America’s Car-Mart makes Forbes’ list for small caps
by October 26, 2012 5:26 pm 124 views
America's Car-Mart Inc. was recently named among the best small-cap companies on the planet.
The Bentonville-based "buy here, pay here" dealer ranked No. 40 among Forbes’ Best Small Companies List for 2012.
"We are very proud to be named one of America's best small companies for 2012 by Forbes. The hard work and dedication of our associates and their focus on helping our customers succeed has made our company very special and we are honored to receive this recognition," said CEO Hank Henderson.
"Our mission is that we strive to earn the repeat business of our customers by providing quality vehicles, affordable payment terms, and excellent service. We have been helping our customers succeed for 31 years and our future is bright,” Henderson said.
The company has achieved an aggressive growth pattern in excess of 10% annually, even amid a sluggish economy. The auto retailer just opened store No. 117 in Oxford, Miss.
With more than 55,000 active customers Car-Mart continues to post solid earnings showing a healthy balance sheet. In the recent quarter ending July 31, which marked the first fiscal quarter for 2013, Car-Mart posted revenue of $110 million, up 9.4% from a year ago. Same-store sales grew at a 5.5% rate, while net profits totaled $8.1 million.
The company will report its fiscal second quarter results after market close on Nov. 19. Analysts are watching to see if past due accounts continue to creep higher, which could have a dampening effect on bottom line profits.
Car-Mart has said its customer delinquencies are inline with expectations and it will continue to aggressively buy back shares to help drive more value toward its investor base.
"The company repurchased 215,846 shares of its common stock during the first quarter (2.3%). Since February 1, 2010 we have repurchased 2,709,383 shares, or 23.2% of our company. We believe in the long-term value of our company and we will invest in the repurchase program when favorable conditions are presented to us,” said Jeff Williams, chief financial officer.
Shares of Car-Mart stock closed Friday at $41.54, up 66 cents. For the past 52 weeks the share price has ranged from a $31.09 high to a $49.20 low.