CarMax (KMX) Financials
A multiple compares the market's price with a filed figure; it says what the market pays, not how the business is doing. The market capitalization is the vendor's as of Oct 30, 2026; every other figure is from the SEC filings on this page. Not financial advice.
Newest figures come from the 10-Q for Q2 FY2027, filed Sep 30, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the KMX SEC filings page.
CarMax Inc. (KMX) reported $27.6B in revenue over the twelve months to Aug 31, 2026, up 4.8% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
CarMax converts a weak earnings year into substantial cash, but leverage and inventory keep the balance sheet central to operations.
In FY2026, operating cash flow reached$1.8B and free cash flow$1.2B against net income of$247M after$541M of capital spending. Cash generation and reported profitability diverged sharply; with inventory rising5.1% while revenue fell1.8% , the cash result cannot be understood as simple profit conversion.
FY2026 gross margin was
The financing structure remains debt-heavy: liabilities were
Financial Health Signals
Scored against operating companies for FY2026. Each of the six dimensions is a percentile rank within that peer group, and the overall is the average of the dimensions that can be computed. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of CarMax Inc.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
CarMax Inc.'s revenue declined 1.8% year-over-year, from $26.4B to $25.9B. This contraction results in a growth score of 27/100.
CarMax Inc. has elevated debt relative to equity (D/E of 2.93), meaning the company relies heavily on borrowed funds. This high leverage results in a low score of 21/100, reflecting increased financial risk.
CarMax Inc.'s current ratio of 2.20 indicates adequate short-term liquidity, earning a score of 64/100. The company can meet its near-term obligations, though with limited headroom.
CarMax Inc. has a free cash flow margin of 4.8%, earning a moderate score of 36/100. The company generates positive cash flow after capital investments, but with room for improvement.
CarMax Inc.'s ROE of 4.2% shows moderate profitability relative to equity, earning a score of 45/100. This is down from 8.0% the prior year.
CarMax Inc. passes 6 of 9 financial strength tests. 3 of 4 profitability signals pass, 2 of 3 leverage/liquidity signals pass, 1 of 2 operating efficiency signals passes.
For every $1 of reported earnings, CarMax Inc. generates $7.21 in operating cash flow ($1.8B OCF vs $247.3M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Key Financial Metrics
Earnings & Revenue
CarMax Inc. generated $7.9B in revenue in Q2 2027. This represents an increase of 19.5% from the same quarter a year earlier. Against the prior quarter it is down 1.7%.
CarMax Inc. reported $165.3M in net income in Q2 2027. This represents an increase of 73.3% from the same quarter a year earlier. Against the prior quarter it is down 11.0%.
CarMax Inc. earned $1.16 per diluted share (EPS) in Q2 2027. This represents an increase of 81.2% from the same quarter a year earlier. Against the prior quarter it is down 11.5%.
Not reported for Q2 2027.
Cash & Balance Sheet
CarMax Inc. generated $805.8M in free cash flow in Q2 2027, representing cash available after capex. This represents an increase of 23.2% from the same quarter a year earlier. The change from the prior quarter is not meaningful, because that quarter’s figure was zero or negative.
CarMax Inc. held $170.5M in cash against $16.8B in long-term debt as of Q2 2027.
Not reported for Q2 2027.
Margins & Returns
CarMax Inc.'s gross margin was 10.2% in Q2 2027, indicating the percentage of revenue retained after direct costs. This is down 0.7 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.5 percentage points.
CarMax Inc.'s net profit margin was 2.1% in Q2 2027, showing the share of revenue converted to profit. This is up 0.7 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.2 percentage points.
CarMax Inc.'s quarterly ROE was 2.6% in Q2 2027: one quarter's net income over shareholder equity, not annualized. This is up 1.1 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.4 percentage points.
Not reported for Q2 2027.
Capital Allocation
CarMax Inc. spent $313K on share buybacks in Q2 2027, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 99.8% from the same quarter a year earlier. Against the prior quarter it is down 86.4%.
CarMax Inc. invested $77.1M in capex in Q2 2027, funding long-term assets and infrastructure. This represents a decrease of 41.3% from the same quarter a year earlier. Against the prior quarter it is down 25.4%.
Not reported for Q2 2027.
KMX Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2710-Q | Q1'2710-Q | Q4'2610-K | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Revenue | $7.9B+19.5% | $8.0B+6.2% | $5.9B-1.0% | $5.8B-6.9% | $6.6B-6.0% | $7.5B+6.1% | $6.0B+6.7% | $6.2B+1.2% |
| Cost of Revenue | $7.1B+20.4% | $7.2B+7.6% | $5.3B+0.1% | $5.2B-6.2% | $5.9B-6.0% | $6.7B+5.2% | $5.3B+5.8% | $5.5B+0.2% |
| Gross Profit | $799.5M+11.4% | $854.4M-4.4% | $605.3M-9.4% | $590.0M-12.9% | $717.7M-5.6% | $893.6M+12.8% | $667.9M+13.9% | $677.6M+10.6% |
| SG&A Expenses | $628.6M+4.6% | $635.2M-3.7% | $611.3M+0.1% | $581.4M+1.0% | $601.1M-1.6% | $659.6M+3.3% | $610.5M+5.1% | $575.8M+2.8% |
| Interest Expense | $31.8M+11.9% | $33.8M+24.9% | $28.8M+19.1% | $26.1M+2.8% | $28.5M+5.3% | $27.1M-13.7% | $24.1M-23.2% | $25.4M-18.7% |
| Income Tax | $57.8M+82.2% | $72.9M+0.2% | $10.0M-64.9% | $21.7M-47.2% | $31.7M-29.6% | $72.7M+34.2% | $28.5M+87.2% | $41.0M+43.7% |
| Net Income | $165.3M+73.3% | $185.6M-11.8% | -$120.7M-234.3% | $62.2M-50.4% | $95.4M-28.2% | $210.4M+38.0% | $89.9M+78.8% | $125.4M+53.0% |
| EPS (Basic) | $1.16+81.2% | $1.31-5.1% | -$0.79-233.9% | $0.43-46.9% | $0.64-24.7% | $1.38+42.3% | $0.59+84.4% | $0.81+55.8% |
| EPS (Diluted) | $1.16+81.2% | $1.31-5.1% | -$0.78-232.2% | $0.43-46.9% | $0.64-24.7% | $1.38+42.3% | $0.59+84.4% | $0.81+55.8% |
| Diluted Shares (Avg) | 142M-4.8% | 142M-6.9% | N/A | 146M-6.1% | 150M-4.4% | 153M-3.2% | N/A | 155M-2.2% |
Not reported in any period shown, so not listed: R&D Expenses, Operating Income, EBITDA.
KMX Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2710-Q | Q1'2710-Q | Q4'2610-K | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $26.1B-3.7% | $26.6B-2.8% | $26.4B-3.8% | $25.6B-6.4% | $27.1B-0.8% | $27.4B+0.5% | $27.4B+0.8% | $27.3B+0.5% |
| Current Assets | $5.1B-7.8% | $5.8B+7.0% | $5.3B+4.6% | $4.2B-12.9% | $5.5B+14.1% | $5.5B+9.7% | $5.1B-2.9% | $4.8B-5.7% |
| Cash & Equivalents | $170.5M-68.4% | $132.2M-49.7% | $122.8M-50.3% | $204.9M-24.6% | $540.4M+3.0% | $262.8M+20.0% | $247.0M-57.0% | $271.9M-55.1% |
| Short-Term Investments | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m |
| Inventory | $3.9B+22.4% | $4.1B+12.1% | $4.1B+5.1% | $3.1B-14.7% | $3.1B-7.3% | $3.6B-3.9% | $3.9B+7.0% | $3.7B+0.7% |
| Accounts Receivable | $224.6M+29.4% | $263.9M+31.8% | $204.5M+8.3% | $151.1M-29.3% | $173.6M-23.9% | $200.3M-5.7% | $188.7M-14.7% | $213.6M+0.6% |
| Long-Term Investments | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m |
| Goodwill | N/A | N/A | $0-100.0% | $141.3M0.0% | $141.3M0.0% | $141.3M0.0% | $141.3M0.0% | $141.3M0.0% |
| Total Liabilities | $19.8B-5.3% | $20.5B-2.8% | $20.5B-3.2% | $19.5B-7.5% | $20.9B-1.1% | $21.1B+0.1% | $21.2B+0.2% | $21.1B-0.2% |
| Current Liabilities | $2.2B-2.6% | $2.2B-5.3% | $2.4B+9.9% | $2.1B+0.4% | $2.3B+4.5% | $2.3B+14.7% | $2.2B-4.9% | $2.1B+0.7% |
| Non-Current Liabilities | $17.6B-5.7% | $18.4B-2.5% | $18.1B-4.7% | $17.4B-8.4% | $18.6B-1.8% | $18.8B-1.4% | $19.0B+0.8% | $19.0B-0.3% |
| Long-Term Debt | $16.8B-5.8% | $17.6B-2.5% | $17.3B-4.8% | $16.6B-8.6% | $17.8B-1.6% | $18.0B-1.2% | $18.1B+1.0% | $18.1B-0.1% |
| Total Equity | $6.3B+1.7% | $6.1B-2.7% | $5.9B-5.7% | $6.1B-2.4% | $6.2B+0.3% | $6.3B+1.9% | $6.2B+2.8% | $6.2B+2.8% |
| Retained Earnings | $4.4B+2.8% | $4.2B-2.2% | $4.0B-5.4% | $4.2B-1.6% | $4.3B+0.9% | $4.3B+3.1% | $4.3B+3.5% | $4.3B+3.6% |
KMX Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2710-Q | Q1'2710-Q | Q4'2610-K | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $882.9M+12.4% | $17.6M-94.1% | -$554.3M-478.7% | $1.3Bn/m | $785.5M+26.9% | $299.5Mn/m | $146.4M-52.7% | -$23.4M-111.1% |
| Depreciation & Amortization | $95.2M+13.4% | $92.9M+16.4% | $93.8M+21.0% | $88.5M+17.4% | $83.9M+15.4% | $79.8M+15.2% | $77.5M+15.8% | $75.4M+13.2% |
| Stock-Based Compensation | $32.9M+32.7% | $41.9M-10.7% | N/A | $16.6M-33.5% | $24.8M-29.6% | $47.0M-2.3% | N/A | $24.9M+15.3% |
| Capital Expenditures | $77.1M-41.3% | $103.3M-24.4% | $133.0M+4.2% | $139.8M+9.9% | $131.5M+20.4% | $136.7M+31.6% | $127.6M+16.2% | $127.2M-12.4% |
| Free Cash Flow | $805.8M+23.2% | -$85.7M-152.7% | -$687.3M-3763.6% | $1.1Bn/m | $654.0M+28.3% | $162.8Mn/m | $18.8M-90.6% | -$150.6M-332.2% |
| Investing Cash Flow | -$70.6Mn/m | -$99.6Mn/m | -$128.8Mn/m | -$138.8Mn/m | -$131.3Mn/m | -$141.2Mn/m | -$113.1Mn/m | -$132.5Mn/m |
| Financing Cash Flow | -$767.8Mn/m | $90.5Mn/m | $633.1Mn/m | -$1.5Bn/m | -$338.3Mn/m | -$129.4Mn/m | -$48.8Mn/m | -$121.6Mn/m |
| Share Buybacks | $313K-99.8% | $2.3M-98.9% | $54.3M-45.0% | $203.6M+75.1% | $180.8M+69.9% | $204.0M+90.9% | $98.9M+98.5% | $116.3M+189.6% |
Not reported in any period shown, so not listed: Dividends Paid.
KMX Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2710-Q | Q1'2710-Q | Q4'2610-K | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 10.2%-0.7pp | 10.7%-1.2pp | 10.2%-0.9pp | 10.2%-0.7pp | 10.9%0.0pp | 11.8%+0.7pp | 11.1%+0.7pp | 10.9%+0.9pp |
| Net Margin | 2.1%+0.7pp | 2.3%-0.5pp | -2.0%-3.5pp | 1.1%-0.9pp | 1.5%-0.4pp | 2.8%+0.7pp | 1.5%+0.6pp | 2.0%+0.7pp |
| Return on Equity | 2.6%+1.1pp | 3.0%-0.3pp | -2.0%-3.5pp | 1.0%-1.0pp | 1.5%-0.6pp | 3.4%+0.9pp | 1.4%+0.6pp | 2.0%+0.7pp |
| Return on Assets | 0.6%+0.3pp | 0.7%-0.1pp | -0.5%-0.8pp | 0.2%-0.2pp | 0.4%-0.1pp | 0.8%+0.2pp | 0.3%+0.1pp | 0.5%+0.2pp |
| Current Ratio | 2.33-0.1x | 2.70+0.3x | 2.20-0.1x | 1.99-0.3x | 2.46+0.2x | 2.39-0.1x | 2.310.0x | 2.30-0.2x |
| Debt-to-Equity | 2.66-0.2x | 2.870.0x | 2.930.0x | 2.73-0.2x | 2.87-0.1x | 2.86-0.1x | 2.91-0.1x | 2.92-0.1x |
| Liabilities-to-Equity | 3.13-0.2x | 3.350.0x | 3.48+0.1x | 3.22-0.2x | 3.370.0x | 3.36-0.1x | 3.39-0.1x | 3.39-0.1x |
| Asset Turnover | 0.30+0.1x | 0.300.0x | 0.230.0x | 0.230.0x | 0.240.0x | 0.280.0x | 0.220.0x | 0.230.0x |
| FCF Margin | 10.2%+0.3pp | -1.1%-3.2pp | -11.6%-11.9pp | 19.2%+21.6pp | 9.9%+2.6pp | 2.2%+5.3pp | 0.3%-3.2pp | -2.4%-3.5pp |
Not reported in any period shown, so not listed: Operating Margin.
Similar Companies
Newest fiscal year on record for each company. The health score is the peer-relative Financial Health Score for that year; a dash means no score is published for it. Market cap is stated at each company's latest close.
| Company | Fiscal year | Revenue | Net income | Net margin | Market cap | Health score |
|---|---|---|---|---|---|---|
| CarMax Inc. KMX | FY2026 | $25.9B | $247.3M | 1.0% | $7.9B | 40/100 |
| Lithia Motors, Inc. LAD | FY2025 | $37.6B | $819.6M | 2.2% | $6.5B | 42/100 |
| AutoNation, Inc. AN | FY2025 | $27.6B | $649.1M | 2.4% | $5.8B | 41/100 |
| Rush Enterprises Inc RUSHB | FY2025 | $7.4B | $263.8M | 3.5% | $6.6B | 54/100 |
| Rush Enterprises Inc RUSHA | FY2025 | $7.4B | $263.8M | 3.5% | $5.0B | 54/100 |
| OPENLANE, Inc OPLN | FY2025 | $1.9B | $177.7M | 9.2% | $4.8B | 48/100 |
Where CarMax Inc. Ranks
Frequently Asked Questions
CarMax Inc. (KMX) reported $25.9B in total revenue for fiscal year 2026. This represents a -1.8% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
CarMax Inc. (KMX) revenue declined by 1.8% year-over-year, from $26.4B to $25.9B in fiscal year 2026.
Yes, CarMax Inc. (KMX) reported a net income of $292.4M over the trailing 12 months to August 31, 2026. In fiscal year 2026 it reported a net income of $247.3M, with a net profit margin of 1.0%.
As of fiscal year 2026, CarMax Inc. (KMX) had $122.8M in cash and equivalents against $17.3B in long-term debt.
CarMax Inc. (KMX) had a gross margin of 10.8% in fiscal year 2026, indicating the percentage of revenue retained after direct costs of goods sold.
CarMax Inc. (KMX) had a net profit margin of 1.0% in fiscal year 2026, representing the share of revenue converted into profit after all expenses.
CarMax Inc. (KMX) has a return on equity of 4.2% for fiscal year 2026, measuring how efficiently the company generates profit from shareholder equity.
CarMax Inc. (KMX) generated $1.2B in free cash flow during fiscal year 2026. This represents a 694.2% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
CarMax Inc. (KMX) generated $1.8B in operating cash flow during fiscal year 2026, representing cash generated from core business activities.
CarMax Inc. (KMX) had $26.4B in total assets as of fiscal year 2026, including both current and long-term assets.
CarMax Inc. (KMX) invested $541.0M in capital expenditures during fiscal year 2026, funding long-term assets and infrastructure.
CarMax Inc. (KMX) had a current ratio of 2.20 as of fiscal year 2026, which is generally considered healthy.
CarMax Inc. (KMX) had a debt-to-equity ratio of 2.93 as of fiscal year 2026. We compute it as long-term debt divided by total shareholder equity, where long-term debt is the noncurrent part of the company's borrowings, so debt due within the next twelve months is not counted.
CarMax Inc. (KMX) had a liabilities-to-equity ratio of 3.48 as of fiscal year 2026, which is total liabilities divided by total shareholder equity. Total liabilities counts every obligation on the balance sheet (payables, deposits, insurance reserves and deferred taxes as well as borrowings), so this ratio usually runs well above debt-to-equity.
CarMax Inc. (KMX) had a return on assets of 0.9% for fiscal year 2026, measuring how efficiently the company uses its assets to generate profit.
CarMax Inc. (KMX) trades at 27.0x earnings, its market capitalization divided by $292.4M net income, trailing 12 months to August 31, 2026. The market capitalization is $7.9B as of Oct 30, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
CarMax Inc. (KMX) trades at 0.3x sales, its market capitalization divided by $27.6B revenue, trailing 12 months to August 31, 2026. The market capitalization is $7.9B as of Oct 30, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
CarMax Inc. (KMX) has a Piotroski F-Score of 6 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
CarMax Inc. (KMX) has an earnings quality ratio of 7.21x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
CarMax Inc. (KMX) scores 40 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is the average of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.