BENTONVILLE, Ark., Aug. 19, 2013 (GLOBE NEWSWIRE) -- America's Car-Mart, Inc. (Nasdaq:CRMT) today announced its operating results for the first quarter of fiscal 2014.
Highlights of first quarter operating results:
- Net income of $7.5 million - $.79 per diluted share vs. $.83 per diluted share for prior year quarter
- Revenues of $123 million compared to $110 million for the prior year quarter with same store revenue increase of 5.6%
- Retail unit sales increase of 9% to 10,643 from 9,753 for the prior year quarter with productivity increase to 28.4 retail units sold per store per month from 28.3 for prior year quarter
- Average retail sales price increased $252 to $9,836 or 2.6% from the prior year quarter and decreased $127 or 1.3% sequentially
- Net Charge-offs as a percent of average finance receivables of 6.2%, up from 5.9% for prior year quarter
- Provision for credit losses of 24.3% of sales vs. 22.0% for prior year quarter
- Selling, General and Administrative Expenses at 18.0% of sales vs. 18.2% for prior year quarter
- Opened two new dealerships during the quarter - dealership count now at 126
- Active accounts base now over 59,000
- Debt to equity of 47.3% and debt to finance receivables of 26.2%
- Allowance for credit losses at 21.5% of finance receivables at July 31, 2013
- Strong cash flows supporting the significant increase in revenues, the $16.5 million increase in finance receivables, $1.8 million in net capital expenditures and the $384,000 in common stock repurchases (9,020 shares) with no increase in total debt
"We are very pleased with our top line growth for the quarter. Our General Managers continue to work hard at helping our customers succeed and are meeting the challenges of the current competitive environment head–on. We are determined to earn the repeat business of our customers by doing everything we can to help them purchase a quality vehicle with affordable payment terms and excellent service," said William H. ("Hank") Henderson, President and Chief Executive Officer of America's Car-Mart. "Even though our revenues were up, we feel like we could have done even better as we believe that increased funding to the sub-prime auto industry continues to have a negative effect on our business especially on the provision for credit losses line. We believe that many companies that are competing for our customers on the funding side are not focused on earning repeat business tied to customer success. We believe that by helping our customers successfully complete the terms of their contracts, which has always been and will always be our primary focus, we will continue to fulfill our vision of being the most respected buy-here-pay-here organization in the country."