CarMax (KMX) Reports Q4 Earnings: What Key Metrics Have to Say

Zacks
10 Apr

For the quarter ended February 2025, CarMax (KMX) reported revenue of $6 billion, up 6.7% over the same period last year. EPS came in at $0.64, compared to $0.32 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $5.99 billion, representing a surprise of +0.20%. The company has not delivered EPS surprise, with the consensus EPS estimate being $0.64.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how CarMax performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Comparable Store Used Vehicles Sales - YoY change: 5.9% compared to the 5.9% average estimate based on six analysts.
  • Gross Profit per Unit - Used vehicles gross profit: $2,322 versus $2,279.36 estimated by five analysts on average.
  • Revenue per vehicle retailed (ASP) - Used vehicles: $26.13 thousand versus $25.80 thousand estimated by five analysts on average.
  • Gross Profit per Unit - Wholesale vehicles gross profit: $1,045 versus the five-analyst average estimate of $1,080.56.
  • Revenue per vehicle retailed (ASP) - Wholesale vehicles: $8.04 thousand versus $8.02 thousand estimated by four analysts on average.
  • Net sales- Wholesale vehicles: $1.01 billion versus the seven-analyst average estimate of $1.03 billion. The reported number represents a year-over-year change of +3.5%.
  • Net sales- Other: $159 million compared to the $169.23 million average estimate based on seven analysts. The reported number represents a change of +2.7% year over year.
  • Net sales- Used vehicles: $4.84 billion versus $4.79 billion estimated by seven analysts on average. Compared to the year-ago quarter, this number represents a +7.5% change.
  • Other sales and revenues- Third-party finance fees, net: -$2.30 million compared to the -$0.79 million average estimate based on five analysts. The reported number represents a change of -34.3% year over year.
  • Other sales and revenues- Extended protection plan revenues: $105.90 million compared to the $109.19 million average estimate based on five analysts. The reported number represents a change of +8.1% year over year.
  • Other sales and revenues- Other: $21.30 million versus the four-analyst average estimate of $26.65 million. The reported number represents a year-over-year change of +353.2%.
  • Other sales and revenues- Advertising & subscription revenues: $34.10 million compared to the $34.97 million average estimate based on four analysts. The reported number represents a change of -0.3% year over year.
View all Key Company Metrics for CarMax here>>>

Shares of CarMax have returned +10.4% over the past month versus the Zacks S&P 500 composite's -5.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

CarMax, Inc. (KMX) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10