Copart (CPRT) FY2025 10-K Annual Report

Filed: Sep 26, 2025
Consumer Discretionary
Retail-Auto Dealers & Gasoline StationsSEC EDGAR

Copart (CPRT) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Sep 26, 2025. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

Copart FY2025 10-K Analysis

Business Overview

  • Core business: global online auctions and vehicle remarketing services mainly for insurance companies' total loss vehicles
  • New emphasis on proprietary AI-based tools Co.ai for salvage valuation and IntelliSeller for auction decision automation introduced in 2025
  • Strategic focus expansion on international facilities with 6 new operational openings in UK, Spain, and US during fiscal 2025
  • Revenues $4.6 billion and operating income $1.7 billion for fiscal 2025; 69.8% of US vehicles sold cross-state or internationally by buyer location
  • Notable disaster response in 2024 managed flood-damaged vehicles post Hurricanes Helene and Milton with rapid mobilization and remarketing

Management Discussion & Analysis

  • Revenue $4.65B ($3.97B service revenues + $0.68B vehicle sales) in FY2025, up 9.6% from $4.24B in FY2024
  • Operating margin 36% in FY2025 vs 37% FY2024; net margin 33% vs 32% with effective tax rate lowering to 18.3% from 20.5%
  • Best segment: US service revenues up $325.5M (10.4%); worst: International vehicle sales down $62.4M (18.5%)
  • Operating cash flow $1.80B up 22%, capex $570M up 15.6%, cash increased $1.27B to $2.78B; financing cash inflow $52.1M driven by stock option proceeds
  • Management cautious of weather-related catastrophe costs ($56M impact), expects growth via facility expansions and acquisitions, monitors used car pricing and repair cost trends

Risk Factors

  • Cybersecurity risk with potential IT outages impacting operations and reputation, governed by Audit Committee with quarterly and annual CISO updates
  • No specific regulatory or legal risk named, focus on cybersecurity governance without mention of law, case, or agency
  • No explicit geopolitical or macroeconomic threat detailed in the section provided
  • No named competitors or market disruption risks mentioned, technology risk limited to cybersecurity incident exposure
  • Incident response team dependency on CISO and cross-functional leadership for timely recovery and regulatory notification compliance

Copart FY2025 Key Financial Metrics
XBRL

Revenue

$4.6B

+9.7% YoY

Net Income

$1.6B

+13.9% YoY

Operating Margin

36.5%

-59bp YoY

Net Margin

33.4%

+124bp YoY

ROE

16.9%

-122bp YoY

Total Assets

$10.1B

+19.7% YoY

EPS (Diluted)

$1.59

+13.6% YoY

Operating Cash Flow

$1.8B

+22.2% YoY

Source: XBRL data from Copart FY2025 10-K filing on SEC EDGAR. All figures in USD.

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