<div> CarMax, Inc. (NYSE: <a class=ticker href="https://www.benzinga.com/stock/KMX#NYSE?utm_campaign=partner_feed&utm_source=Newsbreak.com&utm_medium=partner_feed&utm_content=site" rel=nofollow> KMX </a> ) shares are currently trading higher after the company reported mixed <a href="https://www.benzinga.com/premarket?utm_campaign=partner_feed&utm_source=Newsbreak.com&utm_medium=partner_feed&utm_content=site" rel="noreferrer noopener nofollow" target=_blank> second-quarter earnings results </a> . The company reported earnings per share of 85 cents, missing the <a href="https://www.benzinga.com/pressreleases/24/09/b41042585/carmax-reports-second-quarter-fiscal-year-2025-results?utm_campaign=partner_feed&utm_source=Newsbreak.com&utm_medium=partner_feed&utm_content=site" rel="noreferrer noopener nofollow" target=_blank> analyst consensus estimate of 86 cents </a> . CarMax Auto Finance income was $115.6 million, a decline of 14.4% from last year’s second quarter. An increase in the provision for loan losses outweighed growth in CAF’s average managed receivables and a stable <a href="https://www.benzinga.com/earnings?utm_campaign=partner_feed&utm_source=Newsbreak.com&utm_medium=partner_feed&utm_content=site" rel="noreferrer noopener nofollow" target=_blank> net interest margin percentage </a> . Quarterly sales of $7.01 billion beat the street view of $6.79 billion. Also Read: <a href="https://www.benzinga.com/markets/equities/24/09/41045875/whats-going-on-with-southwest-airlines-stock-after-guidance-update?utm_campaign=partner_feed&utm_source=Newsbreak.com&utm_medium=partner_feed&utm_content=site" rel="noreferrer noopener nofollow" target=_blank> What’s Going On With Southwest Airlines Stock After Guidance Update? </a> Retail used unit sales rose by 5.1%, while comparable store used unit sales increased by 4.3% compared to the second quarter of the previous year; however, wholesale units saw a slight decline of 0.3%. Gross profit per retail used unit was $2,269, and gross profit per wholesale unit was $975, both consistent with last year. The Extended Protection Plan (EPP) margin increased by $69 per retail unit to $575, while the service margin grew by $84 per retail unit compared to the second quarter of the previous year. “We grew retail used unit sales, delivered strong margins, continued to manage SG&amp;A, and drove double-digit earnings growth while managing through industry wide auto loan loss pressure,” said Bill Nash, president and chief executive officer. During the second quarter of fiscal 2025, the company opened two new store locations in El Paso, Texas and Gainesville, Georgia. In fiscal year 2025, the firm plans to open a total of five new store locations, one stand-alone reconditioning center, and one stand-alone auction facility. The company exited the quarter with cash and equivalents worth $1.25 billion. Inventorie <a href="https://www.benzinga.com/calendars/guidance?utm_campaign=partner_feed&utm_source=Newsbreak.com&utm_medium=partner_feed&utm_content=site" rel="noreferrer noopener nofollow" target=_blank> s at quarter-end was $3.397 billion. </a> As of August, the company had $2.15 billion remaining available for repurchase under the outstanding authorization. Price Action: KMX shares are trading higher by 3.8% to $77.32 at last check Thursday. Read Next: <ul><li><a href="https://www.benzinga.com/news/earnings/24/09/41044051/accenture-q4-earnings-revenue-and-profit-beat-20b-in-new-bookings-dividend-and-buyback-boost?utm_campaign=partner_feed&utm_source=Newsbreak.com&utm_medium=partner_feed&utm_content=site" rel="noreferrer noopener nofollow" target=_blank> Accenture Q4 Earnings: Revenue And Profit Beat, $20B In New Bookings, Dividend And Buyback Boost </a></li></ul> This article <a href="https://www.benzinga.com/news/earnings/24/09/41047642/carmax-q2-earnings-mixed-results-as-sales-beat-expectations-but-loan-losses-weigh-on-profits?utm_campaign=partner_feed&utm_source=Newsbreak.com&utm_medium=partner_feed&utm_content=site" rel=nofollow> CarMax Q2 Earnings: Mixed Results As Sales Beat Expectations But Loan Losses Weigh On Profits </a> originally appeared on <a href="https://www.benzinga.com?utm_campaign=partner_feed&utm_source=Newsbreak.com&utm_medium=partner_feed&utm_content=site" rel=nofollow> Benzinga.com </a> . © 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved. </div>

Mountain View, CA

NewsBreak

CarMax Q2 Earnings: Mixed Results As Sales Beat Expectations But Loan Losses Weigh On Profits

CarMax, Inc. (NYSE:KMX) shares are currently trading higher after the company reported mixed second-quarter earnings results.
The company reported earnings per share of 85 cents, missing the analyst consensus estimate of 86 cents.
CarMax Auto Finance income was $115.6 million, a decline of 14.4% from last year’s second quarter. An increase in the provision for loan losses outweighed growth in CAF’s average managed receivables and a stable net interest margin percentage.
Quarterly sales of $7.01 billion beat the street view of $6.79 billion.
Also Read: What’s Going On With Southwest Airlines Stock After Guidance Update?
Retail used unit sales rose by 5.1%, while comparable store...