CarMax, Inc. (NYSE:KMX) saw its shares gain ground early Tuesday, on second-quarter financial figures.
The Richmond-based company, which boasts that it is the nation’s largest retailer of used cars, revealed net sales and operating revenues increased 9.1% to $5.20 billion; used unit sales in comparable stores increased 3.2%.
KMX also said total used vehicle unit sales increased 6.2%, including a 3.2% increase in comparable store used unit sales compared with the prior year’s second quarter. The comparable store sales performance reflected strong conversion and solid growth in web traffic.
Total gross profit increased 6.6% versus last year’s second quarter to $693.5 million. Used vehicle gross profit rose 6.4%, largely reflecting the increase in total used unit sales. Used vehicle gross profit per unit remained stable at $2,183.
Wholesale vehicle gross profit increased 5.7% versus the prior year’s quarter, driven by the increase in wholesale unit sales and an increase in wholesale vehicle gross profit per unit to $928 compared with $919 in last year’s second quarter.
Other gross profit increased 8.2%, largely reflecting the improvement in other sales and revenues.
CarMax Auto Finance income increased 4.1% to $114.1 million. Net earnings increased 5.8% to $233.6 million and net earnings per diluted share increased 12.9% to $1.40.
It also reported that its omni-channel experience remained on track to be available to the majority of customers by the end of fiscal 2020.
Shares picked up 87 cents, or 1%, to $87.77
