Copart Reports Second Quarter Fiscal 2025 Financial Results

February 20, 2025 at 16:15 PM EST

Copart, Inc. (NASDAQ: CPRT) today reported financial results for the quarter ended January 31, 2025.

For the three months ended January 31, 2025, revenue, gross profit, and net income attributable to Copart, Inc. were $1.16 billion, $525.6 million, and $387.4 million, respectively. These represent an increase in revenue of $143.2 million, or 14.0%; an increase in gross profit of $61.4 million, or 13.2%; and an increase in net income attributable to Copart, Inc. of $61.8 million, or 19.0%, respectively, from the same period last year. Fully diluted earnings per share for three months ended January 31, 2025 was $0.40 compared to $0.33 last year, an increase of 21.2%.

For the six months ended January 31, 2025, revenue, gross profit, and net income attributable to Copart, Inc. were $2.31 billion, $1.0 billion, and $749.5 million, respectively. These represent an increase in revenue of $269.6 million, or 13.2%; an increase in gross profit of $109.5 million, or 11.8%; and an increase in net income attributable to Copart, Inc. of $91.3 million, or 13.9%, respectively, from the same period last year. Fully diluted earnings per share for the six months ended January 31, 2025 was $0.77 compared to $0.68 last year, an increase of 13.2%.

On Thursday, February 20, 2025, at 5:30 p.m. Eastern Time (4:30 p.m. Central Time), Copart, Inc. 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/investorrelation. A replay of the call will be available through May 2025 by visiting www.copart.com/investorrelation.

About Copart

Copart, Inc., founded in 1982, is a global leader in online vehicle auctions. Copart’s innovative technology and online auction platform connect vehicle consignors to approximately 1 million members in over 185 countries. Copart offers a comprehensive suite of vehicle remarketing services 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 January 31,								Six Months Ended January 31,
	2025			2024			% Change		2025			2024			% Change
Service revenues and vehicle sales:
Service revenues	$	991,281		$	861,745		15.0	%	$	1,977,617		$	1,721,281		14.9	%
Vehicle sales		172,035			158,404		8.6	%		332,528			319,284		4.1	%
Total service revenues and vehicle sales		1,163,316			1,020,149		14.0	%		2,310,145			2,040,565		13.2	%
Operating expenses:
Facility operations		439,274			366,342		19.9	%		886,519			734,184		20.7	%
Cost of vehicle sales		147,707			146,819		0.6	%		285,885			294,715		(3.0	)%
Facility depreciation and amortization		48,963			41,208		18.8	%		96,440			80,311		20.1	%
Facility stock-based compensation		1,819			1,628		11.7	%		3,643			3,184		14.4	%
Gross profit		525,553			464,152		13.2	%		1,037,658			928,171		11.8	%
General and administrative		86,608			72,657		19.2	%		177,605			130,288		36.3	%
General and administrative depreciation and amortization		5,236			4,054		29.2	%		11,386			8,115		40.3	%
General and administrative stock-based compensation		7,498			7,541		(0.6	)%		16,089			14,492		11.0	%
Total operating expenses		737,105			640,249		15.1	%		1,477,567			1,265,289		16.8	%
Operating income		426,211			379,900		12.2	%		832,578			775,276		7.4	%
Other income (expense):
Interest income, net		40,747			33,956		20.0	%		86,294			65,961		30.8	%
Other (expense), net		(3,907	)		(3,103	)	25.9	%		(4,503	)		(7,175	)	(37.2	)%
Total other income		36,840			30,853		19.4	%		81,791			58,786		39.1	%
Income before income taxes		463,051			410,753		12.7	%		914,369			834,062		9.6	%
Income tax expense		76,510			85,226		(10.2	)%		166,652			176,003		(5.3	)%
Net income		386,541			325,527		18.7	%		747,717			658,059		13.6	%
Less: Net (loss)/income attributable to noncontrolling interest		(859	)		(108	)	695.4	%		(1,769	)		(103	)	1617.5	%
Net income attributable to Copart, Inc.	$	387,400		$	325,635		19.0	%	$	749,486		$	658,162		13.9	%

Basic net income per common share	$	0.40		$	0.34		17.6	%	$	0.78		$	0.69		13.0	%
Weighted average common shares outstanding		964,746			960,525		0.4	%		963,961			959,326		0.5	%

Diluted net income per common share	$	0.40		$	0.33		21.2	%	$	0.77		$	0.68		13.2	%
Diluted weighted average common shares outstanding		977,910			974,589		0.3	%		977,208			973,135		0.4	%

Copart, Inc. Consolidated Balance Sheets (In thousands) (Unaudited)

	January 31, 2025			July 31, 2024
ASSETS
Current assets:
Cash, cash equivalents, and restricted cash	$	3,338,909		$	1,514,111
Investment in held to maturity securities		458,542			1,908,047
Accounts receivable, net		882,745			785,877
Vehicle pooling costs		142,815			132,638
Inventories		59,072			43,639
Income taxes receivable		48,240			—
Prepaid expenses and other assets		36,460			33,872
Total current assets		4,966,783			4,418,184
Property and equipment, net		3,462,768			3,175,838
Operating lease right-of-use assets		114,839			116,301
Intangibles, net		68,083			74,088
Goodwill		509,670			513,909
Other assets		65,204			129,444
Total assets	$	9,187,347		$	8,427,764

LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable and accrued liabilities	$	562,205		$	518,148
Deferred revenue		26,892			28,121
Income taxes payable		17,844			60,994
Current portion of operating and finance lease liabilities		22,696			21,304
Total current liabilities		629,637			628,567
Deferred income taxes		92,886			93,653
Income taxes payable		44,091			59,560
Operating and finance lease liabilities, net of current portion		96,701			97,429
Total liabilities		863,315			879,209
Commitments and contingencies
Redeemable non-controlling interest		22,775			24,544
Stockholders' equity:
Preferred stock		—			—
Common stock		97			96
Additional paid-in capital		1,179,816			1,120,985
Accumulated other comprehensive loss		(171,560	)		(142,972	)
Retained earnings		7,292,904			6,545,902
Total stockholders' equity		8,301,257			7,524,011
Total liabilities, redeemable noncontrolling interests and stockholders’ equity	$	9,187,347		$	8,427,764

Copart, Inc. Consolidated Statements of Cash Flows (In thousands) (Unaudited)

	Six Months Ended January 31,
	2025			2024
Cash flows from operating activities:
Net income	$	747,717		$	658,059
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization, including debt cost		109,122			88,485
Allowance for credit loss		1,056			3,702
Equity in losses of unconsolidated affiliates		(61	)		(5,402	)
Stock-based compensation		19,732			17,676
Gain on sale of property and equipment		(194	)		(971	)
Deferred income taxes		47			(2,103	)
Changes in operating assets and liabilities:
Accounts receivable		(133,024	)		(169,508	)
Vehicle pooling costs		(10,675	)		(14,387	)
Inventories		(16,175	)		(2,994	)
Prepaid expenses, other current and non-current assets		4,976			(35,040	)
Operating lease right-of-use assets and lease liabilities		614			865
Accounts payable, accrued liabilities and other liabilities		44,765			6,556
Deferred revenue		(1,066	)		(13	)
Income taxes receivable		(48,239	)		(10,463	)
Income taxes payable		(58,194	)		2,577
Net cash provided by operating activities		660,401			537,039

Cash flows from investing activities:
Purchases of property and equipment		(353,399	)		(285,289	)
Purchase of assets and liabilities in connection with acquisitions		(1,213	)		17,662
Proceeds from sale of property and equipment		662			2,069
Purchases of held to maturity securities		(458,542	)		(1,411,122	)
Proceeds from held to maturity securities		1,940,000			1,430,000
Investment in unconsolidated affiliate		—			(1,000	)
Net cash provided by (used in) investing activities		1,127,508			(247,680	)

Cash flows from financing activities:
Proceeds from the exercise of stock options		32,833			13,482
Proceeds from the issuance of Employee Stock Purchase Plan shares		7,404			5,961
Payments for employee stock-based tax withholdings		(2,484	)		(2,164	)
Principal payments on revolver facility		—			(10,820	)
Payments of finance lease obligations		(40	)		(11	)
Net cash provided by financing activities		37,713			6,448
Effect of foreign currency translation		(824	)		3,746
Net increase in cash, cash equivalents, and restricted cash		1,824,798			299,553
Cash, cash equivalents, and restricted cash at beginning of period		1,514,111			957,395
Cash, cash equivalents, and restricted cash at end of period	$	3,338,909		$	1,256,948
Supplemental disclosure of cash flow information:
Interest paid	$	1,371		$	2,036
Income taxes paid, net of refunds	$	277,051		$	188,480
Purchase of property and equipment through settlement of deposit	$	57,453		$	—

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Copart Investor Relations

investor.relations@copart.com

Copart Reports Second Quarter Fiscal 2025 Financial Results

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