CarMax Q1 revenue beats estimates on wholesale growth

Carmax

17/06/2026 11:01

Overview
U.S. used auto retailer's fiscal Q1 net revenue rose 6%, beating analyst expectations
Adjusted EPS for fiscal Q1 fell to $1.31 from $1.38 a year ago
Gross profit declined 4.4% yr/yr due to lower retail unit margins from pricing actions

Outlook
CarMax targets $200 mln in SG&A exit rate savings by end of fiscal 2027
Company to provide more details on growth strategy at strategic update in late Fall
CarMax introduces four-pillar strategy to drive sustainable growth and operating performance

Result Drivers
WHOLESALE GROWTH - Higher wholesale unit sales and increased average wholesale selling prices contributed to revenue growth
PRICING ACTIONS - Lower retail gross profit per used unit reflected continued pricing actions to drive improved sales trend
COST REDUCTIONS - SG&A expenses fell 3.7% due to lower compensation and benefits costs, supporting improved SG&A leverage

Company press release: ID:nBw2D35Bya

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$8 bln
$7.41 bln (13 Analysts)
Q1 EPS
 
$1.31
 
Q1 Gross Profit
 
$854.40 mln

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)