Copart · Earnings release

Copart, Inc.

For Immediate Release

Copart Reports First Quarter Fiscal 2025 Financial Results

Dallas, Texas November 21, 2024 — Copart, Inc. (NASDAQ: CPRT) today reported financial results for the quarter ended October 31, 2024.

For the three months ended October 31, 2024, revenue, gross profit, and net income attributable to Copart, Inc. were $1.15 billion, $512.1 million, and $362.1 million, respectively. These represent an increase in revenue of $126.4 million, or 12.4%; an increase in gross profit of $48.1 million, or 10.4%; and an increase in net income attributable to Copart, Inc. of $29.6 million, or 8.9%, respectively, from the same period last year. Fully diluted earnings per share for three months ended October 31, 2024 was $0.37 compared to $0.34 last year, an increase of 8.8%.

On Thursday, November 21, 2024, at 5:30 p.m. Eastern Time (4:30 p.m. Central Time), Copart 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/investorrelations. A replay of the call will be available through February 2025 by visiting www.copart.com/investorrelations.

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 remarketing services to process and sell vehicles 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.

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Copart, Inc.

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.

Contact:

Copart Investor Relations

investor.relations@copart.com

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Copart, Inc.

Consolidated Statements of Income

(In thousands, except per share amounts)

(Unaudited)

Three Months Ended

% Change

Service revenues and vehicle sales:

Service revenues

$

$

%

Vehicle sales

%

Total service revenues and vehicle sales

%

Operating expenses:

Facility operations

%

Cost of vehicle sales

%

Facility depreciation and amortization

%

Facility stock-based compensation

%

Gross profit

%

General and administrative

%

General and administrative depreciation and amortization

%

General and administrative stock-based compensation

%

Total operating expenses

%

Operating income

%

Other income (expense):

Interest income, net

%

Other (expense), net

%

Total other income

%

Income before income taxes

%

Income tax expense

%

Net income

%

Less: Net (loss) income attributable to noncontrolling interest

5

%

Net income attributable to Copart, Inc.

$

$

%

Basic net income per common share

$

$

%

Weighted average common shares outstanding

%

Diluted net income per common share

$

$

%

Diluted weighted average common shares outstanding

%

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Copart, Inc.

Consolidated Balance Sheets

(In thousands)

(Unaudited)

ASSETS

Current assets:

Cash, cash equivalents, and restricted cash

$

$

Investment in held to maturity securities

—

Accounts receivable, net

Vehicle pooling costs

Inventories

Prepaid expenses and other assets

Total current assets

Property and equipment, net

Operating lease right-of-use assets

Intangibles, net

Goodwill

Other assets

Total assets

$

$

LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND STOCKHOLDERS’ EQUITY

Current liabilities:

Accounts payable and accrued liabilities

$

$

Deferred revenue

Income taxes payable

Current portion of operating and finance lease liabilities

Total current liabilities

Deferred income taxes

Income taxes payable

Operating and finance lease liabilities, net of current portion

Total liabilities

Commitments and contingencies

Redeemable non-controlling interest

Stockholders' equity:

Preferred stock

—

—

Common stock

Additional paid-in capital

Accumulated other comprehensive loss

Retained earnings

Total stockholders' equity

Total liabilities, redeemable noncontrolling interests and stockholders’ equity

$

$

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Copart, Inc.

Consolidated Statements of Cash Flows

(In thousands)

(Unaudited)

Three Months Ended October 31,

Cash flows from operating activities:

Net income

$

$

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization, including debt cost

Allowance for credit loss

Equity in losses of unconsolidated affiliates

Stock-based compensation

Gain on sale of property and equipment

Deferred income taxes

Changes in operating assets and liabilities:

Accounts receivable

Vehicle pooling costs

Inventories

Prepaid expenses, other current and non-current assets

Operating lease right-of-use assets and lease liabilities

Accounts payable, accrued liabilities and other liabilities

Deferred revenue

Income taxes receivable

1

Income taxes payable

Net cash provided by operating activities

Cash flows from investing activities:

Purchases of property and equipment

Purchase of assets and liabilities in connection with acquisitions

Proceeds from sale of property and equipment

Proceeds from the sale of held to maturity securities

Investment in unconsolidated affiliate

—

Net cash provided by investing activities

Cash flows from financing activities:

Proceeds from the exercise of stock options

Payments for employee stock-based tax withholdings

Payments of finance lease obligations

—

(5)

Net cash provided by financing activities

Effect of foreign currency translation

Net increase in cash, cash equivalents, and restricted cash

Cash, cash equivalents, and restricted cash at beginning of period

Cash, cash equivalents, and restricted cash at end of period

$

$

Supplemental disclosure of cash flow information:

Interest paid

$

$

Income taxes paid, net of refunds

$

$

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