COPART INC (CPRT)

Copart, Inc. is a leading global provider of online auctions and vehicle remarketing services. It was incorporated in California in 1982, became public in 1994, and reincorporated in Delaware in 2012. The company processes and sells vehicles primarily over the internet through its Virtual Bidding Third Generation platform, VB3. It operates in the U.S., U.K., Germany, Brazil, Canada, the U.A.E., Spain, Finland, Oman, the Republic of Ireland, and Bahrain. For fiscal 2026 it reported revenues of $4.7 billion and operating income of $1.7 billion.

Copart offers sellers a full range of services that expedite each stage of the sales process, including merchandising, title processing, pick-up and delivery, storage, and online sale. VB3 uses a two-step bidding process: open preliminary bidding, where the BID4U feature bids up to a member's maximum, followed by a real-time internet-only virtual auction. Service revenues are auction and auction-related fees, such as listing, selling, transportation, title processing, storage, bidding, and loading fees, recognized net of the vehicle sale price. Purchased vehicle revenue is the gross sales price of vehicles the company buys or owns and resells. In the U.S., Canada, Brazil, Ireland, Finland, the U.A.E., Oman, and Bahrain, Copart sells primarily as an agent. In the U.K., Germany, and Spain it acts both as agent and principal, and in the U.K. it also sells dismantled parts through Green Parts Specialist. In Germany it also earns revenue from listing vehicles for insurers and insurance experts. Its growth strategy centers on expanding insurance remarketing internationally, increasing whole-car volumes and related services, and developing technology-enabled services, through organic growth and acquisitions.

Sellers are primarily insurance companies, which supplied 79% of vehicles processed in fiscal 2026, 81% in 2025, and 81% in 2024. Other sellers include dealers, individuals, charities, rental car companies, banks, finance companies, and fleet operators. Most insurance vehicles are total losses, recovered thefts, or vehicles damaged in accidents or natural disasters. Buyers, called members, include licensed dismantlers, rebuilders, repair licensees, used vehicle dealers, exporters, and the general public, and can participate from anywhere with internet access. In fiscal 2026, international members bought 38.2% of U.S. vehicles by unit, representing 45.8% of overall gross transaction per vehicle. Insurers choose remarketers based on factors such as expected salvage return, services, price, disaster response, geographic coverage, and analytical data.

Copart operates from multiple facilities where vehicles are received, stored, and released. It opened new facilities in the U.K., Spain, Canada, Brazil, and the U.S. over fiscal 2024 through 2026, including seven in the U.S. and two in Brazil in fiscal 2026. Operating costs consist mainly of facility labor, transportation, facilities, marketing and auction-related costs, and costs of vehicles sold. The principal executive offices are at 14185 Dallas Parkway, Suite 300, Dallas, Texas.