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1 VERSION 2.1 — DEC 2023 Hello. Investor Presentation Q2 Fiscal 2026 September 25, 2025
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2 SAFE HARBOR STATEMENT AND NON-GAAP MEASURES CARMAX We caution readers that the statements contained in this presentation that are not statements of historical fact, including statements about our future business plans, operations, challenges, opportunities or prospects, including without limitation any statements or factors regarding expected operating capacity, sales, inventory, market share, financial and operational targets and goals, revenue, margins, expenses, liquidity, loan originations, capital expenditures, share repurchase plans, debt obligations or earnings, are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by the use of words such as “anticipate,” “believe,” “could,” “enable,” “estimate,” “expect,” “focused on,” “intend,” “may,” “outlook,” “plan,” “positioned,” “predict,” “should,” “target,” “will” and other similar expressions, whether in the negative or affirmative. Such forward-looking statements are based upon management’s current knowledge, expectations and assumptions and involve risks and uncertainties that could cause actual results to differ materially from anticipated results. Among the factors that could cause actual results and outcomes to differ materially from those contained in the forward-looking statements are the following: changes in the competitive landscape and/or our failure to successfully adjust to such changes; changes in general or regional U.S. economic conditions, including economic downturns, inflationary pressures, fluctuating interest rates, tariffs or the effect of trade policies, and the potential impact of international events; changes in the availability or cost of capital and working capital financing, including changes related to the asset-backed securitization market; events that damage our reputation or harm the perception of the quality of our brand; significant changes in prices of new and used vehicles; a reduction in the availability of or access to sources of inventory or a failure to expeditiously liquidate inventory; Our inability to realize the benefits associated with our omni-channel platform or initiatives designed to leverage evolving technologies, including AI; factors related to geographic and sales growth, including the inability to effectively manage our growth; our inability to recruit, develop and retain associates and maintain positive associate relations; the loss of key associates from our store, regional or corporate management teams or a significant increase in labor costs; changes in economic conditions or other factors that result in greater credit losses for CAF’s portfolio of auto loans than anticipated; the failure or inability to realize the benefits associated with our strategic investments; changes in consumer credit availability provided by our third-party finance providers; changes in the availability of extended protection plan products from third-party providers; the performance of the third-party vendors we rely on for key components of our business; adverse conditions affecting one or more automotive manufacturers; the inaccuracy of estimates and assumptions used in the preparation of our financial statements, or the effect of new accounting requirements or changes to U.S. generally accepted accounting principles; the failure or inability to adequately protect our intellectual property; the occurrence of severe weather events; the failure or inability to meet our environmental goals or satisfy related disclosure requirements; factors related to the geographic concentration of our stores; security breaches or other events that result in the misappropriation, loss or other unauthorized disclosure of confidential customer, associate or corporate information; the failure of or inability to sufficiently enhance key information systems; factors related to the regulatory and legislative environment in which we operate; the effect of evolving regulations, disclosure requirements, standards and expectations relating to environmental, social and governance matters; and the effect of various litigation matters; The volatility in the market price for our common stock. For more details on factors that could affect expectations, see our Annual Report on Form 10-K for the fiscal year ended February 28, 2025, and our quarterly or current reports as filed with or furnished to the U.S. Securities and Exchange Commission. Our filings are publicly available on our investor information home page at investors.carmax.com. Requests for information may also be made to the Investor Relations Department by email to investor_relations@carmax.com or by calling (804) 747-0422 x7865. We undertake no obligation to update or revise any forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise. This presentation includes non-GAAP financial measures. Reconciliations of these measures to the comparable GAAP measures are available in the appendix to this presentation. INVESTOR PRESENTATION | Q2 FISCAL 2026
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3 CARMAX Quarterly Results INVESTOR PRESENTATION | Q2 FISCAL 2026
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4 INVESTOR PRESENTATION | Q2 FISCAL 2026CARMAX Financial performance Continued CAF Expansion Accelerating our strategic priorities Q2 2026 Key Takeaways • New marketing campaign launched in late August • Focused on inventory pricing and selection • Announced incremental SG&A reductions of at least $150 million over the next 18 months • Digital Capabilities supported 80% of retail unit sales • NPS is at an all-time high since rolling out our digital capabilities nationwide • Advancing full credit spectrum underwriting and funding model • Net interest margin growth • Loan loss provision reflects an increase in our estimate of lifetime losses on existing loans, primarily among the 2022 and 2023 vintages. Post-April 2024 vintages performing in line with expectations • Challenging sales due to Q1 tariff pull forward and intra-quarter depreciation impact to price competitiveness • Strong GPUs • Maintained accelerated quarterly pace of repurchases 4
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5 • Launched in late August 2025, this new “Wanna Drive” brand positioning is spotlighting our seamless, industry- leading omni-channel experience. • New campaign reflects CarMax’s ongoing commitment to customer empowerment, as our omni- channel experience gives customers the clarity, confidence and control to navigate their car buying or selling journey on their terms. • We launched the campaign across channels including linear TV, streaming, social, digital and audio representing the first phase with phase 2 launching during the NBA season as part of a sustained, multi- phase strategy. • Early results are promising, building off the highest NPS the company has seen since rolling out digital capabilities nationwide. Wanna Drive? MARKETING CAMPAIGN
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6 CARMAX Performance Summary NET EARNINGS PER SHARE $0.64 Decrease of 24.7% YoY NET EARNINGS PE NET EARNINGS PER SHARE $0.64 Decrease of 24.7% YoY NET EARNINGS PER SHARE $0.64 Decrease of 24.7% YoY NET EARNINGS PER SHARE $0.64 Decrease of 24.7% YoY Q2 2026 YTD 2026 Unit Sales Change Net Earnings Per Share Total Gross Profit SG&A Expense Vehicles Bought -5.4% Retail Used -2.2% Wholesale -6.3% Comparable Store Used +1.8% Retail Used -0.5% Wholesale +0.9% Comparable Store Used $0.64 Decrease of 24.7% YoY $2.02 Increase of 11.0% YoY $717.7M Decrease of 5.6% YoY $1.61B Increase of 3.8% YoY 293K Decrease of 2.4% YoY -2.7% From Customers +0.2% From Dealers 629K Increase of 2.3% YoY +0.4% From Customers +20.5% From Dealers $601.1M Decrease of 1.6% YoY 350 bps Deleverage in SG&A as a % of Gross Profit $1.26B Increase of 0.9% YoY 230 bps Leverage in SG&A as a % of Gross Profit INVESTOR PRESENTATION | Q2 FISCAL 2026 6
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7 CARMAX CAF Performance NET EARNINGS PER SHARE $0.64 Decrease of 24.7% YoY NET EARNINGS PE NET EARNINGS PER SHARE $0.64 Decrease of 24.7% YoY NET EARNINGS PER SHARE $0.64 Decrease of 24.7% YoY Q2 2026 YTD 2026 CAF Income Total Interest Margin Loan Loss Provision Units Financed $102.6M Down 11.2% YoY $244.3M Down 7.0% YoY 6.6% Up 50 bps YoY 6.5% Up 40 bps YoY $142.2M Up 26.3% YoY Increase Driven by CY22/23 Vintages, New Vintages Performing in Line With Expectations $243.9M Up 25.9% YoY 42.6% Up 60 bps YoY 42.1% Down 50 bps YoY Impacted by Higher “No Finance” Sales in Q1 With Tariff Pull Forward INVESTOR PRESENTATION | Q2 FISCAL 2026 7
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8 CARMAX 2020 Vintage Performance was Abnormally Low from Pandemic Low losses relative to pre-pandemic norm driven by consumers being flush with cash from stimulus and low spending patterns. Losses Elevated for 2021 through Early 2023 Originations Macro-inflationary environment and higher vehicle prices pressured consumers’ budgets, with vintage losses above pre-pandemic norm. Credit Contractions in 2023 and 2024 Improve Loss Performance Fine-tuning our credit strategy drove two meaningful steps down in vintage loss performance. Post-Apr 2024 contraction originations are performing in line with 2021. CAF Credit Contractions Drove Significant Reductions In Vintage-Level Cumulative Net Loss 18% improvement from Mar 2023 credit contraction 22% improvement from Apr 2024 credit contraction Tier 1 Cumulative Net Loss % Curves by Origination Vintage INVESTOR PRESENTATIION | Q2 FISCAL 2026 8
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9 CARMAX Consistent Capital Allocation Priorities 1. Maintain a Strong Balance Sheet Target 1.50 to 2.00x net leverage ratio to enable operational flexibility 2. Grow The Core Business Invest in physical locations, digital capabilities, pursue CAF’s full credit spectrum expansion, and unlock operational efficiencies 3. Inorganic Growth Pursue accretive M&A and strategic external investments 4. Return Capital to Shareholders Continue share repurchases Healthy Cash Flow and Strong Balance Sheet Enable Strategic Capital Deployment Strong Net Leverage Ratio Profile(1) 1.9x 2.2x 1.8x 1.7x 1.5x 2022 2023 2024 2025 Q2 2026 Strong Adjusted Net Cash From Operating Activities(2),(3) ($M) -$847 $2,177 $965 $877 $1,022 2022 2023 2024 2025 YTD 2026 -$173 $1,134 $586 $730Through Q2 Meaningful Capital Returned via Share Repurchases ($M) $323 $91 $423 $380 $345 $321 $0 $210Through Q2 2022 2023 2024 2025 YTD 2026 $562 (1) Net leverage ratio is calculated as adjusted net debt divided by adjusted EBITDAR for the most recent twelve -month period, in accordance with our debt covenants. We consider net leverage ratio and its components to be non -GAAP measures. A reconciliation of these non-GAAP measures has been included in the appendix. (2) Adjusted net cash from operating activities, a non-GAAP measure used by management to assess cash flows, incorporates the net is suances of (payments on) non-recourse notes that are used to fund auto loans held for investment and auto loans held for sale. We believe this metric is meaningful because it provides enhanced visibility into the cash generated from operations in consideration of the present ation differences between auto loans held for investment, auto loans held for sale and non -recourse notes payable on the consolidated statements of cash flows. Fluctuations in these amounts, which are generally related, can impact our operating a nd financing cash flows without affecting our overall liquidity, working capital or cash flows. A reconciliation of this non-GAAP measure has been included in the appendix. (3) 2022 saw a ramp in inventory while 2023 saw a decrease in inventory INVESTOR PRESENTATION | Q2 FISCAL 2026 2023 9
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10 CARMAX Business Overview INVESTOR PRESENTATION | Q2 FISCAL 2026
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11 CARMAX 80% Retail Sales Supported by Digital Capabilities 250+ Stores in 41 States 21 Years in a row on the Fortune 100 Best Companies to Work For® List 8.5 Million Wholesale Cars Sold (Cumulative) Top 5 Operator of Wholesale Vehicle Auctions 15 Million Cars Bought From Customers (Cumulative) Top 10 Financer of Used Cars 35 Million Average Monthly Web Visits Edmunds #1 as the most mentioned source for automotive insights in media 50,000 Cars Online 13.4 Million Used Cars Sold (Cumulative) CarMax is the nation’s largest used car retailer with a diversified business model INVESTOR PRESENTATION | Q2 FISCAL 2026
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12 Diversified Earnings Streams Profitable business with diversified earnings streams CARMAX $1,823.2M $581.7M $557.6M $517.1M Retail(1) CarMax Auto Finance(2) Wholesale(1) Other(1) - primarily Extended Protection Plans (1) Retail, Wholesale and Other represent FY25 gross profit totals (2) Represents CAF’s FY25 contribution INVESTOR PRESENTATION | Q2 FISCAL 2026
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13 CarMax offers a truly personalized experience with the option for customers to do as much, or as little, online and in-store as they want. 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-channel experience. CarMax leads through integrated capabilities: • Enabling seamless “lane changing” between digital and physical • Visibility to nationwide inventory and pricing • Offering digital tools like Instant Offer and Finance Based Shopping Digital capabilities supported 80% of retail unit sales and our net promoter score (NPS) is at an all-time high since rolling out our digital capabilities nationwide. Industry-Leading Omni-Channel Experience Providing unique customer experience across large total addressable market, enables long runway for profitable growth.
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14 • CarMax Auto Finance (CAF) is seamlessly integrated into the CarMax experience and CAF offers KMX customers a variety of financing options. • Well-established ABS issuer with nearly $90B in issuance since 1999. Introduced a new non-prime ABS program in FY25 to support future growth. • Originated more than $8 billion in auto loans during fiscal 2025, adding to our nearly $18 billion portfolio. • Full credit spectrum lender focused on expanding non-prime funding program and targeting initial goal of increasing CAF penetration from 42% currently to 50%. CarMax Auto Finance TOP 10 FINANCER OF USED CARS
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15 Appendix
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16 CARMAX QUARTERLY RESULTS INVESTOR PRESENTATION | Q2 FISCAL 2026 (In thousands except per share data) Q2 FY26 Q2 FY25 Change YTD FY26 YTD FY25 Change Sales & Operating Revenues: Used 5,270,712$ 5,677,081$ -7.2% 11,374,152$ 11,354,557$ 0.2% Wholesale 1,149,568 1,154,465 -0.4% 2,402,306 2,410,904 -0.4% Other 174,404 181,983 -4.2% 364,767 361,465 0.9% Net Sales & Operating Revenues 6,594,684 7,013,529 -6.0% 14,141,225 14,126,926 0.1% Cost of Sales: Used 4,828,095 5,198,315 -7.1% 10,377,352 10,380,294 0.0% Wholesale 1,012,248 1,016,590 -0.4% 2,108,415 2,115,901 -0.4% Other 36,675 38,157 -3.9% 44,169 78,369 -43.6% Total Cost of Sales 5,877,018 6,253,062 -6.0% 12,529,936 12,574,564 -0.4% Gross Profit 717,666 760,467 -5.6% 1,611,289 1,552,362 3.8% CarMax Auto Finance Income 102,638 115,580 -11.2% 244,288 262,550 -7.0% Selling, general and administrative expenses 601,093 610,562 -1.6% 1,260,736 1,249,140 0.9% Depreciation and amortization 67,285 63,901 5.3% 133,024 125,770 5.8% Interest expense 28,453 27,021 5.3% 55,523 58,383 -4.9% Other income (3,624) (3,281) 10.5% (3,933) (2,865) 37.3% Earnings before income taxes 127,097 177,844 -28.5% 410,227 384,484 6.7% Income tax provision 31,719 45,035 -29.6% 104,468 99,235 5.3% Net earnings 95,378$ 132,809$ -28.2% 305,759$ 285,249$ 7.2% Diluted net earnings per share 0.64$ 0.85$ -24.7% 2.02$ 1.82$ 11.0% (1) Percents are calculated as a percentage of net sales and operating revenues and may not total due to rounding.
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17 CARMAX ADJUSTED NET LEVERAGE METRICS – NON-GAAP As of August 31 (In thousands) 2022 2023 2024 2025 2025 Total debt 18,734,417$ 18,382,111$ 18,783,149$ 18,707,207$ 18,643,782$ Less: Non-recourse notes payable (15,466,799) (16,360,092) (16,866,972) (17,119,758) (17,056,916) Add: Finance lease liability 155,469 183,923 219,636 204,231 198,634 Add: Term loan unamortized debt issuance costs 648 506 368 228 158 Total funded debt 3,423,735 2,206,448 2,136,181 1,791,908 1,785,658 Less: Unrestricted cash (1) (87,716) (299,758) (559,142) (231,960) (525,374) Add: 6x rent expense (2) 505,266 620,886 625,296 647,982 678,558 Adjusted net debt 3,841,285$ 2,527,576$ 2,202,335$ 2,207,930$ 1,938,842$ Twelve months ended August 31 (In thousands except ratio) 2022 2023 2024 2025 2025 Net earnings 1,151,297$ 484,762$ 479,204$ 500,556$ 521,065$ Add: Interest expense 94,095 120,398 124,750 107,941 105,081 Add: Income tax provision 341,049 152,043 162,392 168,804 174,038 Add: Depreciation and amortization (3) 253,745 245,056 239,455 272,801 283,820 Add: Share-based compensation expense, excluding ESPP 109,197 85,592 119,720 134,709 123,260 Add: Net other (4) (43,052) (32,522) 11,806 10,093 2,552 Adjusted EBITDA 1,906,331 1,055,329 1,137,327 1,194,904 1,209,816 Add: Rent expense (2) 84,211 103,481 104,216 107,997 113,093 Adjusted EBITDAR 1,990,542$ 1,158,810$ 1,241,543$ 1,302,901$ 1,322,909$ Net leverage ratio 1.9 2.2 1.8 1.7 1.5 (1) Unrestricted cash represents cash and cash equivalents in excess of $15 million. (2) Rent expense includes operating lease cost as well as expense related to certain non-lease components, such as executory costs and maintenance. As of February 28 or 29 Twelve months ended February 28 or 29 (3) Includes amounts classified within depreciation and amortization, cost of sales and CAF income on the consolidated statements of earnings as well as software as a service amortization and amortization from AOCI related to retirement plans and cash flow hedges. (4) Includes the removal of income tax credits as well as the net impact of non-cash items on net earnings. Non-cash items primarily include fair value changes on our undesignated hedges, fair value changes on our investments in equity securities and impairment charges. INVESTOR PRESENTATION | Q2 FISCAL 2026
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18 CARMAX ADJUSTED CASH FLOW METRICS – NON-GAAP (In millions) 2022 2023 2024 2025 Net cash (used in) provided by operating activities (2,549.5)$ 1,283.3$ 458.6$ 624.4$ Add: Net issuances of non-recourse notes payable (1) 1,702.0 893.3 506.9 252.8 Adjusted net cash (used in) provided by operating activities (847.5)$ 2,176.6$ 965.5$ 877.2$ (In millions) 2021 2022 2023 2024 2025 Net cash (used in) provided by operating activities (1,385.3)$ 479.6$ (61.1)$ 501.4$ 1,085.0$ Add: Net issuances of (payments on) non-recourse notes payable (1) 1,212.5 654.4 647.5 228.3 (62.8) Adjusted net cash (used in) provided by operating activities (172.8)$ 1,134.0$ 586.4$ 729.7$ 1,022.2$ (1) Calculated using the gross issuances less payments on non-recourse notes payable as disclosed on the consolidated statements of cash flows. Year ended February 28 or 29 Six months ended August 31 INVESTOR PRESENTATION | Q2 FISCAL 2026