Cars and Drivers
CarMax Earnings Crash on Comparable Sales
Published:
Last Updated:
CarMax Inc. (NYSE: KMX) reported its fiscal third-quarter financial results before the markets opened on Friday. The company had $0.63 in earnings per share (EPS) on $3.54 billion in revenue. That compared to consensus estimates from Thomson Reuters that call for $0.68 in EPS on revenue of $3.61 billion. The same period from the previous year had $0.60 in EPS on $3.41 billion in revenue.
While total used vehicle unit sales grew 3.2%, comparable store used unit sales fell 0.8% from the prior year’s third quarter. The comparable store used unit sales performance reflected a modest decrease in store traffic, which was largely offset by improved conversion. Apart from this, wholesale unit sales increased 3.4%.
During the third quarter, CarMax opened two stores in existing markets and relocated one store. Subsequent to the end of the quarter, the company entered the Boston market with two stores.
The company repurchased 7.7 million shares of common stock for $445.7 million. Some $1.55 billion remains available for repurchase under the current authorization.
24/7 Wall St.Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
