Copart Q4 revenue climbs on international unit growth, vehicle sales surge
Copart Q4 revenue climbs on international unit growth, vehicle sales surge
Overview
Online vehicle auction firm's fiscal Q4 revenue rose 2.4%, slightly beating analyst expectations
International revenue jumps to $222.1 million from $198.8 million, outpacing U.S. growth
EPS for fiscal Q4 declined and missed analyst expectations
Net income and gross profit both fell yr/yr, impacted by higher operating expenses
Outlook
Copart did not provide specific guidance or outlook for the current or upcoming periods
Result Drivers
VEHICLE SALES GROWTH - Revenue rose 2.4% as vehicle sales increased 8.3% to $182.9 mln and service revenue rose 1.4% to $969.5 mln
FACILITY COST INFLATION - Gross profit fell 5.5% as facility operations costs rose 7.7%, vehicle-sale costs increased 11.4% and facility depreciation rose 14.0%
LOWER OTHER INCOME - Net income declined 17.4% as other income fell 45.6%, reflecting a 20.5% drop in net interest income and a swing in other income
Company press release: ID:nBwNjBMra
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | Slight Beat* | $1.15 bln | $1.14 bln (6 Analysts) |
Q4 EPS | Miss | $0.35 | $0.38 (7 Analysts) |
Q4 Net Income |
| $326.83 mln |
|
Q4 Gross Profit |
| $481.45 mln |
|
Q4 Operating Expenses |
| $783.54 mln |
|
Q4 Operating Income |
| $368.90 mln |
|
Q4 Pretax Profit |
| $404.71 mln |
|
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the online services peer group is "buy"
Wall Street's median 12-month price target for Copart Inc is $42.55, about 32.8% above its September 9 closing price of $32.03
The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 20 three months ago
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(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.)