On June 20, CarMax
- Despite the sluggish retail environment, the company sold 96,766 used cars, boosting sales 13.9%.
- An increase in wholesale margin, offset by a decrease in new vehicle margin, led to a slight increase in total gross profits.
- The CarMax auto finance segment performed well, climbing 14% during the quarter.
- Management reiterated its earnings guidance of $1.03 to $1.14 per share for the fiscal year.
(Figures in millions, except per-share data.)
Income Statement Highlights
|
Q1 2007 |
Q1 2006 |
Change |
|
|---|---|---|---|
|
Sales |
$2,147.1 |
$1,885.1 |
13.9% |
|
Net Profit |
$65.4 |
$56.8 |
15.1% |
|
EPS |
$0.30 |
$0.27 |
11.1% |
|
Diluted Shares |
220.1 |
214.1 |
2.8% |
Get back to basics with the income statement.
Margin Checkup
|
Q1 2007 |
Q1 2006 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
13.2% |
13.2% |
0.1 |
|
Operating Margin |
5.0% |
5.0% |
0.0 |
|
Net Margin |
3.0% |
3.0% |
0.0 |
Margins are the earnings engine.
Balance Sheet Highlights
|
Assets |
Q1 2007 |
Q1 2006 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$22.0 |
$26.0 |
(15.4%) |
|
Accounts Rec. |
$68.4 |
$70.4 |
(2.9%) |
|
Inventory |
$863.5 |
$738.7 |
16.9% |
|
Liabilities |
Q1 2007 |
Q1 2006 |
Change |
|---|---|---|---|
|
Accounts Payable |
$249.3 |
$224.3 |
11.2% |
|
Long-Term Debt |
$33.5 |
$134.5 |
(75.1%) |
The balance sheet reflects the company's health.
Cash Flow Highlights
|
Q1 2007 |
Q1 2006 |
Change |
|
|---|---|---|---|
|
Cash From Ops. |
$75.4 |
$48.1 |
56.8% |
|
Capital Expenditures |
$60.9 |
$25.1 |
142.2% |
|
Free Cash Flow |
$14.5 |
$22.9 |
(36.7%) |
Free cash flow is a Fool's best friend.
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Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.
