CarMax Q4 Profit Rises - Quick Facts

(RTTNews) - CarMax Inc. (KMX) reported fourth-quarter net income of $143.1 million or $0.67 per share, compared to $99.2 million or $0.44 per share, prior year. During the fourth quarter, net income was increased by $4.2 million, or $0.02 per share, related to an adjustment to capitalized interest expense. Excluding certain items, fourth quarter net earnings grew 19.7% and net earnings per share increased 27.5%. On average, 17 analysts polled by Thomson Reuters expected the company to report profit per share of $0.60 for the quarter. Analysts' estimates typically exclude special items. Net sales and operating revenues increased 14.2% to $3.51 billion in the fourth quarter. Analysts expected revenue of $3.50 billion for the quarter.

Used vehicle sales growth remained strong, with total used vehicle unit sales climbing 12.4% and comparable store used unit sales up 7.0% versus the prior year's fourth quarter. Wholesale vehicle unit sales grew 12.3%, primarily benefiting from improved appraisal traffic and the growth in store base.

CarMax currently plans to open between 13 and 16 stores in each of the next three fiscal years. In fiscal 2016, the company plans to open 14 new stores and relocate one store whose lease is expiring. The company also plans to remodel approximately 15 older stores. CarMax currently estimates capital expenditures will total approximately $360 million in fiscal 2016.