CarMax Inc. reported fiscal first-quarter earnings that comfortably beat Wall Street forecasts, helped by a rebound in used-vehicle demand. Earnings per share rose 42% from a year earlier to $1.38, surpassing the $1.19 consensus, while revenue reached $7.55 billion. Retail used-unit sales grew 9% and comparable store sales advanced 8.1%, contributing to a 12.8% increase in total gross profit to $893.6 million. The results sent the stock up about 10% in early New York trading. Grocery chain Kroger Co. also outperformed expectations, posting adjusted first-quarter earnings of $1.49 a share against analysts’ $1.45 estimate. Sales of $45.1 billion came in slightly shy of projections, but identical-store sales excluding fuel climbed 3.2%, well ahead of the 2.3% forecast. The retailer raised its full-year identical-sales outlook to 2.25%–3.25% while maintaining its earnings guidance of $4.60 to $4.80 a share and planned capital spending of up to $3.88 billion. Shares were little changed in pre-market trading. The twin results suggest resilient consumer spending on essentials such as groceries and on big-ticket used-car purchases even as inflationary pressures and the newly implemented U.S. tariffs cloud the broader economic outlook.
CarMax Climbs as Used Vehicle Comps., EPS Beat Estimates. Get caught up on the day's gainers and decliners on Wall Street with the latest Stock Movers report https://t.co/2PIJo7Jgy9
CarMax $KMX shares surge on strong Q1 earnings beat https://t.co/QvhKvYs4RD https://t.co/vqEDhlk3hs
Kroger lifts annual sales target on resilient grocery demand https://t.co/YBK1zYCD7d