Copart, Inc. (NASDAQ: CPRT) today reported financial results for
the quarter ended April 30, 2024.
For the three months ended April 30, 2024, revenue, gross
profit, and net income attributable to Copart, Inc. were $1.13
billion, $525.5 million, and $382.3 million, respectively. These
represent an increase in revenue of $105.4 million, or 10.3%; an
increase in gross profit of $42.1 million, or 8.7%; and an increase
in net income attributable to Copart, Inc. of $31.9 million, or
9.1%, respectively, from the same period last year. Fully diluted
earnings per share for the three months were $0.39 compared to
$0.36 last year, an increase of 8.3%.
For the nine months ended April 30, 2024, revenue, gross profit,
and net income attributable to Copart, Inc. were $3.17 billion,
$1.5 billion, and $1.0 billion, respectively. These represent an
increase in revenue of $295.9 million, or 10.3%; an increase in
gross profit of $174.3 million, or 13.6%; and an increase in net
income attributable to Copart, Inc. of $150.5 million, or 16.9%,
respectively, from the same period last year. Fully diluted
earnings per share for the nine months were $1.07 compared to $0.92
last year, an increase of 16.3%.
On Thursday, May 16, 2024, at 5:30 p.m. Eastern Time (4:30 p.m.
Central Time), Copart will conduct a conference call to discuss the
results for the quarter. The call will be webcast live and can be
accessed via hyperlink at www.copart.com/investorrelations. A
replay of the call will be available through September 2024 by
visiting www.copart.com/investorrelations.
About Copart
Founded in 1982, Copart is a global leader in online vehicle
auctions. Copart's innovative technology and online auction
platforms connect vehicle consigners to approximately 1 million
members in over 185 countries. Copart offers remarketing services
to process and sell vehicles to insurance companies, financial
institutions, dealers, rental car companies, charities, fleet
operators, and individuals, and offers vehicles via auction to
dealers, dismantlers, rebuilders, exporters, and the general
public. With operations at over 250 locations in 11 countries,
Copart sold more than 4 million units in the last year. Copart
currently operates in the United States (Copart.com), Canada
(Copart.ca), the United Kingdom (Copart.co.uk), Brazil
(Copart.com.br), the Republic of Ireland (Copart.ie), Germany
(Copart.de), Finland (Copart.fi), the United Arab Emirates, Oman
and Bahrain (Copartmea.com), and Spain (Copart.es). For more
information, or to become a Member, visit Copart.com/register.
Cautionary Note About Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of federal securities laws. These forward-looking
statements are subject to substantial risks and uncertainties.
These forward-looking statements are subject to certain risks,
trends and uncertainties that could cause actual results to differ
materially from those projected or implied by our statements and
comments. For a more complete discussion of the risks that could
affect our business, please review the “Management’s Discussion and
Analysis” and the other risks identified in Copart’s latest Annual
Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current
Reports on Form 8-K, as filed with the Securities and Exchange
Commission. We encourage investors to review these disclosures
carefully. We do not undertake to update any forward-looking
statement that may be made from time to time on our behalf.
Copart, Inc.
Consolidated Statements of
Income
(In thousands, except per share
amounts)
(Unaudited)
Three Months Ended
April 30,
Nine Months Ended
April 30,
2024
2023
% Change
2024
2023
% Change
Service revenues and vehicle sales:
Service revenues
$
946,630
$
847,249
11.7
%
$
2,667,911
$
2,363,886
12.9
%
Vehicle sales
180,629
174,582
3.5
%
499,913
508,041
(1.6
)%
Total service revenues and vehicle
sales
1,127,259
1,021,831
10.3
%
3,167,824
2,871,927
10.3
%
Operating expenses:
Yard operations
391,256
343,617
13.9
%
1,125,440
1,020,674
10.3
%
Cost of vehicle sales
162,881
159,443
2.2
%
457,596
465,282
(1.7
)%
Yard depreciation and amortization
45,800
33,090
38.4
%
126,111
101,520
24.2
%
Yard stock-based compensation
1,817
2,251
(19.3
)%
5,001
5,038
(0.7
)%
Gross profit
525,505
483,430
8.7
%
1,453,676
1,279,413
13.6
%
General and administrative
76,169
52,395
45.4
%
206,457
144,772
42.6
%
General and administrative depreciation
and amortization
4,932
4,281
15.2
%
13,047
13,323
(2.1
)%
General and administrative stock-based
compensation
7,201
7,830
(8.0
)%
21,693
25,366
(14.5
)%
Total operating expenses
690,056
602,907
14.5
%
1,955,345
1,775,975
10.1
%
Operating income
437,203
418,924
4.4
%
1,212,479
1,095,952
10.6
%
Other income (expense):
Interest income, net
36,218
17,878
102.6
%
102,179
36,780
177.8
%
Other (expense) income, net
(1,309
)
3,628
(136.1
)%
(8,484
)
(2,096
)
304.8
%
Total other income
34,909
21,506
62.3
%
93,695
34,684
170.1
%
Income before income taxes
472,112
440,430
7.2
%
1,306,174
1,130,636
15.5
%
Income tax expense
90,002
89,999
—
%
266,005
240,680
10.5
%
Net income
382,110
350,431
9.0
%
1,040,169
889,956
16.9
%
Less: Net loss attributable to
noncontrolling interest
(181
)
—
100.0
%
(284
)
—
100.0
%
Net income attributable to Copart,
Inc.
$
382,291
$
350,431
9.1
%
$
1,040,453
$
889,956
16.9
%
Basic net income per common share
$
0.40
$
0.37
8.1
%
$
1.08
$
0.93
16.1
%
Weighted average common shares
outstanding
961,813
953,574
0.9
%
960,143
952,834
0.8
%
Diluted net income per common share
$
0.39
$
0.36
8.3
%
$
1.07
$
0.92
16.3
%
Diluted weighted average common shares
outstanding
976,445
967,380
0.9
%
974,226
965,436
0.9
%
Copart, Inc.
Consolidated Balance
Sheets
(In thousands)
(Unaudited)
April 30, 2024
July 31, 2023
ASSETS
Current assets:
Cash, cash equivalents, and restricted
cash
$
1,089,995
$
957,395
Investment in held to maturity
securities
2,000,334
1,406,589
Accounts receivable, net
822,650
702,038
Vehicle pooling costs
125,001
123,725
Inventories
46,764
39,973
Income taxes receivable
23,402
6,574
Prepaid expenses and other assets
40,983
26,310
Total current assets
4,149,129
3,262,604
Property and equipment, net
3,073,090
2,844,339
Operating lease right-of-use assets
108,859
108,139
Intangibles, net
76,786
62,702
Goodwill
511,372
394,289
Other assets
91,396
65,806
Total assets
$
8,010,632
$
6,737,879
LIABILITIES, REDEEMABLE
NONCONTROLLING INTERESTS AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable and accrued
liabilities
$
506,795
$
440,810
Deferred revenue
28,761
26,117
Income taxes payable
7,388
4,374
Current portion of operating and finance
lease liabilities
20,475
21,468
Total current liabilities
563,419
492,769
Deferred income taxes
92,014
89,492
Income taxes payable
67,455
69,193
Operating and finance lease liabilities,
net of current portion
91,131
88,082
Long-term debt and other liabilities
427
10,903
Total liabilities
814,446
750,439
Commitments and contingencies
Redeemable non-controlling interest
24,933
—
Stockholders' equity:
Preferred stock
—
—
Common stock
96
96
Additional paid-in capital
1,102,684
938,910
Accumulated other comprehensive loss
(156,807
)
(141,006
)
Retained earnings
6,225,280
5,189,440
Total stockholders' equity
7,171,253
5,987,440
Total liabilities, redeemable
noncontrolling interests and stockholders’ equity
$
8,010,632
$
6,737,879
Copart, Inc.
Consolidated Statements of
Cash Flows
(In thousands)
(Unaudited)
Nine Months Ended April
30,
2024
2023
Cash flows from operating
activities:
Net income
$
1,040,169
$
889,956
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation and amortization, including
debt cost
139,178
115,320
Allowance for credit loss
2,513
1,480
Equity in losses of unconsolidated
affiliates
2,580
5,446
Stock-based compensation
26,694
30,404
Gain on sale of property and equipment
(2,169
)
(965
)
Deferred income taxes
(3,093
)
(3,236
)
Changes in operating assets and
liabilities:
Accounts receivable
(152,564
)
(115,098
)
Vehicle pooling costs
(1,784
)
(7,300
)
Inventories
(7,316
)
14,870
Prepaid expenses, other current and
non-current assets
(39,815
)
(33,830
)
Operating lease right-of-use assets and
lease liabilities
1,377
595
Accounts payable, accrued liabilities and
other liabilities
40,305
30,314
Deferred revenue
2,660
5,516
Income taxes receivable
(16,846
)
49,430
Income taxes payable
1,454
22,731
Net cash provided by operating
activities
1,033,343
1,005,633
Cash flows from investing
activities:
Purchases of property and equipment
(373,104
)
(346,524
)
Cash acquired in connection with
acquisition
17,662
—
Proceeds from sale of property and
equipment
3,453
20,509
Investment in held to maturity
securities
(2,478,505
)
—
Proceeds from the sale of held to maturity
securities
1,915,000
—
Investment in unconsolidated affiliate
(1,000
)
(2,744
)
Net cash used in investing activities
(916,494
)
(328,759
)
Cash flows from financing
activities:
Proceeds from the exercise of stock
options
20,377
27,220
Proceeds from the issuance of Employee
Stock Purchase Plan shares
5,957
5,363
Payments for employee stock-based tax
withholdings
(4,613
)
(3,026
)
Issuance of principal on revolver
facility
—
21,481
Principal payments on revolver
facility
(10,818
)
—
Payments of finance lease obligations
(14
)
(18
)
Net cash provided by financing
activities
10,889
51,020
Effect of foreign currency translation
4,862
2,053
Net increase in cash, cash equivalents,
and restricted cash
132,600
729,947
Cash, cash equivalents, and restricted
cash at beginning of period
957,395
1,384,236
Cash, cash equivalents, and restricted
cash at end of period
$
1,089,995
$
2,114,183
Supplemental disclosure of cash flow
information:
Interest paid
$
1,946
$
1,586
Income taxes paid, net of refunds
$
255,268
$
171,438
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240516578331/en/
Copart Investor Relations investor.relations@copart.com
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