Rajat Gupta: Got it. Got it. So just to clarify on the arbitration because there was nothing like industry specific or anything to be concerned about from an arbitration perspective given the short period of why price declines are coming in the industry. .
George Chamoun: That’s right. We beat our internal expectation. We even — we try to telegraph this like we always do as much as possible. Like Q1 was like exceptional. I think I said specifically, don’t expect exactly the later quarter. But directionally, we hit closer to our 2026 goals, in Q1 of this year. So I don’t expect all of it to be like quarter-to-quarter is linear that way. But yes, we did beat our goals and us hitting or exceeding guidance on EBITDA, we did beat our internal margin goals as well. So not only our OpEx, but we beat our internal. So it was — we did execute better than we had internally planned. And nothing where your second part of that question, follow-up. We are with customers or arbitration, nothing were like that. It was just the quarter-over-quarter compare .
Bill Zerella: Yes. I would — by the way, Rajat,, I would also add in Q2, we added over 100 employees. So while the sequential decline was, as I mentioned, because of the trade show expense in Q1. We continue to exercise a lot of discipline and prudence around our discretionary spending levels. And we’re trying to always invest in the future and invest in technology and go-to-market for also very, very focused on operating efficiencies and continue to drive those every quarter, and we expect to continue to do that as best as we can. .
Operator: Our next question comes from the line of Gary Prestopino with Barrington Research.
Gary Prestopino: Good. A couple of questions here. If you can answer this, George. I know you don’t give out your exact conversion rate, but could you maybe directionally talk about how your conversion rates were in excess of what the industry conversion rates were in the quarter? .
George Chamoun: Gary, I’d rather not go there. Again, it’s not how — everyone likes using this conversion rate is they’re all the same thing. But I would look at it this way. We’re — we’re doing — we’re probably executing a conversion rate slightly ahead of schedule. It’s helping on units, it’s helping in customer satisfaction. And yes, appear to many of our competitors, we’re probably doing a better job. But it’s really hard for me to give you like a number or a compare but I would say, generally speaking, thematically, many of our sellers are ecstatic. Buyers are feeling like they’re not wasting time bidding because they’re actually getting more and more of these cars and every week and every month, if you take industry out of it, meaning all the macro stuff with used car declining, our — all the stuff we keep talking about is helping, whether it’s pricing guidance, the merchandising, helping buyers bid on the right vehicles, we’re doing a lot here, Gary.
It’s not one thing. And I think that’s a competitive advantage we have is we have the resources, both on product and technology as well as the people out in the field and on the phone. — sort of complement and help our sellers and buyers sort of come together in a vehicle. So we’re feeling really good about it. So starting to answer your question specifically, like given a numeric number, so we feel good about what we’re doing. .
Gary Prestopino: That’s okay. And then second question is, you guys that are out in the field, I mean especially dealing with the franchise dealers are — and maybe specifically more the OEM franchise dealers because vehicle supply on the new car side is starting to get a lot better, are you seeing — people seeing in the field that the dealers are less apt to retail trade and they’re selling it through your system rather than keeping it on the lot?
