With a combined revenue of $21 trillion and $2.1 trillion in profits, the 2026 Fortune 500 is the definitive list of America's largest companies.

Fortune 500

This year's 100 Best Companies to Work For are rebuilding the social contract at work so people feel supported, trusted, and future-ready as they undergo that transition.

100 Best Places to Work 2026_CarMax

Employees say:"I love working for CarMax and I will retire with CarMax. CarMax truly cares about the individual, whether customer, associate or community. CarMax is more than a place to work and make money, it completely changed my life. I feel like my personal values align with the CarMax core values and CarMax truly embraces each associate for their own authentic self. I have grown my career from an hourly associate to a Senior Manager and I have felt so much support. I have built financial success in my life through CarMax valuing me as an individual, having honest conversations on where I can improve as well as recognizing me for the strengths I bring to the table. CarMax is the best place to work!"

Fortune 100 Best Companies to Work For

See which workplaces made this year's list.

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Employees say:"CarMax truly cares about innovation and allows employees the opportunity to present ideas and solutions as well as the time to prove out those ideas. Everyday I see people coming together to improve and develop new solutions that make this a great place to work for associates, and provide a better shopping experience for our customers."

Best Large Workplaces in Retail

Almost $20 trillion in revenue—and a record-breaking $1.87 trillion in profits. Introducing the 2025 Fortune 500, the definitive list of the biggest companies in America.

The top companies on our list have one thing in common: Staff largely trust leadership to see them as well-rounded people and reward them for a job well done.

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Employees say: "CarMax is very much driven to create a welcoming and associate-first culture. I am confident that company leadership wants to create a company and business model that is ethical and respects customers and employees, instead of chasing short-term profitability."

The 300 companies on this year’s list brought in over $12.6 trillion in revenue for the latest 12 months, with the median revenue figure at $22 billion.

America's Most Innovative Companies

2025 Best Large Workplaces for Parents_CarMax_US1__68b9ad8e7757c3af0ca2bb8e_1

Employees say:"CarMax is, hands down, the best place I have worked in my long career. I truly feel valued here, and I believe my work makes a difference. My colleagues and managers are smart, competent, kind, and enjoyable to work with. Twice a year, we provide company feedback via a survey, and the company has made meaningful changes based on that feedback."

Best Large Workplaces for Parents

GPTW Retail Large 2024-CarMax_US1__20240712204823_5

Employees say:"CarMax is very much driven to create a welcoming and associate-first culture. I am confident that company leadership wants to create a company and business model that is ethical and respects customers and employees, instead of chasing short term profitability."

Industries included in the sector are automotive retail, general merchandisers, internet retail, and specialty retail.

Fortune Sector Leaders: Retailing

The Fortune 500, in its 70th year in 2024, ranks the biggest U.S. companies by revenue.

Creating a more empathetic workplace looks like staying loyal to workers, emphasizing D&I initiatives, and paying well.

100 Best Companies 2024-CarMax

This is the 20th year that CarMax, a used autos retailer, has appeared on the list.&nbsp;The company has started using AI to support business processes and consumer-facing content, such as car reviews, to help free up employees' time. In addition, CarMax is using AI to power multiple customer experiences, such as giving online offers to customers to sell their car to CarMax in minutes, and providing personalized car recommendations to help customers buy their next car from CarMax quickly. CarMax also invests in its virtual AI assistant, Skye, to help streamline its customer experience centers and support customers as they are shopping, through steps like vehicle shipping and appointment preparation and management. &nbsp;For CarMax, community involvement is big. One of its longest-lasting key relationships is with <a href="https://kaboom.org/">KABOOM!</a>, an accredited charity that builds playgrounds in underfunded and underinvested communities. Since the partnership formed in 2011, more than 11,000 employees have come together to build 206 play spaces.

The 200 companies on this list are transforming industries from the inside out.

Building a culture of trust and transparency is essential to help everyone thrive, especially in rocky economic times.

100 BEST COMPANIES 2023-CarMax

The no-haggle retailer of used autos is appearing on the Best Companies to Work For list for the 19th time this year. 
<ul> 
 	<li>New hires receive a warm welcome even before their first day. As soon as someone accepts a job offer, the team leader calls to welcome them, and a mentor calls to answer any questions they might have before they start.</li> 
 	<li>Elaborate onboarding includes making sure new hires have clear direction about their schedule and are provided with smaller details, such as where they should park and what restaurants are nearby, before their first day.</li> 
 	<li>Workers can utilize the CarMax Connect web platform to get personalized information, aggregated news, and useful company resources.</li> 
 	<li>“It's the first company that I've worked for that makes you feel the company puts its employees first, and truly understands that it's the sum of its parts that make up the whole,” said one employee. “They're also very understanding when it comes to personal issues getting in the way of work and allowing you to take time off to address them, and not make you feel like you're letting the whole company down for doing so.”</li> 
</ul>

The corporations on our annual list of the world’s largest companies delivered a record $41 trillion in aggregate revenues.

Fortune Global 500

GPTW 2023 Best Workplaces Retail Large CarMax_6

Employees say: 
 
"I truly feel I am an equal employee. This is the first place that I have worked at where all of management makes you feel equal to them. There are no favorites here, which makes it a very relaxed, amazing place to work."

The Fortune 500, in its 69th year in 2023, ranks the biggest U.S. companies by revenue.

When it comes to supporting employees, flexibility, diversity, and a few extra paid days off go a long way.

100-Best-2022-CarMax

CarMax, the nation’s leading used-car retailer, believes that good customer service begins with treating employees right. At the peak of the pandemic, every CarMax manager met with their associates to help them balance work and family life. As a result, some employees were able to modify their schedules or take a leave of absence that enabled them to continue receiving benefits. And CarMax aims to hold itself to a high standard; associates with concerns over safety or ethics are encouraged to speak up via an open door policy. “The most amazing thing about working here is our managers genuinely care about us,” says one employee. “They will put in extra time and effort to help us with anything we need, even if it’s something in our personal life.”

Aggregate sales hit $37.8 trillion last year—an increase of 19%, the highest annual growth rate in the list’s history.

Great Places to Work in Retail Large- 2022-CarMax_1000333-1

Employees say: 
 
“I feel that everyone here is welcoming and accepting of everyone. We are encouraged to develop relationships within our department as well as others. We are empowered to make decisions we feel are necessary in the moment whether it is business or customer related. I can be myself at work and that is a great feeling. I feel people have the best interests of everyone on a personal as well as professional level.”

This year’s Fortune 500 marks the 68th running of the list.

Our 2021 list of the 100 best companies to work for, as ranked by their employees. See which companies made the list.

100-best-companies-2021-37-Carmax

When closures led to furloughs of some employees, it wasn’t just hourly workers who felt the squeeze. “I appreciated that executives took a pay cut and that the board of trustees did not receive any compensation,” one employee writes. (Indeed, CEO William Nash took a 50% cut.) The company covered health insurance premiums for furloughed workers, and an associate disaster relief fund enabled employees to apply for help if they became ill or experienced a qualifying hardship. By the end of July 2020, CarMax no longer had any associates on furlough, and positions had been made available for approximately 99% of impacted employees.

See which retailers made this year's list.

Best-Workplaces-Retail-2021-CarMax

Employees say: 
 
“The culture at CarMax is by far the best out of all the companies I have worked for. I truly feel CarMax appreciates their associates and will go above and beyond to demonstrate that to them. I am proud to say CarMax when people ask where I work!”

This year’s Fortune 500 marks the 67th running of the list.

F500-2021-136-CarMax

As the largest used car retailer in the United States, CarMax generates revenue from both the retail business and its wholesale auction house.

Our 2020 list of the 100 best companies as ranked by their employees. See which companies made the list.

Best-Workplaces-Retail-2020-CarMax

Employees say: 
 
"Carmax is the first company I've worked for that 'walks the walk.' Being a female in a male-dominated industry was difficult, but here I'm treated as an equal, and have had the opportunity to learn in stretch roles, and am now managing my own store!"

This year's Fortune 500 marks the 66th running of the list.

F500-2020-173-CarMax

Founded in 1993, the auto retailer buys and sells used vehicles in its more than 200 store locations across the U.S.

Here are the World's Most Admired Companies for 2019 as ranked in their industries. See who made the list.

World's Most Admired Companies

Our 2019 list of the 100 best companies as ranked by their employees. See which companies made the list.

From groceries to apparel to home decor, see which companies made the list.

CarMax-Best Workplaces in Retail 2019

Employees say: 
“I believe the people that are hired here are not just hired by credentials, but also integrity, which plays a big part in creating the Carmax atmosphere. There is plenty of room for growth and opportunity for many people.”

This year's Fortune 500 marks the 65th running of the list.

We surveyed tens of thousands of young employees to create this list of millennials’ favorite workplaces.

Carmax-best workplaces millennials 2019

Employees say: 
“At CarMax everyone cares for each other and is there for each other. We make friends and have a wonderful time at work. We share and help each other through any situation work related or not.”

100 Best Large Workplaces for Millennials

Here are the World's Most Admired Companies for 2018 as ranked in their industries. See who made the list.

Our 2018 list of the 100 best companies as ranked by their employees. See which companies made the list.

This year's Fortune 500 marks the 64th running of the list.

best-workplaces-millennials-2018-CarMax

Employees say: 
 
&nbsp; 
 
"CarMax really focuses on building skill levels vs. driving numbers. We all know that numbers are the bottom line, but here they focus more on behavior. From my sales experience, if you have the behaviors, and they're strong, the numbers always come." 
 
&nbsp; 
 
"I was hired as a detailer, I couldn't even drive as stick shift. An entry level mechanic position opened and I was afforded the opportunity. I went on to become a master mechanic. After 8 years with the company, I've just accepted an offer for an analyst position at home office. The room for advancement is incredible." 
 
&nbsp;

Our 2017 list of the 100 best companies as ranked by their employees. See which companies made the list.

This year's Fortune 500 marks the 63rd running of the list.

best workplaces for millennials 2017 CarMax

Employees say: 
 
&nbsp; 
 
"Although I perform the same business functions every day, no two days are the same at CarMax. The employees are a diverse group of people, which makes it especially enjoyable to work here. I have worked at CarMax for over 5 years and plan on working here for many more years to come!" 
 
&nbsp; 
 
"[The company] will not only teach you what you need to or want to know, but will also give you the opportunity to advance yourself by helping pay for schooling. CarMax teaches you a lot about yourself as a person by helping you work on your skills ... They inspire me to be a better person every day." 
 
&nbsp;

Google/Alphabet is the No. 1 place to work for the seventh time in 10 years. Six newcomers include Veterans United at No. 30, Hilton Hotels at No. 56, and Slalom Consulting at No. 100. IKEA’s U.S. arm returns to the list, along with GoDaddy and Sheetz.

This year's Fortune 500 marks the 62nd running of the list.

The second annual ranking of the best employers for workers 35 and under.

best workplaces for millennials 2016- CarMax

"I always enjoy the camaraderie and family feel. CarMax allows me to grow knowing mistakes will happen, making the environment a positive one to work in. The exposure and trainings I have received have given me valuable skill sets that will stick with me for the rest of my life. I also feel that I am a person and not a number!" says one millennial worker. 
 
&nbsp; 
 
"Management really cares about employee development. My manager works closely to help me improve in preparation for a promotion. I am also encouraged to focus on projects and types of work that interest me," explains another millennial. 
 
&nbsp; 
 
Read the .

This year’s list marks Fortune's 18th year of partnering with Great Place to Work. Google ranks No.1 for the sixth time, and 16 new companies make impressive debuts, including Acuity (No. 3), Twitter (No. 24), and Riot Games (No. 13).

This year's Fortune 500 marks the 61st running of the list. Wal-Mart claims the top spot again. See who made the list.

Google tops the list once again, marking its eighth appearance and fifth time as No. 1.

Wal-Mart stayed on top as its sales crept closer to half-a-trillion dollars. Apple moved into the top five. And UnitedHealth Group continued its steady climb. 

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Best Workplaces For Parents

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Best Workplaces In Retail

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CarMax started as a solution for consumers who dreaded a trip to the car dealer. Emphasizing a stress-free experience, it introduced the concept of “no-haggle” purchasing through slogans like “You shouldn’t have to argue to get a fair price.” Now CarMax is the largest U.S. retailer for used cars with 250 stores nationwide and a portfolio of assets worth nearly $18 billion. In its fiscal year ended February 2025, the company sold roughly 790,000 pre-owned vehicles and another 540,000 wholesale vehicles at auctions.

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CarMax (KMX): Company Profile, Stock Price, News, Rankings

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CarMax

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Ladies and gentlemen, thank you for standing by. Welcome to the First Quarter Fiscal Year twenty twenty six CarMax Earnings Release Conference Call. At this time, all participants are in a listen only mode. After the speakers' presentation, there will be a question and answer session. Please be advised that today's conference is being recorded.

I would now like to hand the conference over to your speaker today, David Lowenstein, Vice President, Investor Relations. Please go ahead.

Thank you, Nikki. Good morning, everyone, and thank you for joining our fiscal twenty twenty six first quarter earnings conference call. I'm here today with Bill Nash, our President and CEO Enrique Mayor Mora, our Executive Vice President and CFO and John Daniels, our Executive Vice President, CarMax Auto Finance. Let me remind you, our statements today that are not statements of historical fact, including, but not limited to, statements regarding the company's future business plans, prospects and financial performance are forward looking statements we make pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on our current knowledge, expectations and assumptions and are subject to substantial risks and uncertainties that could cause actual results to differ materially from our expectations.

In providing projections and other forward looking statements, we disclaim any intent or obligation to update them. For additional information on important facts and risks that could affect these expectations, please see our Form eight ks filed with the SEC this morning and our annual report on Form 10 ks for fiscal year twenty twenty five previously filed with the SEC. Should you have any follow-up questions after the call, please feel free to contact our Investor Relations department at 80474704227865. Lastly, let me thank you in advance for asking only one question and getting back in the queue for more follow ups. Bill?

Thank you, David. Good morning, everyone, and thanks for joining us. Our first quarter results highlight the strength of our earnings growth model, which is underpinned by our best in class omni channel experience, diversity of our business and a sharp focus on execution. Across the company, we are operating with a continuous improvement mindset. We are focused on growing sales and getting market share, expanding gross profit, managing CAF's credit spectrum expansion, leveraging SG and A and buying back shares.

This focus combined with our ability to provide a unique customer experience across our large total addressable market provides a long runway for profitable growth. In the first quarter on a year over year basis, we grew retail and wholesale unit volume. We delivered robust retail, wholesale, EPP and service GPUs. We bought more vehicles from both consumers and dealers achieving an all time record with dealers. We grew CAF's net interest margin and continued to advance our full credit spectrum underwriting and funding model.

We materially leveraged SG and A as a percent of gross profit. We doubled the pace of our share repurchases and we achieved 42% EPS growth. This marks our fourth consecutive quarter of positive retail unit comps and double digit year over year earnings per share growth. During the period, we delivered total sales of $7,500,000,000 up 6% compared to last year, reflecting higher volume partially offset by lower prices. In our retail business, total unit sales increased 9% and used unit comps were up 8.1%.

Average selling price was $26,100 a decrease of approximately $400 per unit year over year. First quarter retail gross profit per used unit was an all time record driven by strong demand and operating efficiencies across logistics network and reconditioning operations. Wholesale unit sales were up 1.2 versus the first quarter last year. Average wholesale selling price declined approximately $150 per unit to $8,000 Wholesale gross profit per unit was historically strong and similar to last year. We bought approximately 336,000 vehicles during the quarter, up 7% from last year.

We purchased approximately 288,000 vehicles from consumers with more than half of those buys coming through our online instant appraisal experience. With the support of our Edmund sales team, we sourced the remaining approximately 48,000 vehicles through dealers, which is up 38% from last year. Our digital capability supported 80% of our retail unit sales during the first quarter, 66% were omni and 14% were online. Relative to traditional and online only dealers, we are the only nationwide retailer to offer an integrated simple, seamless and personalized experience to meet the largest and growing segment of used car buyers. According to Cox Automotive Research as well as our own, the majority of customers shopping for used cars intend to transact via an omni experience.

The combination of our associates, stores, technology and digital capabilities all seamlessly tied together is a key differentiator that gives consumers the optionality to shop online, in store or a combination of the two. Our Net Promoter Score is the highest it's been since rolling out our digital capabilities nationwide, supported by new record high online and omni scores reflecting that this experience is resonating well with customers. Our differentiating offering gives us a unique opportunity to reach more customers. To further capitalize on this opportunity, we're excited to launch a new marketing campaign later in the summer that will bring our omni channel experience and our digital capabilities to the forefront for a broad set of consumers. And now I'll turn the call over to John to provide more detail on CarMax Auto Finance. John?

Thanks, Bill, and good morning, everyone. During the first quarter, CarMax Auto Finance originated over $2,300,000,000 resulting in sales penetration of 41.8% net of three day payoffs, which was 150 basis points below last year. The weighted average contract rate charged to new customers was 11.4%, in line with last year's first quarter. Cash reduction in penetration was primarily driven by an influx of self funded higher credit purchasers seen during the initial announcement of tariffs and to a lesser degree, a higher Tier three penetration, both of which more than offset our expansion since Q4. Third party Tier two penetration in the quarter was down 100 basis points year over year to 17.7% of sales, while third party Tier three volume accounted for 8% of sales, up from 7.5% last year.

CAF income for the quarter was $142,000,000 which was down $5,000,000 from FY 2025. Net interest margin was 6.5%, up over 30 basis points from last year as customer APRs outpaced the increase in our funding cost. CAF's loan loss provision of $102,000,000 was impacted by several notable items. First, Q1 is a seasonally higher sales and lower credit quality period requiring a larger provision for newly originated volume. Second, loss performance within the quarter, particularly within 2022 and 2023 vintages along with the uncertain economic outlook necessitated additional loss reserves.

Note that 2024 vintages remain largely in line with our original loss expectation. The last noteworthy item impacting the Q1 provision relates to CAF's continued build out of our full spectrum lending capabilities. While we remain focused on increasing our penetration across the credit spectrum, we also want to carefully manage future risk from higher profit, higher loss receivables. To that end, during the quarter, we earmarked a held for sale pool of loans with a $632,000,000 principal balance from our non prime portfolio. That loan pool is intended to be fully sold off our balance sheet as a part of a non prime securitization transaction.

In the immediate term, this treatment removes the requirements to reserve for future losses expected on this pool of receivables. In the period in which the ABS transaction closes, CAF will book any gain realized by selling the financial interest in the loans. Also, the risk of any financial impact from this pool due to future deterioration is removed once sold. This additional funding lever as well as other off balance sheet funding vehicles under consideration will provide CarMax with significant flexibility and allow us to mitigate risk while focusing on our growth plan. Our loan loss provision of $102,000,000 results in a total reserve balance of $474,000,000 or 2.76% of managed receivables exclusive of auto loans held for sale.

Note there was a reduction on this quarter's provision stemming from $26,000,000 in the reserve allocated to loans booked prior to the first quarter now classified as held for sale. As we reflect on the bigger picture, CAF has delivered solid income for yet another quarter, and we see tremendous potential for the future. Now I'd like to turn the call over to Enrique to discuss our first quarter financial performance in more detail. Enrique?

Thanks, John, and good morning, everyone.

As a reminder, last quarter, we provided a view into the strength of the earnings model that we have built as part of our omni transformation. This model is designed to deliver an annual earnings per share CAGR in the high teens when retail unit growth is in the mid single digits. First quarter results delivered net earnings per diluted share of $1.38 up 42% versus a year ago. Total gross profit was $894,000,000 up 13% from last year's first quarter. Used retail margin of $554,000,000 increased by 12% with higher volume and per unit margins.

Retail gross profit per used unit was $2,407 up $60 from a year ago and a record high. Wholesale vehicle margin of $157,000,000 was flat from a year ago with an increase in volume offset by a slight reduction in per unit margins. Wholesale gross profit per unit was $10.47 dollars which was historically strong, though down slightly from a year ago. Other gross profit was $183,000,000 up 31% from a year ago. This was driven primarily by a combination of EPP and service.

EPP increased by 13,000,000 or $9 per retail unit as we fully comped over margin increases taken in the prior year. Service recorded a $33,000,000 margin, which was $30,000,000 improvement over last year's first quarter. We achieved this performance improvement through cost coverage, volume based leverage and efficiencies. On the SG and A front, expenses for the first quarter were $660,000,000 up 3% or $21,000,000 from the prior year. SG and A to gross profit leveraged by six eighty basis points to 74%, driven by the growth in gross profit and our ongoing actions to improve expense efficiencies.

SG and A dollars for the first quarter versus last year was mainly impacted by compensation and benefits increase of $19,000,000 The majority of this increase was related to unit volume growth. We continue to deliver efficiency gains across the business. We are off to a strong start in achieving our goal of omni cost neutrality in fiscal year twenty twenty six for the first time across three key metrics. In the first quarter, we were both more efficient versus pre omni and versus last year per used unit, per total unit and as a percent of gross profit. Recall that this compares the variable commission costs of selling and buying vehicles in our pre Honey model to our cost now, which includes a new per unit commission as well as the costs of running our customer experience centers.

A key driver of these efficiency gains and experience enhancements has strategic deployment of AI technology across our operations. A few key metrics that illustrate the progress we are making year over year include Sky, our AI powered virtual assistant realized a 30% improvement in containment rate. Our Customer Experience Consultants productivity improved by 24%, and phone and web response rate SLAs improved by double digits. We see tremendous opportunity to continue expanding AI applications across our business to drive both the top line growth and operational excellence. Turning to capital allocation.

We remain committed to creating long term shareholder value. Our priorities are clear: invest in the core business, primarily through the reallocation of resources evaluate new growth opportunities through investments, partnerships or acquisitions and return excess capital to shareholders. During the first quarter, we accelerated the pace of our share repurchases, buying back approximately 3,000,000 shares for a total spend of $200,000,000 As of the end of the quarter, we had approximately $1,740,000,000 of repurchase authorization remaining. Looking forward to the balance of the year, I'll cover a few items. We expect service margin to grow year over year, predominantly in the first half of the year and to deliver a positive profit contribution for the full year as governed by sales performance given the leverage deleverage nature of service.

Recall that the first quarter is typically the strongest for service margin due to higher seasonal sales volumes. Turning to marketing. We expect for the full year that our spend on a total unit basis will be flat year over year. Regarding CAF's funding strategy, our current plan is to execute the programmatic off balance sheet sale of the financial interest in the non prime securitization once a year. As John noted, we will also be assessing additional off balance sheet funding levers to further accelerate CAF penetration while continuing to learn from our full spectrum models. Now I'll turn the call back over to Bill.

Great. Thank you, Enrique and John. Before I open it up for questions, let me summarize what you heard from us today about our strong first quarter. We delivered our fourth consecutive quarter of retail of positive retail unit comps and double digit earnings per share growth. We grew both retail and wholesale unit volume.

Our sourcing efforts hit another milestone with a record dealer volume through Max Offer and we continue to leverage our cost structure with meaningful SG and A improvement. Our digital capabilities and overall experiences are resonating with customers as evidenced by our Net Promoter Score. We're also continuing to leverage AI across the business to further enhance the experience for both customers and associates and to increase operational efficiencies. We're taking the next steps in our credit expansion by delivering a new funding method for a portion of our non prime portfolio that mitigates risk, gives us more flexibility and supports the growth of CAF income. And we doubled our share repurchase pace.

Our associates, stores, technology and digital capabilities all seamlessly tied together enable us to provide the most customer centric car buying and selling experience. This is a key differentiator in a very large and fragmented market and positions us to continue to drive sales, gain market share and deliver significant year over year earnings growth for years to come. I want to thank our associates across the country for their dedication in delivering these results and providing an unmatched experience for our customers. With that, we'll be happy to take your questions.

And your first question comes from the line of Brian Nigel with Oppenheimer. Line is open. May now ask your question.

Nice quarter. Congratulations. Really nice quarter.

So I guess the question I want ask, we've seen a nice acceleration here in your used car business. I know you don't typically talk much about your intra quarter trends or trends into the following quarter. But the question I want to ask is, I mean, how are you viewing the sustainability here? As you look at this, is the business coming back? Is there anything unique to this reacceleration?

And then a follow-up to that is, and you showed again in this quarter nice SG and A leverage. But as we're thinking about sales continuing to restrain in here, how should we consider expenses coming back into the model? To what degree expenses need to come back to the model to support those sales? Thanks.

Sure, Brian. I'll take the first one and Enrique you want to talk about the expenses. As far as acceleration, look, Brian we feel really good. I mean first of all just back up a second. We're really pleased that this is the fourth consecutive quarter of comp growth.

Obviously this quarter we're pleased with the comps especially all three months were positive. As I think about the acceleration and we talked a little bit about this last quarter. Think this month or this quarter's performance is driven some by the macro factors, but I also think it's driven some by with what we have can control. I would go back to some remarks I made in the last quarterly call, which is the quarter started off strong and then we saw an uptick at the end of the quarter when there was speculation about the tariffs. And then I talked about that uptick towards the March.

And then rolling into April, we saw another little uptick. And so April ended up being the strongest month for us. But I would just go back to even before we saw that the initial uptick, the business was growing was doing well. And I think that's a reflection of a lot of the work that we've internally whether it's the inventory management, it's our pricing, it's our savings, it's the omni channel experience continuing to make that better. So I think there's this performance is both part market driven.

I think it's also driven by us. We feel great about the rest of the year. As I said at the beginning of the at the end of last year that we would expect to grow sales and gain share this year, and there's nothing that's changed that outlook. Enrique?

Yeah. For SG and A, you know, Brian, we've spent the past couple of years being able to lever SG and A, and that's really given all the actions we've taken on focusing on efficiency. And, you know, we're committed to continuing to lever the business. I I do think this quarter is really illustrative of the power of the model that we've built. So strong comps, and we levered SG and A almost 700 basis points this quarter.

And when you look at the increase in SG and A for this quarter, it's primarily it was driven by variable costs. But again, with those variable costs, we were able to lever again by almost 700 basis points, taking us to the mid 70% in in the first quarter here. So, you know, we're committed to continue doing that, and you can see the power of the model here.

CarMax (KMX) Q1 2026 Earnings Call Transcript

Company Participants