CarMax reports record earnings

 
The take: CarMax Inc. reported record sales for its fourth quarter and Fiscal Year 2013 from increased sales of used and wholesale cars and higher income from CarMax Auto Finance (CAF). Total used unit sales rose 12 percent in the fourth quarter and 10 percent during the year. The increase of used cars sale was attributable to more inventory and more compelling credit offers from the finance division.

The numbers:

Revenue: Revenue grew 14.2 percent to $2.8 billion during the fourth quarter that ended Feb. 28. Revenue for fiscal year 2013 grew 9.6 percent to $10.96 billion.

Net earnings: Profit grew 12.8 percent during the fourth quarter to $107.2 million. Net income for the year grew 5 percent to $434.3 million.

Earnings per share: For the fourth quarter, diluted earnings per share were 47 cents. The year’s profit was $1.90 per diluted share.

The company’s take: “We are pleased to report solid increases in used and wholesale vehicle unit sales and CAF income, which allowed us to achieve record earnings for both the fourth quarter and the fiscal year,” said Tom Folliard, president and chief executive officer. “We believe our long-term focus on developing associates, enhancing the customer experience, driving efficiencies, and building our store base continues to drive great results.”