Copart Inc. Files 2024 Annual Report

Ticker: CPRT · Form: 10-K · Filed: Sep 30, 2024 · CIK: 900075

Sentiment: neutral

Topics: 10-K, annual-report, automotive

TL;DR

Copart's 2024 10-K is in, check financials for the online auto auction giant.

AI Summary

Copart Inc. filed its 10-K for the fiscal year ending July 31, 2024, reporting on its operations as a global online vehicle remarketing company. The filing details its financial performance, business strategies, and risk factors. Copart operates a proprietary internet auction platform that connects sellers of used, salvage, and clean title vehicles with a global buyer base.

Why It Matters

This 10-K filing provides investors and stakeholders with a comprehensive overview of Copart's financial health and operational performance for the fiscal year 2024, influencing investment decisions.

Risk Assessment

Risk Level: medium — The company operates in a competitive market and is subject to economic downturns and regulatory changes that could impact its business.

Key Players & Entities

FAQ

What is Copart's primary business as described in the 10-K?

Copart Inc. is a global online vehicle remarketing company that operates a proprietary internet auction platform connecting sellers of used, salvage, and clean title vehicles with a global buyer base.

What is the fiscal year end for Copart Inc. as reported in this 10-K?

The fiscal year end for Copart Inc. is July 31, 2024.

Where is Copart Inc. headquartered?

Copart Inc. is headquartered at 14185 Dallas Parkway, Suite 300, Dallas, TX 75254.

What is the SEC file number for Copart Inc.'s 10-K filing?

The SEC file number for Copart Inc.'s 10-K filing is 000-23255.

What is the Standard Industrial Classification (SIC) code for Copart Inc.?

The Standard Industrial Classification (SIC) code for Copart Inc. is 5500, which falls under RETAIL-AUTO DEALERS & GASOLINE STATIONS.

Filing Stats: 4,543 words · 18 min read · ~15 pages · Grade level 14.1 · Accepted 2024-09-27 19:06:12

Key Financial Figures

Filing Documents

Business

Item 1 Business 1 Industry Overview 3 Operating and Growth Strategy 5 Our Competitive Advantages 5 Our Business Segments 7 Our Service Offerings 7 Sales 11 Members 11 Competition 11 Management Information Systems 12 Employees and Human Capital 12 Environmental Matters 13 Governmental Regulations 14 Intellectual Property and Proprietary Rights 14 Seasonality 14

Risk Factors

Item 1A. Risk Factors 14

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 27

Cybersecurity

Item 1C. Cybersecurity 27

Properties

Item 2. Properties 28

Legal Proceedings

Item 3. Legal Proceedings 28

Mine Safety Disclosure

Item 4. Mine Safety Disclosure 28 PART II 29

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 29

Reserved

Item 6. Reserved 30

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 31

Quantitative and Qualitative Disclosures About Market Risk

Item 7A. Quantitative and Qualitative Disclosures About Market Risk 41

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data 42

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 42

Controls and Procedures

Item 9A. Controls and Procedures 42

Other Information

Item 9B. Other Information 45

Disclosure Regarding Foreign Jurisdictions that Prevents Inspections

Item 9C Disclosure Regarding Foreign Jurisdictions that Prevents Inspections 4 5 PART III 46

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 46

Executive Compensation

Item 11. Executive Compensation 46

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 46

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 46

Principal Accounting Fees and Services

Item 14. Principal Accounting Fees and Services 46 PART IV 48

Exhibits, Financial Statement Schedules

Item 15. Exhibits, Financial Statement Schedules 48

Form 10-K Summary

Item 16. Form 10-K Summary 48

Signatures

Signatures 51 ii Table of Contents PART I CAUTION REGARDING FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K for the fiscal year ended July 31, 2024, or this Form 10-K, including the information incorporated by reference herein, contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). All statements other than statements of historical facts are statements that could be deemed forward-looking statements. In some cases, you can identify forward-looking statements by terms such as "may," "will," "should," "expect," "plan," "intend," "forecast," "outlook," "project," "seek," "anticipate," "believe," "estimate," "predict," "potential," "continue" or the negative of these terms or other comparable terminology. The forward-looking statements contained in this Form 10-K involve known and unknown risks, uncertainties and situations that may cause our or our industry's actual results, level of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these statements. These forward-looking statements are made in reliance upon the safe harbor provision of the Private Securities Litigation Reform Act of 1995. These factors include those listed in Part I, Item 1A under the caption entitled "Risk Factors" in this Form 10-K and those discussed elsewhere in this Form 10-K. Unless the context otherwise requires, references in this Form 10-K to "Copart," the "Company," "we," "us," or "our" refer to Copart, Inc. We encourage investors to review these factors carefully together with the other matters referred to herein, as well as in the other documents we file with the Securities and Exchange Commission (the "SEC"). We may from time to time make additional written and oral forward-looking statemen

Business

Item 1. Business Corporate Information We were incorporated in California in 1982, became a public company in 1994, and were reincorporated in Delaware in January 2012. Our principal executive offices are located at 14185 Dallas Parkway, Suite 300, Dallas, Texas 75254 and our telephone number is (972) 391-5000. Our website is www.copart.com . The contents of our website are not incorporated by reference into this Form 10-K. We provide free of charge, through a link on our website, access to our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, as well as amendments to those reports, as soon as reasonably practical after the reports are electronically filed with, or furnished to, the SEC. Copart , BID4U , CI & Design , DRIVE Auto Auctions , 1-800 CAR BUYER , CA$HFORCARS.COM , COPART & DESIGN , VB3 & DESIGN , VB3 , National Powersports Auctions , NPA , Purple Wave Auction , and CrashedToys.com are trademarks of Copart, Inc. or one of its direct or indirect wholly-owned subsidiaries. This Form 10-K also includes other trademarks of Copart and of other companies. Overview We are a leading global provider of online auctions and vehicle remarketing services with operations in the United States ("U.S."), the United Kingdom ("U.K."), Germany, Brazil, Canada, the United Arab Emirates ("U.A.E."), Spain, Finland, Oman, the Republic of Ireland, and Bahrain. Our goals are to generate sustainable profits for our stockholders, while also providing environmental and social benefits for the world around us. With respect to our environmental stewardship, we believe our business is a critical enabler for the global re-use and recycling of vehicles, parts, and raw materials. We are not responsible for the carbon emissions resulting from new vehicle manufacturing, governmental fuel emissions standards or vehicle use by consumers. Each vehicle that enters our business operations already exists, with whatever fuel technology and effic

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