Earnings Updates | Q1 2024

May 22, 2024by toleg.work

The corporate reporting period has is going.

Last week, 6 companies from the S&P 500 index reported.

Today, we are going to analyze the results of Copart. Its revenue is $1.1B. It grew by +2.6% compared to the corresponding value for the previous quarter and beat analysts’ expectations by +1.9%. Let’s analyze the company’s business in more detail.

Copart manages an online auction of used cars for customers from 11 countries. About 750 thousand users conduct 3.5 million transactions annually through the company’s trading platform – VB3. The main revenue is a commission from car sales, but it also provides related storage and transportation services.

Copart’s revenue for Q1’24 increased by +10.3% and net profit by +9.1% compared to Q1’23. The company increased sales by reducing prices by an average of -3.0%, which stimulated an increase in demand, especially from foreign customers, who accounted for approximately 90% of transactions.

53% of the revenue structure is made up of manufacturing costs, and 47% is gross revenue. Over the past quarter, the company earned a profit of $382M. And its market capitalization is $52.4B.

After the publication of the report, Copart stock rose by +0.1% to $54 per share. In general, market participants are satisfied with the company’s current financial results and reacted positively to the forecasts for the next quarter.

*surprise – % ratio between actual and expected revenue
**growth – % ratio of the amount of revenue for the last 4 quarters compared to this value calculated for the previous quarter

We offer personalized investment solutions that empower businesse owners and individuals to achieve their financial goals with confidence and control.