Copart reported Q2 CY2026 revenue of $1.15 billion, up 2.4% year on year and narrowly beating Wall Street's $1.14 billion estimate, while GAAP earnings of $0.35 per share missed the $0.38 consensus by 8.7%. The online vehicle auction company's operating margin fell to 32% from 36.7% a year earlier, and its free cash flow margin slipped to 24.2% from 31.2%. Service revenue, which makes up 84.1% of the total, and Vehicle Sales, at 15.9%, have grown at average annual rates of 4.5% and 1.9% respectively over the past two years. Analysts expect revenue to grow 4.6% over the next 12 months and full-year EPS to rise 7% from $1.55 to $1.65. The stock traded up 9.5% to $33.57 immediately after the report.
Copart IncCopart's Q2 revenue beat estimates but GAAP EPS missed consensus and margins/FCF fell sharply, a mixed earnings report.
