RICHMOND, Virginia — September 29, 2026. CarMax reported higher revenue, vehicle sales and profit for its fiscal second quarter, covering the three months ended August 31, 2026.
Net sales and operating revenue rose 19.5% from a year earlier to $7.88 billion, according to the company’s September 29 earnings release. Net earnings increased to $165.3 million from $95.4 million, and diluted earnings per share rose to $1.16 from $0.64.
Vehicle volume drove the quarter
CarMax sold 387,735 retail and wholesale vehicles in the quarter, up 14.7% year over year. The results indicate that higher unit volume, not simply price increases, contributed to the revenue gain.
The average selling price of a used vehicle increased 6.3% to $27,623. CarMax also said it plans to resume repurchasing shares under an existing authorization with approximately $1.31 billion remaining.
Share repurchases reduce the number of shares outstanding when completed, but an authorization is not a guarantee that the company will buy a specific amount on a fixed timetable.
Management’s turnaround focus
The report is the first fiscal second-quarter result under Chief Executive Keith Barr, who took the role in March. The company has described its operational program as “Shift into GEAR,” with priorities including pricing, customer experience and cost control.
The Wall Street Journal reported that CarMax cut 145 corporate jobs earlier in September after previous workforce reductions. Those actions may reduce expenses, but their longer-term effect on operations and service cannot be determined from one quarter.
How to read the results
Revenue growth does not automatically mean every part of the business improved at the same rate. CarMax operates retail and wholesale vehicle businesses as well as CarMax Auto Finance. Credit performance, vehicle acquisition costs, gross profit per unit and funding costs can all affect future results.
The results also reflect company-specific execution during a period when consumer confidence weakened. AskNovus’s review of the September consumer-confidence index explains the broader household-sentiment backdrop.
What comes next
Investors will watch whether unit growth persists, whether gross profit per vehicle holds up and how the auto-finance portfolio performs. The company said information about its fiscal third-quarter release will be posted in early December.
This article reports filed company results and subsequent established financial coverage. It does not provide a live share price or a recommendation to buy or sell securities.
Sources
Featured photo: Obi via Unsplash.
[…] one part of a broader North American business and trade picture. AskNovus also recently reported on CarMax’s fiscal second-quarter results, which provide a separate look at U.S. vehicle-market […]