Revenue during the quarter grew 10.08 percent to $4,542.33 million from $4,126.39 million in the previous year period. Gross margin for the quarter expanded 41 basis points over the previous year period to 14.29 percent. Total expenses were 92.19 percent of quarterly revenues, down from 92.90 percent for the same period last year. This has led to an improvement of 71 basis points in operating margin to 7.81 percent.

Operating cash flow improves significantly
CarMax, Inc. has generated cash of $191.49 million from operating activities during the quarter, up 118.58 percent or $103.89 million, when compared with the last year period.

The company has spent $90.36 million cash to meet investing activities during the quarter as against cash outgo of $123.25 million in the last year period.

The company has spent $79.47 million cash to carry out financing activities during the quarter as against cash inflow of $50.82 million in the last year period.

Cash and cash equivalents stood at $60.08 million as on May 31, 2017, up 14.27 percent or $7.50 million from $52.58 million on May 31, 2016.

Debt moves up
CarMax, Inc. has witnessed an increase in total debt over the last one year. It stood at $12,275.17 million as on May 31, 2017, up 13.19 percent or $1,430.40 million from $10,844.77 million on May 31, 2016. Interest coverage ratio improved to 21.07 for the quarter from 26.44 for the same period last year.