CarMax Q1 Results Top Estimates; Stock Up

(RTTNews) - CarMax Inc. (KMX) reported that its net earnings for the first quarter ended May 31, 2019 increased 11.8% to $266.7 million from $238.7 million last year, with net earnings per share improved 19.5% to $1.59 from $1.33 per share in the previous year. Analysts polled by Thomson Reuters expected the company to report earnings of $1.47 per share for the quarter. Analysts' estimates typically exclude special items.

In Friday pre-market trade, KMX is currently trading at $86.26, up $3.26 or 3.93 percent.

Net sales and operating revenues for the quarter increased 12.0% to $5.37 billion from $4.79 billion last year. Analysts expected revenue of $5.12 billion for the quarter.

Total used vehicle unit sales increased 13.0%, including a 9.5% increase in comparable store used unit sales compared with the prior year's first quarter.

Total wholesale vehicle unit sales increased 6.6% from last year, largely driven by an increase in our appraisal buy rate and the growth in our store base.

CarMax said that Omni-channel experience is on track to be available to the majority of customers by the end of fiscal 2020.

The company currently plan to open certain stores within 12 months from May 31, 2019.