CPRT — FY2026 Annual Financial Report Analysis

Overview

Copart runs online auctions for used and damaged vehicles. Most of its cars come from insurers disposing of "total losses" — vehicles that would cost more to repair than they are worth. Most of its income is service revenue: the fees it charges sellers and buyers to tow, store, list and sell a car it does not own. A smaller part is vehicle sales, where Copart buys a car outright and resells it. That part brings in more revenue per car but earns much less on each one.

Fiscal 2026 (the year ended July 31, 2026) was flat for revenue and down for profit. Revenue was $4,666.2 million, up 0.4%. Operating income fell 2.6% and net income attributable to Copart fell 4.4% to $1,484.3 million. Diluted EPS fell less, 2.5% to $1.55, because Copart spent $1.63 billion buying back its own shares. The fourth quarter (May–July) was weaker than the year as a whole. Revenue rose 2.4%, but costs grew faster, and quarterly net income fell 17.4%.

The same day, Copart agreed to buy ACV, a dealer-to-dealer online used-car auction, for about $1.9 billion in cash. That deal shapes the outlook more than anything in the results.

Source note: this analysis is based on the Q4/FY2026 earnings release (8-K Exhibit 99.1, filed 2026-09-10). Copart's full FY2026 Form 10-K had not been filed as of this writing. The release has the income statement, balance sheet, cash-flow statement and US/International segment tables. It does not include unit volumes, average selling prices, the insurance vs. non-insurance split or comments on total-loss frequency, so those are not covered for the full year. Where noted, driver commentary comes from the fiscal Q3 2026 10-Q (nine months to April 30, 2026).

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