CarMax Q2 revenue rises on higher wholesale and retail used vehicle sales; plans to resume buyback
KMX•CarMax fiscal second-quarter revenue rose 19.5% year over year to $7.88 billion, while earnings per share increased 81% to $1.16. The company plans to resume share repurchases in Q3 FY2027.
1. Quarterly results
Higher retail and wholesale used vehicle unit sales drove CarMax's fiscal Q2 revenue increase. Gross profit was $799.5 million.
2. Outlook and drivers
CarMax plans to resume share repurchases in Q3 FY2027 and remains on track to achieve $200 million in SG&A exit-rate savings by the end of FY2027. Pricing actions supported improved sales trends but reduced gross profit per unit. CarMax Auto Finance income rose on a lower loan loss provision and gains on loan sales.
3. Strategic update
CarMax said it will provide an update on growth initiatives on Nov. 3.
