CarMax Inc.’s stock KMX, +1.84% slid 6.5% in premarket trade Thursday, after the used car retailer’s second-quarter earnings fell from a year ago amid continued pressure in the sector.
Richmond, Va.-based CarMax had net income of $118.6 million, or 75 cents a share, for the quarter through Aug. 31, down from $125.9 million, or 79 cents a share, in the year-earlier period. Sales fell to $7.074 billion from $8.145 billion a year ago. The FactSet consensus was for EPS of 75 cents and sales of $7.024 billion.
“We continue to drive sequential improvements in our business despite persistent widespread pressures across the used car industry,” CEO Bill Nash said in a statement. Combined retail and wholesale used vehicle unit sales fell 9% to 342,662. Online retail sales accounted for 14% of retail unit sales, up from 11% a year ago.
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