Car-Mart Beats Earnings Estimate
by March 17, 2003 12:00 am 57 views
America’s Car-Mart Inc. on March 6 posted quarterly earnings above its own estimate, saying it took lower-than-expected losses from loans it extended to customers.
The Bentonville-based used-car company reported fiscal third quarter earnings of $3.3 million, or 42 cents per share, compared with $538,000, or 8 cents per share, a year ago. Car-Mart took a $2 million charge a year ago.
In December, Car-Mart estimated it would earn 39 cents per share for the third quarter. The company’s credit losses as a percentage of sales were 18.5 percent in the most recent quarter, compared with 20.5 percent in the same quarter a year ago.
The company also projected fourth quarter earnings of 47 cents per share, bringing total fiscal year earnings to $1.72 per share.
With 63 dealerships in seven states, Car-Mart is the largest publicly held automotive retailer in the United States. The company focuses exclusively on the “buy here/pay here” segment of the used car market.