Back to top

Image: Bigstock

Copart's (CPRT) Q3 Earnings & Sales Beat Estimates, Rise Y/Y

Read MoreHide Full Article

Copart, Inc. (CPRT - Free Report) reported third-quarter fiscal 2021 (ended Apr 30, 2021) adjusted earnings per share of $1.09, surpassing the Zacks Consensus Estimate of 80 cents. Higher-than-expected revenues from both of the company’s segments led to this outperformance. The bottom line also surged 87.9% year over year from the 58 cents reported in the prior-year quarter.

Total revenues came in at $733.9 million, beating the Zacks Consensus Estimate of $637 million. Moreover, the top line increased from the year-ago reported figure of $550.4 million.

Gross profit was up 57.2% year over year to $381.3 million. Total operating expenses flared up 14.2% year on year to $405.8 million. Notably, general and administrative expenses shot up 5.8% from the prior-year quarter to $39 million. Nonetheless, operating income increased to $328.1 million from the year-earlier period’s $195.1 million. Net income came in at $286.8 million compared with the year-ago figure of $147.5 million.

Segmental Performance

For the fiscal third quarter, service revenues came in at $623.8 million, up from the $491.6 million recorded in the year-earlier period. Service revenues accounted for 85% of the total revenues. The reported figure also surpassed the Zacks Consensus Estimate of $544 million.

Vehicle sales summed $110.1 million for the quarter, up from the prior-year level of $58.8 million. The reported figure also surpassed the Zacks Consensus Estimate of $76 million.

Financial Position

The online auto auction leader had cash and cash equivalents of $911.9 million as of Apr 30, 2021 compared with $306.4 million as of Apr 30, 2020. Long-term debt and financial lease obligations summed $397.6 million as of Apr 30, 2021, down from $403.7 million as of Apr 30, 2020.

Copart — peers of which include Byd Co., Ltd (BYDDY - Free Report) , Liquidity Services, Inc. (LQDT - Free Report) and Ritchie Bros Auctioneers Incorporated (RBA - Free Report) — currently carries a Zacks Rank #3 (Hold).  You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Breakout Biotech Stocks with Triple-Digit Profit Potential

The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.

Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.

See these 7 breakthrough stocks now>>