Business
America’s Car-Mart Reports Third Quarter 2023 Earnings
ROGERS, Ark., Feb. 22, 2023 (GLOBE NEWSWIRE) -- Highlights Revenues of $327 million, up 13.7% vs. the prior year third quarter.Total retail unit sales
About this update from America's Car-mart, Inc.
[{"type":"text","content":"ROGERS, Ark., Feb. 22, 2023 (GLOBE NEWSWIRE) -- Highlights Revenues of $327 million, up 13.7% vs. the prior year third quarter.Total retail unit sales increased 2.7% vs. the prior year third quarter. Same store retail unit sales increased 1.0% vs. the prior year third quarter.Sales volume productivity per store per month was 31.2 vs. 30.8 for the prior year third quarter.Gross profit per car sold was $6,373 compared to $6,4471 for the prior year third quarter.Provision for credit losses as a percentage of sales was 31.1% compared to 24.8%1 for the prior year third quarter. Net charge-offs as a percent of average finance receivables for the quarter were 5.9% compared to 4.8%1 for the prior year third quarter.Interest income was up $12.1 million to $51.1 million, compared to $39.0 million for the prior year third quarter.SG&A was up $5.6 million vs. the prior year quarter, and SG&A per customer was $449 vs. $417 for the prior year third quarter.Interest expense was $9.8 million, compared to $2.9 million in the prior year third quarter.Customer count increased 6.0% to 99,577 active customers, compared to 93,982 the prior year third quarter. Customers served per dealership was 642, compared to 614 for the prior year third quarter.The combination of bad weather, particularly at the end of the quarter, which affected sales volumes and collections, and higher than expected credit losses, cost us approximately $3.5 million pretax relative to expectations.EPS was $0.23 vs. $2.821 for the prior year third quarter. CEO Commentary “It is positive to see that vehicle prices have leveled off over the last several months as wages continue to rise for our customers. We are focused on keeping current customers on the road while expanding the funnel of potential customers who deserve to be part of the Car-Mart family. We consistently support our customers and our communities in these challenging times - our place in the world is essential,” said Jeff Williams, Chief Executive Officer. “The significant increase in the cost of vehicles over the last few years has resulted in higher retail prices and longer contract term lengths, necessary to keep consumer payments more affordable. We continue to see market share gains attributable to our pricing decisions.” “In addition, we have recently reorganized several areas within our operations under the lea...