Cars.com Inc. (NYSE: CARS) saw its stock soar 5.61% in the intraday trading session on Friday, as the company reported record financial results and unveiled a strategic acquisition to fuel its future growth.

For the full year 2024, Cars.com achieved a new milestone with revenue of $719 million, a 4% increase compared to the previous year. The company's OEM and National business segment exhibited robust performance, with a 15% year-over-year growth in the fourth quarter, marking its best quarterly revenue since 2021.

Furthermore, Cars.com's strong cost discipline and asset-light business model led to a multi-year high in free cash flow, reaching $128 million for the year. This impressive cash generation underscores the company's financial strength and operational efficiency.

Beyond its financial achievements, Cars.com announced the acquisition of DealerClub, a reputation-based dealer-to-dealer wholesale marketplace. This strategic move positions the company to enter the $10 billion wholesale market, enhancing its platform capabilities and offering a superior alternative to traditional opaque and expensive processes.

The integration of DealerClub with Cars.com's existing AccuTrade and inventory intelligence platforms is expected to create a powerful ecosystem, enabling dealers to efficiently manage their vehicle inventory across retail and wholesale channels. This comprehensive solution is poised to disrupt the industry and drive sustainable, profitable growth for Cars.com.