CarMax Reports First Quarter Fiscal Year 2026 Results
First Quarter Highlights:(1)
-
Net earnings per diluted share increased
42.3% to$1.38 $0.97
-
Retail used unit sales increased
9.0% and comparable store used unit sales increased8.1% ; wholesale units increased1.2% .
-
Total gross profit increased
12.8% to$893.6 million -
Record high gross profit per retail used unit of
$2,407 $60 -
Historically strong gross profit per wholesale unit of
$1,047 $17 -
Extended Protection Plans (EPP) margin per retail unit of
$572 $9 -
Service margin of
$143 $128
-
Record high gross profit per retail used unit of
-
Bought 336,000 vehicles from consumers and dealers, an increase of
7.2% .-
288,000 vehicles were purchased from consumers, up
3.3% -
48,000 vehicles were purchased through dealers, up
38.4%
-
288,000 vehicles were purchased from consumers, up
-
SG&A increased
3.3% to$659.6 million
- Expanded CarMax Auto Finance (CAF) non-prime funding program, which we expect to provide significant flexibility in supporting CAF’s full spectrum penetration growth plans while mitigating risk.
-
CAF income decreased
3.6% to$141.7 million
-
Accelerated the pace of share buybacks with
$199.8 million
(1) |
Comparisons to the prior year’s first quarter unless otherwise stated |
CEO Commentary:
“We delivered our fourth consecutive quarter of positive retail comps and double-digit year-over-year earnings per share growth. These results highlight the strength of our earnings growth model, which is underpinned by our best-in-class omni-channel experience, the diversity of our business, and our sharp focus on execution,” said Bill Nash, president and chief executive officer. “Our associates, stores, technology and digital capabilities, all seamlessly tied together, enable us to provide the most customer-centric car buying and selling experience. This is a key differentiator in a very large and fragmented market that positions us to continue to drive sales, gain market share, and deliver significant year-over-year earnings growth for years to come.”
First Quarter Business Performance Review:
Sales. Combined retail and wholesale used vehicle unit sales were 379,727, an increase of
Total retail used vehicle unit sales increased
Total wholesale vehicle unit sales increased
We bought 336,000 vehicles from consumers and dealers, up
Other sales and revenues increased by
Our digital capabilities supported
Gross Profit. Total gross profit was
Wholesale vehicle gross profit decreased
Other gross profit increased
SG&A. Compared with the first quarter of fiscal 2025, SG&A expenses increased
CarMax Auto Finance Expands Non-Prime Funding Program. During the first quarter, CAF earmarked
CarMax Auto Finance.(4) CAF income decreased
As of May 31, 2025, the allowance for loan losses of
CAF’s total interest margin percentage, which represents the spread between interest and fees charged to consumers and our funding costs, was
Share Repurchase Activity. During the first quarter of fiscal year 2026, we repurchased 3.0 million shares of common stock for
Location Openings. During the first quarter of fiscal 2026, we opened two new stand-alone reconditioning/auction centers. The centers are located in
(2) |
An omni retail unit sale is defined as a sale where customers complete at least one, but not all, of the four activities listed in note (3) below online. An omni retail unit sale also includes additional steps that can be completed online, including pre-qualifying for financing, setting appointments and signing up for notifications of cars coming soon. |
(3) |
An online retail sale is defined as a sale where the customer completes all four of these major transactional activities online: reserving the vehicle; financing the vehicle, if needed; trading-in or opting out of a trade in; and creating an online sales order. |
(4) |
Although CAF benefits from certain indirect overhead expenditures, we have not allocated indirect costs to CAF to avoid making subjective allocation decisions. |
Supplemental Financial Information Amounts and percentage calculations may not total due to rounding.
Sales Components |
||||||||||
|
Three Months Ended May 31 |
|||||||||
(In millions) |
|
2025 |
|
|
|
2024 |
|
|
Change |
|
Used vehicle sales |
$ |
6,103.4 |
|
|
$ |
5,677.5 |
|
|
7.5 |
% |
Wholesale vehicle sales |
|
1,252.7 |
|
|
|
1,256.4 |
|
|
(0.3 |
)% |
Other sales and revenues: |
|
|
|
|
|
|||||
Extended protection plan revenues |
|
131.7 |
|
|
|
118.8 |
|
|
10.8 |
% |
Third-party finance fees, net |
|
(0.7 |
) |
|
|
(1.7 |
) |
|
58.3 |
% |
Advertising & subscription revenues (1) |
|
36.5 |
|
|
|
34.7 |
|
|
5.3 |
% |
Other |
|
22.9 |
|
|
|
27.7 |
|
|
(17.3 |
)% |
Total other sales and revenues |
|
190.4 |
|
|
|
179.5 |
|
|
6.1 |
% |
Total net sales and operating revenues |
$ |
7,546.5 |
|
|
$ |
7,113.4 |
|
|
6.1 |
% |
(1) |
Excludes intercompany revenues that have been eliminated in consolidation. |
Unit Sales |
||||||||
|
Three Months Ended May 31 |
|||||||
|
2025 |
|
2024 |
|
Change |
|||
Used vehicles |
230,210 |
|
211,132 |
|
9.0 |
% |
||
Wholesale vehicles |
149,517 |
|
|
147,685 |
|
|
1.2 |
% |
Average Selling Prices |
||||||||||
|
Three Months Ended May 31 |
|||||||||
|
|
2025 |
|
|
|
2024 |
|
|
Change |
|
Used vehicles |
$ |
26,120 |
|
$ |
26,526 |
|
(1.5 |
)% |
||
Wholesale vehicles |
$ |
7,959 |
|
|
$ |
8,094 |
|
|
(1.7 |
)% |
Vehicle Sales Changes |
||||
|
Three Months Ended May 31 |
|||
|
2025 |
2024 |
||
Used vehicle units |
9.0 |
% |
(3.1 |
)% |
Used vehicle revenues |
7.5 |
% |
(5.4 |
)% |
|
|
|
||
Wholesale vehicle units |
1.2 |
% |
(8.3 |
)% |
Wholesale vehicle revenues |
(0.3 |
)% |
(17.0 |
)% |
Comparable Store Used Vehicle Sales Changes (1) |
||||
|
Three Months Ended May 31 |
|||
|
2025 |
2024 |
||
Used vehicle units |
8.1 |
% |
(3.8 |
)% |
Used vehicle revenues |
6.6 |
% |
(6.1 |
)% |
(1) |
Stores are added to the comparable store base beginning in their fourteenth full month of operation. Comparable store calculations include results for a set of stores that were included in our comparable store base in both the current and corresponding prior year periods. |
Used Vehicle Financing Penetration by Channel (Before the Impact of 3-day Payoffs) (1) |
||||
|
Three Months Ended May 31 |
|||
|
2025 |
2024 |
||
CAF (2) |
44.4 |
% |
45.3 |
% |
Tier 2 (3) |
17.7 |
% |
18.7 |
% |
Tier 3 (4) |
8.0 |
% |
7.5 |
% |
Other (5) |
29.9 |
% |
28.5 |
% |
Total |
100.0 |
% |
100.0 |
% |
(1) |
Calculated as used vehicle units financed for respective channel as a percentage of total used units sold. |
(2) |
Includes CAF's Tier 2 and Tier 3 loan originations, which represent approximately |
(3) |
Third-party finance providers who generally pay us a fee or to whom no fee is paid. |
(4) |
Third-party finance providers to whom we pay a fee. |
(5) |
Represents customers arranging their own financing and customers that do not require financing. |
Selected Operating Ratios |
|||||||||||
|
Three Months Ended May 31 |
||||||||||
(In millions) |
|
2025 |
|
% (1) |
|
|
2024 |
|
% (1) |
||
Net sales and operating revenues |
$ |
7,546.5 |
100.0 |
|
$ |
7,113.4 |
100.0 |
||||
Gross profit |
$ |
893.6 |
|
11.8 |
|
|
$ |
791.9 |
|
11.1 |
|
CarMax Auto Finance income |
$ |
141.7 |
|
1.9 |
|
|
$ |
147.0 |
|
2.1 |
|
Selling, general, and administrative expenses |
$ |
659.6 |
|
8.7 |
|
|
$ |
638.6 |
|
9.0 |
|
Interest expense |
$ |
27.1 |
|
0.4 |
|
|
$ |
31.4 |
|
0.4 |
|
Earnings before income taxes |
$ |
283.1 |
|
3.8 |
|
|
$ |
206.6 |
|
2.9 |
|
Net earnings |
$ |
210.4 |
|
2.8 |
|
|
$ |
152.4 |
|
2.1 |
|
(1) |
Calculated as a percentage of net sales and operating revenues. |
Gross Profit (1) |
||||||||||
|
Three Months Ended May 31 |
|||||||||
(In millions) |
|
2025 |
|
|
|
2024 |
|
|
Change |
|
Used vehicle gross profit |
$ |
554.2 |
|
$ |
495.5 |
|
11.8 |
% |
||
Wholesale vehicle gross profit |
|
156.6 |
|
|
|
157.1 |
|
|
(0.4 |
)% |
Other gross profit |
|
182.8 |
|
|
|
139.3 |
|
|
31.3 |
% |
Total |
$ |
893.6 |
|
|
$ |
791.9 |
|
|
12.8 |
% |
(1) |
Amounts are net of intercompany eliminations. |
Gross Profit per Unit (1) |
||||||||||
|
Three Months Ended May 31 |
|||||||||
|
|
2025 |
|
2024 |
||||||
|
$ per unit(2) |
%(3) |
$ per unit(2) |
%(3) |
||||||
Used vehicle gross profit per unit |
$ |
2,407 |
9.1 |
$ |
2,347 |
8.7 |
||||
Wholesale vehicle gross profit per unit |
$ |
1,047 |
|
12.5 |
|
$ |
1,064 |
|
12.5 |
|
Other gross profit per unit |
$ |
794 |
|
96.1 |
|
$ |
660 |
|
77.6 |
|
(1) |
Amounts are net of intercompany eliminations. |
(2) |
Calculated as category gross profit divided by its respective units sold, except the other category, which is divided by total used units sold. |
(3) |
Calculated as a percentage of its respective sales or revenue. |
SG&A Expenses (1) |
||||||||||
|
Three Months Ended May 31 |
|||||||||
(In millions) |
|
2025 |
|
|
|
2024 |
|
|
Change |
|
Compensation and benefits: |
|
|
|
|
|
|||||
Compensation and benefits, excluding share-based compensation expense |
$ |
349.0 |
|
|
$ |
328.1 |
|
|
6.4 |
% |
Share-based compensation expense |
|
45.6 |
|
|
|
47.1 |
|
|
(3.2 |
)% |
Total compensation and benefits (2) |
$ |
394.6 |
|
|
$ |
375.2 |
|
|
5.2 |
% |
Occupancy costs |
|
68.9 |
|
|
|
70.6 |
|
|
(2.4 |
)% |
Advertising expense |
|
67.9 |
|
|
|
71.7 |
|
|
(5.3 |
)% |
Other overhead costs (3) |
|
128.2 |
|
|
|
121.1 |
|
|
5.9 |
% |
Total SG&A expenses |
$ |
659.6 |
|
|
$ |
638.6 |
|
|
3.3 |
% |
SG&A as a % of gross profit |
|
73.8 |
% |
|
|
80.6 |
% |
|
(6.8 |
)% |
(1) |
Amounts are net of intercompany eliminations. |
(2) |
Excludes compensation and benefits related to reconditioning and vehicle repair service, which are included in cost of sales. |
(3) |
Includes IT expenses, non-CAF bad debt, insurance, preopening and relocation costs, travel, charitable contributions and other administrative expenses. |
Components of CAF Income and Other CAF Information |
||||||
|
Three Months Ended May 31 |
|||||
(In millions) |
|
2025 |
|
|
2024 |
|
Interest margin: |
|
|
||||
Interest and fee income |
$ |
485.4 |
|
$ |
452.5 |
|
Interest expense |
|
(197.5 |
) |
|
(182.3 |
) |
Total interest margin |
|
287.9 |
|
|
270.2 |
|
Provision for loan losses |
|
(101.7 |
) |
|
(81.2 |
) |
Total interest margin after provision for loan losses |
|
186.2 |
|
|
189.0 |
|
Total direct expenses |
|
(44.5 |
) |
|
(42.0 |
) |
CarMax Auto Finance income |
$ |
141.7 |
|
$ |
147.0 |
|
|
|
|
||||
Average auto loans outstanding (1) |
$ |
17,719.9 |
|
$ |
17,551.2 |
|
Total interest margin as a percent of average auto loans outstanding |
|
6.5 |
% |
|
6.2 |
% |
|
|
|
||||
Net auto loans originated (1) |
$ |
2,318.5 |
|
$ |
2,265.7 |
|
Net penetration rate (1) |
|
41.8 |
% |
|
43.3 |
% |
Weighted average contract rate (1) |
|
11.4 |
% |
|
11.4 |
% |
|
|
|
||||
Ending allowance for loan losses |
$ |
474.2 |
|
$ |
493.1 |
|
(1) |
Includes auto loans held for investment and auto loans held for sale. |
Earnings Highlights |
||||||||||
|
Three Months Ended May 31 |
|||||||||
(In millions except per share data) |
|
2025 |
|
|
|
2024 |
|
|
Change |
|
Net earnings |
$ |
210.4 |
|
$ |
152.4 |
|
38.0 |
% |
||
Diluted weighted average shares outstanding |
|
152.6 |
|
|
|
157.7 |
|
|
(3.2 |
)% |
Net earnings per diluted share |
$ |
1.38 |
|
|
$ |
0.97 |
|
|
42.3 |
% |
Conference Call Information
We will host a conference call for investors at 9:00 a.m. ET today, June 20, 2025. Domestic investors may access the call at 1-800-225-9448 (international callers dial 1-203-518-9708). The conference I.D. for both domestic and international callers is 3171396. A live webcast of the call will be available on our investor information home page at investors.carmax.com.
A replay of the webcast will be available on the company’s website at investors.carmax.com through September 24, 2025, or via telephone (for approximately one week) by dialing 1-800-839-1247 (or 1-402-220-0470 for international access) and entering the conference ID 3171396.
Second Quarter Fiscal 2026 Earnings Release Date
We currently plan to release results for the second quarter ending August 31, 2025, on Thursday, September 25, 2025, before the opening of trading on the New York Stock Exchange. We plan to host a conference call for investors at 9:00 a.m. ET on that date. Information on this conference call will be available on our investor information home page at investors.carmax.com in early September 2025.
About CarMax
CarMax, the nation’s largest retailer of used autos, revolutionized the automotive retail industry by driving integrity, honesty and transparency in every interaction. The company offers a truly personalized experience with the option for customers to do as much, or as little, online and in-store as they want. During the fiscal year that ended February 28, 2025, CarMax sold approximately 790,000 used vehicles and 540,000 wholesale vehicles at its auctions. In addition, CarMax Auto Finance originated more than
Forward-Looking Statements
We caution readers that the statements contained in this release that are not statements of historical fact, including statements about our future business plans, operations, challenges, opportunities or prospects, including without limitation any statements or factors regarding expected operating capacity, sales, inventory, market share, financial and operational targets and goals, revenue, margins, expenses, liquidity, loan originations, capital expenditures, share repurchase plans, debt obligations or earnings, are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by the use of words such as “anticipate,” “believe,” “could,” “enable,” “estimate,” “expect,” “intend,” “may,” “outlook,” “plan,” “positioned,” “predict,” “should,” “target,” “will” and other similar expressions, whether in the negative or affirmative. Such forward-looking statements are based upon management’s current knowledge, expectations and assumptions and involve risks and uncertainties that could cause actual results to differ materially from anticipated results. Among the factors that could cause actual results and outcomes to differ materially from those contained in the forward-looking statements are the following:
- Changes in the competitive landscape and/or our failure to successfully adjust to such changes.
-
Changes in general or regional
U.S. economic conditions, including economic downturns, inflationary pressures, fluctuating interest rates, tariffs or the effect of trade policies, and the potential impact of international events. - Changes in the availability or cost of capital and working capital financing, including changes related to the asset-backed securitization market.
- Events that damage our reputation or harm the perception of the quality of our brand.
- Significant changes in prices of new and used vehicles.
- A reduction in the availability of or access to sources of inventory or a failure to expeditiously liquidate inventory.
- Our inability to realize the benefits associated with our omni-channel platform or initiatives designed to leverage evolving technologies, including AI.
- Factors related to geographic and sales growth, including the inability to effectively manage our growth.
- Our inability to recruit, develop and retain associates and maintain positive associate relations.
- The loss of key associates from our store, regional or corporate management teams or a significant increase in labor costs.
- Changes in economic conditions or other factors that result in greater credit losses for CAF’s portfolio of auto loans than anticipated.
- The failure or inability to realize the benefits associated with our strategic investments.
- Changes in consumer credit availability provided by our third-party finance providers.
- Changes in the availability of extended protection plan products from third-party providers.
- The performance of the third-party vendors we rely on for key components of our business.
- Adverse conditions affecting one or more automotive manufacturers.
-
The inaccuracy of estimates and assumptions used in the preparation of our financial statements, or the effect of new accounting requirements or changes to
U.S. generally accepted accounting principles. - The failure or inability to adequately protect our intellectual property.
- The occurrence of severe weather events.
- The failure or inability to meet our environmental goals or satisfy related disclosure requirements.
- Factors related to the geographic concentration of our stores.
- Security breaches or other events that result in the misappropriation, loss or other unauthorized disclosure of confidential customer, associate or corporate information.
- The failure of or inability to sufficiently enhance key information systems.
- Factors related to the regulatory and legislative environment in which we operate.
- The effect of evolving regulations, disclosure requirements, standards and expectations relating to environmental, social and governance matters.
- The effect of various litigation matters.
- The volatility in the market price for our common stock.
For more details on factors that could affect expectations, see our Annual Report on Form 10-K for the fiscal year ended February 28, 2025, and our quarterly or current reports as filed with or furnished to the
CARMAX, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED) |
||||||||||
|
Three Months Ended May 31 |
|||||||||
(In thousands except per share data) |
|
2025 |
|
%(1) |
|
2024 |
|
%(1) |
||
SALES AND OPERATING REVENUES: |
|
|
|
|
||||||
Used vehicle sales |
$ |
6,103,440 |
|
80.9 |
$ |
5,677,476 |
79.8 |
|||
Wholesale vehicle sales |
|
1,252,738 |
|
16.6 |
|
|
1,256,439 |
|
17.7 |
|
Other sales and revenues |
|
190,363 |
|
2.5 |
|
|
179,482 |
|
2.5 |
|
NET SALES AND OPERATING REVENUES |
|
7,546,541 |
|
100.0 |
|
|
7,113,397 |
|
100.0 |
|
COST OF SALES: |
|
|
|
|
||||||
Used vehicle cost of sales |
|
5,549,257 |
|
73.5 |
|
|
5,181,979 |
|
72.8 |
|
Wholesale vehicle cost of sales |
|
1,096,167 |
|
14.5 |
|
|
1,099,311 |
|
15.5 |
|
Other cost of sales |
|
7,494 |
|
0.1 |
|
|
40,212 |
|
0.6 |
|
TOTAL COST OF SALES |
|
6,652,918 |
|
88.2 |
|
|
6,321,502 |
|
88.9 |
|
GROSS PROFIT |
|
893,623 |
|
11.8 |
|
|
791,895 |
|
11.1 |
|
CARMAX AUTO FINANCE INCOME |
|
141,650 |
|
1.9 |
|
|
146,970 |
|
2.1 |
|
Selling, general, and administrative expenses |
|
659,643 |
|
8.7 |
|
|
638,578 |
|
9.0 |
|
Depreciation and amortization |
|
65,739 |
|
0.9 |
|
|
61,869 |
|
0.9 |
|
Interest expense |
|
27,070 |
|
0.4 |
|
|
31,362 |
|
0.4 |
|
Other (income) expense |
|
(309 |
) |
— |
|
|
416 |
|
— |
|
Earnings before income taxes |
|
283,130 |
|
3.8 |
|
|
206,640 |
|
2.9 |
|
Income tax provision |
|
72,749 |
|
1.0 |
|
|
54,200 |
|
0.8 |
|
NET EARNINGS |
$ |
210,381 |
|
2.8 |
|
$ |
152,440 |
|
2.1 |
|
WEIGHTED AVERAGE COMMON SHARES: |
|
|
|
|
||||||
Basic |
|
152,137 |
|
|
|
157,161 |
|
|
||
Diluted |
|
152,607 |
|
|
|
157,706 |
|
|
||
NET EARNINGS PER SHARE: |
|
|
|
|
||||||
Basic |
$ |
1.38 |
|
|
$ |
0.97 |
|
|
||
Diluted |
$ |
1.38 |
|
|
$ |
0.97 |
|
|
||
(1) |
Percents are calculated as a percentage of net sales and operating revenues and may not total due to rounding. |
CARMAX, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (UNAUDITED) |
||||||||||||
|
|
As of |
||||||||||
|
|
May 31 |
|
February 28 |
|
May 31 |
||||||
(In thousands except share data) |
|
2025 |
|
|
|
2025 |
|
|
|
2024 |
|
|
ASSETS |
|
|
|
|
|
|||||||
|
CURRENT ASSETS: |
|
|
|
|
|
||||||
|
Cash and cash equivalents |
$ |
262,819 |
|
|
$ |
246,960 |
|
$ |
218,931 |
||
|
Restricted cash from collections on auto loans held for investment |
|
584,277 |
|
|
|
559,118 |
|
|
|
536,407 |
|
|
Accounts receivable, net |
|
200,305 |
|
|
|
188,733 |
|
|
|
212,370 |
|
|
Auto loans held for sale |
|
637,947 |
|
|
|
— |
|
|
|
— |
|
|
Inventory |
|
3,624,353 |
|
|
|
3,934,622 |
|
|
|
3,772,885 |
|
|
Other current assets |
|
142,890 |
|
|
|
148,203 |
|
|
|
229,714 |
|
|
TOTAL CURRENT ASSETS |
|
5,452,591 |
|
|
|
5,077,636 |
|
|
|
4,970,307 |
|
|
Auto loans held for investment, net |
|
16,802,744 |
|
|
|
17,242,789 |
|
|
|
17,268,321 |
|
|
Property and equipment, net |
|
3,909,977 |
|
|
|
3,841,833 |
|
|
|
3,734,736 |
|
|
Deferred income taxes |
|
141,183 |
|
|
|
140,332 |
|
|
|
100,104 |
|
|
Operating lease assets |
|
482,613 |
|
|
|
493,355 |
|
|
|
509,043 |
|
|
Goodwill |
|
141,258 |
|
|
|
141,258 |
|
|
|
141,258 |
|
|
Other assets |
|
456,039 |
|
|
|
467,003 |
|
|
|
518,325 |
|
|
TOTAL ASSETS |
$ |
27,386,405 |
|
|
$ |
27,404,206 |
|
|
$ |
27,242,094 |
|
|
|
|
|
|
|
|
||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY |
|
|
|
|
|
|||||||
|
CURRENT LIABILITIES: |
|
|
|
|
|
||||||
|
Accounts payable |
$ |
980,499 |
|
|
$ |
977,845 |
|
|
$ |
911,348 |
|
|
Accrued expenses and other current liabilities |
|
409,003 |
|
|
|
529,926 |
|
|
|
456,277 |
|
|
Accrued income taxes |
|
79,412 |
|
|
|
87,526 |
|
|
|
24,792 |
|
|
Current portion of operating lease liabilities |
|
58,332 |
|
|
|
59,335 |
|
|
|
57,534 |
|
|
Current portion of long-term debt |
|
217,319 |
|
|
|
16,821 |
|
|
|
21,550 |
|
|
Current portion of non-recourse notes payable |
|
532,787 |
|
|
|
526,518 |
|
|
|
514,394 |
|
|
TOTAL CURRENT LIABILITIES |
|
2,277,352 |
|
|
|
2,197,971 |
|
|
|
1,985,895 |
|
|
Long-term debt, excluding current portion |
|
1,366,176 |
|
|
|
1,570,296 |
|
|
|
1,591,366 |
|
|
Non-recourse notes payable, excluding current portion |
|
16,639,622 |
|
|
|
16,567,044 |
|
|
|
16,626,011 |
|
|
Operating lease liabilities, excluding current portion |
|
470,912 |
|
|
|
481,963 |
|
|
|
484,632 |
|
|
Other liabilities |
|
345,434 |
|
|
|
343,944 |
|
|
|
387,320 |
|
|
TOTAL LIABILITIES |
|
21,099,496 |
|
|
|
21,161,218 |
|
|
|
21,075,224 |
|
|
|
|
|
|
|
|
||||||
|
Commitments and contingent liabilities |
|
|
|
|
|
||||||
|
SHAREHOLDERS’ EQUITY: |
|
|
|
|
|
||||||
|
Common stock, |
|
75,291 |
|
|
|
76,660 |
|
|
|
78,176 |
|
|
Capital in excess of par value |
|
1,899,003 |
|
|
|
1,891,012 |
|
|
|
1,834,218 |
|
|
Accumulated other comprehensive (loss) income |
|
(8,246 |
) |
|
|
3,080 |
|
|
|
61,678 |
|
|
Retained earnings |
|
4,320,861 |
|
|
|
4,272,236 |
|
|
|
4,192,798 |
|
|
TOTAL SHAREHOLDERS’ EQUITY |
|
6,286,909 |
|
|
|
6,242,988 |
|
|
|
6,166,870 |
|
|
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY |
$ |
27,386,405 |
|
|
$ |
27,404,206 |
|
|
$ |
27,242,094 |
|
CARMAX, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) |
|||||||
|
Three Months Ended May 31 |
||||||
(In thousands) |
|
2025 |
|
|
|
2024 |
|
OPERATING ACTIVITIES: |
|
|
|
||||
Net earnings |
$ |
210,381 |
|
|
$ |
152,440 |
|
Adjustments to reconcile net earnings to net cash provided by (used in) operating activities: |
|
|
|
||||
Depreciation and amortization |
|
79,784 |
|
|
|
69,244 |
|
Share-based compensation expense |
|
46,981 |
|
|
|
48,098 |
|
Provision for loan losses |
|
101,707 |
|
|
|
81,226 |
|
Provision for cancellation reserves |
|
24,803 |
|
|
|
24,343 |
|
Deferred income tax provision (benefit) |
|
2,782 |
|
|
|
(2,036 |
) |
Other |
|
1,310 |
|
|
|
2,545 |
|
Net (increase) decrease in: |
|
|
|
||||
Accounts receivable, net |
|
(11,572 |
) |
|
|
8,783 |
|
Auto loans held for sale |
|
(637,947 |
) |
|
|
— |
|
Inventory |
|
310,269 |
|
|
|
(94,815 |
) |
Other current assets |
|
2,692 |
|
|
|
32,881 |
|
Auto loans held for investment, net |
|
338,338 |
|
|
|
(337,703 |
) |
Other assets |
|
(5,712 |
) |
|
|
(3,797 |
) |
Net decrease in: |
|
|
|
||||
Accounts payable, accrued expenses and other |
|
|
|
||||
current liabilities and accrued income taxes |
|
(141,867 |
) |
|
|
(75,206 |
) |
Other liabilities |
|
(22,406 |
) |
|
|
(23,692 |
) |
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES |
|
299,543 |
|
|
|
(117,689 |
) |
INVESTING ACTIVITIES: |
|
|
|
||||
Capital expenditures |
|
(136,736 |
) |
|
|
(103,914 |
) |
Proceeds from disposal of property and equipment |
|
48 |
|
|
|
1 |
|
Purchases of investments |
|
(4,926 |
) |
|
|
(2,093 |
) |
Sales and returns of investments |
|
425 |
|
|
|
136 |
|
NET CASH USED IN INVESTING ACTIVITIES |
|
(141,189 |
) |
|
|
(105,870 |
) |
FINANCING ACTIVITIES: |
|
|
|
||||
Proceeds from issuances of long-term debt |
|
87,000 |
|
|
|
— |
|
Payments on long-term debt |
|
(90,930 |
) |
|
|
(303,080 |
) |
Cash paid for debt issuance costs |
|
(8,895 |
) |
|
|
(5,668 |
) |
Payments on finance lease obligations |
|
(3,443 |
) |
|
|
(4,548 |
) |
Issuances of non-recourse notes payable |
|
3,988,864 |
|
|
|
3,676,000 |
|
Payments on non-recourse notes payable |
|
(3,906,323 |
) |
|
|
(3,376,447 |
) |
Repurchase and retirement of common stock |
|
(204,027 |
) |
|
|
(106,850 |
) |
Equity issuances |
|
8,329 |
|
|
|
8,209 |
|
NET CASH USED IN FINANCING ACTIVITIES |
|
(129,425 |
) |
|
|
(112,384 |
) |
Increase (decrease) in cash, cash equivalents, and restricted cash |
|
28,929 |
|
|
|
(335,943 |
) |
Cash, cash equivalents, and restricted cash at beginning of year |
|
960,310 |
|
|
|
1,250,410 |
|
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AT END OF PERIOD |
$ |
989,239 |
|
|
$ |
914,467 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20250620235143/en/
Investors:
David Lowenstein, Vice President, Investor Relations
investor_relations@carmax.com, (804) 747-0422 x7865
Media:
pr@carmax.com, (855) 887-2915
Source: CarMax, Inc.
