This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

CarMax Reports Stalling Earnings Due to Accounting Correction

NEW YORK (TheStreet) -- Used car retailer CarMax reported a nearly 9% increase in fiscal fourth-quarter revenue on Friday but results still fell short of expectations due to an accounting correction that weighed down earnings.


Used car retailer CarMax (KMX) reported a nearly 9% increase in fiscal fourth-quarter revenue on Friday but results still fell short of expectations.

CarMax reported profit of $99.2 million, or 44 cents a share, on revenue of $3.08 billion for the quarter --  coming in below analysts' forecasts for earnings of 53 cents a share on revenue of $3.12 billion, according to Thomson Reuters.  The company attributed the weaker-than-expected results to an accounting correction that cut earnings by 8 cents a share.

CarMax has benefited as car buyers turn to used vehicles in a still-recovering economic environment.  The company saw sales of used vehicles rise 12% during the period.

The company also announced a boost to its share buyback program by $1 billion; that's on top of $306 million in stock it repurchased during the last fiscal year.

At last check, shares of CarMax were falling more than 3% to $45.99.

In New York, I'm Brittany Umar for TheStreet.

Written by Brittany Umar in New York.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
AAPL $123.10 -0.92%
FB $83.28 0.33%
GOOG $548.43 -1.20%
TSLA $185.35 -2.70%
YHOO $45.09 1.40%


DOW 17,710.59 +32.36 0.18%
S&P 500 2,060.27 +4.12 0.20%
NASDAQ 4,891.4940 +28.1320 0.58%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs