Copart, Inc. (NASDAQ:CPRT) today reported financial results for the quarter ended January 31, 2026.

For the three months ended January 31, 2026, revenue, gross profit, and net income attributable to Copart, Inc. were $1.1 billion, $492.8 million, and $350.7 million, respectively. These represent a decrease in revenue of $(41.6) million, or (3.6)%; a decrease in gross profit of $(32.7) million, or (6.2)%; and a decrease in net income attributable to Copart, Inc. of $(36.7) million, or (9.5)%, respectively, from the same period last year. Fully diluted earnings per share for three months ended January 31, 2026 was $0.36 compared to $0.40 last year, a decrease of (10.0)%.

For the six months ended January 31, 2026, revenue, gross profit, and net income attributable to Copart, Inc. were $2.3 billion, $1 billion, and $754.4 million, respectively. These represent a decrease in revenue of $(33.4) million, or (1.4)%; a decrease in gross profit of $(7.8) million, or (0.8)%; and an increase in net income attributable to Copart, Inc. of $5.0 million, or 0.7 %, respectively, from the same period last year. Fully diluted earnings per share for six months ended January 31, 2026 was $0.77 compared to $0.77 last year.

On Thursday, February 19, 2026, at 5:30 p.m. Eastern Time (4:30 p.m. Central Time), Copart will conduct a conference call to discuss the results for the quarter. The call will be webcast live and can be accessed via hyperlink at www.copart.com/investorrelations. A replay of the call will be available through May 2026 by visiting www.copart.com/investorrelations.

About Copart

Copart, Inc., founded in 1982, is a global leader in online vehicle auctions. Copart's innovative technology and online auction platforms connect vehicle consignors to approximately 1 million members in over 185 countries. Copart offers a comprehensive suite of vehicle remarketing services to insurance companies, financial institutions, dealers, rental car companies, charities, fleet operators, and individuals, and offers vehicles via auction to dealers, dismantlers, rebuilders, exporters, and the general public. With operations at over 250 locations in 11 countries, Copart sold more than 4 million units in the last year. Copart currently operates in the United States (Copart.com), Canada (Copart.ca), the United Kingdom (Copart.co.uk), Brazil (Copart.com.br), the Republic of Ireland (Copart.ie), Germany (Copart.de), Finland (Copart.fi), the United Arab Emirates, Oman and Bahrain (Copartmea.com), and Spain (Copart.es). For more information, or to become a Member, visit Copart.com/register.

Cautionary Note About Forward-Looking Statements

This press release contains forward-looking statements within the meaning of federal securities laws. These forward-looking statements are subject to substantial risks and uncertainties. These forward-looking statements are subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected or implied by our statements and comments. For a more complete discussion of the risks that could affect our business, please review the "Management's Discussion and Analysis" and the other risks identified in Copart's latest Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K, as filed with the Securities and Exchange Commission. We encourage investors to review these disclosures carefully. We do not undertake to update any forward-looking statement that may be made from time to time on our behalf.


Copart, Inc. Consolidated Statements of Income (In thousands, except per share amounts) (Unaudited)

	Three Months Ended January 31,								Six Months Ended January 31,

	2026			2025			% Change		2026			2025			% Change
Service revenues and vehicle sales:
Service revenues	$	952,051		$	991,281		(4.0	)%	$	1,943,896		$	1,977,617		(1.7	)%
Vehicle sales		169,623			172,035		(1.4	)%		332,808			332,528		0.1	%
Total service revenues and vehicle sales		1,121,674			1,163,316		(3.6	)%		2,276,704			2,310,145		(1.4	)%
Operating expenses:
Facility operations		427,521			439,274		(2.7	)%		854,685			886,519		(3.6	)%
Cost of vehicle sales		150,432			147,707		1.8	%		291,975			285,885		2.1	%
Facility depreciation and amortization		48,527			48,963		(0.9	)%		95,917			96,440		(0.5	)%
Facility stock-based compensation		2,382			1,819		31.0	%		4,317			3,643		18.5	%
Gross profit		492,812			525,553		(6.2	)%		1,029,810			1,037,658		(0.8	)%
General and administrative		89,393			86,608		3.2	%		181,661			177,605		2.3	%
General and administrative depreciation and amortization		6,860			5,236		31.0	%		13,512			11,386		18.7	%
General and administrative stock-based compensation		7,849			7,498		4.7	%		15,233			16,089		(5.3	)%
Total operating expenses		732,964			737,105		(0.6	)%		1,457,300			1,477,567		(1.4	)%
Operating income		388,710			426,211		(8.8	)%		819,404			832,578		(1.6	)%
Other income:
Interest income, net		49,987			40,747		22.7	%		103,492			86,294		19.9	%
Other income (expense), net		2,352			(3,907	)	(160.2	)%		5,276			(4,503	)	(217.2	)%
Total other income		52,339			36,840		42.1	%		108,768			81,791		33.0	%
Income before income taxes		441,049			463,051		(4.8	)%		928,172			914,369		1.5	%
Income tax expense		91,082			76,510		19.0	%		175,995			166,652		5.6	%
Net income		349,967			386,541		(9.5	)%		752,177			747,717		0.6	%
Less: Net loss attributable to noncontrolling interest		(765	)		(859	)	(10.9	)%		(2,269	)		(1,769	)	28.3	%
Net income attributable to Copart, Inc.	$	350,732		$	387,400		(9.5	)%	$	754,446		$	749,486		0.7	%

Basic net income per common share	$	0.36		$	0.40		(10.0	)%	$	0.78		$	0.78		—	%
Weighted average common shares outstanding		967,212			964,746		0.3	%		967,431			963,961		0.4	%

Diluted net income per common share	$	0.36		$	0.40		(10.0	)%	$	0.77		$	0.77		—	%
Diluted weighted average common shares outstanding		975,089			977,910		(0.3	)%		976,095			977,208		(0.1	)%

Copart, Inc. Consolidated Balance Sheets (In thousands) (Unaudited)

	January 31, 2026			July 31, 2025
ASSETS
Current assets:
Cash, cash equivalents, and restricted cash	$	5,101,821		$	2,780,531
Investment in held to maturity securities		-			2,008,539
Accounts receivable, net of allowance for credit losses of $14,916 and $12,945, respectively		861,630			762,811
Vehicle pooling costs		129,763			116,145
Inventories		41,870			39,661
Income taxes receivable		817			580
Prepaid expenses and other assets		40,279			46,361
Total current assets		6,176,180			5,754,628
Property and equipment, net		3,693,890			3,598,093
Operating lease right-of-use assets		91,454			99,708
Intangibles, net		57,292			62,832
Goodwill		523,473			517,779
Other assets		52,673			57,862
Total assets		10,594,962			10,090,902

LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable and accrued liabilities	$	549,171		$	591,831
Deferred revenue		31,383			30,440
Income taxes payable		16,627			41,141
Current portion of operating and finance lease liabilities		16,692			19,869
Total current liabilities		613,873			683,281
Deferred income taxes		87,625			80,625
Income taxes payable		6,786			35,635
Operating and finance lease liabilities, net of current portion		79,444			83,870
Total liabilities		787,728			883,411
Commitments and contingencies
Redeemable non-controlling interest		18,189			20,458
Stockholders' equity:
Preferred stock		-			-
Common stock		96			97
Additional paid-in capital		1,242,164			1,214,150
Accumulated other comprehensive loss		(87,291	)		(120,283	)
Retained earnings		8,634,076			8,093,069
Total stockholders' equity		9,789,045			9,187,033
Total liabilities, redeemable noncontrolling interests and stockholders' equity		10,594,962			10,090,902

Copart, Inc. Consolidated Statements of Cash Flows (In thousands) (Unaudited)

	Six Months Ended January 31,
(In thousands)	2026			2025
Cash flows from operating activities:
Net income	$	752,177		$	747,717
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization, including debt cost		109,713			109,122
Allowance for credit losses		2,103			1,056
Equity in (earnings) losses of unconsolidated affiliates		(368	)		(61	)
Stock-based compensation		19,550			19,732
Gain on sale of property and equipment		(214	)		(194	)
Deferred income taxes		6,002			47
Changes in operating assets and liabilities:
Accounts receivable		(124,815	)		(133,024	)
Vehicle pooling costs		(13,086	)		(10,675	)
Inventories		(1,583	)		(16,175	)
Prepaid expenses, other current and non-current assets		4,862			4,976
Operating lease right-of-use assets and lease liabilities		533			614
Accounts payable and accrued liabilities		(38,672	)		44,765
Deferred revenue		700			(1,066	)
Income taxes receivable		(227	)		(48,239	)
Income taxes payable		(53,922	)		(58,194	)
Net cash provided by operating activities		662,753			660,401
Cash flows from investing activities:
Purchases of property and equipment		(177,660	)		(353,399	)
Assets and liabilities acquired in connection with acquisition		(4,694	)		(1,213	)
Proceeds from sale of property and equipment		9,712			662
Purchases of held to maturity securities		-			(458,542	)
Proceeds from held to maturity securities		2,035,000			1,940,000
Investment in unconsolidated affiliate		(3,737	)		-
Net cash provided by investing activities		1,858,621			1,127,508
Cash flows from financing activities:
Proceeds from the exercise of stock options		9,078			32,833
Proceeds from the issuance of Employee Stock Purchase Plan shares		7,460			7,404
Repurchases of common stock		(218,184	)		-
Payments for employee stock-based tax withholdings		(2,190	)		(2,484	)
Debt issuance costs		(1,534	)		-
Payments of finance lease obligations		(6	)		(40	)
Net cash (used) provided by financing activities		(205,376	)		37,713
Effect of foreign currency translation		5,291			(824	)
Net increase in cash, cash equivalents, and restricted cash		2,321,289			1,824,798
Cash, cash equivalents, and restricted cash at beginning of period		2,780,531			1,514,111
Cash, cash equivalents, and restricted cash at end of period	$	5,101,820		$	3,338,909
Supplemental disclosure of cash flow information:
Interest paid	$	1,405		$	1,371
Income taxes paid, net of refunds	$	227,470		$	277,051
Purchase of property and equipment through settlement of deposit	$	2,411		$	57,453

Copart, Inc. Segments Information (In thousands) (Unaudited)

	Three Months Ended January 31, 2026						Three Months Ended January 31, 2025
	United States		International		Total		United States		International		Total
Service revenues	$	819,467	$	132,584	$	952,051	$	868,130	$	123,151	$	991,281
Vehicle sales		102,153		67,470		169,623		106,715		65,320		172,035
Total service revenues and vehicle sales		921,620		200,054		1,121,674		974,845		188,471		1,163,316
Facility operations		395,351		83,080		478,431		418,824		71,232		490,056
Cost of vehicle sales		96,375		54,057		150,432		92,807		54,900		147,707
General and administrative		88,422		15,679		104,101		87,321		12,021		99,342
Operating income	$	341,472	$	47,238	$	388,710	$	375,893	$	50,318	$	426,211

	Six Months Ended January 31, 2026						Six Months Ended January 31, 2025
	United States		International		Total		United States		International		Total
Service revenues	$	1,675,001	$	268,895	$	1,943,896	$	1,728,120	$	249,497	$	1,977,617
Vehicle sales		199,233		133,575		332,808		194,265		138,263		332,528
Total service revenues and vehicle sales		1,874,234		402,470		2,276,704		1,922,385		387,760		2,310,145
Facility operations		793,834		161,084		954,918		842,441		144,161		986,602
Cost of vehicle sales		186,334		105,641		291,975		169,093		116,792		285,885
General and administrative		177,621		32,785		210,406		179,898		25,182		205,080
Operating income	$	716,445	$	102,960	$	819,405	$	730,953	$	101,625	$	832,578

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Copart Investor Relations

investor.relations@copart.com

Copart Reports Second Quarter Fiscal 2026 Financial Results