CarMax Q2 revenue climbs 19.5% to $7.9 billion

• CarMax reported second-quarter revenue of $7.9 billion, up 19.5% year over year.
• Combined retail and wholesale vehicle sales increased 14.7% to 387,735 units.
• Net earnings per diluted share rose 81.3% to $1.16, and the company plans to resume share repurchases.

CarMax (NYSE:KMX) reported results for the second quarter ended August 31, 2026, with higher vehicle sales, revenue growth, and improved earnings.

The company reported total net revenues of $7.9 billion, an increase of 19.5% compared with the prior-year period.

Combined retail and wholesale vehicle sales rose 14.7% to 387,735 units.

Retail used vehicle unit sales increased 13.8%, while comparable store used vehicle sales rose 13%.

CarMax reported retail used vehicle gross profit of $2,105 per unit, down $111, reflecting pricing actions aimed at improving sales momentum.

Wholesale vehicle sales increased 15.9%, with wholesale gross profit reaching $858 per unit, down $135 from the prior period.

Extended Protection Plan margin per retail unit increased by $46 to $623.

During the period under review, CarMax purchased 310,107 vehicles from consumers and dealers, representing a 5.9% increase.

Selling, general, and administrative expenses also increased 4.6% to $628.6 million, although expenses leveraged by $157 per total unit, or 8.8%, due to strong sales growth and cost management initiatives.

Elsewhere, CarMax Auto Finance (CAF) income increased 32.1% to $135.6 million.

The company said CAF financed 22% of Tier 2 customer volume during the quarter, compared with 10% a year earlier, as part of its broader financing strategy.

Meanwhile, CarMax reported diluted earnings per share of $1.16, compared with $0.64 in the prior-year period, representing an 81.3% increase.

The company also announced plans to resume share repurchases during the third fiscal quarter.