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America's Car-Mart Inc. (CRMT) has submitted its 10-Q filing for the quarterly period ended January 31, 2025.
The filing includes financial statements for the quarter, showing an increase in total revenues to $325.7 million from $299.6 million in the same quarter the previous year. This increase is attributed to higher retail unit sales and interest income.
Cost of sales for the quarter was $169.4 million, representing 64.3% of sales, compared to 65.8% in the same quarter of the previous year. The improvement in gross margin is due to better procurement processes and operational efficiencies.
The company reported a gross profit of $156.4 million for the quarter, compared to $141.4 million in the previous year, with the increase attributed to operational improvements.
Selling, general, and administrative expenses increased to $46.5 million from $43.6 million, primarily due to higher stock compensation and expenses from recent acquisitions.
Net income for the quarter was $3.2 million, compared to a net loss of $8.5 million in the previous year. The improvement is largely due to a decrease in the provision for credit losses.
Cash used in operating activities was $68.0 million, while cash used in investing and financing activities was $10.6 million and $110.5 million, respectively.
America's Car-Mart had a working capital of $557.9 million as of January 31, 2025. The company acknowledges its dependence on positive operating results and potential financing to meet future obligations.
The filing also details various financial agreements, including amendments to its revolving credit facility and the issuance of non-recourse notes payable.
The company does not anticipate cash dividend payments to common stockholders in the near future.
The company continues to focus on improving vehicle quality and customer experience through strategic partnerships and operational improvements.
America's Car-Mart highlights its dependence on a few large markets for a significant portion of its sales, with a focus on the South-Central United States.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the America's Car-Mart Inc. quarterly 10-Q report dated March 10, 2025. To report an error, please email earnings@qz.com.