CRMT
America's Car-Mart, Inc.25.98
+1.13+4.53%
Dec 16, 4:00:02 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q3 '26
Q&A quantifies volume drags, tax gains
Q&A unpacked the 22% unit plunge, tagging inventory constraints as the prime driver, Winter Storm Fern at 8-9% of the quarter, and a smaller footprint third. Early tax season shows promise: bigger down payments, timely collections, and record remote payments via Pay Your Way despite macro headwinds. Delinquencies snapped back to 3.7-3.8% by mid-February, no February charge-off spike. SG&A run-rate hit $45-46M in January, with Q4 savings ahead. Warehouse pursuit active yet stalled by stakeholder timelines. Capital choked volumes.
Key Stats
Market Cap
215.50MP/E (TTM)
-Basic EPS (TTM)
-1.63Dividend Yield
0%Recent Filings
10-Q
Q2 FY2026 results
America's Car-Mart posted Q2 FY2026 total revenues up 0.8% y/y to $350.2M, with sales flat at $286.3M despite 1.1% fewer retail units, offset by higher average prices; interest income rose 3.9% y/y on growing receivables at 17.6%. Gross margins slipped to 37.5% from 39.4% (prior-year service contract adjustment), yet sequential gains came from lower repair costs and better wholesale retention. Credit provisions jumped 19.6% y/y to $119.1M (41.6% of sales, derived), driving a $22.5M net loss vs $5.1M profit; SG&A climbed 20.7% y/y with impairments from five dealership closures. Cash swelled to $122.4M after $300M senior secured note (7.5% over SOFR, due 2030) repaid the revolver, incurring $4.5M extinguishment loss; non-recourse notes hit $635M. New debt covenants curb dividends, repurchases. Subprime borrowers face persistent inflation pressure.
8-K
Secures $300M term loan
America's Car-Mart closed a $300 million term loan on October 30, 2025, repaying its revolving credit line and boosting total cash to $251 million while cutting interest expense 13.1%. Revenue edged up 0.8% to $350.2 million amid 1.1% lower unit sales of 13,637, but delinquencies improved to 3.14% and collections rose 4.6%. Store closures sharpen focus. Term loan unlocks flexibility.
8-K
Secures $300M term loan
America's Car-Mart secured a $300M senior secured term loan from Silver Point maturing October 30, 2030, at SOFR+7.50%, using proceeds to repay its $162.9M ABL balance plus $1.8M penalties and terminate the facility. This refinances short-term debt with longer-term capital, simplifying the structure while imposing tight covenants on receivables and liquidity. Warrants issued for 937,487 shares at $22.63 strike.
8-K
Annual meeting results approved
America's Car-Mart held its 2025 annual stockholder meeting on September 25, electing all nine director nominees—Ann G. Bordelon, Jonathan Z. Buba, Douglas W. Campbell, Julia K. Davis, Daniel J. Englander, Brandi N. Joplin, Dawn C. Morris, Joshua G. Welch, and Jeffrey A. Williams—with overwhelming support exceeding 98% for each. Stockholders approved the advisory say-on-pay resolution for executive compensation by a wide margin and ratified Grant Thornton LLP as auditors for fiscal 2026. All votes passed decisively.
10-Q
Q1 FY2026 results
America's Car-Mart posted Q1 FY2026 revenues of $341.3M, down 1.9% y/y from $347.8M, as retail units sold fell 5.7% to 13,568 amid tighter inventory from higher vehicle costs, yet interest income climbed 7.5% y/y on a larger $1.52B finance receivables pool. Gross margin expanded to 36.6% from 35.0% y/y, lifting per-unit profit to $7,456, thanks to pricing discipline and lower repair costs, while SG&A rose 10.1% y/y to $51.4M on tech and staffing investments. Credit provision swelled 8.0% y/y to $103.0M (37.3% of sales), driving a net loss of $5.7M or $(0.69) per diluted share—worse than last year's $1.0M or $(0.15) loss—versus 8.3M shares (derived). Cash dipped to $9.7M with $20.8M revolver availability, total debt steady at $775.1M including $610.8M non-recourse notes at 7.86% average rate; free cash flow not disclosed in the 10-Q. A May 2025 securitization added $216.0M notes at 6.27% for receivables funding. Elevated charge-offs signal persistent pressure from customer affordability strains.
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