company has evaluated all available evidence, both positive and negative, and determined that the Company’s history of recent losses, primarily due to the goodwill and indefinite-lived intangible asset impairments, was sufficient significant negative evidence to require a valuation allowance. Therefore, the Company has recorded a valuation allowance to reduce its deferred tax assets as of March 31, 2022 to the amount that is more likely than not to be realized in future periods. At each reporting date, management considers new evidence, both positive and negative, that could affect its view of the future realization of deferred tax assets. Effective Tax Rate. The effective income tax rate, expressed by calculating the income tax (benefit) expense as a percentage of Income before income tax, was ( 138.6 )% for the three months ended March 31, 2022, which varied from the statutory federal income tax rate of 21 %, primarily due to the benefit realized on stock-based compensation, the impact of uncertain tax positions and the tax benefits realized on a partial release of the valuation allowance. (In thousands, except percentages) Three Months Ended March 31, 2022 Income tax provision at statutory rate $ 382 21.0 % State income taxes, net of federal income tax benefit 204 11.2 Stock-based compensation ( 1,425 ) ( 78.3 ) Uncertain tax positions ( 1,015 ) ( 55.8 ) Valuation allowance ( 917 ) ( 50.4 ) Other, net 250 13.7 Income tax benefit $ ( 2,521 ) ( 138.6 )%

Description of Business and S_2

Description of Business and Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2022
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation . These accompanying unaudited interim Consolidated Financial Statements (“Consolidated Financial Statements”) have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial statements. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the rules and regulations of the SEC. These Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and the notes thereto for the year ended December 31, 2021, which are included in the Company's Annual Report on Form 10-K dated February 25, 2022 (the “December 31, 2021 Financial Statements”). The significant accounting policies used in preparing these Consolidated Financial Statements were applied on a basis consistent with those reflected in the December 31, 2021 Financial Statements. In the opinion of management, the Consolidated Financial Statements contain all adjustments (consisting of a normal, recurring nature) necessary to present fairly the Company's financial position, results of operations, cash flows and changes in stockholders' equity as of the dates and for the periods indicated. The unaudited results of operations for the three months ended March 31, 2022 are not necessarily indicative of results that may be expected for the year ending December 31, 2022.
Use of Estimates	Use of Estimates. The preparation of the accompanying Consolidated Financial Statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect amounts reported in the Consolidated Financial Statements and accompanying disclosures. Although these estimates are based on management’s best knowledge of current events and actions that the Company may undertake in the future, actual results may differ from those estimates.
Principles of Consolidation	Principles of Consolidation . The accompanying Consolidated Financial Statements include the accounts of Cars.com Inc. and its 100 % owned subsidiaries. All intercompany transactions and accounts are eliminated in consolidation.

Description of Business and S_3

Description of Business and Summary of Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2022
Accounting Policies [Abstract]
Schedule of Consolidated Financial Statements	The impact of correcting the items on the related financial statement line items is as follows (in thousands): Consolidated Balance Sheet As of December 31, 2021 Financial statement line item As reported Adjustment As adjusted Deferred tax liability $ 31,086 $ ( 31,086 ) $ — Total noncurrent liabilities 545,981 ( 31,086 ) 514,895 Total liabilities 640,271 ( 31,086 ) 609,185 Consolidated Balance Sheet and Statement of Stockholders' Equity As of December 31, 2021 Financial statement line item As reported Adjustment As adjusted Accumulated deficit $ ( 1,176,468 ) $ 31,086 $ ( 1,145,382 ) Total stockholders' equity 366,934 31,086 398,020 Consolidated Statement of Stockholders' Equity Three Months Ended March 31, 2021 Financial statement line item As reported Adjustment As adjusted Accumulated deficit balance at December 31, 2020 $ ( 1,184,187 ) $ 28,014 $ ( 1,156,173 ) Total stockholders' equity balance at December 31, 2020 340,176 28,014 368,190 Accumulated deficit balance at March 31, 2021 ( 1,178,909 ) 28,014 ( 1,150,895 ) Total stockholders' equity balance at March 31, 2021 346,002 28,014 374,016 These adjustments had no impact to Net cash provided by operating activities, Net cash used in investing activities or Net cash provided by (used in) financing activities on the Consolidated Statements of Cash Flows . In addition, these adjustments had no impact to the Consolidated Statements of Income and Earnings per share for the three months ended March 31, 2021.

Revenue (Tables)

Revenue (Tables)	3 Months Ended
	Mar. 31, 2022
Revenue from Contract with Customer [Abstract]
Schedule of Revenue Disaggregated by Sales Channel and Major Products and Services	Revenue Summary . In the table below (in thousands), revenue is disaggregated by major products and services. The Company only has one reportable segment; therefore, further disaggregation is not applicable at this time. Three Months Ended March 31, Major products and services 2022 2021 Subscription advertising and digital solutions $ 132,247 $ 125,446 Display advertising 21,049 21,957 Pay per lead 2,417 3,760 Other 2,494 2,132 Total revenue $ 158,207 $ 153,295

Goodwill, Indefinite-lived In_2

Goodwill, Indefinite-lived Intangible Asset and Business Combination (Tables)	3 Months Ended
	Mar. 31, 2022
Business Combinations [Abstract]
Schedule of changes in the carrying amount of goodwill and indefinite-lived intangible asset	The changes in the carrying amount of goodwill and indefinite-lived intangible asset are as follows (in thousands): December 31, 2021 Additions Impairment March 31, 2022 Goodwill $ 26,227 $ 75,536 $ — $ 101,763 Indefinite-lived intangible asset 390,020 — — 390,020
Schedule of Accu-Trade Acquisition purchase price allocation	The Accu-Trade Acquisition purchase price allocation is as follows (in thousands): Preliminary Cash consideration $ 64,770 Other consideration (1) 5,300 Contingent consideration (2) 22,505 Total purchase consideration $ 92,575 Assets acquired (3) $ 1,595 Identified intangible assets (4) 15,679 Total assets acquired 17,274 Total liabilities assumed (5) ( 235 ) Net identifiable assets 17,039 Goodwill 75,536 Total purchase consideration $ 92,575 (1) In connection with the Accu-Trade Acquisition, the Company entered into an agreement to provide one of the former owners with a one-year license to a certain product. The preliminary fair value of the license was determined to be $ 6.5 million, of which the Company received $ 1.2 million in cash upon the close of the Accu-Trade Acquisition. The $ 5.3 million difference between the fair value of $ 6.5 million and the $ 1.2 million in cash was recorded as non-cash consideration and the $ 6.5 million license fee was recorded in Other accrued liabilities as a contract liability on the Consolidated Balance Sheets and will be amortized into Other revenue on the Consolidated Statements of Income over the one-year contract term. The current period revenue related to the non-cash consideration of $ 5.3 million is a non-cash reconciling item titled Amortization of deferred revenue related to Accu-Trade Acquisition on the Consolidated Statements of Cash Flows. (2) As part of the Accu-Trade Acquisition, the Company may be required to pay additional cash and stock consideration to the former owners based on achievement of certain financial targets, which would result in a variable number of shares being issued. The Company has the option to pay consideration in cash or stock. The actual amount to be paid will be based on the acquired business’ future performance to be attained over a three-year performance period. The contingent consideration is classified as Level 3 in the fair value hierarchy. The fair value is measured based on a Monte Carlo simulation based on the following significant inputs: volatility, discount rate and projected financial information. (3) Assets acquired primarily consists of accounts receivable. (4) Preliminary information regarding the identifiable intangible assets acquired is as follows: Acquisition-Date Weighted-Average Acquired software $ 12,926 5 Trade name 1,446 10 Customer relationships 1,307 7 Total $ 15,679 (5) Total liabilities assumed primarily consists of accounts payable.
Schedule Of CIQ Acquisition purchase price allocation	The CIQ Acquisition purchase price allocation is as follows (in thousands): Preliminary Cash consideration (1) $ 29,965 Contingent consideration (2) 23,805 Cash settlement of CIQ Acquisition's unvested equity awards (3) ( 9,626 ) Total purchase consideration $ 44,144 Assets acquired (4) $ 193 Identified intangible assets (5) 19,900 Total assets acquired 20,093 Total liabilities assumed (6) ( 2,176 ) Net identifiable assets 17,917 Goodwill 26,227 Total purchase consideration $ 44,144 (1) A reconciliation of cash consideration to Payments for the CIQ Acquisition, net of cash acquired is as follows (in thousands): Cash consideration $ 29,965 Less: Cash settlement of CIQ Acquisition's unvested equity awards (3) ( 9,626 ) Less: Cash acquired ( 81 ) Payments for CIQ Acquisition, net of cash acquired $ 20,258 (2) As part of the CIQ Acquisition, the Company may be required to pay up to an additional $ 50.0 million in cash consideration to the former owners based on two earn-out achievement objectives, including an earnings-related metric and lender market share. The actual amount to be paid will be based on the acquired business’ future performance to be attained over a three-year performance period with a mutually agreed-upon option for a fourth year. The contingent consideration is classified as Level 3 in the fair value hierarchy. The fair value is measured based on a Monte Carlo simulation or a scenario-based method based on the following significant inputs: volatility, discount rate and projected financial i nformation. No significant changes in fair value of the contingent consideration have occurred since the CIQ Acquisition. (3) In connection with the CIQ Acquisition, CreditIQ’s unvested equity awards were cash-settled. The fair value of these awards was $ 9.6 million and was based on the price paid per common share to the owners of the acquired business and recognized immediately after the CIQ Acquisition in November 2021 as compensation expense in General and administrative expense on the Company’s Consolidated Statements of Income. (4) Assets acquired primarily consists of cash and cash equivalents and accounts receivable. (5) Preliminary information regarding the identifiable intangible assets acquired is as follows: Acquisition-Date Weighted-Average Trade name $ 900 10 Acquired software 19,000 5 Total $ 19,900 (6) Total liabilities assumed includes accounts payable, deferred income tax liabilities, net and other liabilities.

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2022
Share-based Payment Arrangement [Abstract]
Summary of RSU Activity	Number Weighted-Average Outstanding as of December 31, 2021 3,683 $ 10.95 Granted 1,814 15.07 Vested and delivered ( 1,433 ) 10.28 Forfeited ( 61 ) 12.69 Outstanding as of March 31, 2022 (1) 4,003 13.03 (1) Included in “Outstanding as of March 31, 2022” are 63 RSUs that were vested, but not yet delivered.
Summary of PSU Activity	PSU activity for the three months ended March 31, 2022 is as follows (in thousands, except for weighted-average grant date fair value): Number Weighted-Average Outstanding as of December 31, 2021 142 $ 23.98 Granted 275 15.07 Vested and delivered ( 142 ) 23.98 Forfeited — — Outstanding as of March 31, 2022 275 15.07
Summary of Stock Option Activity	Stock option activity for the three months ended March 31, 2022 is as follows (in thousands, except for weighted-average grant date fair value and weighted-average remaining contractual term): Number of Options Weighted-Average Weighted-Average Remaining Contractual Term (in years) Aggregate Outstanding as of December 31, 2021 804 $ 5.27 8.58 $ 5,754 Granted 263 9.39 — — Vested and delivered — — — — Forfeited — — — — Outstanding as of March 31, 2022 1,067 6.28 8.73 4,634 Exercisable as of March 31, 2022 — — — —
Summary of Fair Value of Stock Options Granted are Estimated Using Black Scholes Option Pricing Model	The fair value of the stock options granted during the three months ended March 31, 2022 and March 31, 2021 are estimated on the grant date using the Black-Scholes option pricing model, using the following assumptions: 2022 2021 Risk-free interest rate 2.21 % 1.15 % Weighted-average volatility 65.22 % 69.00 % Dividend yield 0 % 0 % Expected years until exercise 6.5 6.5

Earnings Per Share (Tables)

Earnings Per Share (Tables)	3 Months Ended
	Mar. 31, 2022
Earnings Per Share [Abstract]
Computation of Earnings (Loss) Per Share	The computation of Earnings per share is as follows (in thousands, except per share data): Three Months Ended March 31, 2022 2021 Net income $ 4,340 $ 5,278 Basic weighted-average common shares outstanding 69,463 67,787 Effect of dilutive stock-based compensation awards (1) 1,436 2,467 Diluted weighted-average common shares outstanding 70,899 70,254 Earnings per share, basic $ 0.06 $ 0.08 Earnings per share, diluted 0.06 0.08 (1) There were 1,738 and 1,815 potential common shares excluded from diluted weighted-average common shares outstanding for the three months ended March 31, 2022 and March 31, 2021, respectively, as their inclusion would have had an anti-dilutive effect.

Income Taxes (Tables)

Income Taxes (Tables)	3 Months Ended
	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Schedule of Effective Income Tax Rate Varied from Statutory Federal Income Tax Rate	(In thousands, except percentages) Three Months Ended March 31, 2022 Income tax provision at statutory rate $ 382 21.0 % State income taxes, net of federal income tax benefit 204 11.2 Stock-based compensation ( 1,425 ) ( 78.3 ) Uncertain tax positions ( 1,015 ) ( 55.8 ) Valuation allowance ( 917 ) ( 50.4 ) Other, net 250 13.7 Income tax benefit $ ( 2,521 ) ( 138.6 )%

Description of Business and S_4

Description of Business and Summary of Significant Accounting Policies - Additional Information (Details)	3 Months Ended
	Mar. 31, 2022USD ($)
Accounting Policies [Abstract]
Percentage of ownership by the company	100.00%
Deferred Tax Assets, Valuation Allowance	$ 30,800

Description of Business and S_5

Description of Business and Summary of Significant Accounting Policies - Schedule of Impact of Corrections on Consolidated Balance Sheet (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
As reported
Total noncurrent liabilities	$ 577,328	$ 514,895
Total liabilities	$ 673,130	609,185
Error Correction, Other [Member]
As reported
Deferred tax liability		31,086
Total noncurrent liabilities		545,981
Total liabilities		640,271
Adjustment
Deferred tax liability		(31,086)
Total noncurrent liabilities		(31,086)
Total liabilities		(31,086)
As adjusted
Deferred tax liability		0
Total noncurrent liabilities		514,895
Total liabilities		$ 609,185

Description of Business and S_6

Description of Business and Summary of Significant Accounting Policies - Schedule of Impact of Corrections on Consolidated Balance Sheet and Statement of Stockholders' Equity (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021	Mar. 31, 2021	Dec. 31, 2020
As reported
Accumulated deficit	$ (1,141,042)	$ (1,145,382)
Total stockholders' equity	$ 396,087	398,020	$ 374,016	$ 368,190
Error Correction, Other [Member]
As reported
Accumulated deficit		(1,176,468)	(1,178,909)	(1,184,187)
Total stockholders' equity		366,934	346,002	340,176
Adjustment
Accumulated deficit		31,086	28,014	28,014
Total stockholders' equity		31,086	28,014	28,014
As adjusted
Accumulated deficit		(1,145,382)	(1,150,895)	(1,156,173)
Total stockholders' equity		$ 398,020	$ 374,016	$ 368,190

Description of Business and S_7

Description of Business and Summary of Significant Accounting Policies - Schedule of Impact of Corrections on Statement of Stockholders' Equity (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021	Mar. 31, 2021	Dec. 31, 2020
As reported
Accumulated deficit	$ (1,141,042)	$ (1,145,382)
Total stockholders' equity	$ 396,087	398,020	$ 374,016	$ 368,190
Error Correction, Other [Member]
As reported
Accumulated deficit		(1,176,468)	(1,178,909)	(1,184,187)
Total stockholders' equity		366,934	346,002	340,176
Adjustment
Accumulated deficit		31,086	28,014	28,014
Total stockholders' equity		31,086	28,014	28,014
As adjusted
Accumulated deficit		(1,145,382)	(1,150,895)	(1,156,173)
Total stockholders' equity		$ 398,020	$ 374,016	$ 368,190

Revenue - Additional Informatio

Revenue - Additional Information (Details)	3 Months Ended
	Mar. 31, 2022Segment
Revenue from Contract with Customer [Abstract]
Number of reportable segment	1

Revenue - Summary of Revenue Di

Revenue - Summary of Revenue Disaggregated by Sales Channel and Major Products and Services (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Disaggregation Of Revenue [Line Items]
Total revenue	$ 158,207	$ 153,295
Subscription Advertising and Digital Solutions
Disaggregation Of Revenue [Line Items]
Total revenue	132,247	125,446
Display Advertising
Disaggregation Of Revenue [Line Items]
Total revenue	21,049	21,957
Pay Per Lead
Disaggregation Of Revenue [Line Items]
Total revenue	2,417	3,760
Other
Disaggregation Of Revenue [Line Items]
Total revenue	$ 2,494	$ 2,132

Goodwill , Indefinite-lived Int

Goodwill , Indefinite-lived Intangible Asset and Business Combination- Additional Information (Details) - USD ($)		Nov. 05, 2021	Mar. 31, 2022	Mar. 31, 2021	Mar. 01, 2022	Dec. 31, 2021
Business Acquisition [Line Items]
Goodwill			$ 101,763,000			$ 26,227,000
Additional cash consideration required to be paid to former owners of acquired business		$ 50,000
Amortization of deferred revenue related to Accu-Trade Acquisition			442,000	$ 0
Dealer Inspire ("DI") and Launch Digital Marketing ("LDM")
Business Acquisition [Line Items]
Business Acquisition, Transaction Costs			900,000
Goodwill		26,227,000			$ 75,536,000
License fee			6,500,000
Cash					1,200,000
Cash settlement of CIQ Acquisition's unvested equity awards	[1]	$ 9,626,000
Revenue targets for contingent consideration performance period		3 years
Preliminary fair value of the license			6,500,000
Preliminary fair value difference			5,300,000
Amortization of deferred revenue related to Accu-Trade Acquisition			5,300,000
Accu-Trade Acquisition
Business Acquisition [Line Items]
Business Acquisition, Transaction Costs					$ 1,900,000
Credit IQ Acquisition [Member]
Business Acquisition [Line Items]
Business Acquisition, Transaction Costs		$ 1,400,000	$ 100,000
Cash settlement of CIQ Acquisition's unvested equity awards		$ 9,600,000
[1]	In connection with the CIQ Acquisition, CreditIQ’s unvested equity awards were cash-settled. The fair value of these awards was $ 9.6 million and was based on the price paid per common share to the owners of the acquired business and recognized immediately after the CIQ Acquisition in November 2021 as compensation expense in General and administrative expense on the Company’s Consolidated Statements of Income.

Goodwill, Indefinite-lived In_3

Goodwill, Indefinite-lived Intangible Asset and Business Combination - Schedule of changes in the carrying amount of goodwill and indefinite-lived intangible asset (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2022USD ($)
Goodwill And Other Intangible Assets Disclosure [Abstract]
Goodwill, Beginning Balance	$ 26,227
Additions	75,536
Goodwill, Ending Balance	101,763
Indefinite-lived Intangible Assets (Excluding Goodwill), Beginning Balance	390,020
Indefinite-lived Intangible Assets (Excluding Goodwill), Ending Balance	$ 390,020

Goodwill, Indefinite-lived In_4

Goodwill, Indefinite-lived Intangible Asset and Business Combination - Schedule of Accu -Trade Acquisition purchase price allocation (Details) - USD ($) $ in Thousands		Mar. 01, 2022		Nov. 05, 2021		Mar. 31, 2022	Dec. 31, 2021
Business Acquisition [Line Items]
Identified intangible assets				$ 19,900		$ 15,679
Goodwill						$ 101,763	$ 26,227
Dealer Inspire And Launch Digital Marketing [Member]
Business Acquisition [Line Items]
Cash consideration		$ 64,770		29,965	[1]
Other consideration	[2]	5,300
Cash settlement of CIQ Acquisition's unvested equity awards	[3]			9,626
Contingent consideration		22,505	[4]	23,805	[5]
Total purchase consideration		92,575		44,144
Assets acquired		1,595	[6]	193	[7]
Identified intangible assets		15,679	[8]	19,900	[9]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets, Total		17,274		20,093
Total liabilities assumed		235	[10]	2,176	[11]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total		17,039		17,917
Goodwill		75,536		26,227
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net, Total		$ 92,575		$ 44,144
[1]	A reconciliation of cash consideration to Payments for the CIQ Acquisition, net of cash acquired is as follows (in thousands):
[2]	In connection with the Accu-Trade Acquisition, the Company entered into an agreement to provide one of the former owners with a one-year license to a certain product. The preliminary fair value of the license was determined to be $ 6.5 million, of which the Company received $ 1.2 million in cash upon the close of the Accu-Trade Acquisition. The $ 5.3 million difference between the fair value of $ 6.5 million and the $ 1.2 million in cash was recorded as non-cash consideration and the $ 6.5 million license fee was recorded in Other accrued liabilities as a contract liability on the Consolidated Balance Sheets and will be amortized into Other revenue on the Consolidated Statements of Income over the one-year contract term. The current period revenue related to the non-cash consideration of $ 5.3 million is a non-cash reconciling item titled Amortization of deferred revenue related to Accu-Trade Acquisition on the Consolidated Statements of Cash Flows.
[3]	In connection with the CIQ Acquisition, CreditIQ’s unvested equity awards were cash-settled. The fair value of these awards was $ 9.6 million and was based on the price paid per common share to the owners of the acquired business and recognized immediately after the CIQ Acquisition in November 2021 as compensation expense in General and administrative expense on the Company’s Consolidated Statements of Income.
[4]	As part of the Accu-Trade Acquisition, the Company may be required to pay additional cash and stock consideration to the former owners based on achievement of certain financial targets, which would result in a variable number of shares being issued. The Company has the option to pay consideration in cash or stock. The actual amount to be paid will be based on the acquired business’ future performance to be attained over a three-year performance period. The contingent consideration is classified as Level 3 in the fair value hierarchy. The fair value is measured based on a Monte Carlo simulation based on the following significant inputs: volatility, discount rate and projected financial information.
[5]	As part of the CIQ Acquisition, the Company may be required to pay up to an additional $ 50.0 million in cash consideration to the former owners based on two earn-out achievement objectives, including an earnings-related metric and lender market share. The actual amount to be paid will be based on the acquired business’ future performance to be attained over a three-year performance period with a mutually agreed-upon option for a fourth year. The contingent consideration is classified as Level 3 in the fair value hierarchy. The fair value is measured based on a Monte Carlo simulation or a scenario-based method based on the following significant inputs: volatility, discount rate and projected financial i nformation. No significant changes in fair value of the contingent consideration have occurred since the CIQ Acquisition.
[6]	Assets acquired primarily consists of accounts receivable.
[7]	Assets acquired primarily consists of cash and cash equivalents and accounts receivable.
[8]	Preliminary information regarding the identifiable intangible assets acquired is as follows:
[9]	Preliminary information regarding the identifiable intangible assets acquired is as follows:
[10]	Total liabilities assumed primarily consists of accounts payable.
[11]	Total liabilities assumed includes accounts payable, deferred income tax liabilities, net and other liabilities.

Goodwill, Indefinite-lived In_5

Goodwill, Indefinite-lived Intangible Asset and Business Combination - Schedule of CIQ Acquisition Purchase Price Allocation (Details) - USD ($) $ in Thousands		Mar. 01, 2022		Nov. 05, 2021		Mar. 31, 2022	Dec. 31, 2021
Business Acquisition [Line Items]
Identified intangible assets				$ 19,900		$ 15,679
Goodwill						$ 101,763	$ 26,227
Dealer Inspire And Launch Digital Marketing [Member]
Business Acquisition [Line Items]
Cash consideration		$ 64,770		29,965	[1]
Contingent consideration		22,505	[2]	23,805	[3]
Cash settlement of CIQ Acquisition's unvested equity awards	[4]			(9,626)
Total purchase consideration		92,575		44,144
Assets acquired		1,595	[5]	193	[6]
Identified intangible assets		15,679	[7]	19,900	[8]
Total assets acquired		17,274		20,093
Total liabilities assumed		235	[9]	2,176	[10]
Net identifiable assets		17,039		17,917
Goodwill		75,536		26,227
Total purchase consideration		$ 92,575		$ 44,144
[1]	A reconciliation of cash consideration to Payments for the CIQ Acquisition, net of cash acquired is as follows (in thousands):
[2]	As part of the Accu-Trade Acquisition, the Company may be required to pay additional cash and stock consideration to the former owners based on achievement of certain financial targets, which would result in a variable number of shares being issued. The Company has the option to pay consideration in cash or stock. The actual amount to be paid will be based on the acquired business’ future performance to be attained over a three-year performance period. The contingent consideration is classified as Level 3 in the fair value hierarchy. The fair value is measured based on a Monte Carlo simulation based on the following significant inputs: volatility, discount rate and projected financial information.
[3]	As part of the CIQ Acquisition, the Company may be required to pay up to an additional $ 50.0 million in cash consideration to the former owners based on two earn-out achievement objectives, including an earnings-related metric and lender market share. The actual amount to be paid will be based on the acquired business’ future performance to be attained over a three-year performance period with a mutually agreed-upon option for a fourth year. The contingent consideration is classified as Level 3 in the fair value hierarchy. The fair value is measured based on a Monte Carlo simulation or a scenario-based method based on the following significant inputs: volatility, discount rate and projected financial i nformation. No significant changes in fair value of the contingent consideration have occurred since the CIQ Acquisition.
[4]	In connection with the CIQ Acquisition, CreditIQ’s unvested equity awards were cash-settled. The fair value of these awards was $ 9.6 million and was based on the price paid per common share to the owners of the acquired business and recognized immediately after the CIQ Acquisition in November 2021 as compensation expense in General and administrative expense on the Company’s Consolidated Statements of Income.
[5]	Assets acquired primarily consists of accounts receivable.
[6]	Assets acquired primarily consists of cash and cash equivalents and accounts receivable.
[7]	Preliminary information regarding the identifiable intangible assets acquired is as follows:
[8]	Preliminary information regarding the identifiable intangible assets acquired is as follows:
[9]	Total liabilities assumed primarily consists of accounts payable.
[10]	Total liabilities assumed includes accounts payable, deferred income tax liabilities, net and other liabilities.

Goodwill, Indefinite-lived In_6

Goodwill, Indefinite-lived Intangible Asset and Business Combination - Schedule of CIQ Acquisition Purchase Price Allocation - Net of cash acquired (Details) - Dealer Inspire And Launch Digital Marketing [Member] - USD ($) $ in Thousands		Mar. 01, 2022	Nov. 05, 2021
Business Acquisition [Line Items]
Cash consideration		$ 64,770	$ 29,965	[1]
Less: Cash settlement of CIQ Acquisition's unvested equity awards	[2]		(9,626)
Less: Cash acquired			(81)
Payments to Acquire Businesses, Net of Cash Acquired			$ 20,258
[1]	A reconciliation of cash consideration to Payments for the CIQ Acquisition, net of cash acquired is as follows (in thousands):
[2]	In connection with the CIQ Acquisition, CreditIQ’s unvested equity awards were cash-settled. The fair value of these awards was $ 9.6 million and was based on the price paid per common share to the owners of the acquired business and recognized immediately after the CIQ Acquisition in November 2021 as compensation expense in General and administrative expense on the Company’s Consolidated Statements of Income.

Goodwill, Indefinite-lived In_7

Goodwill, Indefinite-lived Intangible Asset and Business Combination - Schedule of CIQ Acquisition Purchase Price Allocation - Identifiable Intangible assets (Details) - USD ($) $ in Thousands	Nov. 05, 2021	Mar. 31, 2022
Business Acquisition [Line Items]
Identified intangible assets	$ 19,900	$ 15,679
Acquired software
Business Acquisition [Line Items]
Identified intangible assets	$ 19,000	$ 12,926
Weighted-Average Amortization Period(in years)	5 years	5 years
Trade name
Business Acquisition [Line Items]
Identified intangible assets	$ 900	$ 1,446
Weighted-Average Amortization Period(in years)	10 years	10 years

Goodwill, Indefinite-lived In_8

Goodwill, Indefinite-lived Intangible Asset and Business Combination - Schedule of Accu -Trade Acquisition purchase price allocation - Identifiable Intangible Assets (Details) - USD ($) $ in Thousands	Nov. 05, 2021	Mar. 31, 2022
Business Acquisition [Line Items]
Identified intangible assets	$ 19,900	$ 15,679
Acquired software
Business Acquisition [Line Items]
Identified intangible assets	$ 19,000	$ 12,926
Weighted-Average Amortization Period(in years)	5 years	5 years
Customer relationships
Business Acquisition [Line Items]
Identified intangible assets		$ 1,307
Weighted-Average Amortization Period(in years)		7 years
Trade name
Business Acquisition [Line Items]
Identified intangible assets	$ 900	$ 1,446
Weighted-Average Amortization Period(in years)	10 years	10 years

Debt - Additional Information (

Debt - Additional Information (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended
	Oct. 31, 2020	Mar. 31, 2022	Dec. 31, 2021
Line Of Credit Facility [Line Items]
Outstanding indebtedness, carrying value		$ 499,182	$ 457,383
DebtInstrumentCovenantDescription		The Company’s borrowings are limited by its Senior Secured Leverage Ratio and Consolidated Interest Coverage Ratio, which are calculated in accordance with our Credit Agreement, and were 0.7x and 5.0x as of March 31, 2022, respectively.
Level 2
Line Of Credit Facility [Line Items]
Outstanding indebtedness, fair value		$ 513,300	502,700
Outstanding indebtedness, carrying value		$ 520,000	$ 477,500
6.375% Senior Unsecured Notes Due 2028
Line Of Credit Facility [Line Items]
Proceeds from issuance initial public offering	$ 400,000
Interest rate on debt issued	6.375%
Debt instrument, payment terms		Interest on the notes is due semi-annually on May 1 and November 1.
Term Loan
Line Of Credit Facility [Line Items]
Outstanding principal amount		$ 75,000
Effective interest rate		2.50%
Repayment of loan		$ 2,500
Revolving Credit Facility
Line Of Credit Facility [Line Items]
Outstanding principal amount		$ 45,000
Effective interest rate		2.50%
Amount available to borrow		$ 185,000

Interest Rate Swap - Additional

Interest Rate Swap - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2022	Dec. 31, 2021
Derivative [Line Items]
Reclassified from accumulated other comprehensive (loss) into Interest expense, net	$ 1.4
Reclassified from accumulated other comprehensive (loss) into income tax (benefit) expenses	$ 0.2
Swap | Designated as Hedging Instrument | Cash Flow Hedging
Derivative [Line Items]
Fixed rate of interest	2.96%
Notional amount	$ 300
Unrealized loss of fair value		$ 3.5
Payments related to fair value	2.1
Swap | Other Accrued Liabilities Current [Member] | Designated as Hedging Instrument | Cash Flow Hedging
Derivative [Line Items]
Unrealized loss of fair value	$ 1.2

Stockholders' Equity (Additiona

Stockholders' Equity (Additional Information) (Details) - Common Stock [Member] - USD ($) $ / shares in Units, shares in Millions, $ in Millions	1 Months Ended	3 Months Ended
	Feb. 28, 2022	Mar. 31, 2022
Stockholders Equity [Line Items]
Share repurchase program, duration	3 years
Stock Repurchase Program, Authorized Amount	$ 200
Share purchased and retired		0.3
Share purchased and retired, amount		$ 5
Stock Purchased Average Price Per Share		$ 14.78

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Details)	3 Months Ended
	Mar. 31, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Award vesting period	3 years
Options expiration period	10 years
RSUs | Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Award vesting period	1 year
RSUs | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Award vesting period	4 years
PSUs
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share units performance period	3 years
PSUs | Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share units vesting percentage	0.00%
PSUs | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share units vesting percentage	200.00%

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of RSU Activity (Details) - RSUs shares in Thousands	3 Months Ended
	Mar. 31, 2022$ / sharesshares
Number of Share Units
Share Units, Outstanding as of December 31, 2021 | shares	3,683
Share Units, Granted | shares	1,814
Share Units, Vested and delivered | shares	(1,433)
Share Units, Forfeited | shares	(61)
Share Units, Outstanding as of March 31, 2022 | shares	4,003	[1]
Weighted-Average Grant Date Fair Value
Weighted-Average Grant Date Fair Value, Outstanding as of December 31, 2021 | $ / shares	$ 10.95
Weighted-Average Grant Date Fair Value, Granted | $ / shares	15.07
Weighted-Average Grant Date Fair Value, Vested and delivered | $ / shares	10.28
Weighted-Average Grant Date Fair Value, Forfeited | $ / shares	12.69
Weighted-Average Grant Date Fair Value, Outstanding as of March 31, 2022 | $ / shares	$ 13.03	[1]
[1]	Included in “Outstanding as of March 31, 2022” are 63 RSUs that were vested, but not yet delivered.

Stock-Based Compensation - Su_2

Stock-Based Compensation - Summary of RSU Activity (Parenthetical) (Details) shares in Thousands	3 Months Ended
	Mar. 31, 2022shares
RSUs
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
RSUs vested but not yet delivered	63

Stock-Based Compensation - Su_3

Stock-Based Compensation - Summary of PSU Activity (Details) - PSUs shares in Thousands	3 Months Ended
	Mar. 31, 2022$ / sharesshares
Number of Share Units
Share Units, Outstanding as of December 31, 2021 | shares	142
Share Units, Granted | shares	275
Share Units, Vested and delivered | shares	(142)
Share Units, Forfeited | shares	0
Share Units, Outstanding as of March 31, 2022 | shares	275
Weighted-Average Grant Date Fair Value
Weighted-Average Grant Date Fair Value, Outstanding as of December 31, 2021 | $ / shares	$ 23.98
Weighted-Average Grant Date Fair Value, Granted | $ / shares	15.07
Weighted-Average Grant Date Fair Value, Vested and delivered | $ / shares	23.98
Weighted-Average Grant Date Fair Value, Forfeited | $ / shares	0
Weighted-Average Grant Date Fair Value, Outstanding as of March 31, 2022 | $ / shares	$ 15.07

Stock-Based Compensation - Su_4

Stock-Based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2022	Dec. 31, 2021
Number of Share Units
Share Units, Outstanding as of December 31,2021	804
Share Units, Granted	263
Share Units, Vested and delivered	0
Share Units, Forfeited	0
Share Units, Outstanding as of March 31, 2022	1,067	804
Share Units, Exercisable as of March 31, 2022	0
Weighted-Average Grant Date Fair Value
Weighted-Average Grant Date Fair Value, Outstanding as of December 31, 2021	$ 5.27
Weighted-Average Grant Date Fair Value, Granted	9.39
Weighted- Average Grant Date Fair Value, Vested and delivered	0
Weighted-Average Grant Date Fair Value, Forfeited	0
Weighted-Average Grant Date Fair Value, Outstanding as of March 31, 2022	$ 6.28	$ 5.27
Weighted-Average Contractual Term (in years)	8 years 8 months 23 days	8 years 6 months 29 days
Aggregate Intrinsic Value Outstanding, as of December 31, 2021	$ 5,754
Aggregate Intrinsic Value Outstanding, as of March 31, 2022	$ 4,634	$ 5,754

Stock-Based Compensation - Su_5

Stock-Based Compensation - Summary of Fair Value of Stock Options Granted are Estimated Using Black Scholes Option Pricing Model (Details)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
Risk-free interest rate	2.21%	1.15%
Weighted-average volatility	65.22%	69.00%
Dividend yield	0.00%	0.00%
Expected years until exercise	6 years 6 months	6 years 6 months

Earnings Per Share - Computatio

Earnings Per Share - Computation of Earnings (Loss) Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands		3 Months Ended
		Mar. 31, 2022	Mar. 31, 2021
Earnings Per Share [Abstract]
Net income		$ 4,340	$ 5,278
Basic weighted-average common shares outstanding		69,463	67,787
Effect of dilutive stock-based compensation awards	[1]	1,436	2,467
Diluted weighted-average common shares outstanding		70,899	70,254
Earnings per share, basic		$ 0.06	$ 0.08
Earnings per share, diluted		$ 0.06	$ 0.08
[1]	There were 1,738 and 1,815 potential common shares excluded from diluted weighted-average common shares outstanding for the three months ended March 31, 2022 and March 31, 2021, respectively, as their inclusion would have had an anti-dilutive effect.

Earnings Per Share - Computat_2

Earnings Per Share - Computation of Earnings (Loss) Per Share (Parenthetical) (Details) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Earnings Per Share [Abstract]
Potential common shares excluded from diluted weighted-average shares outstanding	1,738	1,815

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details)	3 Months Ended
	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Effective income tax rate, income tax expense percentage	(138.60%)
Federal statutory rate	21.00%

Income Taxes - Schedule of Effe

Income Taxes - Schedule of Effective Income Tax Rate Varied from Statutory Federal Income Tax Rate (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Income Tax Disclosure [Abstract]
Income tax provision at statutory rate	$ 382
State income taxes, net of federal income tax benefit	204
Stock-based compensation	(1,425)
Uncertain tax positions	(1,015)
Valuation allowance	(917)
Other, net	250
Income tax benifit	$ (2,521)	$ 1,306
Income tax provision at statutory rate, percent	21.00%
State income taxes, net of federal income tax benefit, percent	11.20%
Stock-based compensation, percent	(78.30%)
Uncertain tax positions, percent	(55.80%)
Valuation allowance, percent	(50.40%)
Other, net, percent	13.70%
Income tax benifit, percent	(138.60%)