CarMax Second-Quarter Earnings Rise 81.3 Percent to $1.16 Per Share

CarMax Inc reported a significant increase in second-quarter diluted earnings per share, which rose 81.3% to $1.16 for the period ending August 31, 2026. Revenue grew 19.5% to $7.9 billion, supported by a 13.8% increase in retail used vehicle sales volumes.

While pricing actions reduced gross profit per vehicle to $2,105, the company offset these losses through higher extended protection plan margins and a 32.1% rise in CarMax Auto Finance income to $135.6 million. Chief Executive Keith Barr attributed the growth to digital improvements, lower overhead costs, and expanded Tier 2 financing.

The company plans to resume modest share repurchases in the third quarter and aims for $200 million in exit rate savings by the end of financial year 2027. CarMax shares rose over 7% following the announcement.