RICHMOND, Va. -

Double-digit gains in retail and wholesale used-vehicle sales were among the key drivers cited by CarMax leadership in explaining the significant hikes the company saw in its sales and earnings during the second quarter of its 2014 fiscal year.

It was what CarMax called better execution in its stores and a favorable consumer credit environment that pushed comparable retail used unit sales up 16 percent year-over-year, as total retail used sales climbed 21 percent and came in at 134,854 units.

On the wholesale side, CarMax moved 91,243 vehicles for a 10-percent gain, which was fostered by a stronger appraisal buy rate and store base growth. The company opened a Katy, Texas, store during Q2 as well as a store in Fairfield, Calif.

These numbers were all part of a quarter where CarMax pulled in net sales and operating revenues of $3.25 billion (up 18 percent year-over-year) and net earnings of $140.3 million (up 26 percent).

“We are very pleased with our continued strong sales and earnings growth,” said Tom Folliard, president and chief executive officer.

“The improvement was driven by several contributors, including double-digit growth in used and wholesale unit sales and CAF income.”

 

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